Daisy Wholesale is grabbing an increasing share of the mobile market, quadrupling partner sales of its b2b Sim-only deal in just one year.
The proposition, which is dubbed ‘The One and Only’ was launched in May 2013, in partnership with Vodafone. It is targeted at Daisy Wholesale’s 1,200 strong base of predominantly fixed and IT resellers who often find mobile deals too complex. It aims to make mobile simple, doing away with the need for complicated tariffs, commission models and credit risk associated with traditional mobile contracts.
Resellers are offered a thirty day Sim-only contract, which comes with unlimited minutes and texts and data bolt-on deals, including 4G services and international and roaming bundles. Resellers buy at a wholesale rate and sell at the rate they choose.
Daisy Wholesale’s drive into mobile is underpinned by the appointment of Andrew Wilford (pictured), in the newly created role of product director for mobile. Wilford comes with long experience in the telecoms industry, having worked at Genesis Communications and Outsourcery. He joined Daisy in September 2011, as head of commercial and became commercial director of Daisy Wholesale last August – a role he still holds.
Wilford told Mobile: ‘Twelve months ago when we were offering the traditional mobile model we were doing OK but volumes were not great, given the size of our base of more than 1,000 resellers. Now we are doing one and a half times more mobile sales than we did in a whole quarter twelve months ago. When we first launched the proposition we had 40 partners, now we have 150 to 200 resellers active every month. We have absolutely transformed the mobile proposition in Daisy Wholesale and opened up the mobile market to our partners.’
Wilford said the attraction for Daisy Wholesale partners is that the model feels like familiar territory. ‘It is like traditional fixed line – you buy at a rate and you sell at a margin. We have removed the risk element of mobile and made it simple and so our partners can now build their clients’ mobile services too.’
Daisy Wholesale resellers largely sell to the SME market, which Wilford said is particularly suited to the Sim-only deal. ‘It is very, very simple with much less risk and they don’t have to understand a mobile bill.’
Despite being a 30-day contract, churn levels on The One and Only are also ‘minimal’, Wilford said, attributing this to the increasing shift in both the retail and b2b markets away from handset contract deals to Sim-only deals. However, the company is currently in talks to ink a partnership deal with a leasing company so it can offer handset leasing deals as a service.
Daisy Wholesale claims the proposition is unique in the market. Wilford said: ’People have tried to copy us, coming up with variants of it but our commercial agreements and our buying power is such that it makes us almost untouchable.’