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Vodafone to introduce revenue share model for dealers in July

Michael Garwood
April 22, 2013

All partners given three months notice of the changes and will join those trialling the model for the past year

Vodafone plans to move its dealer partners onto revenue share payments from July.

After a number of delays, the operator has now given its platinum, gold and silver partners three months’ notice of the scheduled changes – as noted in the latest Vodafone Partner Services (VPS) commercial update for the current quarter.

Vodafone said in the email: “On transition to revenue share, upfront investment on in-life renewals will no longer be available as part of the commercial model.

“Having discussed this decision with many of you in previous weeks, alongside listening to partner feedback, we are providing you with this three months’ notice to allow you to plan and prepare effectively, while at the same time supporting you in our current commercial model.”

A number of dealers have been trialling revenue share on Vodafone for more than a year, with each typically receiving a 45 per cent share.

They claim on roll-out, the figures will be adjusted to reflect their status with the operator and whether they take a hardware loan.
Vodafone said no decision on the revenue share model had been made as Mobile News went to press, but the company confirmed the new commission structure is expected to launch during Q2.

There is speculation in the dealer channel – with a number of dealers naming Vodafone sales director for channel partners Nick Birtwistle (pictured) as their source – that silver partners will receive up to 41 per cent revenue share, gold partners 43 per cent and platinum 45 per cent. However, some suggest revenue share could start as low as 35 per cent.

Vodafone did, however, confirm the cap on upgrades during Q1 has now been removed.

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