What are the attach rate standards for a Managed Services offering?

DivyaAgarwal

One of our clients is building their Enterprise Managed Services Offering. They are trying to establish attach rate goals based on industry standards/ benchmarks. Would like to know from the community what is standard/ benchmark attach rate for new and existing customers for a Managed Services offering?

George Humphrey

Hi Divya! Thanks so much for the GREAT question! When I was running offer and product management for managed services at a tech company I used to get the same question. This question is a key indicator of a pivot from “product-led” to “services-led”. While I don’t have a good answer for you from a metic prespective, I can tell you that the question has shifted to “what is the product attach rate to managed services”? The reason being is that once a customer is looking for a managed service, that is usually the key indicator that their business challenges are operational in nature, not technical. In other words, they’re not looking as much for great products as they are for scalable, resilient operations. Take a look at the blog I just wrote a couple of weeks ago:

https://www.tsia.com/blog/managed-services-eats-everything

Let Edly and I know if you’d like a follow up conversation. Thanks!! G

Edly Villanueva

Hello @DivyaAgarwal thank you for reaching out to the TSIA Exchange. Great question! Let's check in with a couple of Managed Services founding members to see if they could provide some insight with your question, like @David Harbert and @Lori Hurley.

In addition, @George Humphrey and @Jeff Connolly what insights have you seen from an industry perspective?

Best regards,

Edly

DivyaAgarwal

Thanks, @EdlyVillanueva, really looking forward to hearing the experts' perspectives.

Best Regards,

Divya

DivyaAgarwal

Thanks @GeorgeHumphrey ! This is really helpful.

George Humphrey

@DivyaAgarwal you're more than welcome! :-)