License To Repeat: IT Provider Converts Software License Into Recurring Revenue

By Geoff Turner, Elevate Technology Group and Billy Stapleton, Eaton

As a managed services provider, Elevate Technology Group engineers, implements and remotely monitors and manages customer IT infrastructures through technology solutions that meet clients’ long-term visions and business plans. The firm’s proactive support model focuses on combining customer service with 24/7/365 IT help desk services, specializing in supporting environments with a low tolerance for downtime and those with users who require a VIP experience.

Headquartered in Oregon, Elevate Technology serves nearly 150 customer sites primarily throughout the northwest, with clients as far away as North Carolina and Florida. Working in collaboration with power management partner Eaton, the firm recently embarked upon a mission to create a new recurring stream from a service it was already leveraging by defining and illustrating the clear value props for customers across their network.

Gaining Perspective

Recurring revenue streams are a boon for any business — and Elevate Technology sought to accomplish just that with Eaton Intelligent Power Manager (IPM) software. Although initially using the software to help manage functions for clients who had purchased an uninterruptible power system (UPS), the firm saw an opportunity to monetize and strategically validate it as a service. Demonstrating the key benefits of the solution became the organization’s biggest priority.

Delivering all of the tools to monitor and maintain power equipment in both physical or virtual environments, Elevate Technology’s use of the software helps assure system uptime and data integrity. A solution that manages these processes removes those responsibilities from a client’s workload. By working with Eaton, the firm was able to show a consistent impact for customers and formalize a service offering with a monthly fee attached that clients were committed to investing in.

Addressing Today’s Challenges

Having offered IPM as a paid service for the past two years, Elevate Technology has learned precisely how to educate customers about its worthiness. Power is a commodity now, and by having more intelligence around it, the firm can provide more advanced services that support key client pain points.

Cybersecurity, for instance, is among the critical functions that Elevate Technology helps address through its power monitoring service. By gaining a comprehensive and real-time view of network conditions, the firm can help keep clients safe from today’s myriad threats – ensuring that essential components across the network are up-to-date and protected from bugs or vulnerabilities.

Monitoring the state of affairs on client networks also enables the firm to resolve problems before a customer even knows there is an issue in many cases. With the software’s alerting and notifications, they’re able to dispatch a field technician if power is lost to a facility in the middle of the night. So, when customers arrive at work the next morning, power is back on.

Insights In Action

With the information gleaned from its power management software, Elevate Technology has taken initiative in mitigated a variety of potential problems for customers.

For example, one Seattle firm had been experiencing dirty power for years but was unaware of the root cause. With a new UPS installed and connected to the power management software, the customer saw huge fluctuations in voltage conditions. This explained the brownouts, flickers and other issues they were experiencing in the office. As a result, the customer was able to identify the problem and bring it to the attention of the building manager for repairs.

In another instance, Elevate Technology has repeatedly bolstered productivity for a client whose location is vulnerable to early-morning outages. If the software alerts technicians that the site has lost power before 8 a.m. and knows it’s likely not going to come back up for a couple of hours, they can notify the company and enable their staff to work at home remotely.

With the ability to identify and resolve potential issues based on feedback from its power management software, Elevate Technology can drive ongoing, proactive services to customers.

Looking Ahead

Not only is Elevate Technology actively managing its power monitoring service for numerous customers, but an estimated 60 percent of the organization’s client sites include UPSs that will need to be replaced within the next two years. With IPM software deployed, the firm will be able to closely monitor conditions for customers and guide them through hardware transitions smoothly to avoid complications with downtime.

With the help of Eaton, Elevate Technology has successfully transformed power management software from a one-time license sale into recurring revenue. Clearly communicating the software’s benefits as a service has helped to ensure buy-in from customers. With the ability to proactively manage and monitor client networks, Elevate Technology is moving forward in driving valuable services that will continue to pay off for both the firm and its customers.

About The Authors

Geoff Turner is CEO at Elevate Technology Group and Billy Stapleton is partner development manager at Eaton.