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Nintex Survey Touts Advances for Managed Services

By Lynn Haber
July 07, 2016 - News
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It looks like channel-partner firms are making money and business gains as they turn their attention to managed services and cloud, according to the latest survey findings from ISV Nintex.

Nintex's Josh WaldoThe goal of the survey was to discover what IT partners are doing to make money, particularly as infrastructure moves to the cloud and they rethink ways to drive revenue, according to Josh Waldo, vice president of channel and product marketing at Nintex. There were four key takeaways from the latest Nintex survey that had 150 U.S.-based respondents:

The first message was that there was good uptake around cloud and managed services, both of which offer profitability and predictability compared to on-premises-based projects.

One-half of the partners in the survey said that managed services and cloud offer more predictability for their businesses, while one-third said these two focus areas were more profitable. More than one-third (37 percent) of respondents also noted that managed services and cloud improved their company valuations.

The survey also highlights another key message, which is that managed services are gaining momentum in partner businesses. One-quarter (25 percent) reported that more than half of their sales were tied to managed services and that the sales cycle was a bit faster than an on-premises sale.

Two in five (40 percent) partners also noted that their sales strategy has changed with many focusing on vertical markets.

“We definitely see this increasing, especially as partners sell more to the lines of business," said Waldo.

That’s the third study highlight — 75 percent of respondents said that the people they’re selling to are a mix of IT leaders and decision makers within the lines of business such as sales, marketing and human resources. That 75 percent reported that sales decisions fall to both IT and LOB decision makers while the other 25 percent said that LOB decision makers are the primary decision makers.

According to Waldo, these new survey figures reinforce results from the company’s December 2015 survey.

The fourth survey takeaway emphasizes that partner firms still experience growing pains as they transition their businesses. Two challenges rose to the top — hiring key talent and dealing with vendor support models.

As partners transition their businesses to managed services and cloud, more than one-third agreed that finding the right talent is difficult.

“That’s not necessarily new information as partners have always had a hard time hiring and retaining talent especially scarce talent as the business evolves to new models," Waldo shared.

About 30 percent of survey respondents had issues scaling their managed services and cloud-solution businesses when the infrastructure is being managed by the platform vendor.

Nintex has pulled together three sets of survey findings – from December 2015, March 2016 and July 2016 – into a Partner eBook: "Partner with Nintex: The path to profitability."

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