Kaseya - IT Press Tour Dec. 2020

Transcript

1. Kaseya Spokespersons Fred Voccola CEO Taunia Kipp Chief Corporate Marketing Officer
2. Company Overview
3. As small and mid-size businesses struggle to keep up with the increasing velocity of technical change, regulatory requirements, and shifting user paradigms, their reliance on Information Technology expertise, tools, and services continues to expand. THE RIGHT PLACE @ THE RIGHT TIME
4. 4 Industry’s only purpose-built IT and Security Management platform for MSPs & SMBs
5. 5 MASSIVE MARKET OPPORTUNITY o Over $954B (€785B) overall IT Infrastructure & Security Market o More than $81B (€67B) directly addressable for Kaseya RAPIDLY GROWING MARKET o SMBs are in early stage of complete digital transformation o MSPs are the primary driver for this transformation COMPLETE, UNIQUE & EVER-EXPANDING SOLUTION o IT Complete only purpose-built solution for SMBs and MSPs o VERY high barrier to entry for competition at this point o 8 Acquisitions in the last 5 years, bolstering platform functions. OPERATIONAL EXCELLENCE o Efficient Go-to-Market tailored for SMB buying patterns o Geo-optimized R&D and G&A enables high growth, high margin FINANCIAL SUCCESS o Estimated 2020 revenue over ~$300M (€247M), EBITDA of ~$100M (€82M) o Over 35,000 customers worldwide o Adding over 1,200 new customers per quarter
6. We can see the light at the end of this long 2020 tunnel…
7. What We’ve Learned… 68 % 68 % increase in cyber-attack activity during the pandemic as criminals prey on the confusion, remote-working shift, and new attack vectors. While the overall economy slipped dramatically, technology spending INCREASED as the world was forced to adapt to a new way of doing ALL business. MSPs using 3 or more IT Complete solutions grew 22 while beefing up their competitive defenses and overall efficiency profile. 5 % 3 % GDP TECH 22%
8. What We Expect… 73 % 73% of SMBs expect things to be ‘back to normal’ within the 2nd quarter of 2021 as vaccines are spread and economic restrictions loosen. 90 % POLITICS & REGULATION 89 % 89% of SMBs expect increased regulation scrutiny following the pandemic, and plan to respond with increased spend on measures to comply with new regulations. 90% of SMB executives expect tech spending to level out, but still increase in 2021 as businesses take time to institutionalize the rapid changes and increase security/compliance spending.
9. The lack of Security & Compliance has Real
10. MSP Investment in Compliance Kaseya MSPs added COMPLIANCE to their service offerings since the start of Q2. 798 €44k €44k per MSP in additional revenue was recognized in that same time period, at an average systems/labor cost of only ~€5k .
11. Other Changes… The stability of a job/employer has naturally become more important in uncertain times. Changing Attitudes What do you (Technician) Value Most In Your Job? January 2020 September…
12. Increased Flexibility… Flexibility and cooperation have also increased, as teams banded together to overcome challenges. As IT workload increased to accommodate change in 2020, techs rose to the challenge. Changing Attitudes Q3 2020 Would you (Technician) adjust technical preferences for the good of the company? Yes No Yes No January 2020 September…
13. A Year of Change Q3 2020 While the overall economy slipped dramatically, technology spending INCREASED as the world was forced to adapt to a new way of doing ALL business. 5 % 3 % GDP TECH BOTTOM LINE OPPORTUNITY for those providing IT Services. Today, we want to help you identify and capture that opportunity.
14. It’s an opportunity that’s been growing for some time…
15. SMB IT Infrastructure SPEND GDP GROWTH 6x 2010 2012 2014 2016 2018 2020 2022 2024 2026 2028 Technology transformation in the SMB… Seeing this transformation for the past decade in SMB
16. ENABLED AND POWERED BY IT My business depends on IT not just to work, but to survive (True/False)… Healthcare Telemedicine: Eye exams, physicals, orthopedics, etc. Doctors are forced to diagnose and treat remotely. Fitness facilities shifted to online live video classes as a way stay connected to customers and maintain operations. Fitness Traditional Dine-in Restaurants shifted rapidly to online orders, rapid/touchless pick-up, and delivery. Restaurants Architects, exterior designers, and solar installers are all using satellite imagery and VR to remotely generate designs. Home The New Normal 16% True 84% True Q4 2019 Q2 2020 Digital Transformation in the SMB today This transformation is 100% powered and enabled by IT The digital transformation initiatives vary by Industry
17. This is NEW NORMAL • Telecommuting • Virtual Conferences • Remote Learning • Video Fitness • Digital Reservations • Online Shopping • Curbside Pickup • Online Therapy • Cloud Services 84 % of SMBs think the changes made in 2020 are here to stay.
18. All enabled by TECHNOLOGY AND IT SERVICES External Service Provider MSP Internal Service Provider IT • Telecommuting • Virtual Conferences • Remote Learning • Video Fitness • Digital Reservations • Online Shopping • Curbside Pickup • Online Therapy • Cloud Services
19. 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 This is NEW NORMAL SMB spend on technology forecasted to accelerate as % of revenue “Riding the Right Wave”
20. IT Management just became a lot MORE DEMANDING External Service Provider MSP Internal Service Provider IT For All IT Service Providers
21. DEMANDING 139% increase in IT service requests since March 15 358% increase in VPN & ‘Zoom’ traffic Since March 15 29% average reduction in SMB Revenue Since March 15 External Service Provider MSP Internal Service Provider IT
22. 139% increase in IT service requests 358% increase in VPN & ‘Zoom’ traffic 29% average reduction in SMB Revenue External Service Provider MSP Internal Service Provider IT MORE DO LESS WITH
23. MORE DO LESS WITH Provide all of the services a permanently DIGITAL-FIRST small business requires. Increase the total amount of work done in a given day through better efficiency. Reduce costs – both hard and soft - through better software deals and greater technician efficiency. 1 2 3 Modern IT Platform Requirements
24. LACK OF CONFIDENCE in current tools… 1. Lacks the complete functionality needed to fully support business needs. 2. A mix of non-integrated solutions from different vendors. 3. High-cost relative to value provided. 78 % IT professionals on whether current IT Platform meets their needs. 19 % Q2 2019 Q3 2020 Reasons for Concern: Massive Decline In Confidence
25. MORE DO LESS WITH IT NEEDS A PLATFORM THAT ADAPTS to their UNIQUE needs and challenges… External Service Provider MSP Internal Service Provider IT
26. 1 2 3 % COST EFFECTIVE ARCHITECTED FOR EFFICIENCY % COMPREHENSIVE % MORE DO LESS WITH Modern Platform Requirements
27. % CASH SAVINGS INCREASE ..by reducing software KIT costs – the tools you use to deliver services. COST EFFECTIVE ARCHITECTED FOR EFFICIENCY % TECHNICIAN EFFICIENCY INCREASE …by increasing workflow automation - eliminating waste switching tasks …by providing critical services – Compliance, Security, BCDR, etc. COMPREHENSIVE % CUSTOMER SATISFACTION INCREASE
28. COMPREHENSIVE Everything you need… MORE DO LESS WITH Modern Platform Requirements 1
29. …by providing critical services – Compliance, Security, BCDR, etc. COMPREHENSIVE % CUSTOMER SATISFACTION INCREASE RMM, PSA, BDR, Security, Compliance, IT Documentation, Audit Kaseya has 66% more capability in its platform COMPREHENSIVE
30. Kaseya will continue to develop or acquire new technologies in order to stay ahead of market needs… …by providing critical services – Compliance, Security, BCDR, etc. COMPREHENSIVE % CUSTOMER SATISFACTION INCREASE COMPREHENSIVE
31. COMPREHENSIVE Everything you need… One Platform Every IT Need
32. ARCHITECTED FOR EFFICIENCY 2 MORE DO LESS WITH Modern Platform Requirements
33. R EFFICIENCY INTEGRATION = 2 MORE DO LESS WITH Modern Platform Requirements
34. INTEGRATION Should be a 4-Letter Word! 2 MORE DO LESS WITH Modern Platform Requirements
35. 78% 88% 81% 74% 78% of users complain that integrations fail to meet their expectations and business needs. Fail To Meet My Needs 88% of users have had an integration fail to ever function correctly. Never Worked 81% of users feel they were oversold on the functionality they could expect from an integrated solution. Functionality Oversold 74% of users have seen an integration abandoned within 36 months of implementation. Abandoned INTEGRATION Should be a 4-Letter Word!
36. INTEGRATION There are two types… REAL Workflow Integration Phony “Cosmetic” Integration
37. INTEGRATION There are two types… REAL Workflow Integration Phony “Cosmetic” Integration Release Synchronization Backward Compatibility Security Verification Common Look & Feel/UI Workflow Triggers Long-Term Commitment
38. INTEGRATION These integrations break…
39. INTEGRATION Because things change…
40. INTEGRATION The IT Complete hub avoids that nightmare… Integration Hub
41. INTEGRATION Integration Hub Creating a stable & reliable integration point for all current and future products, while providing instant connectivity to all points in the platform.
42. Has more than 78 workflow integrations… ARCHITECTED FOR EFFICIENCY % TECHNICIAN EFFICIENCY INCREASE …by increasing workflow automation - eliminating waste switching tasks Workflow Integrations Integration Hub
43. IT DOC WITH RMM & PSA • Solve problems faster by putting embedding critical documentation and passwords directly into PSA tickets and RMM remote control BACKUP & DR WITH RMM • Manage AND backup systems through the same interface ensuring both consistency and efficiency. AUTOMATED PASSWORD INJECTION • Leverage secure password vaults to automatically manage remote control logins WITHOUT manually cutting and pasting passwords across systems. Adding 6-8 each quarter… ARCHITECTED FOR EFFICIENCY % TECHNICIAN EFFICIENCY INCREASE …by increasing workflow automation - eliminating waste switching tasks UNIFIED FUSION MOBILE • Kaseya Fusion brings together PSA/Service Desk, RMM, Password Management & IT Documentation into a single app for technicians on the go. Workflow Integrations Has more than 78 workflow integrations…
44. FULLY INTEGRATED. With Kaseya’s integrated platform, technicians regain an average of more than 25% of their work hours/day GET MORE DONE ARCHITECTED FOR EFFICIENCY % TECHNICIAN EFFICIENCY INCREASE …by increasing workflow automation - eliminating waste switching tasks
45. COST-EFFECTIVE Lower Prices & Greater Efficiency MORE DO LESS WITH Modern Platform Requirements 3
46. COST-EFFECTIVE Lower Prices & Greater Efficiency Hard Costs Soft Costs $ $ Kaseya solutions are (on average) 33% less costly than competing software offerings. Kaseya’s workflow integration saves over 25% of technician time, leading to tangible cost savings.
47. Cost Concerns MSP Internal IT Reduction Flat Growth PROFIT Projection 2020 BUDGET Projection 2020 Reduction Flat Growth • Higher Customer Churn • Customers Demanding Discounts • Fewer New Sales • Reduction of Staff • Slow Business Revenue • Increased Business Demands % CASH SAVINGS INCREASE ..by reducing software KIT costs – the tools you use to deliver services. COST EFFECTIVE
48. RECURRING REVENUE €1,000k 100% EXPENSES €900k 90% Technician Labor, Facilities, Administrative Overhead €600k 60% COGS (Software Kit – Products used to deliver services) €300k 30% MSP Profit Model Example Breakdown of Revenue vs. Expenses PROFIT: €100k 10% % CASH SAVINGS INCREASE ..by reducing software KIT costs – the tools you use to deliver services. COST EFFECTIVE
49. RECURRING REVENUE €1,000k 100% EXPENSES €800k 80% Technician Labor, Facilities, Administrative Overhead €600k 60% COGS (Software Kit – Products used to deliver services) €300k 30% MSP Profit Model Example Breakdown of Revenue vs. Expenses PROFIT: €100k 10% % CASH SAVINGS INCREASE ..by reducing software KIT costs – the tools you use to deliver services. COST EFFECTIVE Increase PROFIT by 100% with a simple switch in software. €200k 20%
50. IS HARD CHANGE
51. SOFTWARE IS NOT CHANGING
52. …of Technicians resist changing software kit due to familiarity and fear of change… 82% RESISTANCE TO CHANGE On-Premise Email Lotus They felt the same way about…
53. CHANGING ATTITUDES …of Technicians were happy with new solutions after 6 weeks of use… 94% On-Premise Email Lotus Now they would never go back… to … to … to …
54. COST EFFECTIVE ARCHITECTED FOR EFFICIENCY COMPREHENSIVE The Bottom Line  IT complete increases technician efficiency by 25% or more  IT Complete saves at least 30% of your software costs IT Complete Adds PROFIT to MSPs and BUDGET to INTERNAL IT
55. Training Tools Playbooks We are a partner. Dedicated to your success.
56. Tools Access these resources any time, 24/7/365, courtesy of your personalized Powered Services portal. Training Playbooks
57. Kaseya Focused on Customers in 2020 €8M+ Contributed to direct investment in our customers. 4,000+ Customers aided with government relief navigation, business guidance, and direct financial assistance. From PPE information to TruMethods coaching and financial programs, Kaseya remains committed to your success.
58. IT Pros Are HEROES OF 2020! SMB TECHNOLOGY IT enabled businesses – and the world – to function through a pandemic…all while having to be away from friends & family, acting as teacher, babysitter, home manager, parent, leader, and family psychiatrist.
59. 59 Industry’s only purpose-built IT and Security Management platform for MSPs & SMBs IT Press Tour Follow Up Contact: Tammy Hovey, VP Corporate Communications tammy.hovey@kaseya.com