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Unknown Transformation

As part of its regular coverage of telecom and IT channels, Channel Partners covers the transformation of channel business models. This blog includes entries from its ongoing coverage, including case studies of partners in transformation.

The Transformation of Voice Smart Networks - Part 1

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Dale Stein VOICE SMART NETWORKS
Transformation leader: Dale Stein, Partner
Number of employees: 14
Year established: 1982
Original transactional business model: Telecom VAR selling phone systems; subagent
Post-transformation business model: Managed service provider, data/voice VAR

How has your company moved beyond transactional sales models?

We work with Do IT Smarter, Zenith as our outsource platform, reselling their services to our marketplace, coupled with diagnostic LAN/WAN products and services. We manage the customer’s technology through the LAN, WAN, voice and data networks.

Why did your company begin its transformation away from transactional sales?

We made the decision when we realized the value of recurring revenue and how it allows us to provide better service to the end-user. We started by selling managed services for the phone systems and found that model worked even better for the data services.

When did your company begin its transformation away from transactional sales?

Five years ago, 2006-2007.

How complete is your company’s transformation? Right now transactional sales represent about 20 percent of our business. The rest is nontransactional.

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