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Cloud Computing is Disruptive to a VAR and an Opportunity for a true Solution Provider

August 27, 2010
Crossing the Technology Chasm

Cloudy Future or Bright Horizons

Old chart, same story: You need to lead and adapt. Is this time different because of the economy, channel consolidation and Cloud Computing? I’d say the answer is yes!

Look, you have no choice. The Solution Provider’s existence is about Business Concerns and Opportunities that are solved by Technology Applications. That has not and will not change.

The key success factors and the change process to deliver success with this adaption and paradigm shift  has already been stated earlier in this blog: Create a strategy that enables you to differentiate and have a clear value proposition and a profit model based on the Retail Model which determines how to categorize your offerings into buckets and creatively optimize which you utilize to drive traffic and what to drive profit. What would be nice is to have a less lumpy project based revenue stream replaced by a sustainable, consistent and recurring stream.

An Example: A Voice Solutions Provider makes a strategic decision to become partner with Google Apps and Salesforce.com. Their assumption is that their customer base is interested in programs and applications that reduce their operating costs and drive increased sales. The Voice Solutions Provider’s “Winner” is to win business and make money from consulting and training services and to continue to squeeze every last dollar out of their core competency. They have an opportunity to create a new value proposition that’s differentiated from the other legacy phone dealer. Integrating all three applications makes sense to their client base and  the business found a way to leverage their base of clients with whom they’ve established a trusting relationship.

What concerns and opportunities in cloud based solutions do you see in the future?

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