Speaking at TMT’s 2023 IT Sales And Marketing Boot Camp, Robert Herjavec, Kevin O’Leary, Daymond John, and special guest shark Kaseya CEO Fred Voccola shared their predictions for IT businesses in the next 5-10 years. Their address not only illuminated the path for managed service providers (MSPs) but also delved into the intricacies of market fragmentation, the shifting paradigms of IT management, and the burgeoning significance of compliance in business operations.
Robert Herjavec:
In the realm of MSPs, I’ve noticed unprecedented growth that’s setting this sector apart as the fastest-growing segment in the IT industry. Yet, it’s also a landscape marked by significant fragmentation. Even the largest MSPs hold just a fraction of the market share. This dispersion stems from the complexity of technology, the ever-increasing array of toolsets, and the daunting challenge of managing the burgeoning volumes of data. We create more data every three months than in the last 50 years. This explosion of data, combined with stringent compliance requirements, makes it clear that in this field, stagnation isn’t just a pause; it’s a rapid decline into irrelevance.
Fred Voccola:
The way we manage IT is fundamentally changing, veering more and more towards outsourcing, especially within small to medium-sized businesses. By the end of this decade, a staggering 95% of IT is expected to be either co-managed or entirely outsourced. This shift opens up a plethora of opportunities, yet it demands a nuanced approach in marketing and sales, one that truly resonates with the varied sizes and structures of businesses. Small IT shops, often operating with internal resources, are increasingly seeking external service providers to enhance their capabilities, signaling a market ripe for growth yet significantly underserved.
Kevin O’Leary:
Compliance has emerged as a formidable force in shaping business operations and decisions. Look at the banking industry and government contracting they are seeing a large increase in costs and complexities of ensuring transparency and compliance. Compliance is a necessity not only for businesses that are interacting with large enterprises but also for smaller businesses engaged with government entities. Providing a platform that is 100% compliant, offering transparency and real-time insights, is now more critical than ever.
Daymond John:
I’m particularly struck by the pivotal role of strategic decisions in the art of business, especially from a CEO’s perspective. The emphasis on outsourcing resonates deeply with me. As a CEO, I’m constantly seeking efficiency and expertise, and the prospect of building an entire IT department or hiring an HR person for every 50 employees feels like an unnecessary burden in today’s agile business environment. This is where I see the profound opportunity – outsourcing.
Outsourcing, for me, is not just a strategic choice; it’s a necessity born out of the desire to streamline operations and focus on our core competencies. The IT landscape is increasingly complex, and maintaining an in-house team for every aspect of operations is neither practical nor efficient. Why should I invest in a massive internal infrastructure when I can partner with specialized service providers who are experts in their fields?
Conclusion
In conclusion, the insights from The Sharks at the 2023 IT Sales And Marketing Boot Camp offer a roadmap for IT businesses navigating the next 5-10 years. The future demands adaptability, strategic partnerships, and a keen focus on efficiency and compliance. As we embrace these changes, the IT industry stands on the brink of a new era, ripe with opportunities for growth, innovation, and transformative success.
