Question-and-Answer Session
Operator
(Operator Instructions) Your first question comes from Jeff Kessler – Imperial Capital.
Jeff Kessler – Imperial Capital
With regard to your RMR, I should say more importantly, your creation costs, you have two initiatives that you are undergoing and maybe you are fairly well through. One obviously is the shift away from the old BellSouth marketing scheme toward your multiple new marketing schemes in internal and number two is the secure initiative. At what point are the start up costs and the types of cost of just getting the stuff up and running going to be subsumed by the actual revenue production of mostly RMR that you get from that, so that we can get to a point at which they’ll some type of steady state, year over year comparison that will be a more apples to apples comparison of these start up costs?
Darius G. Nevin
Let me at least try to tackle part of that question, with any amounts of new type of channel, which we use the web and our pay-per-click undertaking there as really the develop of a new channel there are going to be startup inefficiencies. I will note that we have paid a lot of attention to our efforts where we, as Richard noted, we introduced a new website in October and from that website we are seeing significantly greater, higher conversions of people who go to the website, who then are asking for a security consultation.
We have made a significant progress within our sales force in taking those types of leads, which are extremely high quality leads and converting those into actual appointments and then converting those into sales. We’re tracking all of those metrics and there was inefficiency at the start as with any type of program at every single level in terms of getting people to the website, getting them through the website, getting them to a sit and to a close. All of those metrics are improving. We expect to continue to improve. That’s for the one element of how we improve creation costs.
There’s another element which is to drive our sales force to sell a different type of product that generates a higher RMR per unit, higher ARPU, a telecom term and we are seeing as I think Richard mentioned, we’re seeing significantly higher percentage of our sales coming from e-secure which is our interactive service. To give you an idea, that’s typically a $45 RMR type service offering which is significantly higher than our typical $30 residential offering.
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