Upending a business model that you’ve lived by for years is very tough. It can be hard to believe that just a short distance from where you’re standing there’s a more stable, more lucrative approach to selling technology.
So I offer a list of reasons for shifting to a solutions model. This is only a part of the journey — but understanding these payoffs is a crucial and necessary first step.
- A more predictable revenue stream that’s less susceptible to economic vagaries and vendor hiccups.
- More diversified revenue, due to business coming in from more vendors and more kinds of solution sales.
- More revenue per customer, since the solution deals you’re making involve multiple products and services.
- More satisfied customers and a stickier revenue base, because customers are inclined to be loyal to a well-supported solution that works for them as compared to merely a technology or a brand.
- Improved account protection, thanks to your deeper understanding of customers’ needs and your ability to respond to them holistically.
- Reduced customer acquisition costs , as customers will be less likely to churn if you do more than quote prices.
- Greater differentiation, because customers remember and appreciate those who bring them technology solutions that work well.