O2 pulls contracts from Phones 4u

mzqa395

O2 is to pull out of new contract business at Phones 4u from 1 April.

Mobile has learned that O2 will only allow upgrade business and prepay sales at the multiple retailer, in a move that completes the strategic alignment of Vodafone and O2 with two separate retailers.

O2's retreat from Phones 4u follows Vodafone's shock pullout of The Carphone Warehouse last year.
The deal is the latest example of operators and retailers taking sides, forging alignments and operators striking sharper deals.

O2's move follows a renewal of its deal with Carphone under which it is believed smaller commissions will be given for larger volumes.

Sources suggest Phones 4u's O2 contract connections have fallen from around 15,000 to 5,000 a month.

An O2 spokesman said: 'We don't discuss the commercial terms of our relationships with our indirect partners. We have already said that we expect to do less overall gross connections with independent retailers as we increase our focus on our direct channels. Generally, we continue to work with indirect partners who share our ethos of delivering the best possible customer experience and who can add value.'

Jim Slater, marketing director at Phones 4u said, 'Phones 4u is in ongoing commercial discussions with O2, and as with all of our strategic business partners, these are confidential.'

http://www.mobiletoday.co.uk/content/15770.asp?men=0&sub=1

Anon

Maybe that is why they are offering good clearance deals on o2 at the moment - hopefully that will not affect the cashbacks.

Anon

crackberry

phones4u = awful