How investing more with an existing vendor reduced network costs by over $25,000/month.
Overview
A longtime customer approached us annually, asking for price reductions by cutting services. They believed that lowering their monthly spend would help control costs. However, what they discovered was the opposite - by investing more and leveraging our full range of services and expertise, they not only simplified operations but also significantly reduced their total cost to operate their voice network.
Challenge
The customer's voice network was underperforming, difficult to manage and impossible to scale. Each year, their goal was to reduce spending, which led to fewer services and increased internal complexity. Despite spending less, network issues persisted, and their total cost of ownership (including internal support and downtime) remained high.
They were paying us $9,500 per month for limited services and were unhappy with both performance and results.
Solution
Instead of cutting services further, we proposed a different approach: maximize the value of their existing vendor relationship by utilizing all available tools, applications, and expertise we offer.
Our team worked with the customer to:
- Fully deploy and integrate our suite of voice and network applications
- Simplify their operations and streamline voice management processes
- Optimize system performance and reliability through proactive management and expert support
This required a larger investment - their monthly spend to us increased to $25,000 per month - but it positioned their network to operate at peak efficiency.
Results
The impact was immediate and measurable:
- Voice network performance: improved significantly, delivering better reliability and call quality
- Operations: simplified, reducing management overhead and internal support burden
- Overall cost to operate: dropped by more than $40,000 per month
By taking advantage of our full capabilities, the customer transformed their network - and their perspective on vendor value.
Where did the cost reductions come from?
- Reduction in co-location and power
- Reduction in software and hardware maintenance
- Reduction in out-of-date hardware replacement
- Elimination of competitor applications
- Elimination of internal applications
Key Takeaway
Paying less doesn't always mean saving more. By asking more from your vendors and investing in their expertise, you can achieve:
- Lower total cost of ownership
- Improved performance and reliability
- Streamlined operations and fewer internal demands
True cost savings come from partnership - not price cuts.
Contact us at sales@globalconverge.com or schedule a meeting.