Misc

Purchasing a GPS Tracking System from your Cellphone Provider?

By May 15, 2015 No Comments

Would you get a root canal from your proctologist? Clearly not… I understand the example cited is a bit of an extreme and somewhat comical in nature but there are so many companies that place blind faith into trusting a cellphone sales person with one of the most important assets within their business, that being their fleet. The following are the top 3 reasons why you should never purchase a GPS system directly from a telecom or the person that sells you your cellphone:

QUOTAS

Your cell phone salesperson is under extreme pressure from the telecom company (or franchisee) to meet a monthly sales quote. Because GPS modems have a wireless telephone number associated to it, the salesperson is paid on “activations” and are solely concerned about meeting their monthly quota so they can either keep their job or make their monthly or quarterly bonus. Either way the cellphone salesperson does not have the best interest of the client in mind and is financially motivated rather then being solution oriented and building long-term value.

CONTRACTS

The telecom industry as a whole has become a very commoditized business, with every telecom competing against each other’s price plans as opposed to delivering quantifiable value to its clients. Telecoms are not subject matter experts in delivering efficiency into a fleet, as this falls outside the scope of their business model. Because telecoms do not specialize in selling solutions and articulating value, they sell their products based upon locking clients into long-term contracts. Telecoms are notorious for making it very easy for the client to enter into a wireless contract but extremely challenging to get out of a wireless contract. 36 months is a long time to be tied into a GPS tracking product that lacks innovation or comprehensive/ flexible reporting that is required in managing a fleet.

EXPERTISE

This is not meant to disparage cell phone sales people as they are great people but 90% of them would be challenged when asked to provide an ROI and payback analysis on the GPS tracking system they are asked to promote, as they are accustomed to selling commodity products as opposed to offering a true solution. Selling a “solution” requires a specialized skill set that they were not hired for.

The implementation of a fleet management and fleet optimization solution is a serious financial commitment for any company and should not be taken lightly and should be sourced by subject matter experts and specialists. The majority of telecoms offering GPS systems are motivated by a self serving interest of tying the client into a long-term contract and are inexperienced in delivering efficiency and cost savings to the organization, as this is not part of their business model. Telecoms will make it easy for you to purchase a system but very difficult for you to walk away if you are not happy. Be careful and shop around – Storm would be pleased to provide you with a list of fleet management suppliers in the market so please give us a call, we’re here to assist.

Begin optimizing, analyzing and emphasizing your assets today by contacting Storm Telematics!

Access our online Calendar and schedule a lunch (on us) or a conference call, as we are on standby to deliver quantifiable value to your organization.

CALL TODAY +1 877-309-8354