Who Is A Good Fit for Technology-as-a-Service?
The overall idea of security-as-a-service is still a fresh concept. A lot of confusion, misconceptions, and misrepresented ideas surround the topic of who is a good fit for a technology-as-a-service solution. It’s not uncommon to hear these antiquated theories that this type of payment model is only for certain industries, a specific transaction size, or cash-poor/budget-strapped customers. Let’s unpack these theories in more detail to help you better understand exactly who makes the perfect fit for a technology-as-a-service solution.
What Vertical Markets Are A Good Fit for As-A-Service?
With respect to vertical markets, simply put, customers in virtually every industry see value in implementing technology-as-a-service solutions. We’ve seen as-a-service solutions provided to organizations within healthcare, banking or financial institutions, government or municipalities, manufacturing, legal, K-12 and higher education, nonprofits, a wide variety of commercial organizations, retail, hospitality, house of worship, tribal, agriculture, and many other sectors.
In terms of certain customer types specific to security-as-a-service, there is a lot of interest from retail sales organizations, casinos, schools, banks, houses of worship, healthcare municipalities, and a variety of commercial organizations. However, any business or organization with people and property takes measures to implement security systems.
The important thing to be aware of regarding vertical markets is that the only place technology-as-a-service solutions are not a fit is specific segments of the market where we simply cannot provide it for legal or contractual reasons. Those specific segments currently include federal government agencies, adult entertainment establishments, and cannabis industry organizations.
What Transaction Size Makes for a Good Fit for As-A-Service?
This is an interesting one. We’ve heard from both ends of the spectrum. “I thought that is only an option for small transactions” and, “I thought that is only available to large transactions.” How these theories come to fruition is a mystery.
The truth, again, is that there is no such thing as a good fit transaction size. We’ve sold as-a-service solutions to a variety of customers with transaction sizes ranging from $10,000 to millions of dollars. Assuming a customer is credit-worthy, there is not a maximum size transaction limitation.
In terms of frequency, keep in mind there are a lot more $100,000 opportunities in the marketplace than there are $1,000,000 opportunities. So logically, with regard to the volume of transactions, we see a lot of transactions in the $40,000 to $200,000 range.
As-A-Service is Only a Good Fit for Cash Poor/Budget Strapped Customers
For decades, the technology sales industry has been transactional. In the past, a system integrator sells a customer a solution, they write them one large check and then move on to the next. Therefore, it’s an antiquated theory that organizations that need a monthly payment are only those that have little capital or have budget issues.
The reality is, that regardless of customer vertical and regardless of transaction size, cash-poor and budget-strapped customers are the worst groups for as-a-service solutions. Why? The primary reason is, even though as-a-service is a subscription payment, customers still must pass a credit process in order to be approved for the as-a-service payment program. Therefore, customers who are cash-poor or have budget issues are often a sign that their financial strength may not merit approval.
Ultimately, very few of these customers are approved for technology-as-a-service. But, even more interesting, the rare few that can be approved often still do nothing in terms of a new solution.
Who IS a Good Fit for As-A-Service?
Do not focus on a specific type of industry vertical. Do not focus on certain transaction sizes. Definitely do not believe that just because you have plenty of funds to pay cash for a solution many times over, which as-a-service solutions are not for you.
Place your focus on the unique benefits that technology-as-a-service solutions provide you versus purchase to own solutions. There are significant universal benefits that have appeal to many types of customers. If you value any of the following, then we recommend exploring M3T Corporation’s exclusive security-as-a-service solution, Shield, as a good fit:
- You want the benefits of having access to and use of technology solutions without the burdens of ownership.
- You desire control and flexibility to scale and adjust the solution as needs change, BUT without the large financial burdens, penalties, and consequences that can come with a capital expense option.
- You prefer to use your capital for true investments (that will appreciate in value) because you understand that ownership and the resulting depreciation of technology solutions is a waste of capital.
- You want the peace of mind of fixed, manageable payments for an all-inclusive solution (including design, install, hardware, software, warranty, & support services for an entire multi-year term).
If you believe security-as-a-service is a good fit for your solution needs. Learn about M3T Corporation’s exclusive security-as-a-service solution, Service Shield here.