In my prior post, I discussed the integration of carrier service sales into the VAR business model and how it is prone to failure if the VAR doesn't avoid making some common miscalculations.  The first I explained was the misconception that carrier service sales can just be dropped into an existing business model.  For this post, I'd like to discuss another key misconception:

Misconception #2: "I don't need to understand the technical aspects of carrier services to be successful."
Although there are some circumstances where a VAR can simply throw a lead over the fence and earn a small referral commission, that's not the way a VAR is going to reap the kinds of rewards necessary for carrier service sales to make a meaningful impact on the business.  Almost without exception carrier services are all about the application.

A VAR offering carrier services as part of the solution is most likely going to be selling equipment or services that are tied to the carrier services being offered.  The only way to ensure that the combined solution not only works, but effectively addresses the client's needs, is to have a firm grasp of the technical components of the carrier services being offered.

Opportunity:  If you're a VAR selling carrier services, your top competitor is going to be direct carrier sales reps.  These folks may understand the intricacies of the carrier products, but it's unlikely they will be able to understand the application as deeply as you would.

As the equipment vendor, be it routers or phone systems, you have intimate knowledge of your client's business requirements and of the capabilities of the equipment you're selling.  If you can pair that expertise with a technical understanding of the carrier services, you will consistently win against a competitor offering only carrier services.  Begin with your core business.

• Become an expert at the typical applications to which your core business applies
  If, for example, you are a softswitch VAR with a specific sales focus on multi-site businesses, map out the carrier services typically required to implement that solution.  If your clients overwhelmingly implement private WANs utilizing quality of service, become an expert on MPLS and VPLS and demonstrate to your client that you have the expertise to make the parts work together perfectly.
  
  
• Follow through with training for your technical staff
  If your technicians are already implementing your equipment into clients' carrier service networks, chances are they understand a lot of the technical aspects.  Leverage this built-in expertise by formalizing their approach and training them specifically on troubleshooting circuits, performing turn-ups, etc.
  
  
• Maintain the knowledge
  To use the example above, staying up to date on the latest WAN trends is as important as staying up to date on the latest VOIP trends.  Almost every VAR offers some sort of technology that depends in some way on the carrier network, be it for voice communication, Internet, or WAN connectivity.  Changes in the carrier services industry can make a big difference in a VAR's business, and staying on top of them will give you a definite edge.

The underlying point here is that technical expertise in carrier services allows a VAR to expand accountability to a customer.  If you can convince your client to utilize that, you have a greater chance of becoming the go-to resource for a wider variety of customer needs.  Not only will this let you increase the business you do with your clients, it will insulate you from competition from carriers.