Peter : On Rad's Radar?
Peter
| Peter Radizeski of RAD-INFO, Inc. talking telecom, Cloud, VoIP, CLEC, and The Channel.

commissions

Losses and Growth

May 10, 2011

The only thing really growing is debt.

Clearwire grew revenue but also its losses.

PAETEC finished swallowing CavTel to get to ~$2B in revenue but with losses. And with just 54,000 business customers. (Cbeyond has more than 58,000). Margins are 18.4% according to Rob Powell.

Centurylink is getting hit with a lot of access line loss which is adversely affecting its revenue.





VZ One Year

April 11, 2011

A Failure to Communicate

April 6, 2011

In the Agent space, many non-telco vendors (like Conferencing and Hosted PBX providers) have tried to get traction. Sales traction from this independent sales force. It isn't going well.

Agents (and VAR's) spend about 80-99% of the work week in the comfort zone. That is, doing what they have always done.

VARs are Replacing Agents

April 3, 2011

In an article in Channel Partners magazine, Master Agents discuss how all their future growth will come from VAR's. Carriers are chasing VAR's for any growth in Channel numbers. Where does that leave the Agents?

Well, Agents can partner with VAR's to be the telecom provisioning department. Or Agents can start getting uncomfortable or irrelevant.

Exam the fact that most Agents do not want to sell cellular.



What is a Master Agent?

March 30, 2011

A buddy of mine and I have been having a conversation for about a month about Master Agencies. We are trying to decide if there is a standard definition for the term.

Generally, a master agent has direct contracts with carriers. These typically come with hefty quotas; hence, why they need sub-agents.

Master Agencies generally perform back office support for the sub-agents.



Citrix Cash Machine

March 8, 2011

How Important is Retention?

February 27, 2011

For service providers who understand the cost of customer acquisition, retention is an important metric. In fact, Wall Street calls it churn. It has to remain under 2% to be considered under control.

For agents, retention is just as important.

2011 Will Be Tough

February 7, 2011

Several Carriers have notified agents that in 2011, they will be "managing to their contracts". "Some Carriers are having monthly reviews with their Contract Divisions to see which Agents are not meeting their obligations. While most Carriers were open to allowing Agents to roll their bases under a Master in 2010, we are seeing this to be a lot more difficult in 2011."

I would take this as a heads-up to review your own contracts to see what you need to do to secure your commission streams in 2011.

Verizon Changes Commissions

January 31, 2011

Shockingly, Verizon has dramatically changed their commission structure for 2011.

The changes are effective for all orders issued into Verizon's legacy system after 1/1/2011.

Commissions have moved from a Residual and Acquisition structure, to an all Acquisition (up-front) structure.

Commissions for all products will be capped, being paid as if they were 1-year-term deals.

Changes in Customers, Changes in Attitude

January 30, 2011

In an article by Gary Kim, Matt Bramson, Inphonex chief marketing officer, sais some interesting things about telecom sales to SMB.

Bramson suggests that "People also increasingly are comfortable configuring their own solutions and are used to getting support from user communities. ...

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