MegaPath to Roll Out All-New Partner Program

Following its merger with Netifice Communications Inc., MegaPath Networks Inc. is set to roll out its all-new MegaPath Partner Program July 1.

The merger, which closed May 11, creates what may be the largest independent provider of managed VPNs. The company will operate as MegaPath from headquarters in Costa Mesa, Calif.

In an advance interview with the company’s senior vice president of sales, Dan Foster, PHONE+ found out some details about the new partner program, which was soft-launched to key partners at the end of May.

Foster says MegaPath has about 80 agents, 10 master agents and 550 referral partners. Those are the numbers just for legacy MegaPath, but he says there was a fair amount of cross-over between the merged companies.

The partner program includes three tiers. The Referral Partner Program includes referral partners who earn upfront bounties and/or spiffs. The Advantage Partner Program, which MegaPath has been operating for some time, includes traditional independent agents earning monthly recurring commissions. The Master Partner Program is geared to the top 10-15 percent of producers who earn monthly recurring commissions.

Foster says a Virtual Broadband Carrier Program also is available for white-label by companies that want to extend their footprints or to master agents that want to bring billing and support in house. “It does allow us to grow with the partners distribution model itself,” says Foster.

Significantly, the company is moving to a pay-for-performance compensation model. “It’s not just about how much you are going to book with us over time; it’s about how much momentum you create in the marketplace on an annualized basis,” says Foster. “What we want to see is rapid growth and we are willing to pay for that.”

In contrast to the typical model of achieving X revenue level to attain X percent commission, MegaPath will be compensating based on quarter-over-quarter sales growth. At press time, the thresholds were being determined.

Another key component of the new program is a completely revamped Pathways Portal, the company’s partner extranet. In addition to all-new branding, Foster says the code had been rewritten to include order-entry, order status, prequalification and quoting capabilities that were previously not available. Foster explains, for example, that a partner can order DSL service and add on the new SecureConnect managed security services automatically. Further, he says, partners will be able to do moves/adds/changes/deletes from the portal.

MegaPath also will be launching a new Webinar series in third quarter to train agents on the new portal and its new products, the first of which is the SecureConnect managed security service, which also will be rolled out July 1 (see story). The company also is holding a workshop at the Fall 2006 Channel Partners Conference & Expo.

MegaPath Networks Inc.

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