If Your Customers Don’t Fully Use Your Security Controls… Then You’re Leaving Revenue, Retention, and Trust on the Table
By Brian Waltermire (originaly published on Linked in here)
Why Cybersecurity Solution Providers Partner with DLT Instead of Static Warranties or Self-Insuring
Summary
Cybersecurity buyers don’t just want protection anymore. They want proof.
Many cybersecurity solution providers—across endpoint, MDR, identity, and platform security (often referred to as OEMs)—are exploring warranties to deliver that proof.
But most approaches fall short:
- Static warranties don’t change behavior
- Self-insuring introduces risk and complexity
DLT offers a better path:
A live, embedded warranty system that rewards strong security posture, increases product usage, and transfers 100% of risk off your balance sheet.
This isn’t just a warranty. It’s a behavior and revenue engine built into your platform.
The Problem No One Talks About
If your customers:
- Deploy your EDR but don’t cover every endpoint
- Turn on MFA—but not for all users or admins
- Leave MDR policies in “monitor only” mode
- Underuse identity protections and privilege controls
Then:
- Your platform looks less effective than it actually is
- Your customers remain exposed
- Your expansion revenue never materializes
And the real issue is:
You have no system in place to make customers fully use what they already bought.
Why Most Warranty Strategies Don’t Fix This
Many providers try to solve this with warranties.
But here’s the truth:
If a warranty doesn’t change behavior… it doesn’t create value.
Static Warranties
- Same coverage no matter how controls are used
- No link to real security posture
- No incentive to improve
- Customers fall out of policy adherence and don’t know it
Result: A marketing feature—not a growth driver
Self-Insuring (Building It Yourself)
- You take on direct financial risk
- You need actuarial models and claims infrastructure
- You introduce liabilities onto your balance sheet
- You drift into insurance complexity
- Real risk for M&A valuations
Result: More risk, more overhead, less focus on your core product
The Shift: If You Change Incentives, You Change Behavior
DLT introduces a simple but powerful model:
If stronger security posture = stronger financial protection… customers will improve their posture.
The DLT Behavior Loop + Coverage Engine
This is where everything changes.
If you can measure posture…
DLT integrates directly with your platform (OEM-level integration) and reads:
- Endpoint coverage (are all devices protected?)
- MFA enforcement (all users, all admins?)
- Identity protections (conditional access, privilege controls)
- Policy enforcement (are protections actually active?)
Then you can reward it…
- Strong posture → higher coverage
- Gaps in controls → reduced coverage
And if customers can see it…
They receive real-time feedback:
- “You’ve unlocked higher protection”
- “Enable this control to restore coverage”
Then they act
Because now:
Financial protection is directly tied to their security posture
Which creates the loop
Better Posture → More Usage → Better Outcomes → Higher Retention → More Revenue
What the Market Already Shows (CrowdStrike)
One of the first cybersecurity providers to introduce a warranty model was CrowdStrike.
What they demonstrated:
- Customers received stronger protection when they adopted more controls
- Expanding into identity protection increased coverage
At the same time:
- Strong ROI (300%+ in public studies)
- High retention
- Growth in add-on modules
The Lesson
When financial protection is tied to stronger security posture… customers adopt more and stay longer.
Where DLT Goes Further
CrowdStrike proved the concept.
DLT turns it into a real-time, always-on system for any cyber solution provider.
If coverage adjusts continuously… customer behavior improves continuously.
What This Means for Growth
If you deploy a dynamic warranty layer… then you can expect:
More Deals Closed
- +5% to +15% increase in close rates
More Complete Deployment
- +10% to +25% increase in:
More Revenue Per Customer
- Increased upgrades into higher-tier offerings
- Broader use of your platform
Stronger Retention
- +3% to +10% improvement in renewal rates
Fast Payback
- Typically 6–12 months
The Risk Question (And Why It Stops Most Providers)
The hesitation is simple:
“What happens if we offer financial protection and something goes wrong?”
If You Self-Insure
- You risk catastrophic loss
- You need capital reserves
- You manage claims and volatility
If You Partner with DLT
- Risk is transferred to A-rated reinsurance partners
- You carry zero balance sheet exposure
- Payouts are made immediately and business continuity becomes a result of your warranty
If you remove the risk… the decision becomes clear.
Why This Matters for Platform Leaders
If you lead product, revenue, or partnerships:
You don’t just want customers to:
- Buy your licenses
You want them to:
- Fully deploy EDR across all endpoints
- Enforce MFA across all users
- Activate identity protections
- Use MDR policies as designed
If customers fully use your controls… your product performs better—and your business grows.
How to Launch This (Today)
If you have telemetry… you can do this now
- Integrate at the product level (OEM/API connection)
- Define what strong security posture looks like
- Tie coverage directly to those controls
- Activate for customers
DLT handles:
- Continuous monitoring
- Incident validation
- Claims and payouts
The Big Shift
- If security posture is optional → usage is incomplete
- If usage is incomplete → outcomes suffer
But:
If security posture drives financial protection… behavior changes immediately
Your platform already has the controls.
The gap is usage.
If you want customers to fully use your security platform—and drive more revenue because of it—you need a system that rewards strong security posture in real time. DLT is that system.
