Hosted Voice Simplification

Product Development & Service DeliveryJune 2013

Hosted Voice HighlightsSuccess Story• 50,000+ Seats • $1,300+ ARPU• 100% product adoption achieved across all sales channels and regions year 1• 31% Product Growth YOY (Q-1 2012 vs. Q-1 2013)• Hosted Voice is the driving force for IP phone sales

Challenges• Longer than expected Installation Intervals • Order Rejects based on missing information or fees• Lack of ownership of order from quote to cash• Disconnect between sales engineering and database• Customer Training• Product Complexity

Hosted Voice success is the leading indicator that EarthLink is making the move from a CLEC to a true MSP – Managed Network Service Provider

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Objectives• Enhance Order & Delivery Process to provide a more efficient sales,

engineering and service delivery process and Improve customer experience• Simplify Product and reduce Complexity

Approach• Create a faster Quote to Cash cycle and improved revenue velocity by getting

the order information nailed down early in the process• Reduce Installation Delays / Cancelled contracts and / Improve Referral Base• Retool customer training• Simplify the current product to support an Easy to Understand, Easy to Sell,

Easy to Buy, Easy to Process, Easy to Support structure• Continued Summit Meetings will provide additional discovery and continued

recommendations for product and delivery improvement with full engagement from (Sales/Sales Engineering/Service Delivery/Engineering/Care/Training)

Hosted Voice Summit Series

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Order & Delivery Process EnhancementsUp Front Process • Physical Site Survey streamline process and forms• Reduce order upsells/supps.(changes) and non-supported features• Introduction Letter to set Customer Expectations• New Hosted SOF Supplement Form (Customer Interview)• Sales engineer, the database specialist and account team will conduct a meeting with the

customer post signature, pre-booking to review configuration and produce statement of work to nail down design up pre-booking!

Service Delivery• New Order Escalation Process with bi-weekly review to allow more open/frequent communication

with customers• Additional Customer Facing Resources Allocated to focus on Hosted Orders• Project Management, Database, Install, Support

Customer Training – Complete Overhaul•10+ Employees On-Site – Less than 10 Live Online •General / IP Phones / Product Highlights / User Portal•Added Webinar based Self Registration for Live Online Training•Added On-demand training session•Available Exclusively Online (ACD / Auto Attendant)•Quick Reference Guides & Hosted Voice Information Packet

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Configuration Options

Multi-Line Hunt Groups, MADN

Groups, Call Router, Additional Call Appearances$

Access Type

Seats

IP Phones

Hardware

Service Bundle

Optional Services (Auto

Attendant)

Product Structure - Before

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Configuration Options

NO CHARGES

APPLY

Access Type

Seats

IP Phones

Hardware

Service Bundle

Optional Services (Auto

Attendant)

Product Structure - After

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Product Structure - Before & After

Feature Before After

Business Group Administration Fee A $25 fee that designates EarthLink to perform all customer enabled administrative features

Removed from product Customers empowered via portal and training

IP Phone Options

Many Polycom Phones to choose from. 450 is part of offering but does provide additional functionality

Removed 450 and offer low end 335, mid range 550 and high end 650

provide one unified general voicemail box with MLHG and AA

Each unified general voicemail must be added based on additional MRC of $2.50

One unified general mailbox provided free. Additional mailboxes have MRC of $2.50

Consolidate Auto- Attendant Offering and include initial recording

Both Standard and Premium options existing at different rates with different features

One Auto Attendant service will be offered at One rate based on premium features

Provide Call Router with Auto-Attendant, MADN and MLHG

Call Router carries a $10 Fee and cannot be offered when AA or MADN are also quoted

Call Router can be provided as stand alone or with Auto Attendant or MADN at no charge

Eliminate charges for MADN, MLHG & add'l call appearances

All Item must be quoted and billed at $5MRC per group or appearance

All Items will be removed from quote and biller and can be provided at no charge

Low

High

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Before and After Quote

 

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Before AfterQty of Seats 10 Qty of Seats 10Seat Pricing(Standard) 150.00$ Seat Pricing(Standard) 150.00$ IP Phone Pricing 85.00$ IP Phone Pricing 85.00$ Service Bundle 100.00$ Service Bundle 100.00$ Premium Auto Attendant 35.00$ Auto Attendant 25.00$ T-1 access 180.00$ T-1 access 180.00$ IP Phone Maintenance Fee 10.00$ IP Phone Maintenance Fee 10.00$ CPE Maintenance Fee 12.95$ CPE Maintenance Fee 12.95$ Unified General Voicemail 2.50$ Term Discount (38.25)$ Call Router 10.00$ Total MRC 534.70$ BG Admin Fee 25.00$ MADN Groups 5.00$ Additional Call Appearances 5.00$ Term Discount (38.25)$ Total MRC 592.20$

Minimal Revenue with Big Impact on Complexity & Cycle Times!

What Happens Next?• We will not implement charges for these features for any orders booked post

June 7th, 2013

• We will start zero rating charges immediately for orders in process and features that have been removed from quoting catalog going forward.

• Marketing will provide an HTML based communication template that account teams can provide to the customers which states………”Mr. Customer……this is just to let you know the features of _________________ which were on your agreement for service for ________________ are now free of charge.

• Any outstanding quotes that have not been closed can be updated to reflect the removal of the fees from the quote but not required to waive fees

• Sales Guides and Application briefs have been updated to reflect product changes

• SOF-Hosted Voice Worksheet was updated to incorporate all the elements no longer reflected in the quoting catalog

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Resources

• Contact your channel manager for product info and quoting

• Updated Hosted Voice Sales Guide and application briefs located at: http://www.earthlinkbusiness.com/collateral.xea

• Hosted Voice Resource and Training Centerhttp://www.earthlinkbusiness.com/products/hostedvoicerefcenter.xea

• You can also send an email to: productquestions@corp.earthlink.com

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