BroadIP on Track with 50 New Resellers in One Week; Expects to Sign 200 plus by July 1
Announcement posted by BroadIP 27 Apr 2006
New VoIP provider BroadIP is on target to sign more than 50 resellers this week. These resellers have contacted BroadIP directly, attracted by competitive pricing and the high quality of BroadIPs service.
The new market entrant has also upped the stakes in its aggressive drive for market share, eliminating equipment cost as a barrier to entry by becoming the first provider to offer free hardware rental on its unlimited All You Can Talk $49.99 monthly plan.
New Resellers Contribute to Bottom Line
BroadIPs rapid growth has it on track to secure more than 200 resellers by 1 July, according to Vaz Hovanessian, Chairman of BroadIPs parent company Broad Investments (ASX:BRO).
The business is moving forward rapidly. There has been a huge surge in demand from voice and voice carriage resellers who have turned to BroadIP from other VoIP providers, recognising the massive growth potential for their own business on BroadIPs high quality, low cost unlimited voice plan and commission structure, Mr Hovanessian said.
Some of the resellers we have secured claim they are currently writing in excess of 100 new VoIP customers a week, which will add to our exponential customer growth. Just one customer a day from each reseller will add 1500 per month and by July 1 this could be 200 customers per day. Over 12 months this will amount to a huge contribution to our sales and bottom line.
The resellers are attracted to the quality and consistency of the voice on the network which is virtually indistinguishable from fixed line calls and great for customer acquisition, satisfaction and retention, Mr Hovanessian said. We do not have to give away free accounts like other VoIP providers to get customers. Our strategy is bottom line driven.
Demand has also been very strong from direct small to medium businesses and residential customers since launch. It sends a clear signal to the market that customers will embrace VoIP when the price is right and the process of transition is simplified and seamless.
Free VoIP hardware breaks down barriers to entry
The free monthly rental on the VoIP converter on the $49.99 un-timed plan eliminates equipment cost as one of the remaining obstacles to residential take-up of VoIP services. The initial outlay for VoIP hardware can cost consumers up to $250. Free rental of hardware is available on all plans including BroadIPs lowest cost plan of $19.99/month, which is limited to 200 minutes of calls per month.
Money Back Guarantee
Further reinforcing the value and quality of its products, BroadIP is offering a seven-day money back guarantee if customers are not satisfied with their service. Customers can also cancel their contract and return their equipment if BroadIP has not saved them money after their first invoice.
These are market-leading initiatives from BroadIP that break down barriers to entry and set new benchmarks in both value and service guarantees, Mr Hovanessian said.
While Australias major telco is reported to be offering $89.90 un-timed local and national calls to selected customers, BroadIP is already in the market with an unlimited All You Can Talk call offer at almost half the price, to all residential customers, backed by quality and cost-saving guarantees and with free equipment supply.
Our pricing and service policy challenges the logic of consumers continuing to pay unnecessary line fees and higher charges to their incumbent providers.
However, we see the largest telcos move as a further endorsement of our strategy and belief that widespread acceptance and exponential growth of VoIP is inevitable in this market.
BroadIP will be strongly positioned to capitalise on that growth through the first mover advantage we expect to gain as a result of being first to market with these offers, Mr Hovanessian concluded.
About Broad Investments Limited (ASX:BRO) (www.broadinvestments.com.au)
Broad Investments is a major services provider in the premium mobile content market. Originally established as a telephony products company, Broad Investments acquired premium distributor of mobile phone content, Glovebox Group of Companies, and mobile and Internet payment provider MTX Holdings in October 2005 as part of its strategy to establish a strong foothold in both the Australian and international mobile content markets. Through its acquisitions, Broad Investments gained access to leading major record labels in Australia for true tones, and ownership of the technology and the payment mechanism that delivers the product, including wireless payment methods that span WAP billing, prepaid engines and wireless top us services gateways. Broad Investments also exclusively launched UK-based integrated consumer interactivity solutions provider Amplefuture, and its highly successful mobile marketing application, Pocket Portal, in Australia. Broad Investments entered the broadband telephony market with the launch of wholly owned subsidiary BroadIP, a corporate and residential VoIP provider offering full national coverage.
About BroadIP (www.broadip.com.au)
BroadIP is a corporate and residential VoIP provider offering full national coverage. BroadIP, which launched in April 2006, plans to grow through direct customer acquisition and acquisition of other providers at the smaller end of the market, supported by an aggressive marketing strategy including online advertising and high profile sponsorships.
The new market entrant has also upped the stakes in its aggressive drive for market share, eliminating equipment cost as a barrier to entry by becoming the first provider to offer free hardware rental on its unlimited All You Can Talk $49.99 monthly plan.
New Resellers Contribute to Bottom Line
BroadIPs rapid growth has it on track to secure more than 200 resellers by 1 July, according to Vaz Hovanessian, Chairman of BroadIPs parent company Broad Investments (ASX:BRO).
The business is moving forward rapidly. There has been a huge surge in demand from voice and voice carriage resellers who have turned to BroadIP from other VoIP providers, recognising the massive growth potential for their own business on BroadIPs high quality, low cost unlimited voice plan and commission structure, Mr Hovanessian said.
Some of the resellers we have secured claim they are currently writing in excess of 100 new VoIP customers a week, which will add to our exponential customer growth. Just one customer a day from each reseller will add 1500 per month and by July 1 this could be 200 customers per day. Over 12 months this will amount to a huge contribution to our sales and bottom line.
The resellers are attracted to the quality and consistency of the voice on the network which is virtually indistinguishable from fixed line calls and great for customer acquisition, satisfaction and retention, Mr Hovanessian said. We do not have to give away free accounts like other VoIP providers to get customers. Our strategy is bottom line driven.
Demand has also been very strong from direct small to medium businesses and residential customers since launch. It sends a clear signal to the market that customers will embrace VoIP when the price is right and the process of transition is simplified and seamless.
Free VoIP hardware breaks down barriers to entry
The free monthly rental on the VoIP converter on the $49.99 un-timed plan eliminates equipment cost as one of the remaining obstacles to residential take-up of VoIP services. The initial outlay for VoIP hardware can cost consumers up to $250. Free rental of hardware is available on all plans including BroadIPs lowest cost plan of $19.99/month, which is limited to 200 minutes of calls per month.
Money Back Guarantee
Further reinforcing the value and quality of its products, BroadIP is offering a seven-day money back guarantee if customers are not satisfied with their service. Customers can also cancel their contract and return their equipment if BroadIP has not saved them money after their first invoice.
These are market-leading initiatives from BroadIP that break down barriers to entry and set new benchmarks in both value and service guarantees, Mr Hovanessian said.
While Australias major telco is reported to be offering $89.90 un-timed local and national calls to selected customers, BroadIP is already in the market with an unlimited All You Can Talk call offer at almost half the price, to all residential customers, backed by quality and cost-saving guarantees and with free equipment supply.
Our pricing and service policy challenges the logic of consumers continuing to pay unnecessary line fees and higher charges to their incumbent providers.
However, we see the largest telcos move as a further endorsement of our strategy and belief that widespread acceptance and exponential growth of VoIP is inevitable in this market.
BroadIP will be strongly positioned to capitalise on that growth through the first mover advantage we expect to gain as a result of being first to market with these offers, Mr Hovanessian concluded.
About Broad Investments Limited (ASX:BRO) (www.broadinvestments.com.au)
Broad Investments is a major services provider in the premium mobile content market. Originally established as a telephony products company, Broad Investments acquired premium distributor of mobile phone content, Glovebox Group of Companies, and mobile and Internet payment provider MTX Holdings in October 2005 as part of its strategy to establish a strong foothold in both the Australian and international mobile content markets. Through its acquisitions, Broad Investments gained access to leading major record labels in Australia for true tones, and ownership of the technology and the payment mechanism that delivers the product, including wireless payment methods that span WAP billing, prepaid engines and wireless top us services gateways. Broad Investments also exclusively launched UK-based integrated consumer interactivity solutions provider Amplefuture, and its highly successful mobile marketing application, Pocket Portal, in Australia. Broad Investments entered the broadband telephony market with the launch of wholly owned subsidiary BroadIP, a corporate and residential VoIP provider offering full national coverage.
About BroadIP (www.broadip.com.au)
BroadIP is a corporate and residential VoIP provider offering full national coverage. BroadIP, which launched in April 2006, plans to grow through direct customer acquisition and acquisition of other providers at the smaller end of the market, supported by an aggressive marketing strategy including online advertising and high profile sponsorships.