Master Agent KeaneTel has expanded beyond telecom and Internet into deregulated energy services. KeaneTel’s agents, both existing and those signed under KeaneTel’s new “Cap & Trade” agent program, will be able to sell deregulated electricity and natural gas services to their business customers. This program, which recently completed alpha and beta testing, is fully released today, two months ahead of schedule.
“I am delighted that KeaneTel is a leader in this market expansion for our agents,” said Pete Keane, CEO of KeaneTel. “Telecom is a difficult business and to be able to provide agents the opportunity to expand their sales to their customers in five-to-ten-fold increments, simply by broadening the offerings we have for them is a major breakthrough for our industry. We have found during the test period that the close rate is over 80 percent. More importantly, getting top decision makers engaged is far easier than getting to telecom decision makers. So the sales cycle is shortened dramatically. What is most amazing to me is the size of the market. Businesses we wouldn’t call on for telecom such as independent restaurants, hotels and small schools and churches, spend vast sums on these services. We are getting telecom sales as a pull through from the energy sales. It’s a great tandem sale that really has grown our market.”
The Energy Division product portfolio is based on two service types that allow KeaneTel to provide these services to customers of all sizes. The first type is “Fixed Rate” electricity and natural gas. In this service type, the customer signs a term agreement and receives guaranteed rates for the term. This eliminates the potential ups and downs inherent in the volatile energy market. Generally, customers choosing Fixed Rate services spend more than $10,000 per month. Agent compensation is a percentage of the margin.
The second service type is Variable or “Index Rate” electricity service. In this model, the customer is shown a savings relative to the incumbent provider. There is no term or commitment for the business customer. This structure is available to customers of all sizes. Variable rate natural gas is scheduled to be released later this spring. Variable rate services are paid a fixed dollar amount per Kilowatt Hour (KWH) or Decatherm (DTH).
Agents earn these commissions while KeaneTel provides the complete back office to support them. Sean MaGrann, one of the KeaneTel Agents in the beta test said, “This is like taking candy from a baby! I find the opportunities, have the customer sign the LOA and give me a bill copy. I send it to KeaneTel. KeaneTel processes the numbers, generates a beautiful, easy to understand customer proposal with multiple supplier options for the customer to choose from, and they provide me the ready to sign customer paperwork. I then bring it to the customer who signs and I get paid! My average sale is over $2,000 in commissions. My sales cycle is days, not weeks or months!”
KeaneTel energy division products are immediately available for sale in all deregulated energy states.