Are You Ready To Grow This Year?

As customer relationship management, Web conferencing, security services and a host of other opportunities for software-as-a-service grow in the near future, understanding the new possibilities SaaS is opening up is important. Adoption has been slow, but SaaS is predicted to be a $1.4 billion business by 2011.

Tom Ruffolo, president of eSecurityToGo, Irvine, Calif., said SaaS helps reduce time-to-market because it is simple to integrate and reduces infrastructure requirements. While some companies are unfamiliar with the benefits of SaaS or worry about a perceived lack of control, Ruffolo said, explaining the benefits on a company-by-company basis can be an effective strategy. So is knowing which clients need the service most.

"Smaller-to-medium-sized companies are more likely to go for [SaaS]," Ruffolo said. "Many of them don't have on-staff IT people, so the simpler you can make it to implement, the better."

For 2008, all projections say technical staff will be in high demand and short supply. Therefore, the quality of your technical hires is critical. Rachel Coburn Johnsen, recruiting team leader at Boise, Idaho-based Intermountain Technology Group, said in IT the talent pool is driving the market rate and offers are aplenty, so you need to focus on unique employment perks. "Each candidate is reviewing 70 opportunities and will receive seven offers within seven days," Johnsen said. "The biggest key is being very prompt, getting people in for interviews and being prepared to make a decision fast."

Next, consider YouTube, blogs and viral marketing because you can be sure Web 2.0 marketing techniques are going to play into your branding strategy. While some VARs have begun experimenting with blogs and interest in social networking grows daily, security concerns and an unfamiliarity with Web 2.0-centric marketing plans hampers real action.

Further, managed services was a hot topic in 2007--and it will be even hotter this year. Backup, storage, network and systems management are all potentially lucrative areas for managed service providers, but some VARs say it's now or never for those who want a piece of the action.

"If you want to get into this business, you've got to drop everything and do it," said Rory Sanchez, president of West Palm Beach, Fla.-based SL Powers. "I think a lot of people try to preserve their margins in the product business and I'm telling them--give the hardware away. It's about process, not the tool."