Q&A With One Communications Channel Chief Michael Fair

In order to facilitate more closely focused and more localized channel management, Massachusetts-based One Communications, a multiregional, integrated telecommunications solutions provider, announced plans to grow its channel management team by 50 percent this year. As part of the channel expansion and reorganization, Michael Fair, who previously served the company through MarketRace, the consultancy he co-founded, came aboard in early 2009 as vice president, general manager of the business partner channel. Currently, about 20 percent of One’s sales are through the indirect channel, but Fair’s goal is to raise that level to 35 or 40 percent by revitalizing the company’s Business Partner Program. PHONE+ spoke with Fair about his plans to reinvigorate One Communications’ program. What follows is a transcript of the interview.

You’ve been working in telecom channel operations for quite some time. How have you seen the indirect channel evolving over the past few years?

One Communications’ Michael Fair

We’ve seen a shift in the role of the channel partner — whether independent, subagent or master agent — toward the need to be more of a value-added solution provider. Selling core services is no longer enough to stay competitive in the market. Partners need to either excel at their operations by leveraging technology for automation of business processes in order to achieve a cost advantage or [they need to] differentiate on the basis of providing emerging value-added services, such as SaaS, that are new but still related to their core offerings. Partners who are unable to do so will face margin pressure or could ultimately face consolidation within the market.

In general, I am also seeing a continued trend towards carriers leaning more on indirect channels than ever before. This trend is influenced by several factors including the maturity of the professionalism of partners, the fact that the economy has eliminated many IT/telecom manager positions at enterprise companies, thereby creating a need for an outsourced resource to do the work, and the general trend that telecom is now mirroring technology in that channels represent the most cost-effective way to penetrate and manage small business customers.

How has your background prepared you to head One Communications’ channel operations?

I’ve been involved in telecommunications for my entire 25-year career, from consulting, sales and business development, to special pricing, marketing and the development and management of channel partner programs. Through those experiences, I’ve gained valuable insights into the dynamics of both carriers and the channel, and what it takes to develop a successful, partner-oriented channel model that will benefit and contribute to the growth of both parties. I’m leveraging those insights to help One Communications take its partner program to the next level — to make it the go-to program in our geography for all types of channel partners. In addition, I have also started and owned a master agency in the past and therefore understand what it is like to be an entrepreneur and can relate to the partners out in the field.

How does today’s One Communications Business Partner Program compare to that of a year ago?

It is a completely revitalized program. The channel has been reorganized into a separate organization and has visibility and support at every level of the company. New, dedicated resources have been added in marketing, program and promotions support, as well as order management, issue repair, and customer service. We are intently focused on leveraging our deep, local base of sales and support in our local markets to provide support to partners whether they have a direct relationship with One Communications or are a valued subagent of a master agent.

Besides adding personnel, what else is One Communications doing to revitalize its partner program?

We’re also putting into place the tools necessary to support our partners’ ongoing success. We’ve implemented a new partner welcome process; added regular e-mail communications, monthly newsletters and training; and revamped our partner portal with a robust content management system, new look and feel, improved organizational structure and real-time order status and trouble ticket tracking for partners. In addition, we’ve also introduced a Partner Advisory Board that will work closely with our team to help direct and refine the strategies of our program to ensure its alignment with partner needs on an ongoing basis.

What is the No. 1 reason an agent should want to partner with One Communications?

It is two things really — our commitment to channel partner success through our revitalized Business Partner Program, and our unique portfolio of offerings for small and midsized business customers in our geographic region. One Communications offers the greatest density of owned network assets in the northeastern quadrant of the United States, over which it provides a ubiquitous set of voice, data, Internet and converged solution offerings specifically priced and tailored to the needs of small and midsized businesses. For business partners who serve that customer set, we help them provide their customers with the right solutions at a great price so they can succeed and grow.

Has One Communications shifted its focus to larger partners?

I wouldn’t say that we’ve shifted our focus only to larger partners, but I would say that we’ve made our program more attractive to larger partners. Through our renewed channel commitment and investment in channel resources and tools, and our closer, more localized channel management structure and increased density in second- and third-tier markets, we’re enabling greater subagent and local partner support and teaming, which in turn will attract the nation’s larger master agents to our program.

What are your plans for recruiting channel partners through the next year?

We will continue to recruit partners of all sizes to expand our reach and penetration in the markets we serve. You’ll also see additional focus on developing new relationships with the larger master agents. I firmly believe that our size, depth and focus from a channel perspective make One Communications a required service provider to all master agents that sell on a national basis. We are a required element in their portfolio of providers. We’re also focused on improving our relationships with existing partners, and in helping them to achieve greater success and growth through their current relationships with One Communications. Thirdly, we are focused on recruiting regionally focused systems integrators into our program that have dedicated teams that sell telecommunications services.

What is One Communications pushing the most through the channel right now?

We are seeing very high demand for our OneSolutions MPLS VPN offering right now, as well as continued focus on our new OneSolutions product set, which now has been expanded across our entire footprint. This product set includes aggressively priced alternatives for both standalone voice as well as integrated voice and data services.

How is One Communications being impacted by our nation’s economic downturn?

As long as a business is still running, it depends on its telecommunications to stay connected with its customers, vendors and employees. But, that’s not to say that our customers are not looking for ways to save money. We have an advantage in that our strategy has always been to be priced competitively, so cost-conscious buyers will find One Communications to be an attractive solution, even during down times. And, our recent introduction of integrated solutions such as OneSolutions Complete and OneSolutions MPLS VPN provide the advantage of supporting multiple service types over a single connection, which helps reduce the cost and complexity of business communications and enhances efficiencies by improving the accessibility, visibility, and flow of communications. Our partners benefit from all of these advantages when representing our solutions in the market.

What are your immediate goals for One Communications’ channel operations?

Now that we have launched our new Business Partner Program, we are focusing on continuing to drive operational excellence through our support organizations. We have established Premier level support in many of our operational areas. Near term, we are enhancing our commission payment process as well as continuing to add to our portal functionality. We are also embarking on a regional road show/training event that will be in select markets shortly. All of these initiatives demonstrate our continued focus on the channel at One Communications.

Is there anything you’d like to add?

One Communications is in a unique position to break out from the pack of service providers. We are the only program of our size and scope that is increasing, not decreasing support this year. We are adding sales, support, marketing and back-office support, and have been able to pick up some excellent people that are now available, since they are not wanted by our competitors. I am also very fortunate to be working for a telecom company that has such extensive senior level support for the channel initiatives that I oversee. I have an amazing level of support from our investors and from our CEO Howard Janzen, as well as from senior staff and my peer level within the company.