March 25, 2020
The Future Of Mobile Retailing – A Broader Assortment Of Products & Services
It’s (yet another) sad day for the UK high street, after Dixons Carphone confirmed it will close all 531 standalone Carphone Warehouse stores, with an expected 2,900 roles made redundant.
Around 1,800 Carphone Warehouse staffers – representing circa 62 per cent of the workforce – will be offered new roles within the wider Dixons group as the restructure takes place.
The Carphone warehouse brand will survive, although it will be an internal component of existing big-box Currys PC World stores, rather than a distinct and separate entity with its own presence on the high street.
Carphone Warehouse was the poster child for mobile phone retailing globally. They set the benchmark for how to retail cellphones for all others to follow.
It is with considerable sadness that we see this development, and we anticipate that this will be the canary in the coal mine for single product retailers.
We know in speaking with the Operator Dealer community globally that they are under immense pressure.
What worked in the past in markets with 50% to 60% penetration rates simply will not work in the future when the market is at 95% penetration/saturation rates.
You are seeing the global operator community buy back many Operator Dealerships in part due to financial engineering on the part of the Telecom Operator.
We believe that if you are an Operator Dealer diversification of revenue streams and broadening portfolios is essential.
Recurring revenue streams need to be found for services and products that ensure you aren’t beholden to your underlying wireless operator partner.
The ability to move quickly, refocus your efforts on higher margin products/services and the need to broaden into new spaces (retail to B2B and B2B to retail) is critical.
We are a key pillar in that strategy, as our solution is completely OTT and can be sold on any wireless operator network in the world.
Working from home was already a growing trend, and the Corona Virus is just accelerating that trend.
BYOD and CoIT was a growing trend globally and the pandemic will accelerate.
A great recurring revenue stream to help manage cellphone costs with greater insights & the flexibility to allocate business from personal usage to solve reimbursement (employee liable) and cost cutting mandates (employer liable).
A business can “Align your cellphone policy to your car policy and reduce the Total Cost of Ownership of your fleet by 70%”
An employee can “Get reimbursed to the penny for all legitimate business usage of their personal hardware and plan”
The Future Of Mobile Retailing – A Broader Assortment Of Products & ServicesBack