Debating How to Sell RMR

Author: Brian Rhodes, Published on Jul 11, 2012

RMR proponents claim it is a cure-all for cash-strapped integrators. One company, Integrator Support, is focused on helping security installers become profitable 'service' oriented businesses. In this note, we examine a recent webinar positioning the value of why integrators should sell RMR solutions at every opportunity.

Webinar Overview

*** *** **** ** ****** ************ ** "******* ******** ** Solutions" *****:

*** ********* *** *** *******'* **** ********** ******, **** ********* in ********:

  • *** ** ****: ***** ********* & ************ ** *****-**** ******. Instead, ***** ******* **** ******* ****. [**:**]
  • **** *** *****: ** ********* ***** ** ******* *** *******, have **** **** * ****** **** *** '*********' ******* ********. [20:27]
  • **** *******: ** *** **** ** ********* **** ** ********, only ***** ****** ********* ******* **** **** ********. ********** ******** [50:20]
***** *********

** **** *****, *** ****** ***** ** **** ************ ********* the ****/********** ****** ********. ******* ****** ******* **** *** ********* of *** ******** ** ** ***** **** *** ******** *********** companies. *************, ***** ************ *** ****** ******* ******* **** **** 'project' *********. **** *** ***** ******* ** ********* ***** ** no ********* ** ****** ********, ****** ***** ********** ********* **** often ****** *** ***** ***** ****** ************. *** **** ** Integrator *******'* ****** *** ** ****** *** ********** *********** ** an ***-***** ********. ** *** ********* ****, ** ******* *** webinar's **** ******* ** *** **** *** ** ********.

Bid ** ****: We find this the most controversial claim, and also the most shortsighted. While it may result in a higher proposal 'close rate' through undercutting competitive bids, it accelerates the***** ** ********* ********* **** ************ **** *******, * ****** ** ******* *** **** ***********. *** ******* is ***** ** * *********** ***** **** ******** ******* ****, this *********** ** ***** ******. **** ****, **** ******** *** significantly ****** ******* ** ** ****** ******. **** ************** ********** 'alarm ********' ********* ******* ** ****, *********:

  • *****, *****, *** ****** ********:**** ************ ** * '**** ******' ********, *** **** ******* to ******* *** ****, ** ******* ** ********. **** ******** inspires ********* *** ****** **** ** *** ********** *** *** to ***** **** *** ******* *****.
  • **** *********** ******:***** ******, *** ***** ** ********** **** ********* ** ************ and ****** ******* *** ******** ** *********** *** ******** ******** around '**** ******' *************. ************, *** ***** *********** ******** ** these ********* ********** ****-******** *** **** *** ***** **** ** their **** *********** ************.
  • ***** *********:**** ********* ** ****** ****** ***** ** ****, *** ******** stuff **** *********. ******* *** ************ ** ****** *******, ***** the ********* ***** ********* ** * '****-*******' ****, ********* ** spent ** ********** ******** *******.

Sign *** *****: This strategy appears lifted directly from the used car lot. Inferring the customer is accepting liability when they decline monitoring services capitalizes on their fear and uncertainly. Worse, the resulting signed 'waiver' has no legal value. Not only does this strategy dishonestly represent the consequence of declining service, it can potentially backfire when if the customer signs it and expects compensation from the provider when an event occurs.

Bury *******: By divulging only the 'monthly payment' rather than 'acquisition cost', dissecting the 'true' cost of the hardware and services is cloudy. While this strategy may be effective when dealing with hapless residential alarm customers, very few large purchase orders are cut without discrete accounting of what is actually being purchased, and professional purchasers will not approve vague charges. In the case of large systems, equipment purchases may be capitalized and depreciated, and this information must be separated. In effect, this strategy limits prospective customers to the small, token installs, which places it at odds with the 'RMR cures all' concept of sustaining business.

***** *********

Do *** ********: When selling hosted/managed services, the #1 rule is being honest and not overpromising features. We wholehearted agree with this, and based on our own experiences think it is necessary to describe how 'assumed functions' are made different through the hosting platform. For example, hosted video systems perform differently than 'host bound' systems - framerates and bandwidth for starters - and addressing those differences is vital.

Blunt *********: The webinar recommended reading prospect's body language during the pitch. If they get uncomfortable during the RMR portion, directly ask why they are uncomfortable with hosted/managed services. While directly confronting confusing issues is vital during any sales process, abruptly stopping the sales pitch and asking point blank 'whats the problem?' could create more distance on the issue and ultimately backfire. We do not disagree that addressing concern is a vital part of the sales process, it is important to let the customers address their questions on their own terms. Simply 'wearing the pants' on tough selling lends itself to being a high-pressure technique that many customers loathe and will subsequently avoid.

 

Stay *****: A benefit of the RMR relationship model is that it precipitates 'stickiness' in picking up additional business. In our experience. this advice rings true. The concept is that when an integrator submits regular invoice, the proximity makes it easy to pick up subsequent work. However, this concept is nothing unique to RMR companies, and most integrators have some form of '******** ************ **********' ******** ** ******* ** *****.

Login to read this IPVM report.
Why do I need to log in?
IPVM conducts unique testing and research funded by member's payments enabling us to offer the most independent, accurate and in-depth information.

Related Reports

Top 5 Improvements For Manufacturer Sales People on Jun 28, 2017
Manufacturer sales people are very important to integrators, but it takes more than just punching a clock to be successful and truly valuable to...
Manufacturer Sales People Are Very Important - Statistics on Jun 26, 2017
IPVM's new integrator statistics show what sales people say regularly: Sales people are very important. From 150 integrator...
Importance of Sales To Integrators - Statistics on Jun 23, 2017
One of the top trends in the industry over the past few years has been the rise of across-the-board sales (e.g.: Hikvision Sales, Dahua Sale,...
45 Drives 'Lowest Cost' Enterprise Storage Company Profile on Jun 21, 2017
45 Drives claims the "lowest cost per Hard Drive Slot in the industry." But who or what is '45 Drives'? What started as a product design to...
Resolver / PPM 2000 Incident Management Platform Profile on Jun 20, 2017
You might have seen the company whose employees wear hockey jerseys at trade shows and wondered "what do they do?" PPM 2000 has been active in...
Dahua Demotes USA CEO on Jun 19, 2017
Dahua has demoted their USA CEO Tim Wang. Inside this note, we examine the move, Dahua's challenges and what lies ahead for the...
VMS UI - Light vs Dark Preferences on Jun 16, 2017
Several VMS manufacturers have the ability to choose a user interface with either a light or dark color theme. 150+ integrators told us which they...
ESX 2017 Final Show Report on Jun 16, 2017
The ESX (Electronic Security Expo) day 3 / Thursday is done and the exhibits are over. IPVM was in Nashville covering it in-depth. Below covers...
Bluebeam Revu Security Floorplan Estimation App Test on Jun 15, 2017
Bluebeam Revu is a construction design markup tool that claims it is "used by 94% of top US contractors", but what role does it have for physical...
Panasonic Sells VSaaS Company To Eagle Eye (Cameramanager) on Jun 15, 2017
While many VSaaS companies might hope for one acquisition, Cameramanager has managed to get acquired twice. First they were acquired by Panasonic,...

Most Recent Industry Reports

Avigilon VP Communications Exits on Jun 27, 2017
In 2016, Avigilon hired an executive, Darren Seed to: build and maintain strategic relationships with the investment community and to...
Hikvision H.265+ Tested on Jun 27, 2017
Hikvision, which in the past few years released H.264+ (see test results) has now released H.265+, that claims even greater bandwidth savings. We...
Milestone / Canon Launch Cloud Startup Arcus Global on Jun 27, 2017
Milestone has spun off a business, Arcus Global, funded by their parent company Canon. The new company aims to transform the VSaaS market with an...
Biometrics Pros and Cons For Electronic Access Control on Jun 26, 2017
Biometrics has been long sought as an alternative to the security risks of cards, pins and passwords. While biometrics has improved somewhat over...
Manufacturer Sales People Are Very Important - Statistics on Jun 26, 2017
IPVM's new integrator statistics show what sales people say regularly: Sales people are very important. From 150 integrator...
No Personal Opinions About Work on Jun 26, 2017
One rising trend is the tendency for people to disclaim their statements on work related topics as their own 'opinions' or 'personal...
Importance of Sales To Integrators - Statistics on Jun 23, 2017
One of the top trends in the industry over the past few years has been the rise of across-the-board sales (e.g.: Hikvision Sales, Dahua Sale,...
Deep Learning Surveillance Startups Deep Problem on Jun 23, 2017
The undeniably good news for the video surveillance market is that we are seeing the rise of more startups than in many years. The cause of this...
Avigilon Announces RADAR-Based Presence Detector on Jun 22, 2017
RADAR is gaining momentum within physical security. Two months after Axis announced a network radar detector, Avigilon has announced a RADAR-Based...
Covert Cloud Camera Service Launching (KJB) on Jun 22, 2017
Cloud IP cameras, for consumers, has become increasingly commonplace. However, covert cameras, lag there, with few options. Now, North America's...

The world's leading video surveillance information source, IPVM provides the best reporting, testing and training for 10,000+ members globally. Dedicated to independent and objective information, we uniquely refuse any and all advertisements, sponsorship and consulting from manufacturers.

About | FAQ | Contact