Scores of resellers flock to ISDN scrappage scheme

Channel Telecom boss Clifford Norton says scores of resellers are already taking advantage of his company's ISDN scrappage scheme launched last month.

Under the initiative, Channel will pay partners £1,000 for migrating a customer over to Ethernet lines, payable on a 36-month lease. The partner can choose to keep the cash or pass it onto their customers to incentivise them to make the change to a hosted or Cloud infrastructure.

"Since we started marketing the scrappage scheme scores of partners have signed up and we have had an equal number of enquiries from companies wanting to know more," said Norton.

"It may be perceived as a clever marketing ploy to get reseller customers to scrap their ISDN set ups, but there are many other clever things built into the process which partners may not have yet grasped.

"For starters, we don't just add the £1000 on to the end of the lease. We achieve the savings by paying the ISP/carrier in advance, so the 36-month contract is paid up front offering a saving of £1000 off the initial price.

"Also, due to the discounts we can get, the customer can buy the three-year lease at pretty much the same price originally quoted by the partner, who then gets all the profit paid up front. The partner can still charge the customer for all other services used over their Ethernet, like hosted, SIP and many other Internet based applications, but on 30 day rolling contracts. This means the partner is not held to long term contracts if the customer's business was to fail."

"One of our reseller partners made £11,000 upfront from their first deal under the scrappage scheme and was then able to put £5,700 worth of kit into the customer's premises and, through us, bill monthly for the hosted licenses and any calls outside the package," added Norton.

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