MSPs + SaaS
Backup Solutions:
Grow Margins, Add Clients

Today’s IT sector is characterized by growth: growing complexity, growing customer needs, growing data regulation, and growing security threats. All these evolving problems exist against the backdrop of a shortfall in IT staff and resources.

MSPs would probably agree that they are most effective when they provide comprehensive support to organizations with limited resources. They serve as an invaluable extra pair of eyes, always scanning the horizon of IT tech to spot trends, threats – and solutions. Organizations of all sizes can be known to replace or work with multiple MSPs, creating a challenge for any one MSP to distinguish itself in a crowded market. One of the biggest challenges is staying competitive, demonstrating a clear advantage to clients, and solidifying a seat at the executive table. One crucial way to differentiate is working to avoid becoming “just another service provider” in a sea of similar offerings.

Successful MSPs know that becoming part of business-critical discussions as an advisor is one way to secure their place with clients. Few issues are as critical to any organization as protecting, securing and storing business-critical data. Exploring the SaaS data backup market can offer MSPs a competitive edge. As SaaS-powered businesses grow in prevalence, a lot of data is being overlooked. This market also intersects with security, regulations, and IT operations, providing ample opportunities for MSPs to assist and benefit.

SaaS solutions have reached every department or line of business in most organizations, and the market continues to grow rapidly. According to BetterClouds’ State of SaaSOps survey, SaaS solutions will make up 85% of all business software in 2025. The size of the total SaaS market is expected to reach $374 billion by 2028. Some estimates put the number of SaaS services available in the US alone at more than 17,000.

Cloud-based applications are easy to use, making it possible for inexperienced users to access and use these apps within minutes, often times creating shadow IT or SaaS sprawl issues. Offloading the work of provisioning software and managing upgrades to SaaS vendors is a natural win-win for hard-pressed IT departments. However, the sheer ease of use of these cloud applications makes them seem inherently trustworthy. After all, surely the SaaS vendor is interested in keeping the service available and secure, right?

What many organizations (and even IT staff) may not know is that SaaS vendors operate under what is known as the Shared Responsibility Model. Under this model, the SaaS vendor agrees to maintain and secure the service’s operational infrastructure (servers and applications). However, the SaaS customer is responsible for all data they generate when using the vendor’s application. That includes account information and controls, communication logs, payment information, files, and more.

Many SaaS vendors supply backups or snapshots of data, but these backups need to be exported manually. Exporting data periodically from a single SaaS application doesn’t sound like a big task, but considering how many SaaS applications are in use, this could be dozens of exports. Manually managing all those exports takes data managers away from more critical work.

How SaaS vendors supply backup data to users can be problematic too. Depending on the complexity of the SaaS app, backups may be stored in many files. Often these are groups of unencrypted .csv files, posing another problem. Sensitive data should always be encrypted, both in transit and at rest. Data, as many IT managers know, has a habit of “leaking” and can be easily passed along among users – and not always approved users. Over-sharing of sensitive customer data can put any organization at the risk of running afoul of data privacy laws.

In addition to a lack of automation or encryption, the burden falls on data managers to organize all the data within an organization. In the recovery process, a mistake in file dates and names can easily lead to overwriting errors. Some apps require that data sets be restored in a particular order (a process that may not be fully documented by the SaaS vendor). Failure to restore data in the correct order can result in failed restores.

Given the hazards of vendor backups, it’s easy to see why SaaS vendors recommend third-party solutions. One of the most important features that SaaS data backup apps bring to the table is automation. Automating the backup process has immediate benefits: it frees up staff to work on more important tasks and reduces human error.

Mapping out which SaaS data to back up is also helpful. This process gives IT managers insight into what data is considered critical and in what departments that data resides. Additionally, third-party backups help avoid SaaS vendor lock-in, as vendors naturally prefer users to remain tied to their services.

There are other inherent benefits to SaaS data backup tools, but not all solutions are created equally. For the MSP wanting to offer these solutions, understanding the differences in solutions is important – and key to choosing the right one.

With the ongoing boom in the usage of SaaS applications, the market for SaaS data backup solutions has expanded as well. The quality of solutions on the market varies widely. Many solutions are designed to back up only a few popular SaaS apps. Additionally, not all solutions support multitenancy, which complicates the management of multiple clients. Some may also restrict alert features to higher-priced service tiers.

MSPs who want offer SaaS backup to their clients should know what to look for in a viable solution. The key features to look for in a solution are:

Number of SaaS apps supported: Many SaaS backup and recovery solutions just support the most commonly used applications, “The Big Three”: Microsoft365, Google Workspace, and Salesforce. However, a good solution should support a wider range of SaaS apps that contain business-critical data used across various departments.

Advanced security features: It may come as a surprise, but some solutions on the market may not offer the best data security features. It’s important for business-critical data to be encrypted in transit, as well as at rest, and preferably use the highest encryption standards.

Modern UX: Console-based management needs to be easy to use. Status of backups and alerts should be easily determined at a glance. One of the hallmarks of modern interfaces is that they are intuitive, making it easier for non-technical staff to monitor and take action, if needed. Restore functions should be low-touch tasks for speeding data recovery.

MSP Support: Ease of use for MSPs should be embedded in the core design of any solution. The software should be a multitenant solution and allow MSPs to delegate workloads to staff and admins. Native billing features can make handling large numbers of clients easier for busy MSPs.

For in-depth information on this topic, see Essential Guide to Choosing a SaaS Backup Solution: What You Need to Know

The SaaS backup market is populated by many providers, but many of these solutions are lacking in one key area or another. Some only support a very limited number of apps; others may not cater to the important MSP user (an oversight as the market for SaaS apps grows).

The SaaSAssure platform stands out in a crowded market as a game-changer. Built from the ground-up for MSPs to tackle today’s SaaS data backup challenges, SaaSAssure pulls together a deep set of features that address the many shortcomings of other solutions in the market

Security-first approach: Keeping data secure is at the forefront of everything Asigra does. That’s why SaaSAssure encrypts data both in transit and at rest. It uses the highest encryption standards available (AES-256 bit data encryption). In today’s era of sophisticated phishing scams and ransomware gangs targeting backups, security also means keeping a vigilant eye on access and control. Not only does SaaSAssure feature Multifactor Authentication (MFA), it also includes an industry-first type of protection called Multiperson Authentication (MPA) at the account level. MPA can designate up to three admins to specifically approve actions that can potentially harm data (like database deletions). In addition, users can set thresholds for the number of approvers for specific tasks.

Built with the MSP in mind: Making SaaSAssure a key tool in the MSP’s portfolio of offerings was no afterthought. Unlike some solutions, SaaSAssure is a multitenant solution, giving MSPs the flexibility of managing all their clients from a single instance. The ability to delegate work and define access levels to admins helps MSPs manage staff working on many different client accounts. An intuitive and user-friendly console allows non-technical users to monitor backups and react to alerts. SaaSAssure also includes billing features that help keep projects organized. MSPs can adjust billing cycles, pool billing data by user and connectors, and even generate invoices (in PDF or .csv formats).

A platform for growth: SaaSAssure was built to grow as users’ and their clients’ needs grow. SaaSAssure supports backups for a range of SaaS apps covering business-critical data in many departments. In addition to backups for common productivity tools (the Microsoft365 suite), SaaSAssure includes preconfigured connectors to SaaS apps used by DevOps, marketing, accounting, HR and other departments. These connectors were designed for ease of us -- making it possible for MSPs to create backups protecting business-critical data in as little as 4 clicks.

For many MSPs, protecting and building their margins with clients is a constant battle. It seems like from the moment a client signs a service contract, the invoices can’t go out fast enough to cover the increasing costs of serving that contract. Over time, maintaining healthy margins becomes more challenging.

In addition to rising service costs, clients will often look for ways to pare costs when it comes time to renew. But one of the big advantages of managing SaaS data backups for clients is that this solution can help protect and enhance profit margins. SaaSAssure features a breadth of connectors, allowing MSPs to roll out SaaS data protection for apps incrementally. The pricing model is on a per user basis, helping to boost their per-user charges (and overall margin).

Another contributor to rising service costs is the time and effort it takes to manage a given solution. Rolling out a solution like SaaSAssure, a cloud-based solution, is efficient, keeping set up and ongoing costs low. While many data backup systems require hardware, software, and even engineering time, SaaSAssure comes with its pre-configured connectors that require little effort to set up. No agents need to be installed and server-side set up is not required. SaaSAssure’s easy-to-use console-based management also makes it possible for non-technical staff to monitor backups and alerts, helping to keep service costs down.

For more on protecting margins, see How MSPs Can Grow Margins With SaaSAssure

Cybersecurity is most effective when layered, as no single tool can defend against all threats. Clients may be tempted to see SaaS data backup as part of all things “storage,” but this ignores its clear role in improving cybersecurity. Emphasizing the critical role of SaaS backup in enhancing security posture and business resilience is one way to build interest in a SaaS data backup solution. There are several key ways SaaS data backup boosts client cybersecurity.

Data managers become much more efficient when the SaaS data backup process is automated. Allocating valuable IT staff to manual backups diverts them from more critical tasks. Automating the backup process also reduces the chances of human error – which is a significant cause of data loss.

A good solution such as SaaSAssure also helps keep data secure by encrypting it – at rest and in transit. Data in transit is especially at risk if network devices are compromised or hackers employ DNS or IP spoofing.

Another way SaaS data backup solutions improve cyber resilience is by making backups of business-critical data easily available, without having to rely on vendor backups. In the event of a data emergency, such as a successful ransomware attack, the quickest path to recovery is to restore inaccessible data. SaaSAssure makes it possible to restore data easily via console-based management in just a few clicks.

For more information, see 5 Ways To Boost Client Security Posture with SaaS protection

As any MSP can verify, even a modest improvement in an organization’s client retention rate can boost profits and margins. Ultimately, improving customer retention is a complex equation, but adding value by either solving a problem or preventing problems is essential.

When it comes to backing up SaaS data, it is often one of those tasks that IT managers know they should do, but easily fall behind due to large workloads or the aversion to tedious manual backups. MSPs who engage their clients on their pain points to find solutions can help clients see the critical role of SaaS data backup in cybersecurity, resiliency, and good data management.

MSPs can easily demonstrate value by proposing a tangible solution that can be implemented quickly and efficiently. A SaaS backup solution such as SaaSAssure makes that possible. These days, the percentage of SaaS services used by any organization large or small is growing – making it hard to ignore SaaS data security and resilience as part of a larger data management strategy. MSPs who are considered trusted advisors on these core security issues can improve their standing with existing customers.

For an in-depth look at customer retention, see Improving Customer Retention Rates: A Guide For MSPs.

Demonstrating value by thinking about the future is a good way to strengthen ties and secure a long-term relationship with clients. While the day-to-day work with clients can become routine (in a positive way), it’s important for MSPs to demonstrate some forward-thinking too.

In today’s SaaS-dominated software environment, SaaS adoption can easily become uncontrolled from the oversight of IT and data managers. Similar to the problem of “Shadow IT,” SaaS sprawl happens when employees download and begin using SaaS applications without oversight or approval from IT. When this happens, organizations may have an incomplete view of their business-critical data. This means some of an organization’s data is effectively “hidden data,” which can cause major problems if it is lost or breached without being properly backed up and stored.

SaaS sprawl is a problem that affects SMBs more than others. Research by Auvik Networks Inc. indicated that companies with fewer than 250 employees were five times more likely to be unsure how many SaaS apps employees used. This hidden data can cause problems with meeting certain industry data retention regulations and interfere with good cybersecurity practices. Automated security monitoring only works when it is checking the status of all known applications.

For MSPs, this represents an opportunity that a SaaS data backup solution can solve. By automating backups, MSPs can quickly help their clients map and identify all business-critical data – effectively solving problems of hidden data from SaaS. This also helps break down heavily siloed data (when departments aren’t even aware of what data other units are creating). Solving problems such as SaaS sprawl can make an MSP stand out as a forward-thinking partner, not just another provider.

For more information, see Data Sprawl: An Opportunity For MSPs [SaaS Data]

Compliance with new and emerging data privacy laws is another area where MSPs can offer some guidance and help their clients. MSPs occupy a distinctive position, allowing them to provide expert advice and assistance on these regulatory matters. Successful MSPs recognize that involvement in IT decision-making not only builds trust but also provides valuable insights into clients’ challenges.

Ensuring data compliance with privacy regulations requires securing it against breaches or theft. While the concept of backing up and securing all SaaS data seems straightforward, MSPs understand that practical implementation can be challenging for their clients. As described above, the prevalence of SaaS applications leads to “SaaS sprawl,” making it difficult for organizations to maintain a comprehensive data inventory.

SaaS backup applications offer a solution. They enable organizations to gain a better, more complete view of their data inventory. Understanding the location and volume of business-critical data is crucial for preventing potential breaches. Protecting sensitive Personally Identifiable Information (PII) is essential to avoid regulatory penalties and reputational damage. Frequently backing up customer data also keeps it available for on-demand modifications by customers (an area of focus of many new data privacy laws in US states).

For more information, See How to Know if SaaS Data is Compliant.

The work of building and maintaining long-term relationships with clients is a constant concern for MSPs. The goal of day-to-day work may be to offer smooth, trouble-free management of solutions, easing the burdens of IT management. In this respect, being successful can also make MSPs fade into the background of work – until invoices are delivered. This makes providing value difficult – but not impossible. When MSPs can offer concrete and efficient solutions to real problems, they not only prove value, but they also increase share of wallet too. Often it is an incremental increase in solutions and technology that has the biggest long-term gains. Offering SaaS data backup solutions to existing and new customers is a way to steadily build trust, demonstrate value, and build new business, too. It is one sure way to become more than “just another service provider.”