Introduction
CardSaver™ can be used as a billing and call monitoring solution for VoIP wholesale and termination providers. PEC understands that wholesale businesses can deal with high volumes of traffic and often very low profit margins, and thus has developed a product that can support the necessary requirements of the industry. With CardSaver™ you can terminate and track VoIP traffic for hundreds of customers at a time.
Since VoIP termination laws and regulations differ from country to country, it is difficult to recommend a definite solution. The best way to develop a successful business infrastructure is to mimic that of another successful business and correct their oversights.
After setting up a solid calling card infrastructure and printing your calling cards, it is time to start making money. First, you need to set your selling rates, and then you need to market your product.
Setting Your Selling Rates
There are many factors to consider when setting your selling rates. You need to consider your competition's prices, your expenses, and the buying rates per destination. Analyzing your competitor's pricing is not as straight forward as it may seem.
Competition Pricing (The Hidden Fees)
Sure, they advertise 8 cents a minute to India, but how much are they really charging? The truth is that the profit for most companies is NOT made with the per-minute charge, but rather with the various fees they charge. CardSaver supports: Activation Fee, Connection Fee, Disconnect Fee Factor, Maintenance Fee, Toll Free Fees, Expiration after First Use, and Extended Billing Increments.
Set Different Rates for Different Customers
In Economics, the practice of setting different rates for different customers is called price discrimination. CardSaver allows you to brand different cards and set different rates for each card, thus allowing you to take advantage of price discrimination.
Charge More for Uncommon Destinations
When calling card companies create a new brand of card, it is usually targeted toward a specific region of the world. Set competitive rates for target destinations, while charging premiums for other destinations people will need to call.
Consider Your Expenses
By simply setting your selling rates higher than your buying rates, it does not guarantee profit. You need to consider all recurring expenses: line costs, Internet, printing, co-location fees, and distribution expenses. Always exaggerate expenses to consider worst-case scenarios.
Fee Pricing Example
A competitor advertises 8¢/min to India. With a 39¢ activation fee, 39¢ connection fee, and 3-minute billing increments, a 25-minute call actually costs: (27 min × $0.08) + $0.39 + $0.39 = $2.94 — effectively 11.8¢/min. That’s a 50% difference from the advertised rate!
First and foremost, you must develop a solid infrastructure for your prepaid calling card system. Without a solid infrastructure, you will be spending more time worrying about your system's integrity than marketing your product.
Billing & Call Management Software
The most vital component. CardSaver™ by PEC is a robust, dependable software package that is also the simplest and most user-friendly in the industry. It enables you to view reports on traffic, control calling cards including PIN generation, usage fees, expiration dates, and much more.
VoIP Gateway
The gateway handles all calls into and out of your system. If your hardware fails, customers’ calls will not go through. We recommend Cisco or Quintum gateways. CardSaver fully integrates with both. These vendors have large followings with extensive online forums for support.
Server(s)
Don’t rely on consumer-grade systems for mission-critical applications. You need a high-end server with Windows Server OS, a Virtual Windows Server running on VMWare, or a dedicated platform that ensures 24/7 uptime and reliability.