Presentation

Report
Monetizing
Unserviceable Customers
Brian Young & Dan Turak
A Common Problem for WISPs
How many unserviceable customers do you turn
away every….
YEAR
Who’s selling and servicing these customers if you aren’t?
Unserviceable customers
Is it…
25%?
30%?
35%, or more?
Do you know how much this costs you?
Lost Revenue & Profits
5 unserviceable customers
over one month at $60/ARPU
-$300/
month
-$3,600
over 1 year
(for JUST those 5
customers!)
Classic 10 Business Model Sample
Monthly Add
Year 1 Revenue
Year 1 Margin
3 Year Revenue
4
$19.5K
$10.3K
$67.5K
8
$39K
$20.6K
$135K
12
$56K
$29.8K
$204.5K
Achieve 53% Gross Margin on Service Plan
 If you’re unable to service JUST 4 new customers every month (@$60
per month)
 1st year LOST REVENUE - $19.5K
 3rd year LOST REVENUE - $67.5K
 At 53% gross margin after 3 years that’s > $30K in lost
profits!
Eliminate Lost Profits
These previously unserviceable customers don’t
have to represent lost profits any longer!
• Don’t say “no” to customers who called you
seeking a quality broadband solution!
• Don’t say “sorry– no line of site available at your
home today”
• Sell and serve more customers
• Expand your market
• Increase your profits
The Solution is Available Now!
WISP Reseller Program
• Specifically developed by CTI and ViaSat for
WISP’s
• Quality, proven, affordable high speed plans
• Happy, satisfied customers
• Offering a unique solution for unserviceables
while creating a new, incremental profit
opportunity for WISPs
ViaSat Overview
(VSAT – NASDAQ)
• ViaSat is the parent company of the Exede service brand
• Satellite Communications Company – Government, Residential &
Commercial/Enterprise
–
–
–
–
–
–
•
•
•
•
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Government – Defense Dept.
Disaster Recovery - Red Cross
Oil & Gas Industry
Mobility - United and Jet Blue airlines – more to come
651,000+ residential/business subscribers
over 35K new Gross Adds per month
3,000+ employees
$1.4 billion annual revenues
28 years in business
Headquartered in Carlsbad CA
Satellite Services Division in Denver CO (400 Employees)
SMB and Consumer Business is in ViaSat
Satellite Services Unit
Satellite Services
Satellite Networks
Government Systems
In-Flight WiFi
WildBlue – Legacy Service
• Slow
• Expensive
• Service of last-resort for
unserved markets
• First generation satellites
• Never-the-less, was able to
meet demand in unserved
markets
ViaSat-1 – A New Satellite
• ViaSat-1 launched in Q4 2011
• Exede service launched in Q1 2012
• World record for highest-capacity satellite
– At the time of launch, it had greater capacity than
all of the other satellites covering North America
added together
• Bronze winner for the 2013 Edison Awards
Exede Speeds
•
More than 80% of the population in the U.S. lives in areas served by our highest speed Exede 12
service through the ViaSat-1 satellite.
Exede Retail Service Plans
• Residential Plans & pricing differentiate by
data plans, not by speed
– Classic
– Classic + Evolution
– Freedom
Exede Retail – Classic + Evolution
Exede Retail – Freedom
Exede 5
*Retail prices do not include $9.99/mo lease fee charged to customers by ViaSat.
FCC Ratings – Delivering on Advertised
Speeds
• 2nd year in a row – Exede rated #1
in delivering on advertised speeds!
• Government-based (FCC) study,
inclusion was voluntary for
providers
• Fiber, cable, DSL and satellite
– Some of the participants: AT&T,
CenturyLink, Charter, Comcast, Cox,
Verizon, Windstream
FCC – Broadband Provider Comparisons
• Download Speeds as a Percentage of
Advertised, by Provider
Source: Measuring Broadband America 2014 Report, FCC, Chart 1: Average Peak Period and 24-Hour Sustained
Download Speeds as a Percentage of Advertised, by Provider – September 2013 Test Data
Exede Reseller Program
Enabling WISPS to resell Exede to unserviceable
customers
Program Benefits:
– You own the customer
– Choose your high speed Exede service plans
– You set the pricing
– You do the billing
– Use your own brand or Option for Co-Brand
– Excellent margins
Marketing Support
• Showroom Accounts for Demo
• Customizable marketing materials
available through Armstrong and Lorex
Hardware
•
•
•
•
Fulfilled by ConVergence
Sold in 4 Packs
12 month warranty managed through ConVergence
Variety of Accessories
Antenna (ODU) / Dish
(28” x 26”)
Modem (IDU)
Coaxial Wired
 WISP can sell customer wireless router, VoIP, and other Value Added Services
Installation Options
MITe Installation App
• Maintenance &
Installation Tool
for Exede app
• Works on Android
and Apple
• Allows for precise
pointing, peaking,
and
troubleshooting
Training
Free comprehensive training –
including free demo service for store or office
• Office personnel
– Order entry and online
portal training
– ViaSat Central
– Approx. 1.5-2 hours
• Tech certification
– Online course 3-4
hours
– ViaSat Central
– Instructor-lead
webinar 3-4 hours
• Offered 2-3x each week
Customer Support
• WISPs customer has
access to “MySatellite
Portal” to check usage
and buy more data
• WISP has admin
functionality to this
portal
eSVT – Enhanced Service Visibility Tool
• Access customer information including service and
modem status
– Access onsite or remotely
– Can be used before, during and after a service call
– Assists in trouble-shooting and validating service quality
Exede Business & Exede Continuity
Exede Business is tailored to the unique needs of businesses that require a more robust
Internet service plan or that are outside of the service area of high-speed cable or fiber. Exede
customers include businesses with single or multiple locations requiring greater bandwidth
and business class services as well as small to medium-sized companies that have multiple
users of a company network.
Launching Soon! Exede Continuity is an ideal solution with a national footprint for
businesses requiring a diverse access backup or redundant Internet connection readily
available in the event their primary service goes down.
•
MADE FOR BUSINESS: Exede Business and Exede Continuity come with fast speeds, large
data allowances, priority maintenance and persistent IP addresses.
•
FAST DOWNLOADS: Get up to 15 Mbps of download speed.
•
FAST UPLOADS:
chat with Skype.
Up to 4 Mbps upload speed. Quickly send files, share photos, or video-
Exede Business
*Includes lease fee
New Exede Business Plans
Coming May 2015
• Exede Business Plans
– Designed to “fill in the gaps” by providing quality high
speed broadband primary service in unserved &
underserved markets where cable/telco’s can’t or won’t go
– Speeds 15 Mbps down by 4 Mbps up
– Includes persistent IP
– ViaSat will be enhancing our current 30GB plan and adding
new, additional plans
– Eliminate data limits or caps
– Multiple plan options with competitive price points serving
small, medium and large data usage customers
New Exede Business Plans
Coming May 2015
• Exede Business Continuity
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Diverse access, back-up or redundant service
National Footprint
High Speed
Low Cost
Uncapped usage
Persistent IP included
Pooled data
Attachment Opportunity for primary cable & Telco sales
Next Steps… Getting Started
• Complete and execute reseller agreement with
ViaSat (process administered by CTI)
• Include insurance certificate
• Enroll and complete training programs
– Office personnel portal training
– Tech certification
• Order equipment from CTI
• Obtain customizable marketing materials
• Begin selling your unserviceable customers!
Classic 10 Business Model Sample
Monthly Add
Year 1 Revenue
Year 1 Margin
3 Year Revenue
4
$19.5K
$10.3K
$67.5K
8
$39K
$20.6K
$135K
12
$56K
$29.8K
$204.5K
Achieve 53% Gross Margin on Service Plan
 If you’re unable to service JUST 4 new customers every month (@$60
per month)
 1st year LOST REVENUE - $19.5K
 3rd year LOST REVENUE - $67.5K
 At 53% gross margin after 3 years that’s > $30K in lost
profits!

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