Pinnacle pins hopes on mobile cross-selling

Pinnacle pins hopes on mobile cross-selling

Unified comms company Pinnacle Technology is set to boost mobile sales through a major cross selling drive after mobile revenues fell by 5% last year.

The company, which provides mobile, fixed lines, broadband, IT, security and cloud services, is turning its sights on organic growth after a period of acquisition. The company currently sells mobile solutions to around 180 of its 3,000 plus customers but is intent on driving up sales this year, with plans to recruit over 20 sales staff in its mobile division to help drive the strategy.

Pinnacle Technology is also looking at launching an MVNO. It is in talks with a number of Mobile Virtual Network Aggregators (MVNAs) including Transatel and Gamma. It currently connects most of its 180 mobile customers via O2 and Vodafone.

Pinnacle Technology’s recruitment drive sees Simon Poole, former founder of Astute Mobile Data Solutions and sales director of Truphone, join the company this month, as group sales director. Poole will oversee the expansion of the mobile sales team from 15 to 35 staff.

Speaking to Mobile, group CEO Alan Bonner said mobile revenues had suffered as a result of the introduction of revenue share payments by operators, but said a renewed focus on driving mobile backed by a larger sales force was expected to drive revenues this year. He said: ‘Currently we only provide mobile solutions to 180 of our customers yet we have a customer base of over 3,000 customers across 19,000 locations in the UK, so that gives us a huge opportunity. [This] is why we have taken on Simon Poole who has a good understanding of the industry – and why we are expanding our mobile sales team this year.’

Bonner said the company was in a strong financial position to invest in its sales team, having secured £2.9m of cash following a new shares issue post last year. He said the move to grow the mobile division was part of a wider cross selling strategy. Pinnacle Technology’s 3,000 plus customers currently buy an average of 1.4 services from Pinnacle Technology. Bonner said the company wants this to increase to three services per customer by 2015. He added: ‘In percentage terms, our target is to achieve 60% of our customers buying more than one service from Pinnacle.’

He said as a result of a strategy of buying single service companies, only 23% of its customers buy more than one service. ‘This represents a huge growth opportunity for the company,’ he added. 

Bonner said the company’s plans to move into the MVNO space would allow it to offer one bill to customers across its services. He said: ‘There are offers on the table. The attraction is that as an MVNO, we can better serve our customers and offer them greater transparency by providing one bill across the whole piece.’

 

Author: Carol Millett

Written by Mobile Today
Mobile Today

Comments

Please wait...


Please write code to prove you're human