In order to boost its channel sales,
) - one of the largest U.S. rural local exchange carriers (RLEC)
- recently authorized its channel managers to sell its few
selected data center products to the customers.
Windstream generally sells its data center products through
its direct sales channel. Thus, by certifying its channel
managers, it will not only open up a new sales platform for the
company but also offer more Windstream products to its
At present, only four products namely, colocation, dedicated
servers, Disaster Recovery as a Service (DRaaS), and unified
email management will be offered certification by the company,
Gradually, more products will be included under the certified
Last month, nearly half of Windstream's channel managers went
through data center certification training in Charlotte, N.C.
After the training, these managers also trained their agents and
started selling Windstream data center solutions from Feb. 25
Last month, Windstream reported somber fourth quarter and full
year 2012 results, mainly attributable to low contributions from
voice and long distance units, reduced intrastate access rates
along with loss of subscribers. It also missed both the top and
bottom line of the Zacks Consensus Estimate.
During the fourth quarter, total access lines, which include
voice lines, high-speed Internet and digital television
customers, decreased 2.8% year over year to 3.48 million. Voice
lines and digital television customers witnessed a year-over-year
decline of 4.5% and 4.4%, respectively, while high-speed Internet
improved a marginal 0.6%.
Hence, we believe that implementation of such selling strategy
will not only drive subscriber growth for the company but at the
same time will spread business to various new locations, hence
giving a cutting edge to Windstream's performance over other
industry players such as
Consolidated Communications Holdings Inc.
Windstream currently carries a Zacks Rank #3 (Hold).
CBEYOND INC (CBEY): Free Stock Analysis
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WINDSTREAM CORP (WIN): Free Stock Analysis
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