Key Takeaways
- IAM is now a baseline requirement for MSPs – Okta IAM is a core control for SMB security, not an optional extra.
- Bundling IAM simplifies sales and standards – A bundled stack makes pricing easy and raises the default security baseline.
- Itemizing IAM creates flexibility and entry points – A separate Okta IAM line item helps educate SMBs and start with a focused project.
- Mix models to match your market – Some MSPs use an IAM-inclusive core bundle plus itemized add-ons for advanced services.
- ZeroTek powers both with usage-based Okta billing – Offer Okta IAM without big upfront commitments, making it accessible to MSPs and their SMB clients.
Contents
- IAM is essential for SMBs, but what’s the best way to package it?
- Why Okta IAM is a cornerstone of modern IT security packages
- The bundled approach: Positioning Okta within a comprehensive IT security suite
- The itemized approach: Positioning Okta IAM as a standalone line item
- Why ZeroTek makes both Okta-powered IT service models better
- A defensible identity baseline for regulated SMBs
- Flexible, usage-based delivery of Okta IAM
Contents
- IAM is essential for SMBs, but what’s the best way to package it?
- Why Okta IAM is a cornerstone of modern IT security packages
- The bundled approach: Positioning Okta within a comprehensive IT security suite
- The itemized approach: Positioning Okta IAM as a standalone line item
- Why ZeroTek makes both Okta-powered IT service models better
- A defensible identity baseline for regulated SMBs
- Flexible, usage-based delivery of Okta IAM
Key Takeaways
- IAM is now a baseline requirement for MSPs – Okta IAM is a core control for SMB security, not an optional extra.
- Bundling IAM simplifies sales and standards – A bundled stack makes pricing easy and raises the default security baseline.
- Itemizing IAM creates flexibility and entry points – A separate Okta IAM line item helps educate SMBs and start with a focused project.
- Mix models to match your market – Some MSPs use an IAM-inclusive core bundle plus itemized add-ons for advanced services.
- ZeroTek powers both with usage-based Okta billing – Offer Okta IAM without big upfront commitments, making it accessible to MSPs and their SMB clients.
IAM is essential for SMBs, but what’s the best way to package it?
As cybersecurity threats continue to evolve, small and medium-sized businesses (SMBs) are relying more heavily on MSPs and IT service providers to deliver robust, enterprise-grade security solutions. One of the most critical components of any modern security strategy is identity and access management (IAM) — and selling Okta IAM, delivered through ZeroTek stands out as a premier choice for MSPs looking to elevate their security offerings. But as an MSP, what’s the best way to position Okta IAM to SMBs?
Should you bundle Okta IAM with a suite of other security tools (such as Arctic Wolf, CrowdStrike, FieldEffect, Huntress, ProofPoint, or SentinelOne)?
Or should you present Okta as a standalone, itemized line item on your client invoices?
Both strategies have merit, especially when powered by ZeroTek’s flexible billing model, which allows MSPs to offer Okta licenses monthly based on actual usage — eliminating the headaches of license renewals and over-provisioning – and making it possible to offer “Okta-as-a-Service”.
In this article, we’ll explore the pros and cons of bundled vs itemized Okta IAM, and help you determine the best approach to maximize value for your SMB clients while optimizing how your MSP sells IAM services.
Why Okta IAM is a cornerstone of modern IT security packages
Before diving into pricing strategies, it’s important to understand why Okta IAM should be central to your IT security offerings:
- Secure access control: Okta ensures that only authorized users can access critical systems, reducing the risk of breaches.
- Seamless integration: Okta is purpose-built to integrate with hundreds of applications and platforms, including including XDR platforms, endpoint management, and Zero Trust architectures.
- User experience: With Single Sign-On (SSO) and Multi-Factor Authentication (MFA), Okta enhances security without compromising usability.
- Support for Zero Trust: Okta is foundational in enforcing Zero Trust strategies by verifying users and devices before granting access.
When delivered through ZeroTek, MSPs gain the added advantage of flexible, usage-based billing, making Okta even more attractive for SMB clients wary of long-term commitments or large upfront costs.
The bundled approach: Positioning Okta within a comprehensive IT security suite
Pros of bundling Okta IAM
Simplified Value Proposition
- SMBs often prefer a one-stop-shop for their cybersecurity needs. When MSPs sell IAM services as part of a bundled security suite – combining Okta with EDR/XDR (e.g., CrowdStrike, Microsoft Security Center), email security (e.g., ProofPoint, Ironscales), vulnerability management, compliance monitoring, and cybersecurity training – they offer a holistic solution that often makes it easier for SMB decision-makers to say yes.
- This reduces decision fatigue for SMBs who may not fully understand the nuances of each individual security component.
Enhanced Perceived Value
- Bundling allows MSPs to highlight synergies between tools. Okta’s device trust policies and seamless integration with XDR platforms makes the bundled solution more powerful than the sum of its parts.
- You can frame the package around comprehensive protection, emphasizing how IAM strengthens endpoint security, supports zero trust initiatives, and simplifies compliance.
Pricing Flexibility
- Bundling offers room for strategic discounting, allowing MSPs to balance margins across services while offering clients an attractive, predictable monthly fee.
- ZeroTek’s usage-based billing ensures you only pay for what your clients use, reducing risk when bundling essential high-value services like Okta.
Stickiness and Customer Retention
- Clients with bundled services are more likely to stay. The more integrated your services, the less appealing it is for SMBs to “unbundle” and switch providers—and the easier it is to maintain a high service standard..
Streamlined Management
- From an operational perspective, bundling can simplify internal processes. Offering a standard security package reduces customization overhead and allows for more efficient onboarding and support.
Cons of bundling Okta IAM
Reduced Transparency
- Some SMBs are wary of bundled pricing because they want to understand exactly what they’re paying for. Without clear itemization, they may undervalue components like IAM, not realizing the critical role Okta plays.
Perceived Cost Concerns
- Bundles can appear expensive at first glance, especially if SMBs compare your package to cheaper, piecemeal solutions—even if those lack comprehensive protection.
Reduced Upsell Opportunities
- If everything is included upfront, it limits the chance to upsell additional services later. Clients may assume they already have “full protection.”
One-Size-Fits-All Limitations
- Not all SMBs have the same risk profiles or compliance requirements. A rigid bundle may not align with every client’s needs, leading to objections or forcing you to offer customizations anyway.
The itemized approach: Positioning Okta IAM as a standalone line item
Pros of itemizing Okta IAM
Clear Value Attribution
- When Okta is presented as a distinct line item, it gives MSPs the chance to educate clients on the importance of identity security. This transparency can lead to greater appreciation of the security posture Okta provides.
Tailored Solutions
- Itemization supports a modular approach, allowing SMBs to pick and choose services based on their immediate needs and budgets.
- This can be particularly effective for highly cost-conscious clients or those in industries with specific compliance drivers.
Easier Entry Point
- Selling Okta separately can serve as a gateway service. Once IAM is in place and clients see the value, it opens the door for future cross-sells, such as integrating XDR solutions, email security, or compliance monitoring.
Competitive Differentiation
- Detailed, itemized proposals can differentiate your MSP by showcasing the depth and breadth of your offerings, positioning you as a consultative partner rather than just a vendor.
Cons of itemizing Okta IAM
Risk of “cherry-picking”
- SMBs may opt out of critical services to save costs, leaving gaps in their security posture. Without bundling, it’s harder to enforce a minimum viable security standard.
Longer sales cycle
- An itemized approach often requires more in-depth conversations and justification for each service. This can lengthen the sales process, especially when dealing with non-technical decision-makers.
Potential for cost objections
- Seeing Okta’s cost in isolation—without understanding how it integrates with other tools—may lead clients to question its necessity, especially if they’re unfamiliar with IAM.
Complex Billing and Management
- While ZeroTek simplifies licensing with monthly usage-based billing, managing multiple itemized services across clients can still add administrative overhead compared to standardized bundles.
Why ZeroTek makes both Okta-powered IT service models better
Regardless of whether you choose to bundle Okta or itemize it, ZeroTek’s delivery model enhances both strategies:
- Monthly billing based on actual usage: Say goodbye to annual license commitments and the challenges of managing license pools and renewals.
- Seamless integration support: ZeroTek empowers MSPs to leverage Okta’s ability to integrate with platforms like EDR/XDR, and endpoint management tools, making it easier to deliver value whether bundled or standalone.
- Scalability: As your SMB clients grow or their security needs evolve, ZeroTek allows you to adjust services dynamically without penalty.
- No vendor lock-in: Flexibility is a key selling point for SMBs, and ZeroTek provides it in spades.
“As a business owner, I want for my customers what I want for myself—to stay with vendors and solutions because they see the value, not because they’re locked in. It makes ZeroTek | Okta a good match.”
– Nicholas Thomas, Founder and Principal Consultant, Ethikos
Flexible, usage-based delivery of Okta IAM
The decision between bundled vs itemized services that include Okta IAM largely depends on your target clientele, sales strategy, and operational preferences:
- If your MSP focuses on delivering standardized, all-inclusive security solutions to SMBs looking for simplicity and comprehensive protection, a bundled approach will likely drive higher retention and smoother operations.
- If your clients prefer customizable solutions, operate in niche industries, or are highly cost-sensitive, offering Okta as an itemized service may open more doors and foster long-term opportunities.
In many cases, a hybrid strategy works best — offering core security bundles where Okta is included but also providing a level of transparency through itemization in your proposals. This way, you communicate the value of each component while promoting the advantages of an integrated security stack.
Which strategy is best for your MSP to sell IAM services: bundled vs itemized?
As MSPs continue to play a pivotal role in securing SMBs against modern threats, how you package and present critical services like Okta IAM can significantly impact both your bottom line and your clients’ security posture.
With ZeroTek’s flexible, usage-based delivery of Okta, you have the freedom to design pricing models that align with your business goals and client expectations. Whether you choose to bundle Okta within a comprehensive security suite or highlight it as a standalone necessity, the key is to clearly communicate its value and how it seamlessly integrates with the broader cybersecurity ecosystem.
In a world where identity is the new perimeter, offering Okta IAM—smartly packaged—will set your MSP apart as a true security partner for SMBs.
Are you ready?
Ready to explore how ZeroTek | Okta can help your MSP deliver next-level security services to your customers?
