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WHAT
IS AN ALARM DEALER?
Some
people use the term alarm dealer to describe any company in
the alarm business. But the type of alarm dealer that we are
referring to here are companies which have their own legal
name, and may be locally operated, but they actually locate
new clients with the express purpose of re-selling them to
a larger company.
In
Victoria ADT and Voxcom each have a main office as well as
separate offices run by authorized dealers. The
relationship between the parent company and a
dealer is usually as follows;
- a)
The alarm dealer works exclusively with the parent company,
all of the dealers clients will eventually pass to
the parent company.
- b)
The dealer solicits new clients by advertising under their
own name but also displaying the parent companys name.
The dealer has the client sign a contract for services with
the parent company.
- c)
The dealer installs the system and connects it to the parent
companys monitoring station. The dealer is then paid
a flat fee by the parent company for the client. In some
cases a small recurring residual fee may be paid to the
dealer as long as the client continues to subscribe to the
parent companys service.
- d)
For a set time (about 3 to 6 months) the dealer must provide
repair service to the client, after this period the dealer
is no longer responsible for the client. From then on the
parent company provides any further repair service required
by the client.
In
most cases the parent companies do not control the product
selection or installation methods used by their dealers. Many
dealers use sub-contract labour (installers who get paid a
flat fee for each device they install, rather than being paid
by the hour). In addition to this the dealer knows that they
will not have to provide long term service for the client.
These factors increase your chances of receiving sub-standard
products which are poorly installed.
If
you decide to use ADT, Voxcom, or another national or multi-national
company it may be preferable to deal directly with the main
office rather than through a dealer. In the end it is the
parent company that you are signing a contract with, and whose
services you will be receiving.
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