As the popularity of cloud computing grows, Microsoft continues to steer its solutions toward the cloud, and Microsoft Dynamics ERP is no exception. Success in the cloud offers partners and consultants huge benefits from high recurring revenue to short sales cycles. And the end users get the benefit of anytime anywhere access and improved collaboration.
A recent whitepaper from IDC research had some compelling data on the growth of cloud based services and software.
- SaaS will remain the largest public IT cloud service category through 2017 (57.9% in 2017), while PaaS and IaaS will grow faster than SaaS over the next five years.
- Public IT cloud services spending peaked at $47.4 billion in 2013 and is expected to reach about $108 billion in 2017, with a 5-year compound annual growth rate of 23.5% for a growth rate that is five times faster than the IT industry as a whole.
- Emerging markets will grow 1.8X faster than developed markets, and begin to close the gap on the size of the markets. By 2017, emerging markets will account for 21.3% of the public cloud opportunity.
While these numbers are promising, many consultants are reluctant to change from a project based business model to a managed services model.
“The transition from a project / transactional business model to a cloud, managed services, or any sort of recurring revenue model, means that there will be a period of time where your top line revenues may decrease,” said the IDC report. “Bottom line profits may decrease as you are bearing the cost of the service immediately and only collecting or recognizing revenue over time.”
However, making a complete change in the business model is not altogether necessary in order pursue a cloud business.
Consultants and partners can minimize the risk of the transition by partnering with a cloud solution provider. Partnering with a turnkey cloud solution provider like myGPcloud will allow partners to begin to secure cloud customers and deliver industry leading cloud software without reorganizing their business.
Whether you have an existing Dynamics GP customer, a start-up prospect who wants to skip entry level accounting, or customer who just wants to take that first step into the cloud, myGPcloud can help you deliver Dynamics GP in the cloud.
By managing the transition to the cloud through strong partnerships, consultants and partners can give their prospects and clients the power of cloud choice today and start collect revenue sooner.