The Start of the Prepaid Phonecard in America and My Involvement  with It

By Bill Span

In early 1991, in a conversation between Larry Huff and Towru Ikeda in Northern California, the spark
of the idea of the American prepaid phonecard was invented.  It would become a multi-billion dollar industry.

Larry and Towru hired Bill VonHelmet to design and build the first computer program/switching equipment
to process a prepaid phone call in the United States. Larry Tolbert and David L. Eastis were brought
on as founding partners and the four went to work to launch the prepaid phone card industry in this country.

They named their new company "AmeriVox".

At this time neither the word "prepaid" nor the word "phonecard" existed in the American consciousness.

The product was propelled by the fact that it could be utilized to make inexpensive long distance calls
"instate" at a time when high priced monopolies like GTE Hawaiian Tel were charging exorbitant fees
for local (instate) long distance. We were the first new technology to break that specific monopoly
and offer callers a much cheaper alternative by dialing a few extra numbers.

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Kevin Young contemplating the fate of the free world

In a meeting with Doug Davis and Kevin Young in Kirkland, Washington (near Seattle) the partners
found the catalyst to start building the sale force. Four years later, 70,000 sales reps would have
signed up and 200 million dollars of phone cards would be sold. Basically all the reps in AmeriVox
descended from Kevin and Doug.

Kevin recruited Matt Jones who immediately enrolled Bill Span in March of 1992. At that point Span
was the first person in Hawaii to start recruiting people to sell phone cards, even though the product
did not not work in Hawaii until July 1992. We sold them to tourists who would take them back to
the mainland and use them. And we sold them on the dream of the product someday being available
in the islands.

The day service launched, the people of Hawaii had their first inexpensive alternative to
GTE Hawaiian Tel's
monopoly and they could start saving big money on their inter-island calls.

Four years later ... Span's sales team in Hawaii would total more than 5,000 people. Span's group
would sell over 20 million dollars of phone cards. GTE Hawaiian Tel would radically lower their
in-state calling rates, because of the amount of business we took from them via this new technology.

The two Alaskan phone monopolies were the next target.

Five trips to Alaska from Honolulu created 2,000 reps selling phone time at half the price of AlasCom
and GCI. Millions of dollars a month were saved by the hard working Alaskan people now cutting the
cost of a major utility in half.


Span's total sales team exceeded 8,000 people. One out of every 10 people in Hawaii carried an
AmeriVox card by the fourth year, after 5,000 Hawaii reps sold an average of  20 cards each.

The signing of a worldwide exclusive for the rights to put Elvis Presley on the phone cards furthered
interest in the phone cards and now they became collectable
. Later John F. Kennedy and
wife Jackie were exclusively featured on the cards. Span's largest client was Konishiki (625 pounds).
His favorite client was Wyland, the ocean artist, also it was the most popular selling card.

Other royalty deal included
Richard Petty, Norman Rockwell, Ken Griffey Jr., and Steffi Graff

Kevin Young's personal sales team exceeded 70,000 reps and all the leadership in the company
was identified, tutored and inspired by Kevin. This team of people represented one of the finest
groups of individuals ever brought together and the conventions and rallies were legendary.

Kevin and Bill today collaborate on Internet based projects and seek the next "Camelot".

The entire phone card industry as it exists today can directly trace it's birth to the pioneering efforts
of the early AmeriVox reps, lead by Kevin Young and a handful of others, one of which was Bill Span.

   The life story of Bill Span (best read if you can't sleep or are really bored)

 

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The First Fundraiser Phonecard
in the United States
Hawaii - August 1992
The First Promotional Phonecard
in the United States
Hawaii - September 1992