Thursday, September 22, 2005

And Another Thing

At just 2% margin, reselling landlines in NZ is hardly a profitable activity. Any company embarking on this must be using it as a trojan horse to acquire other related business. TelstraClear are doing just this with call services such as voicemail and internet. But are they taking full advantage of their opportunities?

Take Telecom's Go Onebill plan, where the customer designates up to two Telecom prepay mobile phones to be billed to their landline account, obviating the need for topups, and calls between these phones and the landline receive a small discount. TelstraClear, by offering both landline and (resold Vodafone) mobile services, is uniquely positioned to provide a similar plan and dramatically increase their mobile phone uptake.

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