tips to maximise margins telecoms billing

3 Top tips to maximise Margins

In a fiercely competitive industry where cost is paramount and connectivity services are commoditized, resellers must extract every penny from their telecom margins. This is crucial for achieving stable, long-term commercial success.

The founders of Tekton Billing understand this challenge intimately. After experiencing the limitations of existing telecom billing solutions while managing their own reseller operation, they developed ZOEY.

ZOEY is a telecom billing system designed to maximise margins and simplify the lives of telco resellers. Even if you have yet to experience the benefits of ZOEY’s margin analysis suite and flexible tariffing, here are a few tips to help you maximise margins from your services.

1. Leveraging bundled data

One effective method for optimising telecom margins is buying group data bundles from network suppliers and re-bundling them for individual end-customer accounts. This strategy leverages economies of scale, as it’s unlikely all end-customers will max out their bundles simultaneously.

By doing so, total individual bundles do not necessarily need to match the purchased group bundle, significantly reducing outgoing costs. However, it is crucial you accurately predict customer usage to avoid under-provisioning, as customers expect their full data allowance to be available at all times.

ZOEY facilitates the re-bundling of data packages for end customers, independent of reseller-supplier purchase agreements. Its in-depth reporting capabilities ensure bundle allocations are optimised based on actual consumption data, preventing discrepancies between purchased and available data allowances.

2. Fixed charge reconciliation

Human error, whether due to a distracted employee or a wayward keystroke, can easily lead to missed charges when setting up new accounts. This oversight can result in lost revenue.

To prevent this, perform regular reconciliation of fixed and subscription charges. This helps identify services that were provisioned with the supplier, but not added to the end-user’s invoice.

As best practice, also check existing billed services for changes in quantity or tariff that may not have been updated in the telecom billing system. This proactive approach ensures no revenue slips through the cracks. For more insights, read our guide on 3 Top Tips for dealing with Unallocated Usage.

3. Charging increments

For international customers or frequent international callers, maximise margins through charging increments (e.g., rounding calling rates to the nearest minute instead of per second). You can achieve this through destination-based rating. Keep rates for highly defined categories like UK National on per-second billing, while commonly called international rates can be rounded to the nearest minute, enhancing telecom margins.

Before applying charging increments, double-check your T&Cs and potentially update them. This ensures clear communication and helps prevent future customer complaints.


Discover more in The Value Add of Telecoms Billing: Optimising Margins


 

Summary

If your current telecom billing platform doesn’t support these strategies, it might be time to consider switching. For more information, read our guide on Signs it’s time to change your Telecoms Billing Provider.

We designed ZOEY from the ground up to equip forward-thinking resellers with tools to maximise potential revenue and scale as their customer base grows.

Don’t hesitate to get in touch if you’d like to learn more about ZOEY, or if you need a few extra tips to increase your income.


Book your demo of ZOEY at a time that suits you!


 

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