Well I'm with you there, George. Other expenses grow with more customers, though, such as administrative, fuel, insurance, bandwidth, tech support. You can realize a lower cost per customer until it's time to buy more bandwidth and pay for more tech support.
Then come non-recurring system upgrade costs such as higher-capacity backhauls, new wipop, fiber, etc. They have to be funded by customer revenue if we don't want to go into debt. It seems like the only thing to do is find the most economical of all those things. And more often than not, you get what you pay for. For instance, all our T-1's are from Sprint and their NOC is the best in the business. I receive phone calls from them when a circuit is down, before I or any of my customers know about it. So I go with "Company B" for cheaper bandwidth and lose the Sprint support. But maybe that's the thing to do if the priority is to get cheaper bandwidth, and the trade-off is a lower level of service from my provider. It's time to spend more than 15 minutes on analyzing this, I think... Mark Nash Network Engineer UnwiredOnline.Net 350 Holly Street Junction City, OR 97448 http://www.uwol.net 541-998-5555 541-998-5599 fax ----- Original Message ----- From: "George" <[EMAIL PROTECTED]> To: "WISPA General List" <wireless@wispa.org> Sent: Saturday, March 18, 2006 10:38 AM Subject: Re: [WISPA] COST Per Customer Analysis > You need more customers! > > That should lower your cost per customer. > > George > > Mark Nash wrote: > > My partner has done some quick analysis at COST PER CUSTOMER. This does not > > include CPE hardware or one-time purchases...just monthly expenses that must > > be covered by revenue from our customers. Items like fuel, insurance, tower > > leases, bandwidth, billing & administration, support costs, cell phones, > > etc. He came up with about $37 COST per subscriber. > > > > I'm not really interested in how much we charge at this point...just coming > > up with a valid calculation of COST. > > > > Does $37 per subscriber seem right? I think it's high (I've only given it > > about 15 minutes worth of thought). > > > > This is something, of course, that everyone should be looking at, so I think > > some discussion would be helpful. > > > > Mark Nash > > Network Engineer > > UnwiredOnline.Net > > 350 Holly Street > > Junction City, OR 97448 > > http://www.uwol.net > > 541-998-5555 > > 541-998-5599 fax > > > > > > -- > WISPA Wireless List: wireless@wispa.org > > Subscribe/Unsubscribe: > http://lists.wispa.org/mailman/listinfo/wireless > > Archives: http://lists.wispa.org/pipermail/wireless/ > -- WISPA Wireless List: wireless@wispa.org Subscribe/Unsubscribe: http://lists.wispa.org/mailman/listinfo/wireless Archives: http://lists.wispa.org/pipermail/wireless/
