The average close rates for MPSPs (Managed Print Services Providers) is between 30% and 40%. This means that for every 10 wins there are between 40 and 60 deals that our competitors get. It doesn’t have to be this way.
The first question we have to ask is simple: “What are we trying to win?” The mantra I usually hear is the de-facto trifecta: Toner. Parts. Service. Under a traditional MPS sales cycle we can either win these 3 things or lose them. It’s all very black and white.
[Tweet “”What are we trying to win?”]
What if we modify the question to be less of a sales ultimatum and more of a customer-centric interaction: “What things are my customers trying to take care of and which elements can I help with?” Framing the question this way will allow you to win even if you’ve lost:
[Tweet “Get revenue for managing print workflow”]
- Get revenue for managing print workflow: Most MPS providers are focused only on the physical device. Consolidation is the usual first step with the addition of a CPP contract for the remaining printers. Typically nothing is done to help manage the print stream which is a great way for you to stay involved with the account.
User-based software applications can help customers’ to reduce their print spend regardless of who owns the CPP contract. The news gets better: Print-stream management tools garner healthy gross-profit levels compared to more traditional elements of MPS! You can help reduce overall customer spend on print while increasing your overall account profitability. Perfect customer/dealer alignment.
- Hold your competitors accountable: By incorporating Rules, Secure and Embedded solutions you can help the customer to print with the utmost efficiency. Color conversion to monochrome, waste-page reduction, eliminating CPP overages and volume migration are all areas you can help a customer with regardless of who is selling them their toner and service!
- Be in pole position for contract renewal: Managing the print stream to reduce waste and decrease costs for the customer (even though your competitor is managing the toner, parts & service) will also allow you to become an invaluable trusted advisor. Quarterly meetings to further fine-tune their print stream will go a long way to build customer confidence and to seek out additional opportunities to work together on. By helping the customer actually manage their print-stream you will have lots of time to prove your value for when the next contract renewal takes place.
[Tweet “The world of MPS has grown beyond just toner,service and parts”]
The world of MPS has grown beyond just toner,service and parts. Document workflow, waste reduction, security and environmental initiatives are all areas of MPS now. The next time you think you’ve lost an MPS deal, think again. It might just be a golden opportunity in disguise.
About the author: West McDonald is the VP of Business Development for Print Audit (www.printaudit.com) and the owner of FocusMPS (www.focusmps.com) . You can see other posts by West at The Print Management Insider’s Blog by Print Audit.
Image Compliments: By U.S. Air Force photo by Staff Sgt. Jonathan Steffen [Public domain], via Wikimedia Commons