The enterprise communications sector is continuously evolving, and one of the bigger changes for the past decade has been the transition from owned equipment to cloud-delivered services. While new technologies and features dominate most of that conversation, the go-to-market changes (or disruptions) are equally significant.
The comms industry was built on a traditional reseller model. The value-added reseller (VAR) purchases components at a wholesale price, configures and delivers them, then resells the solution to the customer at a retail price. The difference between the wholesale and retail prices goes toward operating costs and profits. Reseller models are common with physical products including cars, groceries, and furniture.