A new retail outlet for cellular is opening nationwide, but there won’t be any sales people and you won’t find the address in the yellow pages.
Denver-based nLYTn Technologies Corp. is opening Cellmart on the World Wide Web, a virtual store where consumers can find buying tips, compare providers’ prices and order cellular service, phones and accessories all online.
The company got its start in early 1995, with the intention to provide a better carrier billing system. As the business progressed, Cellmart founders Yvonne Berry and Trent Sutton recognized an untapped market.
“Instead of helping customers with billing costs, we’re helping them with acquisition costs,” said Sutton.
Cellmart is easy, say its founders. Browsers are provided four initial options. “Learn” provides buying tips, “shop” takes users to carriers’ service information, “contact” connects users to nLYTn and “home” returns users to Cellmart’s introductory menu.
Select “shop” and a nationwide map pops up on the screen. Users choose one state, then a city, and the names of the licensed carriers in that area appear. Once browsers click on a carrier’s cyber door, they enter that carrier’s “store.” Inside, all information-educational or promotional-comes from that carrier.
Users can navigate between the carriers’ stores to determine the services that best suit them. Each provides rate plan information, photo images and descriptions of three phone models, choices of accessories and order forms. Carriers can include any other information under an “additional information” option. Some have shown interest in including a sample copy of a bill to guide new customers, while others may want to communicate with agents in that area. The Cellmart carrier information can be updated within a business day.
“Order now” buttons will appear throughout, and customers can order toll-free using a credit card via the Internet, phone or fax. Sutton said the company processes credit checks and phone orders for the carrier.
Sutton said nLYTn plans to implement a customer renewal program, where in an effort to reduce churn, current cellular customers are rewarded with a phone upgrade.
One target for Cellmart is people who are relocating. A person can investigate service options in another city before actually moving there. And the Web is a good channel, said Cellmart, which reports between 4 percent and 8 percent of the nation’s population cruise the Web today.
Non-exclusivity is Cellmart’s marked feature. Currently, most retail outlets offer one carrier’s products and services. Cellmart offers information from any and all carriers in a region-with their consent-as well as tips to help users make an informed buying decision without sales pressure, explained Berry.
A critical aspect in launching Cellmart is to keep it simple. In a visual medium, some users lose interest if they have to read too much. nLYTn designed its menus to provide brief, direct information. Browsers that seek more details can navigate through successive menus.
Currently, nLYTn is developing relationships with carriers and intends to launch Cellmart in July with a Customer Bonus plan to increase sales volume, and its renewal program, aimed to reduce churn.
About five carriers are ready to sign on, said Berry. Some are negotiating with nLTYn at the corporate level, while others prefer nLYTn approach the regional providers. Cellmart will be paid a commission on the customers it refers to carriers.
While a few carriers have launched their own home pages to provide service and product information, that approach does not paint a complete picture for consumers, said Berry. She believes carriers’ best online approach is to establish themselves through Cellmart in addition to their home pages.
In markets where carriers are not initially signed on for the service, Cellmart will provide browsers with buying tips. As an added incentive to bring people back, nLYTn is including a survey form to gain user feedback. Those who fill out the survey will be eligible to win a round-trip airline ticket for travel in the United States, said Berry.
Cellmart also is implementing a referral program, where customers will receive $10 off their cellular bills when they refer a new customer. nLYTn intends to advertise Cellmart on and off the Web.
