PROFILE
www.comms-dealer.com
Orchid’s channel roots
COMPANIES IN FOCUS
Orchid Telecom was established in 2003 by Jim and
Maggie Mortell as a provider of business comms
to the SME market, via dealers and wholesalers.
According to Jim Mortell, his telecoms background,
know-how in product development, knowledge
of Far East manufacturing and experience in
sales and marketing will ensure Orchid expands
into the right product areas at the right pace.
im Mortell was once an The name Orchid was chosen
J
engineer with Post Office because it is the symbol of
Telephones, but he spotted perfection, something Orchid strives
new opportunities when the to achieve. Orchid’s first System was
telecoms market liberalised in a PBX308, but many dealers wanted
the early ‘80s. He also held sales the company to supply two and
and marketing director positions four line versions. “We now have
Jim Mortell
with Answercall, HB Electronics seven systems in the range from a
and Code-A-phone in the USA. PBX206 to a key system 416 and key existing systems by integrating a Mortell confirmed that certain
In the early ‘90s Mortell founded phones,” said Mortell. “Our range GSM module for calls to mobiles, models will be exclusive to the
Dialogue Europe which became a of systems has been developed in and to enable call divert to channel to prevent pricing
leading supplier of dialler products conjunction with our China factory, mobiles. “These new systems conflict which may be caused
for the new telcos. Dialogue had with which we have an exclusivity will be available first quarter of by more dealers setting up
a turnover in excess of £8 million, agreement, working with them to 2010,” he said. “To introduce web shops. “There is very little
but the rapid introduction of CPS achieve CE approval and RoHS consumers to IP Telephony many market information as to the
ended the market for diallers compliance. We have already dealers are connecting ATAs actual size of the current market
overnight, so Dialogue was closed expanded into Spain and are or gateways to our systems. and competitors’ sales figures,
in 2003, the same year Mortell looking at other European markets.” In time these consumers will therefore it is difficult to ascertain
founded Orchid Telecom. be looking to purchase larger Orchid’s current market share,”
Orchid now offers dealers a and true hybrid systems. said Mortell. “What we do know
Orchid’s target market is the SoHo range of affordable systems for is that our sales are expanding
and micro business systems arena. the relatively untouched entry “The channel has traditionally rapidly and we confidently expect
“This market has been largely level market. These systems are relied upon leading wholesalers a turnover of £2 million in 2010,
neglected by traditional system plug-and-play, making installation to provide their product portfolios. increasing to £5 million in 2012.”
suppliers that are mainly geared quick and easy for the end user or These wholesalers are growing year
up for larger more corporate engineer. “Many of the dealers’ on year and this dilutes the effort Another factor driving Orchid’s
companies,” said Mortell. “For any customers will come back again that they can give to promoting increase in turnover is the
market to grow, develop and reach and again for larger systems as new product areas. Orchid has recession, said Mortell. “In tough
its potential you need an entry their business expands,” said therefore decided to address the economic times people will always
level product for the consumer to Mortell. “Consider Richard Branson dealer market directly, enabling look at alternative products at
experience. As their experience of Virgin working with a small two better communications and after affordable prices. One large PBX
and business expands they will then line system above his record store sales support. This also cuts out supplier is getting 50 enquiries
go back into the market for a more in Notting Hill back in the ‘70s.” another layer of margin which a day, but only one of these
sophisticated product. Orchid is the dealer can benefit from.” enquiries is turning into a sale. They
concentrating on the entry level Mortell noted that Orchid is not are looking to offer the Orchid’s
market, which is almost devoid of looking to add larger systems The comms channel is central plug-and-play solution as a way
products. We believe that this lack to its portfolio, but enhance to Orchid’s expansion plans and of improving this conversion rate.
of entry level products at entry level
prices has prevented this market “In today’s tough market we
from reaching its potential. Due to
A lack of entry level products
sometimes have to stand back and
the traditionally high cost of systems, reassess our needs, cut out some of
at entry level prices stops
many small business are trying to the luxuries and be realistic when
make do with multi-handset Dect this market reaching its potential it comes to your companies true
phones which are far from ideal.” requirements.”
n
48 COMMS DEALER OCTOBER 2009 www.comms-dealer.com
48 Orchid new.indd 1 6/10/09 08:51:09
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