Last month, I joined our CEO Brent Maropis at Cloud Connections 2024, the flagship event of the Cloud Communications Alliance.
Popularly known as CCA, this organization is a peer networking and knowledge sharing group that features some of the leading names in cloud communications. Among the speakers at the event were pioneers and innovators within the cloud communications space, which is seeing an incredible amount of change at present.
In just two days at the event in South Florida, we heard a treasure trove of useful knowledge on trends in cloud communications technology, markets, and M&A outlook. Here are the eight key takeaways that we came back with as attendees.
This is a trend that we have been writing and talking about for several years. Managed IT providers are now very aware that traditional break fix models are not enough to sustain strong business growth, and recurring revenue is paramount. To create these consistent revenue streams, ITMSPs are increasingly embracing cloud communications, and the reverse is also true as cloud communications providers position themselves as MSPs. No matter which "side of the fence” they come from, providers will need to continually adapt and evolve.
Artificial intelligence is becoming a cornerstone of cloud communications. A survey conducted by CCA and the Cavell Group leading up to the show revealed that AI integration is the most planned future offering among cloud communications providers in the coming year. AI's role in enhancing tech stacks is undeniable and growing.
Microsoft Teams has solidified its position as the leader in the communications & collaboration space, now boasting 300 million active users. Its widespread adoption underscores the platform's robust capabilities, and the trust users place in it. And while the entry of Microsoft and other Big Tech firms carries some risk for traditional providers, many CCA members are successfully reselling Teams and are leveraging strong partnerships with Microsoft.
An incredible amount of data flows through cloud communications platforms, but not all of it is being utilized for optimal consumption. Providers must implement systems that allow for seamless access, integration, and interpretation of data by users.
Business customers of CCA's membership are showing a clear preference for vendors that can serve all their needs. This would include solutions for traditional voice and collaboration along with managed services, security solutions, cloud management, and others. From a company valuation perspective, providers that demonstrate they can be single, trusted partners for their selected verticals will be well rewarded in future transactions.
On the go-to-market side of things, marketing departments are taking on more of the responsibilities traditionally associated with the sales process. In particular, marketers are being asked to actively generate pipeline and deepen content that buyers will use to evaluate vendors. AI tools are growing in popularity for both expanding pipeline and improving conversion efficiency.
The cloud communications channel has always had a powerful network (no pun intended). But in today's ecosystem, buyers rely more than ever on trusted sources to help guide their decisions. Partner influence will continue to be a significant factor in driving future sales, so cloud communications leaders should be focused on building these relationships over time.
For Rev.io, being a member of the Cloud Communications Alliance has been invaluable. It has provided us with opportunities to make connections, learn, and grow alongside the many partners we serve that are mutual members. We encourage all cloud communications providers to find the organization that best suits their needs and that can offer similar benefits. We think CCA should be at the top of your list.
We thank CCA for hosting us and putting together yet another excellent program at Cloud Connections. There's a lot for service providers to think about and Rev.io is ready to help with solutions in billing, customer management, back office automation, payment processing, and analytics. Please contact us today to get the conversation started.