7/14/2010 12:25:00 PM
HSC calls on dealers to challenge on revenue share
HSC is calling on dealers to ‘challenge distributors’ if they threaten to withhold revenue share payments when dealers buy elsewhere.
The distributor believes that it is unique in the market, as it will continue to pay revenue share to dealers even if they start making new connections with another distributor.
However, HSC has highlighted that rival distributors may threaten to withhold revenue share payments if dealers move to another distributor.
HSC said this is the only fair and reasonable way to treat its channel partners in light of revenue share becoming an increasing component of dealers’ margins.
HSC business manager Bob Sweetlove said: ‘Many distributors threaten to withhold dealers’ revenue if those dealers start to buy elsewhere. Mobile distributors need to be measured on their standards of service, not handcuffing dealers to their businesses.’
‘We do not need restrictive terms to make our dealers stay with us; they stay and are loyal to us because we are open, honest, up front and have their interests at the heart of our company and how it operates.’
Meanwhile, HSC has launched a new incentive, ‘Free World’ aimed at rewarding new and existing dealers with free holidays.
Existing dealers and dealers that open accounts with HSC before 31 July will be able to take part in the chance to earn a free holiday.
To be eligible for the incentive dealers need to make a minimum of 150 new pay monthly connections between 1 August and 31 October. If the dealers meet the target they will be guaranteed a £5,000 luxury holiday for two to any destination of their choice.