Kaseya kicked off their Connect IT event virtually today, and presented some survey data on the state of the market.
- 32% average reduction in SMB Revenue since March 15
- 147% increase in IT service requests since March 15
- Change in satisfaction – in Q4 2019, 19% of respondents were considering changing their MSP or service provider. In Q2 2020 – that’s at 72%.
- 80% of MSPs expect reduction of profits or flat
- In Q2 2019, 78% confidence in platform. In Q2 2020, only 19%.
- 85% of IT staff failures occur from a lack of information and/or audit ability
- Demand for compliance is on the rise – 78% demand in 2020 versus 18% in 2018.
They also announced the acquisition of Graphus, a mail security product.
Why do we care?
The data here is telling – as expected, the impact to the economy is real and revenue is down. As long as the pandemic is not under control, that will be the reality.
The reliance on IT and transition to the current condition are exposing any weakness. SMBs are reconsidering their providers because they are shown now how important the IT function is, and providers themselves (under a surge of work) are seeing the strain of their platform technology. Examine both.
I don’t care about the acquisition – more revenue rollup from my perspective.