IDSI Retains Client after out-of-state Cloud Provider attempts take over!

Integrated Data Solutions, Inc. (IDSI), a Madison Heights, Michigan provider of professional IT Services, recently came up against its first serious threat of a client take-over by a cloud-based provider offering an Infrastructure as a Service (IaaS) solution.  We’re pleased to say that in the end, WE PREVAILED and saved the client!

It is an unfortunate scenario that many local IT companies are beginning to face (if they haven’t already), where a sizeable cloud-based IT Provider comes in, wows the client with some smooth high-pressure sales tactics using fuzzy math cost-savings calculators and attempts to take over the account.

In this particular situation, we were fortunate enough that the relationship we had built with our client of many years was strong enough that they valued our advice and trusted us to evaluate the plan in which this cloud-based organization was proposing.  Many IT providers out there may not be so fortunate.

After digging into the technical aspects of the deal, reading the fine print and researching what other companies had to say about the services of this company, we were able to lay it all out in terms that our client could understand.  The key take-away was that this solution was NOT cost effective and was NOT going to fulfill their requirements.

Our analysis of the proposed deal quickly determined that the needs of the client were not taken into effect and that this 60 user professional firm would end up spending over $200,000 more over the next 3 years.  To make matters worse, the client would still require the services of a local vendor for client-side deployment and support.

Since this was significantly more than the client was already spending with IDSI to manage their environment with our mid-level managed services agreement, the IDSI sales team quickly sprang into action to find a solution that frankly “Beat the Pants off the Competition” for tens of thousands less.

During the process, it became quite evident that the hidden costs of cloud computing were not divulged to our client and there were way more issues to discuss other than simply removing their server infrastructure from their building and lighting up a few VM’s in the cloud.

Once we demonstrated that we could provide a higher level of Support, provide on-site response to their two geographically separated locations, totally manage their environment, deliver better overall performance and do it with our support staff that they were already comfortable with, it quickly became a no-brainer for the client.

While we don’t want to come off as anti-cloud, as a traditional solution provider and MSP, we do want to do the right thing for our clients.  We are currently utilizing a multitude of cloud-based solutions within our practice and will continue seeking out and recommending the best possible solutions for our clients.

In the end this was a huge win for IDSI and the client increased their monthly spend with us by two thirds (thank you cloud provider), but more importantly this became a huge win for our client.  It’s very scary to think that they may have entrusted their entire firm to an out of state provider with a very capable sales force, a short list of features and a multitude of hidden costs!

So a word to the wise, if you’re thinking of leaving your current IT Provider for another promising a solution that sounds too good to be true, be mindful that it probably is.  Assuming you have a quality relationship with your Vendor, we highly recommend engaging them prior, or at a bare minimum, hire a 3^rd party independent consultant before signing on the dotted line to see if IaaS is the right move for your organization.

Integrated Data Solutions, Inc (IDSI) is a 22 year old, Michigan-based Managed Services Provider that offers a full complement of products and services for the SMB market.  Our staff is second to none and dedicated to the task of solving our clients IT-related issues.