Metro PCS is a telecommunications company that specializes in low cost, no contract cell phone plans. Based in Richardson, Texas, Metro PCS was founded in 1994. The company offers cell phone plans that include talk, text and data, with prices that are normally well below those of their competitors.
Metro PCS maintains thousands of locations across the country, many of them being partnerships with independent business owners who want to complement their current cell phone selection with that of Metro PCS. Entrepreneurs choose Metro PCS as a partner because the company offers a variety of smartphones that appeal to a younger, more broad marketplace.
Metro PCS Franchise Costs and Expected Profit
For Metro PCS, resellers of the company’s products are known as “authorized dealers”. The amount of capital needed to become an authorized dealer will vary depending on location and size of market base. Most resellers find that an investment of at least $30,000 for products is essential to get a good start with Metro PCS.
Authorized resellers have already established some type of cell phone business. Metro PCS will complement what they already have in their stores. Once prospective resellers sign up with Metro PCS, their store is listed on their website as an authorized retailer, and customers will start showing up. A new authorized retailer can expect to make between $6,000 and $7,000 per month in commission if they sold at least 100 phone box sets.
Pros of Being a Metro PCS Authorized Dealer
The greatest benefit that entrepreneurs enjoy when joining Metro PCS is the extremely low cost of entry. Not only do they receive actual products to sell, but authorized retailers will be able to put up Metro PCS advertisements in their stores to help attract more traffic. Other benefits of selling Metro PCS products is brand recognition and easy to understand commission model for owners.
Cons of Being a Metro PCS Authorized Dealer
A key to success with selling Metro PCS products is location. Potential retailers must be extremely careful in making a decision, especially if they already have an established business and are unable to move to a new location just to begin selling Metro PCS smartphones. Business owners have discovered that location is everything, including the ability to choose a customer base to market to.
Competition is another issue that entrepreneurs have complained about. The market is saturated with cell phone providers making it hard for small businesses to gain enough of the market and make a profit.