“Who Is Your Most Profitable Managed Client?”

MSP Success recently polled more than 200 MSPs to find out who their most profitable managed services clients are. We focused on three key areas; company size, industry/niche and the services offered.

Company Size

The “sweet spot” for the majority of MSPs (63.4%) in terms of size was 11-50 employees. Only 8.5% said companies with fewer than 10 employees was the most profitable segment for them but 25.4% said companies with 51-100 employees was their most profitable sized client. Just 2.7% said working with clients with more than 100 employees was their “sweet spot.”

Industry/Niche

Coming in at #1 for “Most Profitable Industry” was manufacturing at 41.5%. Service industries comprised spots 2-5 with Legal (36.2%), Accounting (34.4%) and Financial Services (33%) tying Medical (33%). Other notable industries included ACE (Architecture, Construction and Engineering), Insurance, Nonprofit and Municipalities all getting more than 10% of MSPs saying those are their most profitable niches.

Service Offerings
Finally, as we get into Most Profitable Services overall Managed Security Services was highest with 59.8% followed by Cloud Backup (39.3%), Co-Managed IT (37.5%), VOIP (26.8%) and Compliance at 25% to round out the top five.