In this episode of the Computer Business Podcast, we’ll be talking about recurring revenue. What is recurring revenue? Why do you need to implement it in your business? How can you build it into your business processes?
Plus I’ll reveal the answer to the question I asked in episode 21 and in the toolbox I’ll mention a tool that’s gotten me out of two jams just this past week.
All that and so much more in this episode of the Computer Business Podcast!
CBP 024: Recurring Revenue for Computer Business Owners
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Patrick McCoy says
Whooa. Talk about changes. So how is the podcast going to work since you are moving to more of a consulting type work.
Matthew Rodela says
Hey Patrick…I’m not sure yet! I feel like most of the work I’ll be doing will still be relevant since I’ll still be in the IT space, just moving more to the web side of things. A lot of the business advice will be the same…and I’ll continue to seek guests who work in the break/fix and managed services world….so I foresee the podcast continuing on for a good while.
Patrick McCoy says
Well best of luck. I am sure you’ll do fine.
Bruce Corson says
Matt, good podcast once again. It occurs to me, relevant to the topic of your podcast, that you will now become a good source of referrals for people in the computer consulting business.
Here’s why: a good amount of new business comes my way from other computer businesses with whom I’m friendly, that don’t compete in the same space. For instance, a local web design company doesn’t want to be bothered with fixing their clients’ email issues. They pass that off to me; I make money and their client is happy. I have similar arrangements with three IT companies who specialize in small to medium businesses. They generally don’t want consumer clients so pass those phone calls off to me; I pass off larger potential business clients to them if it’s something I don’t feel comfortable handling. It’s a great symbiotic relationship.
Matthew Rodela says
For sure Bruce! I have already been contacted by a handful of listeners who asked me to either help them on client work, or work on their own computer business website….so yes, it does help to focus on a niche because your competition can end up being your customer!
Rutger van der Heijden says
Your show came right on time: I am in the process of working with a subscription model for my customers and this podcast helped a lot. You talked about the services I could provide for my business and showed me angles that I hadn’t thought of before.
I do have an idea for my subscription that I would like to run by you (and other people): what do you think of a ‘pick and choose’ subscription.
People can pick the services they want from my business and make a subscription plan that works in their situation. There would be a base fee for one computer of x number of hours that you have to choose and they can add services like backup, virus protection and other services. Or if their business/household has more than one device, they can add extra devices. Or a block of extra hours.
For example: there is a base fee for one computer and one hour, but they have two computers in their household and want an off-site backup which they can add to their subscription for an X amount of money.
Also, do you think it’s wise to ‘reevaluate’ the subscription after the first 3 months? For example, if they have a subscription for one device and two hours but only need one? You would loose money, but gain trust.
Matthew Rodela says
Hi Rutger….yes I think that’s a great idea. Many people handle that by offering “tiers” of service plans. For example, the standard tier is just blocks of hours….the gold tier is blocks of hours plus backups and virus protection, the platinum tier is all of the above plus remote monitoring and management.
I think the re-evaluation period can be fluid and should be negotiated with your client. It is hard to predict how much time will be needed if you haven’t worked with them before, so maybe a trial run of three months is a good idea initially.