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The Role of AIOps in Improving the Customer Retention Rate for the MSPs

October 31. 2022

Managed IT services are now common in the corporate sector. For example, a company produces software solutions for other companies. Here, the main competency of the company is to produce excellent software solutions. Will a company only be concerned about its main competency? Besides developing software solutions, the company will also have to monitor and manage its IT infrastructure. It is where an MSP comes into action. An MSP will take care of the company’s IT infrastructure. One can say that the company outsources its IT infrastructure management to an MSP. Read on to understand how AIOps-led solutions can help MSPs boost the customer retention rate.

Boosting customer retention rate is essential for MSPs

An MSP can generate more revenue when they retain customers. What’s the point of a new client that might leave the next year? When MSPs offer excellent support to their clients, they stick around for a longer tenure. However, retaining clients is not so easy for MSPs around the country. For example, many companies ditched their MSP partner during the recent COVID pandemic. It is because the MSP partners failed to offer remote technical support during the pandemic. Many other reasons force companies to ditch their MSP partner.

To overcome these shortcomings, MSPs have now turned towards AIOps (Artificial Intelligence for IT Operations) and AIOps Security. Let us understand how AIOps-led solutions help MSPs boost customer satisfaction/retention rate.

Role of AIOps-led solutions in boosting customer retention rate

  1. Meeting expectations

    In the first meeting, a client will lay down its expectations from an MSP. You may promise the client to meet the listed expectations in the first meeting. However, MSPs fail to live up to the expectations, and the client may consider other MSPs. Clients might be finicky when it comes to managed IT services. An MSP should not promise services that it cannot provide to the client.

    Why do MSPs fail to meet client expectations after a few months? It is because the employees might not have the same productivity levels as before. A client will develop with time, and the size of the IT infrastructure will increase. MSP employees might not adapt to the changing workload and fail to meet expectations.

    AIOps-led solutions aren’t affected by fatigue and an increase in workload. An AIOps-led solution will maintain the same level of productivity even after a month or a year. AIOps will even decrease the manual workload for MSP employees. As a result, MSP employees can focus on ways to boost customer satisfaction. As the client scales, an MSP does not have to recruit more employees to meet the expectations. AIOps-led solutions can automatically scale themselves according to the situation and demand.

     

  2. Enhanced cybersecurity

    Corporate entities are now aware of the damage done by cyberattacks. One of the biggest reasons for companies ditching their MSP providers is that they fail on cybersecurity standards. Cybersecurity awareness in the corporate sector is increasing, and MSPs have to take care of it. With traditional tools, MSPs might not prevent sophisticated attacks on corporate entities. For example, chain DOS (Denial of Service) attacks might hamper the business continuity of a client. An MSP might not have skilled employees to deal with a DOS attack or any other AI-led attack.

    MSPs need to understand that iron cuts iron. In this era of AI-led cyberattacks, AIOps-led software is the only solution. Cloud Managed Service Providers that meet cybersecurity standards, are preferred by companies in 2022. When the clients discover their sensitive business data is in the right hands, they will prefer the MSP. AIOps Security performs round-the-clock monitoring, incident detection, root cause analysis, and event correlation to detect cybersecurity threats.

     

  3. Responding quickly to IT incidents and cyberattacks

    Most companies complain that their MSP partner is too slow to respond to incidents and cyberattacks. What’s the point of cleaning up after an IT incident or cyberattack has hampered service availability? Most MSPs are reactive, i.e. they react to an incident after it has occurred. In this fast-paced technological era, companies require proactive support from MSPs. Even a minute of downtime can hamper the ROI of a corporate entity. Companies cannot risk their crucial software system experiencing downtime.

    The main feature of AIOps-led solutions is offering proactive support and ensuring business reliability. With an AIOps-led monitoring system, MSPs can determine anomalies ahead of time. For example, if a software system starts performing abnormally, an AIOps-led solution will quickly detect it. If a software system nears exhaustion, an AIOps-led solution will identify it. With AIOps, MSPs will provide proactive support and retain existing clients.

     

  4. Leverage the power of automation

    When it comes to managing the IT infrastructure, there are several mundane tasks. Often, MSP employees are fed up with the cumbersome tasks that take up most of their working hours. By leveraging the power of automation, MSPs can boost business reliability for their clients with less manual interference. Several mundane tasks like monitoring, event correlation, insight generation, and root cause analysis will be automated with AIOps. Since MSP employees do not have to spend their time completing mundane tasks, they can focus on boosting customer satisfaction. From cybersecurity to monitoring, several aspects of MSP services are automated with AIOps.

     

  5. Providing efficient services at a lower cost

    To provide cloud enablement services or technical support, an MSP does not have to offer more employees. With the combination of AIOps and limited staff, an MSP can provide the best services to its clients. When an MSP does not have to invest in in-house resources or staff, it can provide services to clients at a lower rate. Companies prefer MSPs who provide the best services at a low price than others. With AIOps-led solutions, MSPs can slash their overhead costs. Ultimately, MSPs can adjust the price for their clients to boost retention rates.

In a nutshell

The complexities of providing Managed IT services have increased over the years. It is now challenging to maintain the same service level over a period for MSPs. AIOps can help MSPs meet customer expectations without increasing the size of their staff. Boost customer retention rates in 2022 with AIOps!

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