FeatureUC&C15 Aug 2019 · 4 min read

VanillaIP on the Cost of Doing Nothing

As more businesses discover the benefits of a flexible cloud-based deployments, service providers and resellers are left with just two options

Rob Scott

As more businesses discover the benefits of a flexible cloud-based deployments, service providers and resellers are left with two options. One choice is to embrace the potential of cloud delivery systems and serve the needs of their customers in this modern era. The other option is to just sit back and do nothing. Unfortunately, the latter decision comes with some serious repercussions.

VanillaIP, a leading provider of white label UCaaS in the UK, offers resellers a chance to be part of the transition to cloud in their own, customised way. Iain Sinnott, the Sales and Marketing Director at VanillaIP, sat down with us to tell us about the issues with "doing nothing."

Is Cloud Adoption Growing at a Rapid Pace?

According to Sinnott, VanillaIP is a company that sets out to transform partners into "virtual platform owners." With VanillaIP, resellers can create the strategy that's best for their audience, based on what they know about their customers. In terms of the growing movement to the cloud, Iain noted that he has seen a rapid technology change.

"I think people are quickly moving from a single on-premises box to a single or multi-tenant instance in a data centre. However, that's just a transformation in technology - not a true move to the cloud"

"I think soon; we'll start to see a more genuine movement towards cloud deployment as customers demand to be able to consume what they want when they need it. I think cloud will soon start to become what it's meant to be - not just a technology, but a different supply model."

How Have Expectations Changed in the Market?

[caption id="attachment_22931" align="alignleft" width="200"] Iain Sinnott[/caption]

Part of the driving force that's making cloud so popular today is a changing range of demands in the current marketplace and an evolving consumer base. According to Iain, the best way to understand the existing customer is to draw a parallel between clients being children.

"In the past, our customers just used to accept it when we said that they couldn't have something. Now, they're behaving more like teenagers, questioning why something can't be done in a new way. They're happy to argue with us, and give examples of how a service can evolve, rather than just sticking with the old setup."

In Sinnott's opinion, companies need to accept that their customer base has grown up, and if they do - this will drive the market into delivering a better kind of service.

What is the Cost of Doing Nothing?

In Iain, and VanillaIP's opinion, a PBX reseller that does nothing starts to lose value and customers. However, a PBX reseller that invests in the right training and solutions will begin to grow. Additionally, a cloud reseller won't achieve great things just by sitting in the cloud either. All resellers need to think about what their customers need if they want to thrive.

Sinnott acknowledged that one of the reasons why the market hasn't evolved as rapidly as it could have in recent years is that cloud wasn't "sold" properly. "We didn't convince the marketplace that the cloud was right for them and their customers. We didn't address the common problems with moving into a new environment, like the time and cost associated with learning new things."

What VanillaIP are doing now, after creating a true cloud-based experience, is making sure that they face the challenges that their PBX vendors are dealing with. "We look at what's holding a reseller back and address it."

Finding the Value in Moving to the Cloud

Moving from a PBX environment into the cloud can be a complex and emotional change, particularly for businesses that have built their strategy up over a long period. Iain believes that success relies on a company's ability to support their end-users with plans that bring the entire business family into the new cloud environment, without anyone "losing out."

Already, VanillaIP has begun to see a lot of players that have come into the cloud and achieved great things. "We've had a few players that decided to be believers in the cloud and leave the PBX behind. I think that focusing entirely on the cloud makes them better salespeople because they needed to examine exactly what the cloud is. I also think it makes them better providers because they've taken the time to figure out what their customers need."

According to Sinnott,

"We're seeing people do incredible things by investigating what customer requirements are and making sure they have the right solutions in place"

Predictions for the Future

VanillaIP sees more kinds of PBX players coming into the marketplace in the years to come. "I think that players who used to feel like second-class citizens will have their day as the driving force on a tactical exit or tactical conversion plan."

For Iain, now is the time for resellers and partners to start making a change, and not necessarily through the SIP trunk movement. "I think the real opportunity is in a true cloud proposition. The PBX is over now. It did a great job, but it's time for something new, and there are cloud solutions which can fully replicate and go beyond the benefits delivered to the customer, but will it be today’s cloud reseller or the traditional PBX reseller that grasps this opportunity to drive the market forward?"

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