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Netspace looks to retail with NetComm

Netspace looks to retail with NetComm

Netspace is targeting the consumer broadband market, launching a new retail offering for its channel.

The ISP has partnered with hardware vendor, NetComm, to produce a Broadband in a Box product. Tech Pacific will handle distribution into mass merchant and reseller sectors.

Changes in the ISP space prompted Netspace to move beyond its traditional SME base, sales manager, John Millar, said.

"Early on, broadband was taken up by IT savvy people but now the market is moving toward uptake by the general public," he said. "This new product tries to provide a simplified and augmented service to those people."

Broadband in a Box is a combination of a co-branded Netspace/NetComm 4-Port Ethernet modem/router, a broadband installation CD, customer guide, promotional offers, back-up dial Internet connection and a line service qualification check.

According to Millar, the company spent the last eight months developing a dual channel strategy to attract resellers and mass merchants.

"The product is designed to suit resellers and retailers who just want to move units," he said.

"But if resellers want to become authorised partners then we also offer extra margin through an upfront and trailing commission on any connections they sell."

On top of a general support hotline, authorised resellers would also have access to free training and marketing materials as well as an extranet designed to assist in service qualifications, Millar said.

For 12 years, Netspace had been focused on direct sales, he said, but in a recent about-face, now viewed the channel as its future.

"In the last eight months our channel sales have gone from four per cent to 12 per cent," he said. "We project that by the end of June next year this figure will be up to 50 per cent."

The company had also tripled reseller numbers in those eight months, Millar said, and planned to open further offices in Queensland and NSW to provide extra face-to-face channel support.

"We have also just created business account managers to support our SME channel and will be extending those to our new retail and reseller partners," he said.

Two additional distributors were under consideration to complement Tech Pac's volume approach, Millar said. A national mass merchant was also close to signing up for the product, he added.


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