Home Cloud Management Major Challenges for Cloud MSPs, and How To Overcome Them

Major Challenges for Cloud MSPs, and How To Overcome Them


The major responsibility of Managed Service Providers (MSPs) is ensuring the availability and maintenance of resources for customers. The customer and MSP are bound by a contractual Service Level Agreement (SLA) stating performance and quality metrics for services. This sounds simple, doesn’t it? The core responsibilities of an MSP are actually defined to a granular level. The levels may include monitoring, security, governance, uptime for services, and much more. Add the dynamics of cloud on top of these, and MSP business doesn’t sound as easy in 2020.

Cloud services have made life easy for anyone (not just organizations) looking to access computing resources. However, the comfort levels do not necessarily remain the same as the resources scale. Organizations often outsource cloud services in the absence of an in-house expert team. This is where MSPs come into the picture and play a huge role in meeting business objectives. MSPs face various challenges in facilitating services for end-customers. In this blog, we will discuss the major pain points of an MSP in today’s cloud-centric world.

1. Add-on services

Customers’ use cases may range from the most common to highly innovative. It is an MSP’s duty to ensure customers have access to required services as per their use cases. This needs constant and rigorous product development to fulfill customer demands. Often, MSPs also take the other route to enhance product portfolio by integrating third party solutions.

The third-party solutions can act as add-on services for end-customers. MSPs need to make smart decisions by carefully analyzing their customer demands and picking the right solution. This saves time and money spent on development and results in better customer retention.

2. Pricing

Sooner or later, billing customers poses issues for MSPs. Monthly bills often end up confusing customers, who are focused on cost effectiveness. The basic rule of thumb should be a simplified pricing model that is easy for customer to comprehend and helps them easily deduce the ROI.

MSPs can also switch to the pay-as-you-go model that bills customers as per the services consumed by them. It also gives the customer a better sense to leverage services in an efficient manner.

3. Compliance

Cloud has enabled MSPs to manage services for companies in different geographical locations. However, it raises concerns over data regulation. Each country has its own set of rules to regulate the stored data of its citizens. MSPs often struggle to ensure compliance for their customers. In a scenario where customers are managing traffic from different countries, ensuring compliance for every service gets even more tedious.

The only remedy to this is a compliance solution that identifies areas where regulatory requirements are not met. The solution can ensure regular and efficient compliance monitoring.

4. Cloud Management

Out of all the pain points, cloud management stings the most. Customers often fail to achieve the expected ROI from cloud investments due to lack of effective cloud management. Therefore, customers expect MSPs to manage their cloud services as well. The continuous developments by cloud service providers such as AWS, Azure, or GCP makes the task even more difficult.

The right decision for an MSP would be partnering with a Cloud Management Platform that takes care of such challenges.

5. OEM Audits

The already competitive MSP market became even more cut-throat with the arrival of cloud services. The industry acknowledgments and competitive edge gained importance, but this can be easily achieved by clearing OEM audits. Cloud providers such as AWS and Azure have dedicated partner programs that certify MSPs as trusted partners. This makes it easier for customers to select the best MSP for them.

However, MSPs must meet certain criteria to pass the third-party audits, which is another challenging task in itself.

Centilytics Partner Program Dedicated for MSPs

The Centilytics Partner Program ensures business growth for MSPs by delivering value to customers. It is a powerful platform that offers add-on services on top of the MSP’s portfolio. MSPs can leverage Centilytics to ensure total compliance, and effective management, governance, security, and automation for their customer’s cloud infrastructure. In today’s competitive market, the MSPs need to pick the right cloud solution partner to enhance end-customer’s experience.

The Centilytics Partner Program provides a guarantee of audit clearance to partners. For more information, visit our official pages: AWS Next-gen MSP and Azure Expert MSP.

Book a demo now to see our platform in action.

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