Expert Negotiators of World-Class Telecom Contracts

Fortune 300 Specialty Retailer

Situation:  This client contracted with G2 to negotiate its full scope of Telecom services:  Data, Voice, Local, Conferencing and Wireless.  This client operates over 3,500 stores, as well as on-line and catalog sales and employs more than 90,000 personnel throughout North America.  Accordingly, their network is extremely complex with very unique telecom requirements.

Entering the holiday season, this client had expiring contracts that needed to be re-negotiated but they could not afford any migrations or disruption to business.  There were several major key personnel changes during this time as well which led them to engage G2 to lead the initiative and alleviate their responsibilities as much as possible.

Additionally, this client wanted to use this engagement as an opportunity to explore better technology options for their stores, specifically their data network.  They tasked G2 with providing a recommendation on the optimal technology that would provide a better level of service, result in reduced in-house management while also obtaining aggressive price points.

Negotiation:  Incumbent providers and a few selected Tier 1 competitors were invited to the client headquarters for an on-site Bidder’s Conference to formally commence negotiations.  Carriers were presented with the RFP requirements, timelines, expectations, and key technological specifications.

G2 negotiated with the senior finance and offer management officials within each provider in order to escalate our demands and gain expedited approvals.  G2 conducted coaching sessions with the carriers, including the insertion of “out-of-the-box” response strategies, such as tiered credit structures intended to off-set potential cost increases by moving to a more advanced technology.

5 of the 12 participating carriers were dismissed immediately after their 1st Round proposals.  This allowed G2 to quickly and efficiently focused efforts on the remaining carriers during the 2nd (final) Round of responses.  G2 issued Deficiency Letters to each carrier, clearly outlining areas of shortfall and defining what needed to transpire in order to retain/win the client’s business.

Result:  Across all carriers and services, G2 extracted savings of $22.7M.  One Wireless provider was eliminated (leaving a primary and secondary in place), but otherwise, no services required migration or transition in order to attain these savings.  These results exceeded the client’s expectations by more than 200%.

Further, G2 succeeded in improving several terms, conditions and SLA’s within the contracts and worked closely with the carrier and client legal teams to ensure all proposal items were accurately defined.

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