Head to head: Voice versus data
Converged networks are being sold by some resellers that have a background in voice and others that have traditionally earned a crust installing data networks. But which side makes the transition to convergence more easily? Two of our panelists - Robert Brown (RB) from Total Computer Technology and Mal Smith (MSm) from CommSys - debated the issue:
RB: If you are a voice guy going into IT it is difficult, in my opinion, but for IT guys going into voice it is a lot easier.
MSM: I would disagree with that. I can get an IT guy to set a converged system up but there will be some feature that doesn't work properly and we will have to go back out. To do it properly, so you are not spending money on support costs, you still need two different guys even after all these years.
RB: TCP IP and data networking is very specialised. A key system programmer knows phone systems and setting up a handset is easier than setting up a TCP IP network. IT systems are a lot more complicated with things like integration into Active Directory.
MSM: Hang on, you just compared Active Directory to ringing a phone but what about numerous auto attendants and everything else that comes with it? Comparing a laptop to a key system would be a fairer comparison - not Active Directory.
RB: From my experience, it has been easier to up-skill an IT person to learn a key system than to get a phone system guy to make the same transition.
A question of application
Whether a reseller is coming to voice and data convergence from an IT or a voice background, LAN Systems sales manager, Leigh Howard, suggested they both need skills in another area - applications.
"There has been a lot of talk about vertical markets but how many of you have just replaced a digital dial tone with an IP dial tone that adds no more value to the customer?" he asked. "Wasn't the dream of IP telephony all about integrated data applications? At the SMB level, aren't there a myriad of applications being developed that are great for a small dental practice or a school? Surely the job of the integrator is to integrate."
As an example, Howard talked about an attendance register application he saw demonstrated a couple of years ago.
"As soon as little Johnny comes into class, the teacher ticks him off on the handset," he said. "If he doesn't show up it sends an automated email to his father." The idea drew a mixed response from our panel of resellers. CommSys managing director, Mal Smith, pointed out that such partners were not easy to find because they tended to be small companies.
"If a vendor gave me a brochure that listed the developers working on a particular type of software I would be calling them," he said. "That would be very handy."
But Total Computer Technology boss, Robert Brown, dismissed the concept as a lemon.
"We had such bad experiences that it turned me off the idea," he said. "We have had developers in our offices and their work has fallen in a heap. If they can't do it in my office, why am I going to recommend them to a customer?"
How do you demonstrate value?
While few people would not agree that converged network technologies are desirable, demonstrating value to potential SMB customers remains a major hurdle. Emerging systems director, Richard Hutchinson, pointed out that the most expensive solution was not always the best fit.
"Value doesn't necessarily mean Rolls Royce. Some people are quite happy with their Holden Commodore and SMBs are highly susceptible to price," he said. "But they are aware that you get what you pay for."
The best way to prove value is through reference sites, according to MCR director, Michael Salama. "You are adding value to a business by enabling it to do something better, faster and cheaper," he said. "If you can demonstrate that, you have won the argument straight away."
But he said there were still significant entry-level barriers and questioned whether there was a clear value proposition. VoIP senior sales executive, Bengt Beyer-Ebbesen, said it came down to selling trust.
"Does technology matter? At the end of the day, you are selling the functionality customers need," he said. "What can you sell that is achievable and can you uplift the price by an amount that is justifiable?
"Have we become any better over the last 10 years at demonstrating a clear value proposition? I don't think we have."
Is brand important?
As with all technology, there are plenty of choices for resellers when it comes to which converged network brands they offer to customers. So how important is the badge on the box?
MCR director of telecoms services, Michael Salama, said he would not risk the reputation of his company by putting a product in front of a customer unless he could put hand on heart and tell them he was able to maintain it for a long time. But in a world where the products of leading brands are built in the same Chinese factories as unbranded boxes, Triforce director, Abbas Aly, questioned how important brand really is.
Nortel business manager at LAN Systems, Mic Henderson, said support was key. "It's not about how fast something is when it's going; it's about how fast you can get it back up when it isn't working. Stuff breaks down," he said. For Total Computer Technology director, Robert Brown, the importance of brand varies according to the size of customer.
"In the SOHO market it's about the price of the product rather than what happens if it fails. At mid-range it's about disaster recovery," he said. "Some clients are not interested in maintenance but others won't buy product without it.
"There are times when you have to quit while you are ahead and just take the product sale. There is no point arguing but when the customer gets burned you go back in and offer maintenance."
