Digi: New distribution model to benefit more retailers

05 Mar 2019 / 19:43 H.

PETALING JAYA: Bhd, in response to grouses from retailers over commission cuts, said its new reload distribution model would benefit more partners.

“We recently made changes to our reload distribution model to enable a bigger base of partners to benefit from participating in Digi’s prepaid business. These changes only relate to a small number of retailers, and do not affect commissions in any way. In fact, the new model opens opportunities for more retailers to access a wide range of benefits directly from Digi, and helps us stay committed to our most loyal partners.

“We are in the midst of engaging our partners to help them better understand these changes and assist them in this time of transition,” a Digi spokesperson said when asked to comment on the issue.

The telco recently restructured its reload distribution model, which has resulted in some of its existing retailers threatening to boycott sales of its products.

Pictures of retailers showing “No to Digi” and “Digi products temporarily not available” at their stores have gone viral on social media and some retailers have said that their prepaid margin has been reduced to 3.2% from 6%, effective March 1.

According to the spokesperson, the restructuring of Digi’s reload distribution model has no impact on its customers as the products are available on various channels.

“We have many channels readily available to serve our customers starting from our Digi Stores to our franchise stores, multiple online options such as the MyDigi app and Digi Store Online, bank ATMs or online banking websites, partner stores such as 7-Eleven, 99 Speedmart, Tesco and many other options,” said the spokesperson.

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