Solution Provider Spotlight – Trace3


Why we like Trace3
Trace3 might have started out life like a lot of other VARs, but they have pulled ahead of the pack as an innovation leader in the reseller space. Trace3 was named Cisco’s innovation partner of the year in 2014, they host their own annual conference, Evolve, and they introduce CIOs to emerging technology through their connection to Silicon Valley’s VC and startup communities. With a 7/1 Tech-to-Sales ratio, they sure don’t look like your traditional VAR.

Company Name: Trace3
Founded: 2002
Status: Private
Last Year’s Revenue: $500M+
Number of Employees:  350
Headquarters: Irvine, CA
Regions of Operations: US
CEO: Tyler Beecher

Company Overview
As a Transformative IT Authority, Trace3 is the premier provider of IT solutions and consultation services.

Through elite engineering and dynamic innovation, we empower executives and organizations to keep pace within the IT/corporate landscape through the transformative power of IT.

Solutions or Services

  • Data Center Solutions
  • Data Intelligence
  • IT Security
  • Project Services
  • Network Solutions
  • Emerging Tech

Target Customer
Mid Market & Enterprise

Contact Information
Corporate – Orange County
7565 Irvine Center Dr
Suite 200
Irvine, CA 92618

Solution Provider Spotlight – NextNet Partners


Why we like NextNet Partners
Culture. People.
Most companies say they have the best people and have built a great culture. When you work with NextNet, that truth becomes reality when you achieve results through great interactions with their team.

Company Name: NextNet Partners
Founded: 2011
Status: Private
Last Year’s Revenue: NA
Number of Employees:  25-50
Headquarters: Tempe, AZ
Regions of Operations: Pacific, SouthWest
CEO: Phil Calzadilla

Company Overview
Founded in 2011, NextNet Partners is an IT Consulting Company that is also a NMSDC-certified, minority-owned, small business, headquartered in Tempe, Arizona. We innovate and provide business outcomes for our clients using next generation network technologies with the best people in the business.

Cisco’s Breakaway Partner of the Year Award – Pacific Southwest 2016 . Phoenix’s Top Minority-Owned Tech Firms – Phoenix Business Journal . Appointed to Cisco Channel Partners Advisory Board CCABO . Best Places to Work – Phoenix Business Journal 2015 . CRN Fast Growth 150 #8 . Most Admired Leaders Award 2015 . Cisco Enterprise Growth Partner of the Year 2015 . Cisco Desert Select Security Partner of the Year 2015

Solutions or Services

  • Cisco Networks
  • Data Center
  • Unified Communication
  • IT Security

Target Customer
Mid Market, Enterprise, Public Sector

Contact Information
7855 S River Pkwy #121
Tempe, AZ 85284

United States (US)
Phone: (602) 247-8600

How Does Your IT Vendor Measure Up?

Section1 is designed to connect IT Leaders with IT vendors who can deliver great results day in and day out. One way we do this is by crowdsourcing information from IT Leaders and present it in a Yelp styled search. Join the community for FREE as an IT Leader by rating just one vendor, and you will be a part of growing community of IT Professionals who are working to simplify IT! Register on Section1 now!



Yelp for IT Providers!

Section1 has launched and we are crowd-sourcing ratings from IT Leaders on the IT Providers that they have experiences with. Come take a look at the ratings on the companies below and rate a couple of your own. Additionally, we have profiles on all the top solution providers in the country. Free registration for IT Leaders!

MATRIX Resources
TransWest Network Solutions
MDI Group
Frog Design
Redsky Solutions
National Cabling Technologies
Atrilogy Solutions Group
TB Consulting
IO Phoenix Data Center
Dimension Data
Clearpath Solution Group
Catapult Technology
Veritra, Inc
Dell Services
ETS – Enterprise Technology Services, Phoenix
Slalom Consulting
HP Enterprise Services
Dell Services
Syndeo Technology
Tata Consultancy Services
Point B
Sentinel Technologies
Solu Technology Partners

Solution Provider Spotlight – Matrix


Why we like Matrix
Matrix isn’t “just” an award winning staffing company that has been around since 1983. Matrix specializes in Agile consulting, application development, and UI/UX design. While almost anyone can print a business card and call themselves a staffing company, Matrix has grown to over $200MM in revenue by providing exceptional customer and client experiences.

Company Name: Matrix
Founded: 1983
Status: Private
Last Year’s Revenue: $200M +
Number of Employees:  200-500
Headquarters: Atlanta, GA
Regions of Operations: US
CEO: Lambert Chandler

Company Overview
Today more than ever, companies struggle to deliver technology projects better and faster. Tech professionals are frustrated with their job search experience and overwhelmed with unnecessary data and irrelevant information. MATRIX makes it EXPONENTIALLY easier for candidates to find great work and clients to get great work done.

Solutions or Services

  • Professional Staffing
  • Agile Consulting
  • Application Development
  • UI/UX
  • Telecom
  • Global Delivery

Target Customer
Mid Market & Enterprise

Contact Information
1000 Abernathy Road
Suite 500
Atlanta, GA 30328

Staffing-as-a-Service instead of Outsourcing

55178192 - staffing employee human resources manpower concept


Agile development is all about capacity – how many stories can you get through the chicklet engine in a given period, do you push or pull it, and what is your burn-down rate. And whether we are talking application development, infrastructure, database management, etc., sometimes all we need is additional capacity. Cheap capacity. Because that IT budget is not getting any larger for traditional IT due to the rapid diverting of business dollars to digital innovation.

One way to handle this is by augmenting your staff with cheaper offshore or nearshore resources. While completely outsourcing a function is still challenging and is fraught with risk, adding additional capacity with cheap offshore/nearshore resources is a good way to prop up your teams that are struggling with keeping up with demand.

But what if your demands change over time and where you once needed help with software development, now your infrastructure team is struggling? In comes SaaS, Staffing-as-a-Service. Instead of having to go back to the CEO or CFO and ask (fight) for additional funds, wouldn’t it be easier if you could simply switch out your offshore developers for infrastructure or DBA resources as needed for no additional costs? This is Staffing-as-a-Service.

We are probably all getting tired of hearing about “-as-a-Service” acronyms, but Staffing-as-a-Service is no different than SaaS at it’s core. SaaS is popular because you can scale up and down on demand and you sometimes uncover amazing customer experiences. You should expect nothing less from your outsourcing provider and have it written into your contracts. We have been able to uncover a couple of companies who do this well, back it up with a contract, and provide those amazing customer experiences. You should be able to find them as well if you search in the right places, wink – wink!

Why SaaS Puts the Focus on the Customer

In traditional (legacy) software sales, companies make large up-front investments in software and then pay a smaller support cost throughout the life-cycle of the product. From an Independent Software Vendor’s (ISV) perspective, this puts the focus on the sales process and very little focus on customer satisfaction, since once the investment is made, a customer is stuck with whatever decision they made and have very few options to get out of a poor product or weak support. This also places an enormous amount of pressure on a sales organization for new customer acquisition and takes time and focus away from servicing existing customers. Software-as-a-Service subscriptions create predictable revenues for ISVs and better experiences for the customer.

Why SaaS Puts the Focus on the Customer
Software-as-a-Service is a completely different model than legacy on-premise software sales since companies are no longer making large up-front investments in software. Instead, they are paying a monthly or annual subscription for the use of the software. While some SaaS products, such as accounting, ERP, or financial reporting products, are fairly complex to deploy, most are easy to get into and easy to get out of and switch to other products. This means that ISVs need to put the focus on customer satisfaction and to ensure that their customers are receiving value for their monthly or annual subscription.

The Metrics that Matter
SaaS companies need to focus relentlessly on the metrics that matter.

MRR/ARR – Monthly or Annual Recurring Revenue is the lifeblood of a SaaS organization since sales revenues are spread out evenly over the subscription period. Recurring revenue is predictable and should be growing if customer Churn can be kept low.

LTV – Lifetime Value of the Customer. The most important factor that positively impacts this number is the length of time a SaaS company can retain customers. The way to do this is to make sure their expectations are being met and they are perceiving high value for the software.

CAC – Customer Acquisition Costs. Stated simply, CAC is the total sales and marketing costs divided by the total new customers in the same period.

Churn – Churn is the percentage of customers lost over a period.

In a SaaS model, having a high churn rate and low LTV are business killers. This is why setting proper customer expectations and proactively nurturing the customer relationship is so important for SaaS companies. If ISVs do this effectively, they win from an increase in MRR/ARR, and the customers win by having the use of great software that is meeting their needs and expectations.