Monetizing Unserviceable CustomersBrian Young & Dan Turak

Welcome to FISPA LIVE!

How many unserviceable customers do you turn away every….

A Common Problem for WISPs

Who’s selling and servicing these customers if you aren’t?

YEAR

Is it…

Unserviceable customers

Do you know how much this costs you?

25%? 30%? 35%, or more?

5 unserviceable customers over one month at $60/ARPU

Lost Revenue & Profits

-$300/ month

-$3,600 over 1 year(for JUST those 5 customers!)

Classic 10 Business Model Sample

Monthly Add Year 1 Revenue Year 1 Margin 3 Year Revenue

4 $19.5K $10.3K $67.5K

8 $39K $20.6K $135K

12 $56K $29.8K $204.5K

Achieve 53% Gross Margin on Service Plan

If you’re unable to service JUST 4 new customers every month (@$60 per month)

1st year LOST REVENUE - $19.5K 3rd year LOST REVENUE - $67.5K

At 53% gross margin after 3 years that’s > $30K in lost profits!

These previously unserviceable customers don’t have to represent lost profits any longer!

• Don’t say “no” to customers who called you seeking a quality broadband solution!

• Don’t say “sorry– no line of site available at your home today”

• Sell and serve more customers• Expand your market • Increase your profits

Eliminate Lost Profits

WISP Reseller Program• Specifically developed by CTI and ViaSat for

WISP’s• Quality, proven, affordable high speed plans• Happy, satisfied customers • Offering a unique solution for unserviceables

while creating a new, incremental profit opportunity for WISPs

The Solution is Available Now!

• ViaSat is the parent company of the Exede service brand• Satellite Communications Company – Government, Residential &

Commercial/Enterprise– Government – Defense Dept. – Disaster Recovery - Red Cross– Oil & Gas Industry– Mobility - United and Jet Blue airlines – more to come – 651,000+ residential/business subscribers – over 35K new Gross Adds per month

• 3,000+ employees• $1.4 billion annual revenues • 28 years in business• Headquartered in Carlsbad CA• Satellite Services Division in Denver CO (400 Employees)

ViaSat Overview(VSAT – NASDAQ)

SMB and Consumer Business is in Satellite Services Unit

Satellite Services

Satellite Networks

Government Systems

ViaSat

In-Flight WiFi

• Slow• Expensive• Service of last-resort for

unserved markets• First generation satellites• Never-the-less, was able to

meet demand in unserved markets

WildBlue – Legacy Service

• ViaSat-1 launched in Q4 2011• Exede service launched in Q1 2012• World record for highest-capacity satellite– At the time of launch, it had greater capacity than

all of the other satellites covering North America added together

• Bronze winner for the 2013 Edison Awards

ViaSat-1 – A New Satellite

• More than 80% of the population in the U.S. lives in areas served by our highest speed Exede 12 service through the ViaSat-1 satellite.

Exede Speeds

• Residential Plans & pricing differentiate by data plans, not by speed– Classic– Classic + Evolution– Freedom

Exede Retail Service Plans

Exede Retail – Classic + Evolution

Exede Retail – Freedom

*Retail prices do not include $9.99/mo lease fee charged to customers by ViaSat.

Exede 5

FCC Ratings – Delivering on Advertised Speeds

• 2nd year in a row – Exede rated #1 in delivering on advertised speeds!

• Government-based (FCC) study, inclusion was voluntary for providers

• Fiber, cable, DSL and satellite– Some of the participants: AT&T,

CenturyLink, Charter, Comcast, Cox, Verizon, Windstream

• Download Speeds as a Percentage of Advertised, by Provider

FCC – Broadband Provider Comparisons

Source: Measuring Broadband America 2014 Report, FCC, Chart 1: Average Peak Period and 24-Hour Sustained Download Speeds as a Percentage of Advertised, by Provider – September 2013 Test Data

Enabling WISPS to resell Exede to unserviceable customers

Program Benefits:– You own the customer– Choose your high speed Exede service plans– You set the pricing– You do the billing– Use your own brand or Option for Co-Brand– Excellent margins

Exede Reseller Program

• Showroom Accounts for Demo• Customizable marketing materials

available through Armstrong and Lorex

Marketing Support

Hardware

• Fulfilled by ConVergence• Sold in 4 Packs• 12 month warranty managed through ConVergence• Variety of Accessories

Antenna (ODU) / Dish(28” x 26”)

Modem (IDU)Coaxial Wired

WISP can sell customer wireless router, VoIP, and other Value Added Services

Installation Options

• Maintenance & Installation Tool for Exede app

• Works on Android and Apple

• Allows for precise pointing, peaking, and troubleshooting

MITe Installation App

• Office personnel– Order entry and online

portal training– ViaSat Central– Approx. 1.5-2 hours

• Tech certification– Online course 3-4

hours– ViaSat Central– Instructor-lead

webinar 3-4 hours• Offered 2-3x each week

Training

Free comprehensive training – including free demo service for store or office

• WISPs customer has access to “MySatellite Portal” to check usage and buy more data

• WISP has admin functionality to this portal

Customer Support

• Access customer information including service and modem status– Access onsite or remotely– Can be used before, during and after a service call– Assists in trouble-shooting and validating service quality

eSVT – Enhanced Service Visibility Tool

Exede Business & Exede Continuity

Exede Business is tailored to the unique needs of businesses that require a more robust Internet service plan or that are outside of the service area of high-speed cable or fiber. Exede customers include businesses with single or multiple locations requiring greater bandwidth and business class services as well as small to medium-sized companies that have multiple users of a company network.

Launching Soon! Exede Continuity is an ideal solution with a national footprint for businesses requiring a diverse access backup or redundant Internet connection readily available in the event their primary service goes down.

• MADE FOR BUSINESS: Exede Business and Exede Continuity come with fast speeds, large data allowances, priority maintenance and persistent IP addresses.

• FAST DOWNLOADS: Get up to 15 Mbps of download speed.

• FAST UPLOADS: Up to 4 Mbps upload speed. Quickly send files, share photos, or video-chat with Skype.

Exede Business

*Includes lease fee

New Exede Business PlansComing May 2015

• Exede Business Plans – Designed to “fill in the gaps” by providing quality high speed

broadband primary service in unserved & underserved markets where cable/telco’s can’t or won’t go

– Speeds 15 Mbps down by 4 Mbps up– Includes persistent IP– ViaSat will be enhancing our current 30GB plan and adding

new, additional plans– Eliminate data limits or caps – Multiple plan options with competitive price points serving

small, medium and large data usage customers

• Exede Business Continuity– Diverse access, back-up or redundant service– National Footprint– High Speed – Low Cost– Uncapped usage– Persistent IP included– Pooled data– Attachment Opportunity for primary cable & Telco sales

New Exede Business PlansComing May 2015

• Complete and execute reseller agreement with ViaSat (process administered by CTI)

• Include insurance certificate• Enroll and complete training programs– Office personnel portal training– Tech certification

• Order equipment from CTI• Obtain customizable marketing materials• Begin selling your unserviceable customers!

Next Steps… Getting Started

Classic 10 Business Model Sample

Monthly Add Year 1 Revenue Year 1 Margin 3 Year Revenue

4 $19.5K $10.3K $67.5K

8 $39K $20.6K $135K

12 $56K $29.8K $204.5K

Achieve 53% Gross Margin on Service Plan

If you’re unable to service JUST 4 new customers every month (@$60 per month)

1st year LOST REVENUE - $19.5K 3rd year LOST REVENUE - $67.5K

At 53% gross margin after 3 years that’s > $30K in lost profits!