Kaseya and Our MSP Partner Commitment

Recently, there has been some concern in forums and other postings about Kaseya competing against its partners. Nothing could be further from the truth. Kaseya believes in and supports its MSP partners whole-heartedly.

Let Me Restate Our Commitments Here:

  • Kaseya has an express policy of referring potential customers to its MSP partners
  • Kaseya does NOT offer MSP-style services directly. Kaseya markets its IT Services only through MSPs for the sub-100 employee market. Kaseya has no interest in providing MSP style services directly to the small or lower-end of the medium-sized business segment where the full, 360° set of services is required. MSPs provide a set of value added services that Kaseya does not and cannot offer. Among the large range of services an MSP offers its customers that Kaseya cannot offer:
    • Local on-site support
    • Local project support
    • Local CIO services
    • Local procurement services
  • Our goal is not to take business from our xSP customers. In fact, we expect our efforts to actually increase business for the MSP. Our new products will increase our brand awareness which in turn creates demand for service providers. The Kaseya ecosystem gets larger and as a result everyone within it and around it will benefit
  • Our Master IT Service Provider Edition is an enterprise-class app. We intend to keep it that way, with functionality and pricing beyond the reach of small customers
  • We have removed ALL automation from our IT Toolkit SaaS offering targeted to the small business customer
  • IT Toolkit is a single machine-to-single machine tool and meant to compete for the mind of the IT professional heading home and supporting family and friends in the evening
  • IT Toolkit is just as it says. A collection of tools. These tools are valuable to the occasional user of IT tools. Simple to use and no deployment needed. These functions can be secured through other various free, open source applications. Kaseya believes that it would be better for these potential customers to be savvy users of Kaseya products, known to Kaseya as potential prospects to share with our MSP partners.

Kaseya is continuing to provide applications specified by and created for MSPs; for example, the multi-directory services consolidation and policy management module, underscoring our commitment to the MSP business.

Why We’re Committed to MSPs

The MSP market is a large, long-term viable and growing market. Kaseya’s applications are designed for the MSP. In 2009, Kaseya acquired a record number of new channel partners and revenues, in addition to a record number of add-on orders from existing partners. A 2009 survey by MSPmentor found that 75 of the top 100 fastest-growing MSPs rely on Kaseya. Also, on average, their revenues increased 50% by using the Kaseya platform.

Thousands of MSPs worldwide have built their entire businesses on the Kaseya platform because it can be easily modified and customized to accommodate even the most explosive growth. There is simply nothing beyond its capabilities as it transforms businesses from unproductive break-fix models to highly profitable managed services. To support the MSP community, we also:

  • Launched The Revolution Sessions, a global educational series led by managed services gurus Gary Pica and Robin Robins. In these sessions, MSPs learned first-hand how to create and grow a successful managed services business.
  • Sponsor and participate in many industry organizations, such as HTG Peer Groups, MSP Alliance, MSP Partners, ASCII, CompTia and ITA
  • Kaseya invites hundreds of partners each year to its annual user conference where they connect with peers from around the globe to compare notes, share knowledge and build relationships that have a real impact on their business

Our Strategy

Kaseya has been working on the K2 Platform for well over 4 years. It has been an immense project for a company our size and scope. We have the technical capability, but funding the efforts out of our own cash flows requires careful planning.

The goal at the outset was to provide a unified product platform allowing us to compete in all IT market segments, worldwide, including:

  • SOHO – generally not a candidate for MSP services but need concise IT tools for concise IT tasks
  • Small to lower end of Medium-sized Business – reached through the Kaseya MSP partner network
  • Large / Medium-sized Business – generally (there are exceptions) not interested in obtaining managed services from outside the company
  • Enterprise and Public Sector – generally have all the expertise needed in-house to manage all IT requirements

We think K2 puts us closer to that goal. Kaseya now has a single code-base providing a rich, multi-tenanted, cloud-based architecture supporting both our SaaS and on-premise offerings. Both offerings are required to be an effective competitor up and down the spectrum of opportunity. Without a concerted effort to compete in all market segments Kaseya and its partners are at risk from a competitor eating up the lower end of the market, undermining our joint business. Kaseya must compete for the minds of entry-level professionals in IT managed services and provide IT professionals at medium-sized companies and enterprises with other ways to secure IT services. Our belief is the best way to do this is to get them familiar with Kaseya offerings as soon as possible.

Our efforts are not complete with the release of K2. Far from it, as we have many new modules being added to the platform this year alone. We have internal initiatives surrounding scalability on Linux/Unix platforms, ITIL convergence and a rich complement of business application support, focused on providing our MSP customers simplified managed services financial management, support for smart devices and generally extending automation into all aspects of the MSP’s life.

Our Intentions

Kaseya does have designs on being a major competitor in Enterprise markets. However, it will never relinquish its commitment to its MSP partner base. Kaseya values its MSP customers and understands that long-term success can only be achieved by supporting our MSP partners.

Signature

Gerald Blackie
CEO, Kaseya
February 2010

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  1. Kaseya Clarifies Channel Strategy Again | MSPmentor - February 16, 2010

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