TenTel claims industry first

A new company being launched next month is claiming to be the first to offer customers same day telephone and broadband services without holding them to long-term contracts.
 
TenTel says it will offer a 'move-in, turn-on' service with no enforced tie-ins or hidden extras, aimed principally at customers in rented accommodation.
 
It aims to work in partnership with landlords and letting agents, offering them a commission for each line of data they supply and for each of their tenants who signs-up, with deals that could increase their profitability by up to 40%, according to Tentel.
 
Selkirk-based TenTel anticipates signing 20,000 customers in its first year of trading, generating a turnover of £9 million, rising to 100,000 customers within five years. It will, initially, employ 18 people at its Borders HQ.
 
The same business model has worked successfully in the energy market, with landlords agreeing similar deals with suppliers of gas and electricity, and TenTel is confident it can be replicated in the telecoms market.
 
Letting agents that manage 1,000 properties would generate commission of £25,000-a-year, significantly increasing yields, according to the company.
 
"This would be the equivalent to them managing an extra 250 properties without incurring any additional workload or expense," says Robert McKechnie, the company's Managing Director.
 
"This approach has worked successfully in the energy market, where the onus is on customers to opt-out, whereas ours is an opt-in model which assumes nothing and gives customers the choice to switch.
 
"This is a brand new approach in the telecoms market that offers customers a less expensive and more convenient service, while also providing a new income stream for landlords."
 
According to Tentel there are 9 million tenants in rented accommodation in the UK, 67% of whom will move within 12 months, giving the company a potential market of 6 million people per year.