Reseller Portal

VoIP Reseller Profitability – What You Need to Know


VoIP reseller profitability has to be a major concern if you decide to become a VoIP reseller. The margins you can expect will depend on several factors, especially how you run your own business. But you should also consider your service provider, and what their reseller proposition is.

If you want to become a profitable VoIP reseller, here’s what you need to know.


Control Your Costs as Your Business Grows

Growing a business can be costly, especially if you don’t control your costs. One of the major benefits of being a VoIP reseller is that your provider will take care of essentials such as equipment and infrastructure at the outset.

But, as your business grows, your outgoings will increase, with spending on things such as marketing and technical staff.

Growing your in-house expertise, in particular, can be costly if you’re still working to gain more customers to add to your recurring revenue.

It makes sense, therefore, to see what expertise and support your VoIP service provider includes as part of their package, to help you control your costs.

Flexibility is hugely important. If your provider can supply something to one of your customers that is bespoke to them, then this will reinforce your technical capability while keeping your development costs down.


Focus Your Marketing and Sales

You need to understand who your target market is, and what you can do to attract them.

As a VoIP reseller, consider how much you should niche your business offering, looking at prospects and industries that are most likely to convert to VoIP.

We’ve talked about building trust, and the right kind of marketing can help you build this and position you strategically in your market.


Build Strong Relationships

In the long-term, your reseller profitability will depend on the kind of relationships you build with your customers.

You want a service provider who will give you the freedom to control this aspect of your business, enabling you to nurture close relationships with the people who buy your services.

In essence, you want them to buy into you and your ability to deliver what they need from their VoIP.

With the right kind of service provider support, you can do this.

There are plenty of statistics that support the importance of the customer experience, and how companies that lead in this area outperform those that don’t by nearly 80%.

In the competitive world of VoIP reselling, this is something you cannot afford to ignore.

The more effective your customer interactions are, the more opportunities you can create for driving more revenue per customer.


Added Value from Your Supplier

Becoming a VoIP reseller should come with the inherent advantage of having the right kind of support from your service provider.

This brings added value to your business and can help you from the start, putting you on the right track to VoIP reseller profitability.

You want a provider who understands that your relationship with your customers comes first, and gives you the freedom to develop your reseller business accordingly.

This means having the freedom to apply your own branding ands to package your communications solutions to serve your customers’ specific needs.


Make Sure Your Price is Right

One of the trickiest areas of business is pricing, and pricing plays a big part in determining your margins.

The main thing to note here is that you cannot compete on price alone. Yes, how you control your pricing will affect your margins, but to make your reseller business profitable you have to offer your customers more than just a good price.

You may need to try out different prices to fine-tune your offer, but you should always be offering your customers other clear benefits, such as:

  • Knowledge and expertise
  • Level of service.

With these things, you can build trust, which is what will differentiate you much more than price.


Margins Are Not the Whole Story

Obviously, margins are important when it comes to profit, but when it comes to growing your business, they may not be the most important long-term benefit your service provider can offer.

Things like flexibility, freedom and technical support may, ultimately, be more critical in how you are able to maximise your profitability.


Are You Looking to Build a Profitable VoIP  Reseller Business?

Talk to us about the excellent opportunities we can offer with our reseller proposition.

Give us a call on 03300881182, email us at or fill in our contact form and we’ll be in touch shortly.