Hardware as a Service (HaaS)

Hardware as a Service (HaaS)

Hardware-as-a-Service (HaaS) is a sales model in which the client pays a monthly fee to use hardware that belongs to a managed services provider (MSP). A service level agreement (SLA) outlines the specific terms of the arrangement between the two parties, covering the scope of work, the responsibilities of each party, and time standards for each service.

Why It Matters to your customers

An MSP’s clients that transitioned to Software-as-a-Service (SaaS) may be growing more accustomed to paying a monthly fee for technology, rather than owning it. The as-a-Service model eliminates a large, upfront investment, as well as unexpected repair costs, and replaces them with budget-friendly and predictable monthly fees. It also eliminates the problem of hanging onto aging technology—returning the hardware or upgrading at the end of the contract will be conditions of the SLA.

Hardware-as-a-Service also eliminates the burden for the end users of making hardware purchases and worries over failures and downtime. Those are the responsibilities of the MSP.

Why Hardware as a Service (HaaS) is an Opportunity

HaaS requires an upfront investment, but planning for the term of the contract and pricing HaaS correctly will pay off the equipment and result in recurring revenue for your business. Bundling HaaS with SaaS offerings and managed services can increase recurring revenue even more.

Hardware-as-a-Service has other advantages for MSPs. It gives you more control over your client’s IT environment, enabling you to standardize hardware, making it easier for you to maintain and service. With HaaS, you will no longer have to struggle to keep outdated technology running on your client’s network.

Providing a turnkey Hardware- as-a-Service solution can also help retain customers. When you are the client’s total solutions provider, you have more opportunity to interact and build loyalty, and by managing their entire IT environment, your services become integral to their business operations.

Hardware as a Service (HaaS) Trends & Case Studies

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What’s the Difference Between HaaS and Leasing?

Hardware as a Service allows you to build your business by offering end-to-end solutions for an affordable monthly cost.
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How Hardware as a Service Builds Sticky Customer Relationships

Providing HaaS solutions give you opportunities to have regular contact with clients over the term of their contracts and to establish yourself as a trusted business advisor.
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Tips for Compensating Sales Reps under the Hardware as a Service Business Model

A significant challenge during the transition to the HaaS business model is adapting your sales compensation plan, but information and advice is available.

Distributors Provide HaaS On-Ramps for Their Partners

VARs and MSPs can turn to distributors for HaaS bundles, financing assistance and advice.
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5 Mistakes to Avoid When Selling and Financing Services

You can avoid pitfalls if you transition gradually, train and incentivize your sales team, and choose the right funding options.

Recurring Revenue Best Practices

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New MSP Growth Opportunities During the Pandemic (and Beyond)

Managed services providers serving these vertical markets are seeing significant increases in IT services demand that are projected to last well beyond the pandemic.
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Have You Developed Solutions for K-12 Education During a Pandemic?

Schools closed their doors, but learning continues. Are your clients prepared for what lies ahead?
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7 Tips for Hosting Effective Online Events during the Crisis

To better navigate these unprecedented times, channel partners have to adjust their business strategies and shift from in-person demand-generation events to online events.
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5 Pandemic Lessons for MSPs

The impact of the coronavirus pandemic was eye-opening for some MSPs. Now, it’s time to close the gaps.

What Does a Successful Managed Services Provider Business Look Like?

SaaS, IaaS, cybersecurity and business continuity are strategic priorities for growing MSPs — as well as delivering them in a way that produces excellent customer experiences.
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Is Outsourcing the Key to Bigger Recurring Revenue Streams?

As an IT solution provider, your customers are outsourcing their IT management to you. But, there are parts of your business you should consider outsourcing, too.

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