How Adding Telecom Changed A Traditional VAR Into A 'One-Stop Shop'

telecom services, telecommunications

"The traditional side of our business certainly helped start this up, and we could start layering these telco services on top of what we already were offering," he said.
 
Black Box developed direct relationships with a couple of carriers, notably Time Warner Cable, but has opted to access most carriers through relationships with master agents. That allows Black Box to only wear its "solutions hat" as opposed to a sales hat, Thomas said.
 
"We can be carrier-agnostic and go in there and provide technologies and solutions that are right for the customer, without being beholden to a carrier who says we have to sell X amount of their product," he said.
 
And carriers have become easier to work with because they've realized that working through the channel is a very good way to reach customers they wouldn't normally be selling into -- an idea that isn't lost on Black Box.
 
"Carriers are seeing that the channel owns relationships with customers, and that makes it easier to sell sometimes because we might be dealing with customers who have already bought from us, and now we are also offering telecommunications services," Thomas said.
 
Cooperative carriers are helping the channel get into the business. Black Box, like many partners, appreciates the additional resources carriers are starting to offer specifically for the channel, he said.

Today, Black Box can do complete installations on behalf of the carriers it represents. The company also offers project management for any customer that buys carriers’ services, as well as its network operations center (NOC) as a value-add, and the first point of contact for a business customer in the event of an issue.
 
But the provider doesn't hold the paper for any of the telecom services it offers. Billing is still done by the carrier, something Black Box appreciates.  "It's a true channel environment," Thomas said.

The company now considers itself a communications systems integrator and technology solution provider for midmarket and enterprise customers.

"We now can offer the entire suite of technologies, from the infrastructure, to running cable, to everything inside the office -- gear and hardware -- and then the carrier services on top of it," he said. "We've truly become a one-stop shop for a customer."
 
Black Box is in the process of spreading the message to prospective customers on what it can bring to the table, as well as existing customers the sales team is already engaging with, Thomas explained. The provider is on the offensive and has been training its internal sales force and getting the word out that that the company offers carrier services.

The key to growing the telecommunications services business unit lies in getting internal employees up to speed. "That's the biggest piece -- making sure everyone knows what service and offerings Black Box has," he said.  
 
Otherwise, providers run the risk of losing customers to another solution provider, he said.

"Part of it is, we know that if we aren't offering all these services and solutions, our competitors are," he said. "But [the carrier services] piece of the business is growing monthly, and we certainly contribute to the bottom line."