Growth in a Declining Market

According to latest research, the market for fixed line voice services is expected to decline by 12% per annum between 2011 and 2014. If this trend continues this means that in five years’ time, UK customers will spend half of today’s expenditure on voice services.

Knight Corporate Finance, the comms sector leading deal advisor believes that despite this, the channel and sector is full of potential with plenty of new opportunities

Knight CF Director, Paul Billingham said “the voice market may indeed be shrinking overall, but the SME sector for independent resellers and service providers is proving to be remarkably robust. As well as successfully targeting the customers of the large carriers, the channel community brings a level of support and an ability to offer a fully tailored and managed service that the traditional players cannot seem to match”

The research also forecasts significant growth of 12% per annum in “New Telecom” services such as hosting, datacentres and advanced services and Applications such as hosted solutions, collaboration, desktop and other cloud services. Knight CF Director Adam Zoldan added “this will more than off-set any decline in traditional business. Although some investment in skills and resources are required the long-standing relationships we see that resellers have built with their customers, and their trusted supplier status, will stand them in an excellent position. As customers look for a partner to assist them with their technology transformation the channel is proving itself to be the number one choice.”

“Our advice,” continues Billingham “Is for business owners to understand the changing dynamic of the market to fully evaluate the potential for their business. At Knight we will continue to support the industry and invest in resources to assist businesses to make the right choices moving forward.”

Knight CF are keen to measure the level of confidence of the channel and have compiled an anonymous, 10 question survey that will take no more than 3 minutes to complete. To participate please go to: Please do contribute to this valuable gauge of potential for our sector and we will publish the results next month.

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