Market insight by Quocirca: recent PRINT 2025 study

Nowadays, Managed Print Services are an untapped opportunity for channel organisations to extend their influence within the SMB market. MPS integration to the SMB market remains relatively low, compared to the enterprise market.

The MPS model is proving an attractive prospect for channel organisations seeking to protect and grow future revenue, against a backdrop of hardware commoditisation and shrinking margins. Leading channel organisations have already invested in the resources, expertise and infrastructure required to offer and deliver MPS.

In tackling escalating print costs and driving business efficiency, SMBs face a range of challenges like: budget constraints and a lack of internal resources. For many channel organisations the shift to MPS as the transformation requires significant changes to be made. Some still make most of their revenue on their legacy transactional equipment and peripheral sales, while others are evolving their business and moving beyond traditional sources of revenue. A key barrier to delivering MPS is a skills gap in sales and technical resources.

The SMB market is a prime opportunity for MPS and workflow solutions. SMBs continue to rely on print to support their business activities, but in many cases, it remains inefficient and costly. Reducing paper usage is rated as the top print management challenge, particularly amongst larger SMBs, followed by reducing consumables costs and enhancing security.

Security is an opportunity for MPS providers with the expertise and technology to deliver secure print hardware, services and solutions, skills which SMBs typically lack. For channel organisations, building an MPS business requires careful planning. Moving too fast can impact cash flow, but not moving at all can impact growth and new business. A successful MPS can help build more predictable, recurring revenue streams, augment recurring revenue streams from managed services, and open doors to new customers.

Consequently, channel organisations will need to build competencies beyond their traditional expertise. To maximise their potential in the market, and overcome challenges during the transition, channel organisations should consider the following: adapt to the changing market; establish strong vendor relationships; specialise by industry or application; focus on selling business outcomes; partner with other service providers; monetise.

The rapidly evolving technology landscape demands that channel organisations move quickly towards a services-led model. With the right strategy and execution, the channel can navigate disruptive market changes and remain relevant and competitive. If a channel MPS provider can successfully reshape one part of its customer’s business, with the right expertise and services, it can expand its influence – particularly as more SMBs look to accelerate digital transformation.

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