During his interview with Business Solutions for the article “Build A 100% Recurring-Revenue Business In The Financial Vertical,” Allan Lonz, president of AdvisorVault gave some advice on making the transition from a break-fix to a recurring-revenue business model. He says industry expertise and establishing yourself as a resource are essential. He reached decision makers in his market by sending direct mail and email newsletters containing relevant information. AdvisorVault also kept its website up to date with fresh, informative content. These efforts helped the company to become profitable and to eliminate the need for cold calling — all sales are initiated online or via email.
Lonz also has some advice related to selling cloud backup. He says email archiving and remote monitoring and management (RMM) of customer data are common products and services to bundle with cloud back up. He explains that AdvisorVault prices services based on the number of email accounts they manage for their clients. “There are a few variables involved, but bundling these services with cloud backup has the potential to boost monthly recurring revenue by about 20 percent,” Lonz adds.