Ingram Micro has handpicked its new VentureTech Network president, a move designed to direct the 400-plus member solution provider organization toward more of a services model.
Scott Goemmel, executive vice president of PMV Technologies, Troy, Mich., was selected because of his experience building a managed services practice, said Justin Crotty, vice president of North America channel marketing at Ingram. “[PMV] is a big-time services shop, and [Goemmel] can help migrate [VentureTech] to more of a services- and solutions-oriented model,” Crotty said. “I want services to be a critical part of what we do, and Scott is a great sounding board for that. It&s important for us to have more VARs that look like Scott than we have today.”
|PMV relies on fellow VentureTech members to give it a global reach.|
Previously, VentureTech presidents were selected by a vote of members. PMV joined the organization two years ago, and Goemmel served on the group&s services advisory council last year.
PMV started its transition to a services model about four years ago, Goemmel said. Now, about 85 percent of its revenue is services, compared with 15 percent from products. Of that 85 percent, about 70 percent is derived from recurring revenue deals with customers, he said.
“We have some enterprise customers that we do remedial maintenance and product deployment for nationwide, leveraging the Ingram Micro Service Network. We also have an SMB business in which we do full IT outsourcing for a fixed monthly fee,” Goemmel said.
PMV&s business model relies on partnering—more than 50 percent of its services transactions involve fellow VentureTech or Ingram Micro Service Network members—highlights how a small company can have a national services reach, he said.
Goemmel, like Crotty, said he expects more solution providers to tackle managed services in the coming years. At its recent Fall Invitational, seemingly half of the VentureTech members raised their hands when asked whether they were selling or planning to sell managed services. Last year, the response was much smaller.
Goemmel hopes to share the pain his company felt while transitioning to managed services, he said. “Selling services is different than selling products. The skills to sell are different, and it requires more investment.”
The channel also still has to work out several issues around full managed services offerings before more customers will adopt a recurring revenue model, he said. For example, licensing issues around the solution provider owning the equipment itself vs. selling the equipment to end users are still murky.