joel maloff vice president – channel development phone phone jmaloff @phone
DESCRIPTION
Building Y our Business with SIP Trunking and Unified Communications InGate SIP Trunking and Unified Communications Summit February, 2012. Joel Maloff Vice President – Channel Development Phone.com www.phone.com Jmaloff @phone.com. Introduction. - PowerPoint PPT PresentationTRANSCRIPT
Joel MaloffVice President – Channel Development
Phone.comwww.phone.com
Jmaloff @phone.com
Building Your Business with SIP Trunking and Unified
Communications
InGate SIP Trunking and Unified Communications Summit
February, 2012
IntroductionChannel Sales Partners can
generate significant income selling SIP trunks and Unified CommunicationsThis session takes a sales and
marketing perspective, and specifically, the view from the independent agent.
This presentation contains some material covered in more detail in the online program “SIP Trunking for the Sales and Marketing Professional,” available from The SIP School (www.thesipschool.com).
Building Your Business OverviewSIP Trunks and UCChannel Sales Opportunities
What to look for in a SIP Trunking, Hosted PBX, and/or Unified Communications Channel Program
Identifying YOUR SIP Trunking “Sweet Spot” and what to avoid
Interpreting the customer’s Status QuoUncovering areas of added value
Creating a cost justification/ROI model
Overcoming ObjectionsClosing the SaleKeeping the Sale
SIP Trunks and UCUnified communications
includes mobility, presence, web conferencing, a variety of other solutions, AND voice communications via SIP trunks.SIP trunking is therefore
a subset of the unified communications umbrella.
SIP Trunks and UCUnified Communications can be
multifaceted, complex and confusing to potential buyers.That’s bad for sales.
By focusing on specific benefits and documented ROI, your chances for a sale go up.
SIP trunking can provide the substantiation you need!
Channel Sales OpportunitiesSIP Trunking, Hosted PBX, and Unified
Communications are young industries.Most service providers are less than five
years old.Channel programs are only just now
beginning for these services and the models vary widely.
Channel Sales OpportunitiesWhat to look for in a service provider
Strong existing reputationComprehensive suite of services that address
YOUR marketplaceCompetitive pricingLow customer churn rateClear partner compensation programInteractive web-based tools for partners
Channel Sales OpportunitiesWhat to avoid
Organizations with a limited track record in these specific services
Bias towards specific technologies“Only a Broadsoft-based service provider is worth
considering.”Base your decisions on demonstrable evidence
rather than speculation.There are many excellent alternatives and no one
technology has all of the answers in terms of features, quality, and cost effectiveness.
The SIP Trunking “Sweet Spot”
Each ITSP is different.What is your partner’s
“sweet spot”Number of concurrent
calls?Number of locations?Minimum current
telephone bill? Number of PRIs total
and/or per location?
The SIP Trunking “Sweet Spot”
Number of minutes per month? Incoming?Outgoing?
Local, domestic long distance, international?
Inbound Toll-free?Specific vertical
industries?Specific geographies?
The SIP Trunking “Sweet Spot”
• As a sales organization, knowing who and where to target can be the difference in making your numbers or failing to perform.
Interpreting the Status Quo
Reviewing an actual customer bill for cost savings
Identifying areas of “soft” savings
Finding Added ValueConsolidation of
officesCreation of “Virtual”
presenceDomesticInternational
Cost Justification and ROIIt is easy to assert
cost savings; it takes work to prove it.
“Hard” cost savings come from three primary areas:Usage sensitive call
chargesFixed price services (PRI,
DSL, local exchange lines, et al) used for voice services
Cost Justification and ROIFees and Surcharges
EUCL The End User Common
Line (EUCL) charge is a federally regulated monthly service charge applied to certain local voice service offerings.
RCRF The Regulatory Cost
Recovery Fee (RCRF) Imposed by some
carriers on business and residential long distance customers
used to recover costs associated with Federal regulatory fees imposed upon these carriers.
Others
Cost Justification and ROICalculating potential
savingsUnderstand current costs by
examining a current bill if possible.Try to make sure that it is a
representative month and not an anomaly.
Identify usage charges and their breakdown regarding local, domestic long distance, and international.
Identify fixed monthly charges for PRIs, DSL, and surcharges.
Cost Justification and ROISome vendors do offer ROI tools for SIP
trunking.http://www.xo.com/forms/campaign/External
Sales/ESIPCalcLP/index.aspx?ListSource=PressRelease071510
Unfortunately, the level of detail may not be sufficient for you – unless you are a salesperson for that company!
Cost Justification and ROIWhat are the challenges with “overview”
ROI tools?Total Number of employees
Minimum of 50Number of Physical Locations
Minimum of 5Percentage of Inter-company callingAsserted savings is 38%!
What is missing from this picture?
Cost Justification and ROIType of Calls: # Calls
Durationin Minutes
Average Call Duration Current Carrier A Current Carrier B Current Carrier C
YOUR Cost/Minute
Carrier ATotal
Carrier BTotal
Carrier CTotal
YOUR Total
Direct Dial Interstate 68,247 104,953 1.54 0.0201$ 0.0500$ 0.0180$ 0.0140$ 2,110$ 5,248$ 1,889$ 1,469$ Direct Dial Intrastate 1,419 1,693 1.19 0.0840$ 0.0490$ 0.0490$ 0.0140$ 142$ 83$ 83$ 24$ Toll-Free Interstate 2,257 4,731 2.10 0.0201$ 0.0150$ 0.0180$ 0.0140$ 95$ 71$ 85$ 66$ Toll Free Canada (call from Canada) 987 2,381 2.41 0.1950$ 0.0490$ 0.0490$ 0.0180$ 464$ 117$ 117$ 43$
International from U.S.:United Kingdom 3,216 4,900 1.52 0.0300$ 0.0300$ 0.0300$ 0.020$ 147$ 147$ 147$ 98$ Japan 1,068 1,777 1.66 0.1381$ 0.0556$ 0.0400$ 0.045$ 245$ 99$ 71$ 80$ Hong Kong 310 408 1.32 0.2100$ 0.0509$ 0.0600$ 0.040$ 86$ 21$ 24$ 16$ Singapore 210 287 1.37 0.1400$ 0.0675$ 0.0400$ 0.036$ 40$ 19$ 11$ 10$ Brazil 93 138 1.48 0.1380$ 0.0503$ 0.0400$ 0.050$ 19$ 7$ 6$ 7$ Australia 63 96 1.52 0.2190$ 0.1520$ 0.0700$ 0.041$ 21$ 15$ 7$ 4$ Norway 39 39 1.00 0.2190$ 0.1363$ 0.0500$ 0.040$ 9$ 5$ 2$ 2$
USAGE SUMMARY # Calls Durationin Minutes
Average Call Duration
Carrier A Total
Carrier BTotal
Carrier CTotal
YOUR Total
Total Direct Dial Domestic 72,910 113,758 1.56 2,347$ 5,402$ 2,057$ 1,559$ Total International 4,999 7,645 1.53 567$ 313$ 268$ 217$
Total Inbound Toll Free 3,244 7,112 2.19 464$ 117$ 117$ 43$
TOTAL MONTHLY USAGE 81,153 128,515 1.58
MONTHLY COSTS 3,378$ 5,831$ 2,442$ 1,819$
PROJECTED ANNUAL USAGE 973,836 1,542,180 ANNUAL
COSTS 40,536$ 69,972$ 29,306$ 21,830$
SIP Trunking Customer Usage Analysis
Cost Justification and ROICalculating potential costs
Identify fixed monthly charges for PRIs, DSL, and surcharges.
Calculate the number of SIP trunks (concurrent calls) and Internet bandwidth required using the spreadsheet on the next slide.
Cost Justification and ROI
Dedicated Circuits Type Bandwidth Number Number of Voice Channels
Monthly $$ Total Monthly
PRI 1.5 mbps 1 23 450.00$ 450$ T-1 1.5 mbps 1 CODEC Dependant 300.00$ 300$ E-1 2.048 mbps 1 30 -$ DSL 512 kbps 0 -$
SIP Trunks CODECBW per call (kbps)
Concurrent Calls
Total BW Required (kbps)
MRC Per SIP Trunk Total MRC
G.729 50 7 330 20.00$ 132$ G.711 80 7 528 20.00$ 132$
SIP Trunking Customer Fixed Cost Analysis
Cost Justification and ROICalculating potential savings and value
Include all costs for all solutionsConsider surcharges and fees such as EUCL
(Approximately $40 per PRI or T-1 monthly) and RCRF (Approximately 3.5% of all domestic and international calling charges)Most ITSPs do not include EUCL and RCRF fees.
Show the monthly total costs, percent saved via SIP trunking, and the estimated annual savings.
Cost Justification and ROI
Carrier A Carrier B Carrier C YOUR SIP Trunking
450$ 450$ 450$ 300$ N/A N/A N/A 132$
3,378$ 5,831$ 2,442$ 1,819$ 159$ 244$ 126$ -$
TOTAL MONTHLY FEES 3,987$ 6,526$ 3,018$ 2,251$ Percent saved by SIP Trunking 44% 66% 25%ANNUAL SAVINGS VIA SIP TRUNKING 20,826$ 51,292$ 9,203$
Monthly Recurring Line ChargesMonthly Recurring SIP Trunk FeesAverage Monthly Usage ChargesAverage Monthly Surcharges and Fees
Total Cost Comparison
Cost Justification and ROISimple tools provide simplistic answers;
business is complex today!
If you want to deliver quality to your prospects, preparation is in order; they will welcome your expertise!
Overcoming ObjectionsConceptual
Internet Telephony is here to stayAT&T asks the FCC to allow shut-down of their
traditional PSTN services in favor of IP Telephony.“… the VoIP access and SIP trunking services market
will continue to build on its downturn-defying 40.1 percent growth in user base and 22.3 percent growth in revenues in 2009.” (North American VoIP Access and SIP Trunking Services Markets, Frost & Sullivan, April 2010)
Overcoming ObjectionsTechnicalFinancialEmotional
Closing the SaleASK FOR THE
ORDER!!!Make it easy.Make it simple.Make it painless.
Keeping the SaleMinimize churn!
Keeping and growing existing customers is more valuable than new sales.
The salesperson’s job is NOT done when the service agreement is signed.Ensure that service is delivered
as sold and when promised.Maintain regular contact to
avoid unexpected churn, expand existing services, obtain referrals, and solicit testimonials.
ConclusionsSuccessfully selling SIP trunking, hosted
PBX, and unified communications services requires a combination of good old fashioned sales skills and knowledge of the SIP trunking environment beyond just surface information and platitudes.
Customers NEED these solutions – you need to be able to help them make the buying decision from you!
For More InformationJoel Maloff, Maloff NetResults
The SIP Schoolwww.thesipschool.com