SurgePays, Inc. (NASDAQ:SURG) Q2 2023 Earnings Call Transcript

Michael Diana: Okay. And I think you said the target for the end of the year is 13,000 convenience stores. If you hit that target, what percentage, what part of your ACP sign-ups would you imagine would then be made through the convenience stores?

Brian Cox: That’s a good question. My goal would be to split it by the end of the year 50-50, but also simultaneous with that shift. It’s not just splitting what we’re doing, it’s to increase subscribers but increase them through the store. So you’ve got — your field sales would remain a constant while increasing the sales per store. So I’d like to have them 50-50 together, which would be a net positive subscribers, more than what we’re doing now, but also hand-in-hand with that. And probably one of the things I’m most excited about, which really is a part of our big picture valuation is our non-ACP subscribers. We have accelerated the rollout of that. We’re having weekly meetings. I’ve brought on gentlemen and folks who have run MVNOs or prepaid wireless companies before across the board, whether it’s attending events, conventions, working with other third parties.

They’ve got the absolute green light from me to roll that out ASAP. I’m watching the branding right now, all of the, let’s say, what would normally be in the start-up category of a prepaid wireless company. But what’s unique about ours is we have the luxury of already owning all the software platforms that you would need where you normally have to onboard with third-party developers. We already have the buying power with AT&T and T-Mobile of hundreds of thousands of subscribers. So we really do have a unique competitive advantage where — and it’s, by the way, upsell to a store that’s already making money with you. Like I said, the relationship with that store owner operator, we do have their ear. We do — they do see us as a profit partner.

It’s very unique as opposed to somebody that’s trying to jam inventory down their throat and they don’t have the shelf space. So we’re going to utilize that and leverage it.

Michael Diana: All right. That’s all very, very interesting. Thank you, Brian.

Brian Cox: Thank you, Michael. Appreciate the questions.

Operator: This concludes our question-and-answer session. I would like to turn the conference back over to Brian Cox for any closing remarks.

Brian Cox: Sure. Again, I appreciate everyone for joining the call. Thank you, shareholders, and thank you for those of you who are interested in SurgePays and look forward to talking to you next quarter. Thank you.

Operator: The conference has now concluded. Thank you for attending today’s presentation. You may all now disconnect.