BT calls Business Plan an indirect hit
Telco hails channel sales of product
BT has given an update on its Business Plan calling product, hailing channel sales of the offering - which was designed to counter massive competition from CPS (Carrier PreSelect) services - as a success.
"A quarter of the Business Plan turnover, £60m, comes from VARs. The channel has embraced the product," said Rakesh Mahajan, general manager of strategy and business development at BT Indirect Channels (BTIC).
At the launch of Business Plan two years ago, resellers rubbished the product, saying high set-up charges negated savings on calls. But Mahajan begged to differ.
"We crunched the numbers on 1.1 million SME customers, and this year found that Business Plan would be one of the top three (call packages). And the top three are within a pound of each other in price. Furthermore, we think we offer more than just pricing."
Mahajan would not reveal the first- and second-placed packages.
"Of the customers we had two years ago, 95 per cent have remained with us," he said.
Mahajan claimed that about three-quarters of Business Plan sales go through BT's own sales staff, while the telco's competitors rely more on the channel.
But Tony Lewis, managing director of Club Communications, which supplies minutes and billing to switchless resellers, said BT's attack on CPS had gone unnoticed.
"We deal with resellers and CPS, and we have seen double-digit growth over the last few months," he said.