C&W initiates a third-party move

The UK operating arm of Cable & Wireless has established a third-party channel that the telecoms operator hopes will help make it a #1 billion business by 2000.

Cable & Wireless Communications was created last year by the merger of Bell Cablemedia, Mercury Communications, Nynex and Videotron. Its 380 authorised and independent dealers will promote the company's emerging range of integrated voice and data products, such as ISDN and Web commerce, in addition to mobile and voice-only products.

The third-party channel, which runs alongside a direct national sales force of account development teams, is headed by Wreford Miles. He said: 'The critical thing in April was that Mercury had some third-party relationships with voice dealers, but we needed much greater growth through third parties to target the business market.'

Miles maintained there would be no conflict between the direct and indirect sales models. 'We are hoping for #500 million turnover this year and we want to double that by 2000. The only way we can do this is by looking at the sales model as a single business unit and by working together,' he said.

As part of the Cable & Wireless package, which has cost about #2.5 million in recruitment alone, the telecoms operator will offer detailed marketing support and training programmes to third parties, which includes use of the company's training college for dealers in Coventry. Cable & Wireless has also set up a dealer helpdesk in Birmingham.

Miles said he was looking to push 10 per cent of the company's business through the third party in the current year, which would rise 'significantly' in the future.