There is no doubt that 3CX has had success with its unique Windows-based PBX. However, some changes in their business practices and dealer program are concerning.

We have been approached by 3CX dealers and former employees with the following concerns:

1. 3CX offers free product directly to end users

2. 3CX records end user details

3. 3CX is not white label

4. 3CX does not have a real Cloud option

5. 3CX does not have a real MT platform

6. 3CX abruptly cuts off support

7. 3CX lists the competition

If you are a 3CX dealer experiencing any or all of these problems, we encourage you to keep reading, check out our free educational resources, or contact us to discuss taking the next step.

Where to Start

Arif’s story | John’s story
7 Concerns for 3CX Dealers
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Contact Bicom Systems:
sales@bicomsystems.com
US: +1 (954) 278 8470
UK: +44 (0) 20 33 99 88 00
Canada: +1 (647) 313 1515
France: +33 (0) 3 60 85 08 5

TOO MUCH OF A FREE THING

3CX recently announced that they will begin offering a free annual license for up to 50 extensions to new customers. Businesses of this size account for over 95% market – how are you to compete with that offer and sell to these businesses?

“To an End User this may seem great (though the truth is free things run out and then the support is nowhere to be found). But if you are the 3CX dealer… Where is the trust? Where is the integrity? Where is the Reseller Channel? To many people these things are still as important as the bottom-line.” (From the story of a former 3CX dealer in Atlanta.)

As a committed participant in the reseller channel, Bicom Systems would never attempt to sell directly to your customers. Likewise we never publish prices on our website – so as not to compromise your ability to earn a higher margin.

ADDITIONAL READING:
Blog Post: Why We Don’t Publish Our Prices

“This angered me and I recall being very forthright with my feelings on this indicating that I had been supporting 3CX for some considerable time and felt annoyed that I would have to prove my ability to support the product. This call was the beginning of my determination to move away from 3CX.”

– John Tinning, former 3CX dealer –
Read his story

YOUR CUSTOMERS ARE YOUR CUSTOMERS

There is little more frustrating than losing customers or leads after putting so much time and effort into winning them over. But losing them to your own provider takes the cake.

John Tinning, former 3CX dealer in the UK, tells of an upsetting call he received toward the end of his time with 3CX:

“I received a phone call from an individual at 3CX who informed me that if I did not take the accreditation test and meet their sales targets I would not be able to support my customers. When I asked ‘how will they know?’ the reply was ‘we will call them and inform them’.”

What was 3CX doing with his customers’ phone numbers in the first place?

“To activate your 3CX maintenance contract you are obliged to provide full end user details, including contact details” explains Stephen Corrigan, former 3CX VP of Sales and General Manager. But even he questions “Why? These are YOUR customers, not the manufacturer’s. Working with your customers is what pays your bills and adds value to your business.”

Bicom Systems values our partnerships (you are partners, not dealers) and would never require you to register end user details for any purpose – they are YOUR customers.

ADDITIONAL READING:
Blog Post: Resellers, Dealers, Partners – What’s the Difference?

Arif Hamirani runs “VoIP Extension” in Atlanta and finally broke free after more than 10 years of making-do as a 3CX dealer.

“He could no longer just sit there with 3CX and a premise PBX while the rest of the world moved into the Cloud. If he wanted to compete with RingCentral, Vonage, and other popular options, the Cloud was the way to go.”

Read his story here.

NO MORE MAKING - DO
YOUR BRAND IS YOUR BRAND

The Reseller Channel and the concept of partnership are deeply undermined when a vendor is not White Label. It is difficult to market and sell a product that has someone else’s brand plastered all over it. Losing customers that go straight to the source is too much of a risk.

“At that point Arif realized he was losing customers. Not to competition as would be expected, but to 3CX itself. How could this be? The problem begins with the fact that 3CX is not White Label. They put their name and brand on his product. Customers could clearly see that he was offering a 3CX solution.” (From the story of a former 3CX dealer in Atlanta.)

Selling a White Label solution means building your own brand, your own following, your own business. No egos to stroke or quotas to meet.

“The inability to brand the 3CX product with your own brand image is akin to acting as a sales agent for 3CX, building value in the 3CX brand, not yours.” says Stephen Corrigan, former 3CX VP of Sales and General Manager, “Surely it should be the other way around?”

ADDITIONAL READING:
Blog Post: The Benefits of a White Label Provider

“Wouldn’t it be much better to build your own brand, deliver advanced Voice and Unified Communications services to your customers with your own brand, promote your own brand, not that of the manufacturer? This is what builds loyalty and value in your business.”

– Stephen Corrigan,former 3CX VP of Sales and General Manager –
Read Q&A with Stephen Corrigan

THE FUTURE IS IN THE CLOUD

You may not be ready to throw out your premise system quite yet, and that is okay. But certainly, your provider should have that option prepared by now. After all, the facts are undeniable:

According to research from MarketsandMarkets, the global Hosted PBX Market is expected to double from $4.73 billion in 2018 to $9.5 billion by 2023, growing at a CAGR (Compound Annual Growth Rate) of 14.9%.

Is 3CX poised to capitalize on that trend? Is their so-called “Cloud Platform” going to withstand the competition from true Hosted PBX solutions?

Stephen Corrigan, former 3CX VP of Sales and General Manager recalls “My aim was to provide our channel partners with a fully managed Cloud infrastructure upon which our partners could build their sales and business. Unfortunately this approach was not accepted. Ultimately 3CX were not willing to make the investment necessary for our partners to compete successfully in this new space.”

Whatever your position in the hosted vs premise debate, there is no denying that the Cloud is here and it is here to stay.

ADDITIONAL READING:
Free eBook: 7 Reasons You & Your Customers Should Switch to Hosted

 

7 Reasons You & Your Customers Should Switch to Hosted

Transitioning to a hosted model enables you to sell more, earn more, and enter the future with peace-of-mind.

7 Reasons You & Your Customers Should Switch to Hosted will take you through the top seven benefits of a Hosted PBX for both you and your customers.

Read the book here.

A REAL MULTI-TENANT PLATFORM

On-premise solutions can be pieced together to form a Multi-Tenant-look-alike, but the only real Multi-Tenant solution is found in a hosted model. Makeshift MT solutions are complicated, costly, and a bit of a headache – all things that MT is designed to avoid.

Selling a true Multi-Tenant platform is easy, cost-effective, and customer-friendly. Multi-Tenancy lends itself to competitive prices, fosters scalability, and supports the ability to forge long-lasting partnerships.

ADDITIONAL READING:
Blog Post: The Benefits of Multi-Tenancy

“My overall experience with Bicom Systems
has been wonderful.”

– Arif Hamirani, former 3CX dealer –
Read his story

A STARTLING TREND

As mentioned above, one of the real dangers of staying with 3CX is that they will poach your direct customers. It is common knowledge that companies do this as a last knee-jerk reaction when they have nothing left to sustain themselves. Just look at Avaya or MS 365 Direct or a handful of others to see how their channel sales collapsed.

Failure to quickly adjust to meet contemporary market demands is another concerning trend. We keep seeing this pattern of legacy and on-premise providers either shutting down, going through financial trouble, or ultimately doing a major overhaul and switching to the cloud. But our concern goes beyond that. Everyone is abuzz about the cloud, but technology is certainly not going to stop innovating now. The cloud is the top technology of today – what about tomorrow?

Do you want to be caught in this trend when the inevitable collapse comes? There is time to break free.

ADDITIONAL READING:
Blog Post: A History of Self-Destruction in the Telco Business

John Tinning runs Next Generation Assoc. and finally broke free after more than 10 years of jumping through hoops as a 3CX dealer.

“It was concerning when they began collecting customer details and contacting them directly. He was the one that had brought these clients to 3CX in the first place, and now he feared being cut out of the chain entirely…”

Read his story here.

NO MORE HOOPS - A Story of Breaking Free From 3CX
HERE TODAY, GONE TOMORROW

Like a rug pulled out from under your feet, 3CX has been gradually ending support for popular hardware like Grandstream and Yealink telephones.

The last straw for John Tinning, former 3CX dealer in the UK, was the withdrawal of support for the Yealink T22P. He supports an accounting firm with two offices filled with that phone – how could he tell his customer to throw out perfectly good devices and purchase new ones?

The Yealink T22P is just one of many devices on 3CX’s ever-growing list of “End of Life” devices (www.3cx.com/sip-phones). Granted, Yealink has stopped updating the firmware on some of these phones, but that is no reason not to continue working with them and their present firmware.

ADDITIONAL READING:
Bicom Systems Supported UADs

“By and large 3CX partners still like the product. The issue that the overwhelming majority have is dealing with 3CX and their business model. 3CX is all about 3CX. All about building the 3CX brand. That is okay, but how does this help their partners build value in their own businesses?”

– Stephen Corrigan, former 3CX VP of Sales and General Manager –
Read Q&A with Stephen Corrigan

WHO IS THE COMPETITION ANYWAY

“Worse yet, all of your competitors are listed publicly on the 3CX website,” says Stephen Corrigan, Former 3CX VP of Sales and General Manager. “So when you introduce 3CX into the opportunities that you have worked hard to nurture, what is the first thing they are going to do? Research a bit more about 3CX and uncover your competitors on their website. This is not a smart move!”

Healthy and fair competition is what makes our industry thrive, but surely you have enough to combat without 3CX publishing a list of all your competing dealers. Who are you competing against and who is supporting you? The line looks blurry from here.

We reiterate our commitment to partnership and desire to see our partners thrive. Bicom Systems would never put a list of your competitors on our website. We support each partner to reach its full potential.

ADDITIONAL READING:
Blog Post: Resellers, Dealers, Partners – What’s the Difference?

BUT THERE IS HOPE

If you are a 3CX dealer facing any or all of the issues we have described, we would encourage you to break free from the constraints and pursue your rightful place in the Reseller Channel.

In the words of Stephen Corrigan, former Director of Sales for 3CX, Bicom Systems has always been about building:

  • YOUR BUSINESS – by leveraging our investments, infrastructure, technologies, people and expertise.
  • YOUR BRAND – by marketing and delivering advanced UCaaS services in your own unique brand on a local, regional, national, or even international basis.
  • YOUR WAY – you set pricing and service plans, you do it all your way, you’re in total control.

ADDITIONAL READING:
Blog Post by Stephen Corrigan: Reasons to move from 3CX to Bicom Systems… I did

FAST START PROGRAM

Change can be difficult. We understand that and it is why we have developed the Fast Start Program for partners making the switch to Bicom Systems.

The Fast Start Program includes a free evaluation account for 60 days with free support, free training, and free advice on our technologies and services, plus a dedicated project team to get you started.

For more information, create an account below, no strings attached:

Thank you for creating an account. Please click the button below to proceed.

“My dealings with Bicom Systems and moving over a multi-site existing phone network within a very short period of time were made seamless with the professional support from the Bicom Systems support team.”

– John Tinning, former 3CX dealer –
Read his story

CONTACT US

If you are a 3CX dealer and want to break free to pursue a better option, we can help. Contact us today to share your story, learn about our solution, and take the first step toward growing your business.

sales@bicomsystems.com
US: +1 (954) 278 8470
UK: +44 (0) 20 33 99 88 00
Canada: +1 (647) 313 1515
France: +33 (0) 3 60 85 08 5

RESOURCE LIBRARY

Browse our free books and videos below:

Concerns for 3CX Dealers
Fact Sheet

Concerns for 3CX Dealers

Arif’s Story
Case Study

Arif's Story

A Fast Transition
Fact Sheet

A Fast Transition

7 Benefits of Hosted
eBook

7 Benefits of Hosted

How to Sell VoIP
eBook & Webinar

How to Sell VoIP

John’s Story
Case Study

John's Story

How to Start an ITSP
eBook & Video

How to Start an ITSP

Custom Solutions
Fact Sheet

Custom Solutions

Customer Loyalty
Video

Customer Loyalty

FEATURED BLOG POST:
3CX Resellers Finding an Alternative at IT Partners in Paris

The common theme from resellers coming by the booth was that they are tired of their provider not playing fairly or as a team. These companies pour their time and resources into a solution only to have their provider revise the game plan, forcing them back to square one. It is frustrating to work with a partner and solution that seems to be pushing them out of the equation in an attempt to eliminate the channel and… Keep reading.

FEATURED BLOG POST:
Q&A with Stephen Corrigan, former 3CX VP of Sales and General Manager

Q: If you could give one piece of advice to 3CX customers right now, what would it be?

SC: Look beyond the product. Given the maturity of technology today, there is really very little difference in what different products deliver. Look at how easy working with your provider is – are they willing to go that extra mile? Look at the business model – is it all about the manufacturer? Look at how the company can help you grow, help you succeed, and help you! Keep reading.

“3CX is an on-premise based phone system (or at least it was when we were involved with it). 3CX couldn’t be a class 4/5 switch, had no Multi-Tenant, no TELCOware, no Billing… I do remember it being somewhat unreliable. A Linux based system is obviously better.”

– Former 3CX dealer –

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