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“Peter possesses a keen sense and insight for turning telecom services and products into customers and dollars. He is passionate about this industry, his work and the people he serves. Visit his site, read his blog and sign up for his newsletter at marketingideaguy.com and you will discover what makes Peter a sought after marketing consultant.”

Cynthia de Lorenzi, CEO, Patriot Computer Group

Mammoth Surpasses 21,000
NSP Strategist
Friday, 16 July 2010 10:01
One of the sessions at the FISPA event in Tunica, Miss. last month was a session by Brian Worthen, CEO of Mammoth Networks, a CLEC that started in the dial-up days. I think more attendees should have sat in on the session because Brian spoke about keeping ahead of the wave. I guess he is doing that. "Mammoth Networks, a facilities-based aggregator of fiber and data circuits, today announced that

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Too Many Terms (Mini Glossary)
On Rad's Radar
Friday, 16 July 2010 10:00

I use a lot of terms in my writing. I figured I would explain a few of them today, since someone asked nicely.

Agent is a member of the Indirect Channel. Also called a channel partner. An agent is an independent sales person for the carrier or vendor. Agents get paid a commission for closed sales. Agents may or may not work through a Master Agent. A Master Agent gets a big contract with a carrier, so that other agents can sell off it and get paid. Today, Master Agencies need to be more like the back-office partner for independent agents, so that the indie agent can just sell and stay in front of customers, without having to jump through a thousand hoops to place a single MIS order. (Do you hear me Ma Bell?)

VAR's are value-added resellers. Originally, this meant folks who built computer systems. Now, it means the company that you buy your computer and network hardware from, who also do maintenance, installation, and other value-added services, like back-up, hosting and more.

Managed Services are anything that you outsource like computer maintenance, router monitoring, IDS/firewall monitoring. MSP World at ITEXPO in October in LA will showcase some of the most progressive MSP's in North America. This show is in run by MSPAlliance. (MSPMentor writes about everything MSP. The VAR Guy may say VAR, but the blog leans towards Managed Services, probably because they are both owned by the same media company).

SI's are systems integrators. In the days when Novell was tops (and believe me nothing could stand up to Novell 3.12 server), SI's were the guys that would take various databases and systems and tie it all together. So if you were migrating from IBM DB2 to MySQL and adding web capability, you would get an SI. I guess today, they are web dev folks or consultants or something else because I haven't seen anyone call themselves an SI in a while.

In the CLEC world, a reseller is a company like Access2Go or PNG. These companies just rebill circuits from other carriers. PNG used to be Qwest's biggest wholesale customer and Access2Go resells AT&T.  GTT is being called an VNO - virtual network operator - but it just rebills circuits. 

Tech Data, Ingram Micro, CDW, ScanSource, NETX are distributors of hardware. You want Cisco gear, you can't get it directly from Cisco. You have to buy it through a distributor. The distributor is the one-stop shop for the build-out: phones, switches, cables, widgets, router, IAD, licenses, etc.  VARs and MSP's (and MCP's) all buy from distributors.

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5 Prospecting Ideas
On Rad's Radar
Friday, 16 July 2010 07:01

Steve Cadley, the Salesologist from Cadley Consulting, and I discuss 5 prospecting ideas for businesses. The first key step is to define who your target is. It might be beneficial to make a list of the top 50 companies that you would like to be your customer. 

Next, clarify the value that your service will bring to that prospect. That value should be tied into the target market. 

Performing these two steps helps you disqualify prospects and to create a laser beam of an elevator pitch.

Then you are ready to use the 5 tips for prospecting: LinkedIn, social networks search, Google Alerts, Classified Ads, and the old fashioned door knocking and cold calling.

Remember that people buy from people and they buy emotively. 

Do some research on your prospects to be better informed.

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MIS, DIA, P2P and MPLS Flat Rates
NSP Strategist
Thursday, 15 July 2010 06:09
LOCATIONS WITHIN 50 MILES OF POPIP T1 (also called DIA, Internet-T1 and MIS-T1) is $475Add $33 for Managed Router for IP T1 only (not bonded) MPLS T1 is $550Add $33 for managed router for T1 only (not bonded) LOCATIONS BETWEEN 51 AND 100 MILES OF POPIP T1 is $606Add $33 for Managed Router for IP T1 only (not bonded)MPLS T1 is $656Add $33 for managed router for T1 only (not bonded)NATIONWIDE RURAL

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Things are Round and Round
On Rad's Radar
Thursday, 15 July 2010 06:04
As one door closes, right? Well, WISPA is putting together a deal with DirecTV so that it's mainly residential wireless ISP base can grab some cash switching people from cable TV and Internet to fixed wireless internet access and satellite TV - kind of a cut the cable promotion. 

It used to be that independent ISP's had to worry mainly about the ILEC, but in the residential (consumer) market, the worry is cable - Comcast, Cox, TWC, BrightHouse, CableVision and Charter.

The funny thing is that some of the MSO's are collapsing their wholesale division. Just like the ILEC's, the MSO's don't really want someone else to own the customer. So even as Charter opens up its wholesale cable modem program to FISPA members, I have to wonder how long it will be in existence.

Channel Partners Expo in Boston in 2008 when the cable guys were all lined up on a panel handing out crumbs of info about their newly developed channel program, all anyone wanted to know was how much commission and would there be an added spiff. What the agents in attendance did not hear was how this was just a test. Spin ahead 2 years to see that the cable guys are in fact cancelling contracts and consolidating with a few master agents. 

First the ILEC's get you. Then the MSO's get you. Telecom is all about short term gains and not understanding that "Partner" means for now. You aren't Mr. Right, you are Mr. Right Now. What can you do for me now?

It's worse than dating, except that less chance of catching an STD in telecom. But it may sink your company when you bet on commissions that don't get paid because of a change in program.

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Tips for Virus Removal
NSP Strategist
Wednesday, 14 July 2010 10:41
You probably get a couple of help desk calls from virus or malware infected machines. TechRepublic has a blog post with 5 tips.

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So You Want Agents to Sell Your Stuff
On Rad's Radar
Wednesday, 14 July 2010 09:57

Many companies come to me for Channel Consulting. Either they have an Indirect sales channel that isn't working or they want to start using that free sales team called the indirect agent.

The Indirect Sales Channel has appeal because they don't have a recurring cost until they sell something. No salary, benefits, office furniture, lease, car allowance, cell phone, utilities, etc.

However, you do have to have Channel Management and Support. 

You also have to choose your agents carefully. Having hundreds of agents is expensive to manage and Pareto's Rule applies everywhere. (It's 20% of your agents will bring in about 80% of your deals.)

Sales is still sales even Indirectly.  Agents have to have a Passion, Enthusiasm or at least a Belief that your product or service will benefit their customer.

That's the other pitfall. Agents want to own the customer. And they want to get paid a commission for as long as the customer is using your service. (Or they will turf them).

You need to ask yourself:

  1. What is your company's pitch to Agents? Why should they sell your stuff?
  2. What's your special sauce? (Why you and not your competitor?)
  3. Where's the value in selling your services (besides the "added revenue")?
  4. Why would the Agent's client base want your service?
  5. What do Agents get out of this? (Or how much do agents get paid for selling this?)
The other side of the coin is what does your channel support look like.
  • Is there training about your service?
  • Is there technical and sales training?
  • Is there a demo account available?
  • What's the USP?
  • What collateral do you have ready?
  • How will the Agent get quotes, contracts, SLA's and other paperwork?
  • How will the Agent know that his leads won't be used by the direct team?
  • How do you handle Channel Conflict?
  • What will the provisioning process look like? How will the client and agent be kept informed during this process?
  • How will the Agent know his commissions?
  • Is there an Escalation list?
  • What does the Back Office look like?
Just a few of the things to think about as you decide to design an Indirect Channel. Contact me if you need help working through these issues.

Read more... [So You Want Agents to Sell Your Stuff]
 
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