However, the survey of IT resellers, managed service providers and independent IT providers revealed that disruption in the channel will present new market opportunities, with 34% expecting to see increased revenue as a result.
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This is likely to be driven by a significant increase in the requirement of on-demand services. Nearly a third (30%) of business leaders recognise this as the biggest disruptive factor in the IT services model between now and 2020.
A number of channel businesses have already taken advantage of various disruptive factors. Of those in the channel to witness growth, revenue has increased by an average of 27%, highlighting the need for VARs and MSPs to capitalise on the opportunities afforded by disruption.
“Our research merely reinforces the fact that, while there are significant challenges in the channel, the industry is rolling with the punches and taking the glass-half-full approach towards disruptive factors,” commented Shaun Lynn, CEO of Agilitas.
Senior IT channel leaders are confident that these changes will be spearheaded by Millennials, predicting that over a quarter (26%) of all senior leadership positions will be held by those falling into the ‘Generation Y’ bracket between now and 2020.
Furthermore, 58% of channel leaders expect Millennials to introduce new, collaborative ways of working, while 68% of all surveyed believe ideas and innovation will help to save money.
The research also revealed:
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35% believe disruptive trends will increase the cost of maintaining infrastructure
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36% of IT channel leaders see new-to-market vendors leading disruption, with a quarter believing those exclusively providing cloud solutions will take the lead
“The onset of fresh faces into the industry, whether this is more millennials in senior positions or new-to-market vendors, will undoubtedly have an advantage, as they are unburdened with an historical way of operating,” added Lynn.
“This only reminds traditional vendors that they need to re-assess their entire business model in order to remain relevant to the requirements of their customers. “It’s no surprise that an on-demand service, using the cloud and other OPEX technologies will drive this, as businesses move towards more flexible options.”
