Beyond Licensing: How LMS Resellers Upsell Customization and Support
- LMSPortals
- Jul 23
- 6 min read
Introduction: Licensing Isn’t the Finish Line
In the enterprise learning space, getting a client to sign on the dotted line for a Learning Management System (LMS) license is just the start—not the end—of the revenue journey.
Licensing might unlock access to a platform, but it doesn’t unlock outcomes. That’s where customization and support come in. LMS resellers who focus only on selling licenses are leaving serious money—and value—on the table. Those who go further, offering tailored solutions and ongoing support, are building deeper partnerships, stronger client retention, and significantly higher revenue per account.
In today’s competitive LMS landscape, smart resellers don’t just sell software—they sell success.
The Problem with Licensing-Only Models
1. Out-of-the-Box Doesn’t Cut It Anymore
Most LMS platforms are built to be flexible and scalable, but that doesn’t mean they’re plug-and-play. Different organizations have different:
Compliance requirements
Learning workflows
Internal systems
Branding standards
Reporting needs
An LMS may offer 80% of what a client needs off the shelf, but the remaining 20%—custom reports, interface tweaks, automation rules—is what determines whether that LMS actually works for them. Licensing alone doesn’t address those gaps.
2. Price Compression and Competitive Pressure
The LMS market has exploded with options—from enterprise-grade platforms to low-cost SaaS tools to open-source alternatives. As the choices grow, pricing becomes a race to the bottom. Margins on license sales are tighter than ever.
Clients are increasingly educated. They comparison-shop. They push back on contract lengths. They negotiate on price. If licensing is your only offer, you’re commoditized.
Customization and support offer a way out of that trap. They’re harder to compare, more valuable over time, and far more profitable.
Customization: Where the Real Value Lives
1. Making the LMS "Theirs"
Customization isn’t a bonus—it’s a necessity for serious clients. They need an LMS that feels like part of their ecosystem, not a third-party bolt-on.
Resellers who offer customization services help clients:
Brand the platform to match their identity
Structure courses and learning paths according to their internal logic
Build custom dashboards that surface the right KPIs
Automate admin workflows to save time and reduce human error
Integrate with internal tools like HRIS, CRM, SSO, and analytics platforms
Each one of these adds measurable value—and opens the door to new revenue.
2. Productization of Services
The best resellers don’t just say, “We can customize it.” They package services in a way that makes them easy to buy and scale.
For example:
Starter Custom Pack: UI branding, email templates, course catalog layout — $5,000
Integration Suite: API connections to HRIS, CRM, and Teams/Slack — $15,000+
Advanced Automation: Role-based workflows, triggers, and alerts — $7,500
Analytics Pro: Custom dashboards, data exports, Power BI connector — $12,000
Clients understand pricing. They understand outcomes. Bundling customization work into clear service offerings makes it easier to upsell—and easier to deliver.
Support: From Ticket Desk to Strategic Partner
1. Reactive vs. Proactive Support
Support used to mean fixing bugs. Now it means enabling results.
Premium support offerings can include:
Tiered SLAs for guaranteed response/resolution times
Dedicated account managers who understand the client's environment
Quarterly performance reviews to surface usage gaps and growth opportunities
On-demand training and onboarding for new admins or teams
System monitoring and uptime assurance in regulated industries
This turns support into a strategic service—not a cost center.
2. Recurring Revenue, Predictable Profit
Unlike one-time customization projects, support contracts offer long-term income. Many resellers create monthly or annual tiers:
Basic: Email support during business hours – Included
Pro: 24/5 support, named agent, quarterly training – $10,000/year
Enterprise: 24/7 support, dedicated manager, full white-glove service – $25,000+/year
Clients are often willing to pay a premium for fast response times, technical expertise, and the comfort of knowing someone has their back—especially during high-stakes rollouts or audits.
Consultative Selling: The Art of the Upsell
1. Needs Discovery, Not Feature Demos
The best upsells don’t happen because a rep pushes a service—they happen because the client realizes they need it.
Resellers need to shift from “selling features” to diagnosing problems:
What systems does your LMS need to talk to?
How will you measure learner success?
Who will be responsible for managing content?
What would failure look like in 6 months?
Every answer reveals a gap. Every gap is an opportunity for a value-driven upsell.
2. Solution Mapping and Roadmapping
Instead of offering everything at once, savvy resellers stagger services across a roadmap. This not only avoids overwhelming the client—it keeps them engaged and buying over time.
Example 12-month roadmap:
Month 0–2: Licensing, branding, basic onboarding
Month 3–5: HR integration, workflow automation
Month 6–8: Custom reporting, analytics training
Month 9–12: Compliance auditing tools, global language support
This turns the LMS journey into a relationship, not a transaction.
The Economics: From $20K to $200K
Let’s say a reseller closes a $20,000 annual LMS license with a mid-size healthcare organization. Here's what a fully optimized engagement could look like:
Component | Service | Revenue |
Licensing | Annual access | $20,000 |
UI Customization | Branding, layout | $5,000 |
Workflow Design | Approval flows, notifications | $8,000 |
HR Integration | API & SSO setup | $15,000 |
Custom Reports | Compliance dashboards | $10,000 |
Training | Admin onboarding & refreshers | $5,000 |
Premium Support | 24/7 SLA, account manager | $25,000/year |
Annual Optimization | Usage review, roadmap planning | $7,000 |
Total Year 1 Revenue: $95,000–$110,000
Add in second-year expansions (new departments, integrations, certifications), and the value of that client easily crosses $200,000 over a 24-month span.
Tactics Resellers Use to Drive Post-License Sales
1. Live Walkthroughs with Custom Demos
Rather than showing a generic LMS demo, top resellers create tailored environments using the client’s branding, org structure, or sample courses. This creates instant relevance—and reveals why customization matters.
2. Free Assessments with Paid Follow-Through
Offering a free “LMS Health Check” or “Adoption Audit” gives resellers an opening to surface issues that paid services can solve. Clients appreciate the insight—and often want help closing the gaps.
3. Client Success Playbooks
Codify what high-performing clients do differently. Share it with new customers. Position support and customization not as extras, but as essential steps to replicating proven success.
Common Pitfalls (And How to Avoid Them)
1. Overpromising Custom Work
Resellers must be careful not to promise any customization without first understanding platform constraints. Some LMS platforms offer limited extensibility. Overselling can lead to delivery nightmares.
2. Underpricing Support
Support sounds simple—until you're fielding 30 tickets a week and burning out your tech team. Charge what it’s worth. Define what’s included. Draw clear lines around response times and escalation procedures.
3. Failing to Train the Trainers
Even the best LMS will fail if admins and instructors aren’t fully onboarded. Training services shouldn’t be an afterthought—they should be part of every package. Better-trained clients stick around longer and need less support.
What Clients Actually Want
Forget feature lists. Clients want:
Confidence that the LMS will serve their business model
Speed in deployment and resolution
Ease of use for both admins and learners
Support from people who get their industry
Insight into how their training programs are performing
Licensing unlocks the system. Customization and support unlock these outcomes.
Summary: Move Past the Sale—Own the Solution
In today’s LMS market, the most successful resellers don’t sell licenses. They sell transformation.
That transformation doesn’t come from software alone. It comes from careful setup, thoughtful customization, hands-on training, and responsive support. These services aren’t optional—they’re the bridge between purchase and success.
Licensing is the door. But what’s beyond the door is where the real value lives.
Resellers who invest in building service capacity, hiring experienced implementation teams, and creating scalable support offerings are playing the long game. They’re earning more per customer, retaining clients longer, and building reputations as partners—not just providers.
The future of LMS resale isn’t transactional. It’s relational. And it’s built on the back of real service.
About LMS Portals
At LMS Portals, we provide our clients and partners with a mobile-responsive, SaaS-based, multi-tenant learning management system that allows you to launch a dedicated training environment (a portal) for each of your unique audiences.
The system includes built-in, SCORM-compliant rapid course development software that provides a drag and drop engine to enable most anyone to build engaging courses quickly and easily.
We also offer a complete library of ready-made courses, covering most every aspect of corporate training and employee development.
If you choose to, you can create Learning Paths to deliver courses in a logical progression and add structure to your training program. The system also supports Virtual Instructor-Led Training (VILT) and provides tools for social learning.
Together, these features make LMS Portals the ideal SaaS-based eLearning platform for our clients and our Reseller partners.
Contact us today to get started or visit our Partner Program pages
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