Cloud computing helps VARs build partnerships

Cloud computing has plenty of appeal to vendors and solution providers, including its reduced costs and simplicity. However, according to CRN, one overlooked value is its “stickiness.”

Solution providers using cloud services say customer churn levels, or the rates at which businesses lose customers, have been reduced by cloud computing. Mike Martin, director of cloud computing for a UK solution provider, says cloud computing puts VARs in control, allowing them to build a strong partnership with the customer.

"It makes us sticky," he said to CRN. "It gives us differentiation."

According to Martin, solution providers will find the most success if they move away from simply selling their products. Cloud computing requires them to provide services and consulting as well.

"Cloud computing is not a product you buy," Martin said. "It's not a technology. It's an IT delivery model. And our goal is to be a trusted cloud provider for our clients."

Several cloud companies have reaped the benefits of cloud computing’s “stickiness.” One cloud services company has seen zero percent customer churn since its launch two years ago, while distributing its software to more than 8,000 companies and 1.5 million apps users.