The PSTN switchover should be capitalised on as a prime opportunity for the Channel to help their customers meet their wider needs, according to Dr Lucy Green, founder and managing director of Larato.
Green added that channel partners can assist their end users in the move to all-IP at the same time as providing them with the other key services they require. But, she also cautioned that they would only be able to achieve this if they took the right approach to selling it to the customer.
One of the key trends that Green has noticed in the last six months is that while many buyers are putting aside budget, they aren’t confident about spending it because of the risk of disruption to their business and the data security risk of making the switchover to all-IP. But she said that provided the transition is done properly, with a thorough risk assessment beforehand, it shouldn’t be a problem for them.
“Some buyers still haven’t got their heads around the fact that when they transition it has the potential to impact many different parts of their organisation. There remains a perception everything will just get switched over and it will be okay,” said Green. “In some cases, it will, but in others it won’t. This is a big opportunity for the Channel to help them make the move across, while being conscious that security risk and risk to the operations are at the top of their minds.”
Within her own company’s research, Green has also seen a shift in the perceived value of fixed and mobile connectivity. She said that in terms of value, now companies view fixed and mobile equally, with increased demand for a fixed line with a mobile back-up, mobile with a fixed line back-up, or mobile with a mobile back-up.
“This presents a huge opportunity for resellers to have a conversation with their customers who haven’t switched yet and talk them through the pluses and minuses of having fixed line and mobile together,” said Green. “That’s particularly true of small retailers who rely on payment machines for their businesses.”
Shift to mobile
Green has also observed a significant shift towards mobile as the switch from fixed line to IP is still an unknown for many people. Anecdotally, she recently heard this at a business breakfast event, where many companies that haven’t made the switchover indicated they were more interested in mobile than fixed line.
Feeding into this, Green said many small businesses that have decided to go down the mobile route will go directly to the big phone companies, as borne out by her own findings. Yet, she said the research also found that they wanted a provider that truly understands their business, which many of the large phone providers don’t.
“Asked what their propensity would be to switch provider if they had a local expert who could talk to them about their needs and support them, 36 per cent said they would,” said Green. “Essentially, what they are looking for is someone who can help them understand what they have currently got and what they need going forward.”
Invaluable expertise
The biggest hurdle for channel partners to overcome, however, said Green, is buyers being suspicious that they are trying to sell them something they either don’t want or need. But by proving to them that they understand their business and can provide a solution for their needs, she said they can position themselves as an invaluable partner.
“There’s a tremendous commercial opportunity here for the Channel,” said Green. “It currently accounts for 30 per cent of the UK technology spend, so for every one per cent share it’s able to gain through the services it can offer, that amounts to £2 billion.
“But in order to win their business, providers first need to find these smaller end users in their local neighbourhoods and then engage with them on their own terms. Then they need to think about all the other services they can offer around that, including AI, cybersecurity and unified communications, particularly in AI, where penetration is currently low.
“Don’t start the conversation by saying something like ‘Your phone is about to be switched off’. Give them the confidence to spend money with you by talking about the new technology and connectivity solutions that are available to them to enable them to be more efficient and secure, and, above all, deliver a better customer experience to their end users.”
This interview was included in our December 2024 print issue. You can read the magazine in full here.