SaaS adoption is booming, making cloud productivity suites like Microsoft 365 and Google Workspace indispensable for businesses. Over 50% of all workloads and applications now operate in public cloud environments. Yet many MSPs still treat SaaS backup as a compliance checkbox, which is a missed opportunity.
Seasoned MSPs are changing the narrative by turning backup into a value-driving differentiator that fuels growth and builds client trust.
In this blog, we will bust myths surrounding cloud data protection and guide you on how to confidently sell SaaS backup and excel in today’s competitive MSP landscape.
The Misconception Trap: “But CSPs Back It Up...”
Since SaaS applications are always available, accessible and highly redundant, many businesses mistakenly assume that their data is automatically protected.
Top CSPs like Microsoft and Google offer a highly secure and reliable infrastructure to ensure application uptime and availability. However, data loss or downtime due to human mistakes, programmatic errors or cyberattacks is the customer’s responsibility.
Opportunity for MSPs
Modern businesses heavily depend on cloud apps for email, file storage and collaboration. Many of them rely solely on the vendor’s native backup tools, which creates data protection gaps.
This opens up a great opportunity for MSPs to step in. By offering reliable SaaS backup services, MSPs can provide crucial data protection while capitalizing on high-margin, recurring revenue with minimal operational overhead.
SaaS Backup as a Business Driver
Over 85% of SMBs lost SaaS data in 2024. In today's always-on business environment, SaaS backup is non-negotiable. MSPs providing comprehensive data protection will improve client loyalty and retention while boosting long-term business growth.
SaaS backup also ensures compliance with cyber liability insurance requirements, supports effective user lifecycle management and enhances audit preparedness.
How to Differentiate Your MSP With SaaS Backup
To make your MSP stand out with SaaS backup, don’t just pitch features — sell peace of mind. Position yourself as a strategic advisor who understands your clients' unique needs. Tailor your solutions by industry to highlight the regulatory risks tied to their specific data protection needs.
Client education is key to building long-term relationships. Offer training, create templates and provide recovery guides to demonstrate your commitment.
Differentiate your offering by bundling services. A comprehensive solution is harder to commoditize, giving you a competitive edge while delivering more value to your clients.
Your SaaS Backup Sales Playbook
Master the sales process with practical strategies and guidance to close deals confidently.
Discovery Questions
Understand your clients’ true needs with targeted questions like:
- How are you backing up SaaS data today?
- What’s your plan if a team member deletes a SharePoint site?
Overcoming Objections
These talking points help you underpin the value of SaaS backup and position yourself as a trusted advisor.
“Microsoft and Google have built-in redundancy.”
True, but that protects their infrastructure, not your data. Events outside their SLAs, like accidental deletions or insider threats, can still lead to permanent loss.
“Sync tools keep data safe for remote and hybrid users.”
Syncing replicates all changes, including mistakes, deletions, overwrites and ransomware encryption. It’s not backup and it’s certainly not recovery.
“The Recycle Bin covers us for accidental deletions.”
Not really. It has limited retention and doesn’t cover all scenarios. Once that window closes, the data is permanently gone.
Use cyber liability insurance as a wake-up call.
Cyber insurers are tightening requirements and expanding technical checklists. Increasingly, they ask, "Do you have dedicated backups for email and cloud apps?" Without them, coverage could be limited or denied.
Still not convinced?
Introduce a “Risk Acceptance Form” — a simple document (available from Datto) that shifts responsibility to the client. It often changes minds fast.
Packaging Guidance
Learn how to bundle backup into a compelling, value-rich solution.
Managed services: These are foundational offerings that most MSPs lead with. According to Kaseya’s Global MSP Benchmark Survey Report, nearly a quarter of respondents charge between $50 and $100 per user per month for ongoing IT support, including help desk and end-user management.
Managed security: Bundle SaaS backup with security services such as anti-phishing, dark web monitoring and user awareness training. These are low-cost for MSPs but deliver high value to clients, making them both profitable and easier to sell.
Why Partnering With Datto Helps You Grow
Datto SaaS Protection is purpose-built for MSPs, helping you grow your business while delivering world-class data protection. With 24/7/365 support and SOC2-certified infrastructure, Datto scales alongside your clients' needs without adding operational burden.
Trusted by thousands of businesses globally, Datto has protected over 1.5 exabytes of data and restores more than a billion items each month. In G2’s Spring 2025 report, Datto earned a 99% ease-of-use rating, which shows that partners love the experience.
Join our partner community and discover how Datto can supercharge your business.
