Updated Aug. 28 at 2:41pm EST – We had a great Twitter chat with guest experts Robert Hart of the Canadian Cloud Council and Renee Bergeron of Ingram Micro. Thanks again to everyone who participated – we had a fantastic discussion. Read on below for curated, embedded tweets from today’s chat!
“Cloud” is a word that’s been thrown around a lot lately – but it’s also a great opportunity for the channel. Still, there are some unique challenges to operating and selling cloud services, and we want to tackle your questions about them in a conversation online.
We’re also pleased to have two guest experts joining us for the chat:
- Robert Hart, founder and CEO of the Canadian Cloud Council. As a long-time proponent of the cloud and its possibilities, Hart is also part of several other efforts to promote the cloud, like the Interzone conference, the 400, made up of a group of cloud computing executives, and Auro, a company that provides Canadian hosted cloud computing services to other businesses. You can find him on Twitter at @glengarry_hart.
- Renee Bergeron, vice-president of managed services and cloud computing at Ingram Micro. For the past four years, Bergeron has headed this division at Ingram Micro North America, leading the company’s strategy, sales growth, business development, and organizational management in this area. She’s also been working on finding new opportunities for cloud computing from within the channel. Her Twitter handle is at @ReneeIMCloud.
Q1. Why do channel partners want to be involved in offering cloud services?
Greetings everyone. Triple americano in hand. Ready to get going on the @CompDealerNews #CDNcloud TwitterChat thing.
— Robert Hart (@glengarry_hart) August 28, 2014
#CDNcloud. Q1 ) Well, extinction is usually not a preferred business outcome is it? And hey, I heart monthly recurring revenue.
— Robert Hart (@glengarry_hart) August 28, 2014
If you want to be relevant to your customers, you need to offer hybrid solutions, including onprem and cloud #cdncloud #cloud
— Renee Bergeron (@ReneeIMCloud) August 28, 2014
@Carbonite there is money being made, and I would encourage resellers to get into the game #cdncloud
— Renee Bergeron (@ReneeIMCloud) August 28, 2014
A1: As #mobile and #BYOD practices for employees expand, #channel will need to provide #cloud services to accommodate #CDNCloud
— Carbonite (@Carbonite) August 28, 2014
What if I’m old school and still want to stay local. Or if I’m a control freak? Not everyone is going to the cloud. #CDNcloud
— Agent Palmer (@AgentPalmer) August 28, 2014
Business-grade cloud services are in demand from SMB to Enterprise #sales @CompDealerNews #CDNCloud
— Marie Rourke (Meoli) (@ChannelPR) August 28, 2014
@candice_so following up on this request from earlier, here’s the 2014 Report on the State of Data Backup for SMBs: http://t.co/qSJuTRIMSw
— Carbonite (@Carbonite) August 28, 2014
#CDNCloud. Well, dinosaurs were old school too and they met a tough fate. Every new business started over the last decade uses #cloud.
— Robert Hart (@glengarry_hart) August 28, 2014
#CDNCloud Flipping hardware at 4% GP is a tough way to make a living. Selling public cloud services is more profitable and predictable.
— Robert Hart (@glengarry_hart) August 28, 2014
Cloud based backup solutions can reduce your over head cost dramatically #CDNCloud #smallbusiness #hartfordhasit #cloudcomputing
— Carlos Perez (@mrperez_12) August 28, 2014
#cdncloud Even Abe Simpson sometimes gets upset with the cloud. pic.twitter.com/1M7Cx6YpRO
— Jeff Radecki (@JeffRadecki) August 28, 2014
Q2. How can channel partners repurpose their sales team to sell an annuity cloud offering?
Train your salesforce and don’t under estimate the effort … it’s a completely differing value proposition #cdncloud
— Renee Bergeron (@ReneeIMCloud) August 28, 2014
Get your sales team to develop new relationships within customer’s organization #cdncloud #cloud
— Renee Bergeron (@ReneeIMCloud) August 28, 2014
@PaoloCDN #CDNCloud. True that. And, the sales guys. It’s tougher to sell managed services than gear. Commissions are not paid as fast
— Robert Hart (@glengarry_hart) August 28, 2014
#CDNCloud Q2) Web scalable applications are better suited to #cloud. Legacy applications like ERP are usually better suited to VMware
— Robert Hart (@glengarry_hart) August 28, 2014
Oh, and BTW – VMware or other #virtualization platforms are not always cloud. Sometimes the opposite. #CDNcloud
— Robert Hart (@glengarry_hart) August 28, 2014
Developing advisory services to help customers understand what and how to move to the cloud is key for partners #CDNCloud
— Craig Cook (@LVS_Craig_Cook) August 28, 2014
I’m a cloud convert. When my laptop died earlier this year I survived a month just grabbing and device (not computer, device) #CDNCloud
— Mat Pancha (@mpancha) August 28, 2014
Q3. How can channel partners adjust their businesses to a recurring revenue model, like with the cloud?
#CDNcloud Q3) I suggest incenting sales people on value of contracted revenue to encourage longer term service contracts.
— Robert Hart (@glengarry_hart) August 28, 2014
#CDNCloud Q3) That way sales people are incented to sell both hardware and MRR driven services and can build incremental income.
— Robert Hart (@glengarry_hart) August 28, 2014
#CdnCloud Q3) Cloud is disruptive and pesky CFO types want to see measurable results before making material investments in a new new BM.
— Robert Hart (@glengarry_hart) August 28, 2014
Channel businesses could package all their services on a monthly subscription model, including cloud delivery #CDNcloud
— Brian Jackson (@brianjjackson) August 28, 2014
Building recurring revenue takes time and usually involves changing old behaviors. When done well provides a great annuity stream #CDNCloud
— Craig Cook (@LVS_Craig_Cook) August 28, 2014
Nailed it @mrperez_12 – MSPs must do homework to make the biz case, sell value. Execution & ROI key. #ISV #CDNCloud #smallbusiness
— Marie Rourke (Meoli) (@ChannelPR) August 28, 2014
Onpremise market is crowed but cloud market is not crowded yet … only about 10%-20% of resellers are offering cloud services today #cdncloud
— Renee Bergeron (@ReneeIMCloud) August 28, 2014
Q4. How can channel partners market and differentiate cloud services in a crowded market?
A4: Vendors can offer marketing materials and collateral for #channel partners to use. Can help establish credibility and trust. #CDNCloud
— Carbonite (@Carbonite) August 28, 2014
To differentiate in the #cloud, leverage your core competencies to determine which cloud services you will offer #cdncloud
— Renee Bergeron (@ReneeIMCloud) August 28, 2014
Bundle cloud services with your pro to migrate data or integrate #cloud with other system or customize to meet customer’s needs #cdncloud
— Renee Bergeron (@ReneeIMCloud) August 28, 2014
A4 Cloud can be differentiated just like previous software – by making niche solutions for industry verticals, for example #CDNcloud
— Brian Jackson (@brianjjackson) August 28, 2014
Providers need to understand their sustainable differentiator. If it’s cost or features, you are in trouble without deep pockets #CDNCloud
— Craig Cook (@LVS_Craig_Cook) August 28, 2014
@sap_elliott I couldn’t agree more Bob. Customers burned previously by cheap knock-offs or poor service are our best references. #CDNCloud
— Craig Cook (@LVS_Craig_Cook) August 28, 2014
@CompDealerNews There’s no winning in that race in my opinion. Know where you play well and stay there or you will erode margins. #CDNCloud
— Craig Cook (@LVS_Craig_Cook) August 28, 2014
A4: to differentiate – focus on educating the consumer. No one know what the #cloud is. @CompDealerNews #CDNCloud pic.twitter.com/O2BROFgIhH
— Mat Pancha (@mpancha) August 28, 2014
Real business rules apply to cloud. Until you figure out how to DELIGHT the customer, don’t even THINK about a business model. #CDNCloud
— Jim Love (@CIOJimLove) August 28, 2014
#CDNCloud I hope to see a successful Cdn #Cloud Ecosystem emerge this year that offers true cloud functionality. #Open #Ondemand #Elastic
— Robert Hart (@glengarry_hart) August 28, 2014
Q5. Should channel partners build their own cloud offerings, or resell a vendor’s?
Why spend / waste the $$$? Whitelabel & Co-brand Q5. Should #channel partners build their own #cloud or resell vendor’s? #CDNcloud
— Marie Rourke (Meoli) (@ChannelPR) August 28, 2014
Q5) Reselling vendor offerings will provide quicker route to market. Partners need to sell cloud now #CDNCloud
— Bob Elliott (@sap_elliott) August 28, 2014
Bruce Stuart gets into the financials on cloud. #cdncloud http://t.co/AvykROGBZ7
— Jeff Radecki (@JeffRadecki) August 28, 2014
Q6. Should channel partners white label their services, or do they need to leverage the original vendor’s credibility?
A6: The vendor can be a valuable partner and can often lend the #channel partner credibility through brand association #CDNCloud
— Carbonite (@Carbonite) August 28, 2014
A6: If #channel partner has access to vendor’s marketing collateral, they should use for advertising and selling products to #SMBs #CDNCloud
— Carbonite (@Carbonite) August 28, 2014
Don’t just resell or white label. Add value. Arbitrage is a tactic, not a strategy. And it’s a dangerous one at that. #CDNCloud
— Jim Love (@CIOJimLove) August 28, 2014
Selecting the right vendor partner (CSP) is key to your success in the #cloud #cdncloud
— Renee Bergeron (@ReneeIMCloud) August 28, 2014
A6: If the vendor is credible, then of course they should leverage that. But if not, why are they expanding to begin with? #CDNcloud
— Agent Palmer (@AgentPalmer) August 28, 2014
RT @CompDealerNews: Q6. “It depends.” Industry may demand disclosure. #Healthcare #Legal #financialservices @IntronisInc #CDNCloud
— Marie Rourke (Meoli) (@ChannelPR) August 28, 2014
What strategy should be used when it comes to outsourcing and the #cloud? #CDNcloud http://t.co/jW8D0DDNnG
— IT World Canada (@itworldca) August 28, 2014
Q7. How can channel partners reassure customers about cloud security?
A7: Redundant storage and security can only go so far, the consumer needs to feel they can trust. That’s most important. #CDNcloud
— Agent Palmer (@AgentPalmer) August 28, 2014
For me, it would be about track record, but for others free trials & the understanding of how it works might help. @CompDealerNews #CDNcloud
— Agent Palmer (@AgentPalmer) August 28, 2014
#CDNCloud – word of the day is #hybrid, #hybrid, #hybrid!
— Robert Hart (@glengarry_hart) August 28, 2014
Q7) Point to success stories from profitable businesses that operate in the cloud, there are many! #CDNCloud
— Bob Elliott (@sap_elliott) August 28, 2014
@itworldca #cdncloud -identify future business and IT support requirements,share with channel helps them provide best solution @robertajfox
— #FOXGROUP (@robertajfox) August 28, 2014
A7: #Channel partners must educate customers about the varying #cloud solutions and the security provided with each option #CDNCloud
— Carbonite (@Carbonite) August 28, 2014
#CDNCloud – Data classification is an essential component of a cloud roadmap strategy. Sensitive data should be kept within a private cloud
— Robert Hart (@glengarry_hart) August 28, 2014
@CIOJimLove @brianjjackson Private Cloud is like a unicorn. It sounds enchanting but I’ve never seen one. #HybridIT #CDNCloud
— Craig Cook (@LVS_Craig_Cook) August 28, 2014
Security – always challenging. Work with reputable partners. Building rigor and governance is expensive and takes time #CDNCloud
— Craig Cook (@LVS_Craig_Cook) August 28, 2014
A7 I think visibility into where data resides goes a long way to quelling security concerns #CDNcloud
— Brian Jackson (@brianjjackson) August 28, 2014
Cloud security is of paramount importance. Here’s a checklist of things to avoid. #CDNcloud http://t.co/KrZqtpa7kH
— IT World Canada (@itworldca) August 28, 2014
Q8. Does it matter if a cloud provider keeps its data centre within Canada?
Well from the people I interview it does. Customers want the data in Canada. The channel has to account for this someway #cdncloud
— Paolo Del Nibletto (@PaoloCDN) August 28, 2014
Q8) SAP’s data centre security is the same all over the world, but having the DC in Canada gives peace of mind for some companies #CDNCloud
— Bob Elliott (@sap_elliott) August 28, 2014
A8) It will continue to become more important. Legislation will eventually dictate that tax revenue will stay in Canada. #CDNCloud
— Craig Cook (@LVS_Craig_Cook) August 28, 2014
DC locations matters for some apps, not others … it’s really about customer’s needs #cdncloud
— Renee Bergeron (@ReneeIMCloud) August 28, 2014
Snowden’s uncovering of #PRISM means that most companies not in the US don’t want data there, only reinforced patriot act worries #CDNcloud
— Brian Jackson (@brianjjackson) August 28, 2014
Met some customers in LatAm who prefer having their data managed outside their country … hmmm #cdncloud
— Renee Bergeron (@ReneeIMCloud) August 28, 2014
A8: Does it matter if it’s kept in Middle Earth? I don’t think the physical location matters, as long as the cloud works. #CDNcloud
— Agent Palmer (@AgentPalmer) August 28, 2014
The #NSA has created a huge opportunity for companies to establish data safe offerings in Canada. Three cheers for the NSA. #CDNCloud
— Robert Hart (@glengarry_hart) August 28, 2014
All of the uncertainty should be opportunity for established players with reputations to be real cloud brokers. #CDNCloud
— Jim Love (@CIOJimLove) August 28, 2014
Q9. What should customers look for in a good cloud services provider?
A9: #CustServ is a top priority. #Data is too important and a #cloud services provider should always be available to help. #CDNCloud
— Carbonite (@Carbonite) August 28, 2014
A9: #Channel partners should also be offering or planning to offer a #HybridCloud solution. #CDNCloud
— Carbonite (@Carbonite) August 28, 2014
A9: A #cloud services provider should understand more than just the #tech, but #biz needs, too. Should be a trusted partner. #CDNCloud
— Carbonite (@Carbonite) August 28, 2014
A9: Service… It shouldn’t be, here’s the app, now you’re on your own! #CDNcloud @CompDealerNews
— Agent Palmer (@AgentPalmer) August 28, 2014
Q9) Simplicity and great user experience typically define a great cloud solution #CDNCloud
— Bob Elliott (@sap_elliott) August 28, 2014
A good CSP has solid technical architecture, solid customer scvs, solid financials & can continue to scale & innovate #cdncloud
— Renee Bergeron (@ReneeIMCloud) August 28, 2014
@CompDealerNews #cdncloud 1-design,install expertise, 2-operational/billing excellence, 3-price….in that order from clients @robertajfox
— #FOXGROUP (@robertajfox) August 28, 2014
Q10. What trends should we expect to see in the channel for cloud in the next five years?
#cloud trends: bundle solutions for vertical markets … reduce integration complexity #cdncloud
— Renee Bergeron (@ReneeIMCloud) August 28, 2014
Q10) In 5 years, cloud adoption will be in its maturity and the late majority will have already adopted #CDNCloud
— Bob Elliott (@sap_elliott) August 28, 2014
@CompDealerNews #CDNCloud Last Question – The IaaS thing is a race to the bottom probably. Focus will be on vertically intergrated platform
— Robert Hart (@glengarry_hart) August 28, 2014
#Cdncloud – creating shared and community platforms with apps and functionalities for specific markets or verticals. Niche “AWS” ecosystems
— Robert Hart (@glengarry_hart) August 28, 2014
A10: #SMB interest in #cloud #tech is growing. By 2020 more than 80% of #SMBs will be utilizing #cloud solutions via @Intuit #CDNCloud
— Carbonite (@Carbonite) August 28, 2014
@CompDealerNews #cdncloud adding and integrating more pieces of the ICT puzzle, combine storage, VoIP, UC, messaging, etc. @robertajfox
— #FOXGROUP (@robertajfox) August 28, 2014
A10: #IT needs are increasing as more #tech is introduced in workplace. Increased budgets reflect that, showing need for #channel #CDNCloud
— Carbonite (@Carbonite) August 28, 2014
@CompDealerNews 1) Market Consolidation 2) More Brokers 3) More Boutique Providers (Vertical/App focused) #CDNCloud
— Craig Cook (@LVS_Craig_Cook) August 28, 2014
#cloud trend: growth, growth, growth #cdncloud
— Renee Bergeron (@ReneeIMCloud) August 28, 2014
#CDNCloud – Cloud Computing will simply be called computing in five years. There will be no other type of computing. :).
— Robert Hart (@glengarry_hart) August 28, 2014