My views on life, love , career and…well just about everything.

Your Internet Will Go Down!

Your Internet Will Go Down!

Feb 16, 2020

No matter who your primary provider is. No matter what product you have. At some point your internet is going to quit on you. For small businesses this used to be a risk worth taking when balanced against the cost of a secondary provider. That has changed….. VOIP telephone systems in the cloud, cloud based Point of Sale, credit cards over the internet and just the nature of our cloud based business models has made the internet a critical part of even the smallest small business. Two things that I ran across in my travels convinced me that even small businesses have a mission-critical need for internet access.

In little Samson Alabama population about 2000 (on a good day), the owner of the Piggly Wiggly has two internet services in his store. Why you ask? Because if he loses internet he can’t take credit cards which is 60% of his receipts. In the era of chip cards, there is no run the paper slip anymore. He can’t take EBT cards (which is 35 to 40 % of his receipts) and he really can’t take checks since he verifies them with an online service. He could take one but if its not good, he’s on his own. It’s actually really hard to take cash since his Point of Sale system lives in the cloud. He realized that if his internet was out he was done! Since at that time his was about the only grocery store in the area, his daily receipts were from 9000 to 15,000 dollars per day (albeit on razor thin grocery store margins). A day or two of that and he would be out of business, especially if it happened on his biggest day Saturday. This business owner is one of the smartest guys I have ever met. The extra monthly cost paled in comparison to what he would lose.

I have visited scores of small boutiques and retail stores over the years. Starting about 4 years ago, I noticed they all had some kind of an online, cloud based cash register. Once again, no internet……no cash register and no credit cards. Even Mom and Pop restaurants have gone cloud based. One particular customer of mine in Tuscaloosa only had to have his internet go out at high noon with 10 people waiting to pay for their lunch to get him on the band wagon. Of the ten,eight people said they would come back and pay when his internet was back on. I think he is still waiting on 4 or 5 of them to return. His average check is about 10 dollars so 40 or 50 dollars walked out never to return. That would just about pay for a redundant provider.

If you haven’t already, take a minute to estimate what no internet for a day or even half a day would COST you. When you do you will quickly see that the idea of a backup internet isn’t as crazy as it used to be. Then call me…I have some ideas for you.

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