Should I use a telecom broker?
by Mike Wills, Backbone (UK) Ltd
Telecom brokers are relative newcomers to the telecoms market. In essence, like any other type of broker, they identify the best deal for a customer's requirements. The customer signs up with the broker and receives any bills direct from them. Brokers buy millions of minutes of talk-time from various networks, which enables them to take a cut and still provide the customer with substantial savings. In addition, they often provide added value with their package, for example enhanced billing capabilities or security controls.
Before enlisting a broker, consider the following:
- how much are you presently spending on your phone bill?
- how often do telecom cold callers approach you?
- what telephone system do you presently have? Is it outdated?
- what are your long range business plans?
- will you have to change equipment or upgrade your system? Will you be tied to the hardware provided by the alternative telecom provider?
- what are the general trends in the telecom market? (This is a good way to assess the credibility of the potential supplier)
Then follow the next steps:
- determine which companies you are going to review
- make telephone contact
- understand their specific service, possibly during a meeting, including their unique selling points (USPs), their differentiators and their inabilities
- get them to list the loss (or gain) of functionality you might experience against the saving trade-off
- if possible allow them access to your last bill and ask them to assess the savings they can offer
- list the evaluation criteria you will assess the suppliers by
- try some objective and structured scoring system before making a final choice
Reviewed June 2007
last updated : 15/06/2007
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