The Future of Ooma: Expansion, Customization, and Channel Partners

Kathy Mazza, Head of Channel Sales for Ooma, provides an optimistic look at the company’s position in the communications industry, highlighting its growth and ambitions. Having been with the company for just 13 days at the time of our in-person interview, she brings a fresh perspective, informed by her previous experience in the channel.

According to Kathy, the road to success in the channel is not a straight path. It requires consistency, visibility, and a significant investment before reaping substantial returns. “You need continuity in booths and people to see staying power when looking to add channel partners,” she noted.

Betting big on its strategy, Ooma continues to invest heavily in the channel. “Ooma is up and to the right in the channel,” Kathy exclaimed, pointing out that the company is still actively hiring. After four years in the channel, Ooma sees itself as ideally positioned for the current market dynamics.

The company has built a suite of services, including its API-enabled POTs replacement, AirDial, with sophisticated management features. Kathy highlighted the company’s two-year roadmap, pointing to the impending decommissioning of 25% of POTs lines by 2025, as a significant opportunity for Ooma. The company is also targeting the under-served hospitality market for its UCaaS offerings.

Kathy Mazza

In Kathy’s view, the success of Ooma’s channel strategy lies in keeping things simple and planning for success. The company has ‘overbuilt’ for channel growth to avoid missteps and ensures a consistent message. This approach seems to be bearing fruit, with PCMag rating them best for ten consecutive years.

Financially, she explained, Ooma is in a strong position as a publicly-traded company with no debt, a $200M run rate, and profitability. “It is an interesting time when the competition has seen massive growth at all costs,” Kathy observed. Unlike some competitors, Ooma has pursued strategic growth and focused on hiring the right people.

She highlighted Ooma’s ability to cater to large customers through customization. Recently, a new customer with 75k seats was added, with expectations of growing to 200k seats. This expansion will extend Ooma’s reach from 22 to 40 countries, potentially reaching 100 countries.

Kathy emphasized Ooma’s commitment to its partners and customers, stating, “We want to look like rockstars and deliver a solution that works.” The company not only ports numbers for customers but also helps their partners stand out. For instance, one partner is installing 500 AirDials, a move expected to save their customer millions, boost sales, and enhance their reputation.

Ooma offers its solution to partners under the Ooma brand but also provides white-label solutions. They work to create customizable programs that are mutually beneficial for them and their partners.

Starting as a residential-focused company, Ooma has expanded to small businesses with Ooma Office and now to mid-market enterprises with Ooma Enterprise. The company’s consumer segment continues to grow at 2-3% per year. With approximately 2.2M endpoints, Ooma is reinvesting its profits in Ooma Enterprise and AirDial.

Kathy concludes with an open invitation to potential partners, “Bring us an opportunity to see what we can do. This is a huge opportunity and exciting time for partners.”

Visit Ooma in their booth at the ITEXPO #TECHSUPERSHOW Feb 13-15, 2024, Fort Lauderdale, FL.


Aside from his role as CEO of TMC and chairman of ITEXPO, Rich Tehrani is CEO of RT Advisors and a Registered Representative with and offering securities through Four Points Capital Partners LLC (Four Points) (Member FINRA/SIPC). RT Advisors is not owned by Four Points.

RT-Advisors continues its mission of assisting tech companies in M&A and capital raising using our unique tech media background and relationships to aid companies to optimally position themselves. In addition, as of late we have been increasingly assisting fast-growing tech companies in obtaining non-dilutive capital. Please let us know if we can be of assistance. The above is not an endorsement or recommendation to buy/sell any security or sector mentioned. No companies mentioned above are current or past clients of RT Advisors.


 

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