Technology-as-a-service has been a hot topic in the AV integration world for years. With hardware margins growing ever tighter, savvy integrators are now pivoting. After all, these integrators say, the “subscriptionization” of our society is in full swing. For example, people have grown accustomed to paying monthly for Netflix, Apple One, HBO Max and more. Why, then, shouldn’t commercial AV clients also want to “subscriptionize” their integrated systems, and thus avoid owning assets that might rapidly depreciate? Integrators, meanwhile, enjoy a regular, predictable income cadence and far better margins than a capital sale could provide.
The two-minute video below pinpoints the biggest mistake that integrators make when they sell technology-as-a-service. In short, it’s making assumptions about who is or isn’t a good candidate for the OpEx approach. The video makes the case that nearly every client could potentially benefit from moving away from capital purchases and toward subscribing to integrated technology systems.
As the narrator notes, a constellation of factors makes technology-as-a-service beneficial for almost anyone. Those factors include the following:
- the desire to use technology rather than to own it
- the imperative to preserve hard-earned capital for better use
- the desire to avoid quickly depreciating assets
- the need to easily change technology as needed
Do you have thoughts about technology-as-a-service? If so, share them with our editor-in-chief, Dan Ferrisi, at firstname.lastname@example.org.
To see prior Commercial Integrator coverage of AV-as-a-service, check out our website archives.