I love Document Management! I get such satisfaction in helping people organize their documents, and in seeing them use information effectively to achieve their goals. It seems almost unbelievable that the simple act of organizing documents is such a ‘game changer’ for many people and companies…but it is, and it matters! And we have a lot of sharable expertise to provide our partners.
Running a Document Management solutions division is something many active businesses in the Office Equipment, VAR and Managed Services space are looking at. Keypoint Intelligence recently shared a statistic that 45% of companies in the US with between 20 and 500 people are looking at implementing a Document Management solution in 2018. That’s a tipping point if I’ve ever seen one! There is a huge business opportunity in this space, right now, and all those end-user clients out there need help.
Of course, running a Document Management division is more complicated than signing a reseller agreement with one of the leading software providers. There are many technical aspects that must be thought through and learned. And perhaps more importantly, figuring out what areas of client value you aim to provide, and knowing how to provide it profitably, will be critical to your success. There are many pitfalls out there – trust me I know, I’ve walked into many of them!
Through this series, we covered 8 key aspects pertaining to where the money lives, and we discussed how to approach each opportunity. A quick summary is below:
Subscription Sales: If you want to run a stable business, you are looking for recurring revenue. Software subscription revenue – aka software as a service – is the name of the game here. Both you and your clients want the predictably of the revenue/fees as it allows for cost management as well as accurate growth forecasting.
Professional Services – Phase 1: Not all professional services are created equal. Time and material billing sounds like it’s foolproof in terms of profit generation, however when implementing Document Management solutions, this can be a tricky sell. A better way is to offer small phases at packaged prices. Done properly, you’ll find profit in each phase, and a client who is willing to keep going.
Professional Services – Phase 2: Once you’ve successfully delivered your first phase, and documents are being managed within the organization, there are many other advancements you can offer your clients. Common bell ringers include process improvement (workflow), business intelligence/reporting, system integration, electronic forms and mobile apps.
Change Management / Training: Most Document Management projects are Change Management projects. Training packages and services can be a highly repeatable and profitable add-on to your business.
Support and Maintenance Services: Of course standard technical support and software updates/upgrades will be a component of your service offering. There are however unique and creative ways to offer additional services for additional money. 24x7 support, bundling update/upgrade services into the monthly subscription, offering packages of ‘service hours’ for small modifications to the system and creating levels of support are all innovative ways to profitably meet clients’ needs.
Hosting: Some companies are up to the challenge of hosting software and running the infrastructure necessary to keep it live, backed up and safe from intruders. Your value proposition must look beyond the uptime of servers and must center on your expertise at the application level – that’s where you can offer something unique that your client is willing to pay a margin for.
System Population Services: Once a Document Management system is set-up, there is a great deal of existing and day forward content that needs to be indexed and loaded. Paper conversion and shared drive migration services can be a great way to add value for your clients.
Hardware Sales: Capture is a big business and hardware is still an important part of all this. By leading with a whole Document Management solution vision, you’ll find that the hardware gets pulled along easily.
And don’t forget…You have to be good! Just to be clear, if you can’t deliver a solid and beloved Document Management system, none of these opportunities exist. You have to get the Document Management piece in place and make sure it’s widely used, or there’s no money to be made. That’s where we have you covered – PlacePoint is a Microsoft SharePoint-based solution that deploys rapidly in the Cloud, is billed using a SaaS model and is easy for people to understand and use. This solution makes you a Document Management architecture and design expert on day one, and your sales team will find it easy to enroll companies. From there, all the above opportunities exist for your business to explore and leverage, based on your strategy and areas of expertise.
So let's get into the center of the action – let’s be important to our clients and good at what we do! Document Management is important…and in 2018, that’s where the money lives!