Monday 5 May 2008

Pipe Dreams

Terry likes selling bandwidth pipes. It's something he can understand because selling bandwidth pipes is pretty similar to selling circuits and Terry has been selling circuits his entire life.

However, Terry needs to stop just selling pipes and start to sell services. Pipes are a commodity business with low (and ever decreasing) margins. Services are where the revenues are, pipes are just a means to deliver the services.

If Terry doesn't start to sell high margin services as well as pipes then someone else will be selling the high margin services and keeping the revenue to themselves leaving Terry with just his low margin pipes. In fact it's already happening and Terry is at risk of being left behind before he even starts.

Terry-O-Meter

I have added a Terry-O-Meter to the left hand side of the page which I will use to show my current level of frustration caused by Terry.