Small and medium-sized businesses (SMBs) continue to have a high demand for cybersecurity services, with many expressing a desire to buy security solutions from their trusted managed service providers (MSPs). Despite the significant opportunity, numerous MSPs lack the expertise to provide full-service security to their clients. Cybersecurity and MSP-focused companies can assist MSPs in strengthening their security credentials while benefiting themselves.
Numerous SMBs are already collaborating with channel partners to meet their cybersecurity requirements. According to SMB technology survey insights, 30% of SMBs already bought some of their cybersecurity solutions from MSPs. Data indicates that SMB security spending through MSPs will increase from $25 billion in 2022 to $48 billion in 2027. By 2027, MSPs and systems integrators (SIs) will account for 43% of all SMB cybersecurity spending. Companies that have begun working with MSPs for general IT workloads are likely to want to continue working with the same partner for cybersecurity needs. When possible, SMBs prefer to work with fewer parties and lack the time required to meet and vet new providers. This creates a strong opportunity for MSPs to land and expand, which can benefit cybersecurity companies that sell security solutions.
Despite the growing security opportunity, numerous MSPs aren’t equipped to provide the full scope of security that SMBs require. MSPs typically begin as value-added resellers (VARs) that incorporate managed services into their portfolios or as small businesses (with five or fewer employees) that remotely monitor IT for clients. The company’s focus is on monitoring and managing hardware and network infrastructure, including other specialized services. MSPs frequently begin their foray into security by reselling anti-virus and email protection products. Moving into offering more sophisticated cybersecurity solutions presents a challenge for MSPs because managing security is different from implementing and managing IT and requires specific skills to evolve on a regular basis. MSPs, on the other hand, risk stagnation if they’re unable to add security solutions to their portfolios.
Cybersecurity companies have an opportunity to significantly expand their addressable market if they can assist their partner in becoming better at selling and managing security services. By providing technical training, sales, and marketing support, and partner-to-partner collaboration, cybersecurity companies can assist their partners in developing profitable security portfolios. For MSPs, technical expertise is a significant barrier when they’re looking to provide security solutions. Cybersecurity companies can assist partners in filling any gaps by providing extensive training programs. Additionally, numerous MSPs lack the necessary sales and marketing skills.
Cybersecurity companies can help MSP partners shift their focus to security by providing co-marketing and co-selling assistance. Additionally, cybersecurity companies can assist MSPs in selling security solutions by introducing them to other partners. Some MSPs want to solely focus on security and provide full-scale IT solutions to their end customers. Cybersecurity companies can facilitate partnerships with MSPs through events and referrals. Considering MSPs are already used to resell and monitor third-party products, it’s a natural fit and cybersecurity companies can use their partner events to assist partners in connecting. Cybersecurity companies have a good chance of meeting the growing demand among SMBs, however, they’ll need to collaborate with MSPs to reach the fragmented SMB market. Assisting MSPs in their efforts to provide security services is a good investment, and cybersecurity companies can benefit from MSPs’ existing client bases and SMB sales experience. Helping MSPs allows cybersecurity companies to expand their reach in the SMB landscape without constantly scaling and growing internal sales teams.
At SpearTip, we utilize a flexible partnership model that allows MSPs to keep the customer relationship and enhance client stability, expert support, and an industry-leading return on investment. MSPs can upsell their security offering by incorporating our pre-breach risk services into their current catalog. We enhance the offerings of our MSP partners with the ShadowSpear Platform, our cutting-edge detection and response toolset, which is supported by our certified engineers at our 24x7x365 Security Operations Center. Additionally, partnering with SpearTip allows MSPs’ teams to maximize customer relationships by integrating our toolset into their offerings as an enhanced security solution. SpearTip offers an integrable cybersecurity solution allowing MSPs to focus on their clients’ core IT objectives while providing industry-leading protection against malicious cyber threats.
If your company is experiencing a breach, call our Security Operations Centers at 833.997.7327 to speak directly with an engineer.