New IT Industry Report: Businesses That Use a Managed Service Provider Save 25 Percent or More on IT Costs

New IT Industry Report: Businesses That Use a Managed Service Provider Save 25 Percent or More on IT Costs
Chicago, IL, November 05, 2011 --( CompTIA, the nonprofit association for the IT industry, recently interviewed 700 plus current users of managed servers and found that upwards of 50 percent of these firms have cut IT costs by 25 percent or more. And 13 percent of these businesses have cut IT support costs by 50 percent or more.

“Cutting costs is a critical selling point obviously,” says Daniel Wang, owner of Jexet Technologies, a Chicago based support firm that provides managed IT services. “But I think businesses using an MSP are realizing that managed IT services allow you transform the business model. This creates the conditions where business owners can easily and quickly add new services that positively impact growth.”

The CompTIA study goes on to state that upwards of 90 percent of managed IT service clients are mostly, or very satisfied with their experience. An open communication channel between business and managed service provider is mentioned as a key ingredient to a successful managed IT service contract.

“That’s an often under-emphasized aspect of the managed service relationship,” says Wang. “We are uniquely positioned to engage clients on end user technical strategies that directly help build their business, as well as recommend new IT services that help them keep pace with growth.”

Interestingly more than half of the managed IT service clients said that a major reason for contracting with an MSP is to allow their internal IT staff to better focus on core business process. This also helps positively impact revenue.

Wang adds, “IT and network consultants can no longer afford to stay on the sidelines. The technological demands on even small and medium businesses require an everyday partner. Even with IT resources in-house, businesses can significantly profit from an MSP contract.”

Finally, Wang mentions that many of his Chicago based business clients turn to a managed service provider because of the ever increasing complexity of the IT infrastructure. “Consider even a cursory list of the IT issues a small business faces. You need to have a plan in place for overall security, firewalls, antivirus, web hosting, network administration, help desk, and internal IT management. When we initially contact businesses they think we’re expensive but once they realize all that a managed service contract covers, they realize we’re a bargain.”

Confirming this observation the CompTIA survey shows that fully a third of managed service clients plan to increase IT spending within the next 24 months. Performance and uptime, agreeable contract terms, a secure network environment, and the flexibility to implement new services were all factors that contributed to managed service provider client satisfaction.

To Learn More about Jexet Technologies visit

Jexet Technologies
John Vanover