Consolidated Communications Inc. (CCI) is trying a new approach to the home security and automation market. The news came to light in a press release from Monitronics — a security company serving customers throughout the U.S., Canada and Puerto Rico — about a new Monitronics/ Consolidated Communications deal.
Monitronics announced that it would “assume responsibility for sales, installation and technical support, as well as billing and customer service” for existing Consolidated security customers and that moving forward Consolidated would market systems for Monitronics.
The Monitronics/ Consolidated Communications Deal
A Consolidated spokeswoman confirmed in an email to Telecompetitor that the company previously sold and installed its own systems under the name “CCI Home” but henceforth would market Monitronics offerings.
“Under the new partnership, Consolidated will advertise the home security and automation services through our normal advertising channels,” the spokeswoman wrote. “Consolidated representatives will provide basic information about the services. Due to state licensing requirements customers must be connected with a Monitronics representative who will provide details on pricing, installation, monitoring and support options.
According to the spokeswoman, “The value of this arrangement is that CCI can still provide the quad play, deliver cutting edge automation services that complement our existing product portfolio and get to market rapidly by leveraging Monitronics’ experience and licensure in the space. This is truly a win, win, win.”
From Monitronics’ point of view, the deal represents a way of reaching areas where it may not have a major marketing presence, said Frank Guido, Monitronics chief marketing officer. “Co-branding drives some nice linkage and endorsement with a local company – in this case Consolidated,” he said in a phone interview.
Consolidated will get a marketing fee for selling systems for Monitronics, Guido said.
The home security and control offering that will be available from Monitronics is quite similar to what Consolidated previously offered. Customers will get 24/7 monitoring over a phone line, broadband connection or wireless connection, which can be from any carrier. Customers also will have the option of using their smartphones to remotely control the system.
Monitronics did not previously monitor Consolidated accounts but will do so moving forward.
Consolidated is one of many broadband providers that have ventured into home security and automation as a means of boosting average revenue per customer and minimizing churn. Many providers have opted to sell and install their own systems, sometimes using a third party for monitoring. But Consolidated’s new approach could be a good choice for service providers that want to minimize the investment and risk involved in offering home control.
Guido said Monitronics would be interested in similar agreements with other telecom service providers.