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IT service providers and security

1 - How IT Service Providers Perceive Their ProspectsHow IT Service Providers Perceive Their Prospects

The two biggest revenue drivers for IT service providers in 2016 will be growth in the number of endpoints and demand for security services—two related trends.

2 - Revenue DriversRevenue Drivers

The top three IT services driving revenue are endpoint management, backup and restore, and disaster recovery, while the top three security-related services are endpoint, Internet and email security.

3 - Big OpportunityBig Opportunity

55% of ITSPs report a steady or significant increase in the number of endpoints they manage, which has led to increased security concerns.

4 - The Cloud RulesThe Cloud Rules

80% of ITSPs rely on cloud delivery to manage and secure endpoints.

5 - Stepping Up Cloud ServicesStepping Up Cloud Services

90% of ITSPs offer cloud-based services, and 55% forecast 11% to 50% growth in client cloud adoption in 2016.

6 - Growing ProspectsGrowing Prospects

The top five cloud-based services are backup and restore, email, disaster recovery, hosting and endpoint management.

7 - FSS in the CloudFSS in the Cloud

33% of all businesses expect to replace or implement a new file-sync-and-share solution this year, according to Connected Data & Wilson Research Group. Additionally, 37% of respondents deliver FSS via public cloud, 32% via hybrid cloud and 31% via private cloud.

8 - Biggest PrioritiesBiggest Priorities

Trends affecting end-client priorities include information security (51%), disaster recovery (51%), mobile connectivity (36%), managing to budget caps (33%) and always-on environments (32%).

9 - Higher Renewal Rates Higher Renewal Rates 

75% of respondents report they have renewal rates of 80% or higher. The top reasons: demand for managed services, improved customer service levels and demand for cloud-based services.

10 - New HiresNew Hires

In response to growing demand, 80% of ITSPs are hiring, with service desk hires (65%) projected to be two times the sales hires (32%) and three times project hires (23%) in 2016.

11 - Profitability DisconnectProfitability Disconnect

Only 7% of ITSPs measure all 10 key performance indicators (KPIs) listed in the survey, including billable resource utilization, service-level agreements (SLAs), customer satisfaction and sales pipeline.

12 - Performance Tracking LagsPerformance Tracking Lags

31% don’t measure SLA first-response time compliance, 24% don’t measure service response times, 13% never solicit customer feedback and 12% don’t track client renewal rates.

13 - Missed OpportunitiesMissed Opportunities

26% of ITSPs aren’t looking for tools that would automate or increase customer satisfaction, 24% don’t offer file-sync-and-share products, and 20% don’t offer consulting or managed services.