COSTA MESA, Calif.—GTC Wireless Inc. is looking to the Amway-style Independent Distributor Sales model to help boost sagging revenues.
The 9-year-old provider of business process outsourcing services announced the formation of Shine Wireless, a subsidiary that will offer discount wireless services through independent agents. The sales force will offer wireless calling plans starting at $18 a month for 125 monthly minutes.
The company is recruiting agents for a beta test of the offering. Other companies that have gained traction with the IDS model include Prepaid Legal, Herbalife, Electroclux and Excel Telecom.
“The IDS model has been enormously successful in efficiently building sales for companies in a variety of industries,” said S. Paul Sandhu, GTC’s chief executive officer. “We believe this approach is ideally suited to our discount wireless offerings, and we are excited by the opportunity it offers our company to create another avenue of growth.”
GTC’s current wireless offering includes five handsets, four rate plans and runs on Cingular Wireless L.L.C.’s GSM network.
GTC has seen its stock slide from a 52-week high of 18 cents a share to 7 cents a share. The stock inched upward half a cent on the news.
