Orange picks sales chief from Britvic

Hay replaces Stuart Henry Carphone Warehouses director of indirect distribution who left Orange 16 months ago.
Hay reports to Orange UK vice-president of sales Mike Newnham who has had replacements for Henry in position on three separate occasions since Henrys departure only for deals to fall through at the eleventh hour on each. Orange head of indirect sales Steve Heald and head of multiple retail Simon Wetton will report to Hay.
Hay will be responsible for managing existing partnerships and creating new relationships within the indirect channel across mobile and broadband.
Newnham said: His tenacious approach has ensured the Britvic brand portfolio has been expertly represented across the UK while operating in one of the countrys most competitive industries.
Hay takes up his role on March 5.

First frozen FCIB money released

Traders have started to take money back from the First Curacao International Bank (FCIB) based on the Dutch Antilles.

Dass Solicitors said that it had procured the release of in excess of USD 1.6 million (GBP 0.8 million) from the Central Bank which assumed all its assets after placing the FCIB into liquidation on behalf of one trader.

Dass has further hearings listed on February 2 for a number of its other clients.

Dass said: If you have not already initiated a wire transfer and provided the documentation requested by the Central Bank we would advise you to do so immediately.

Nokia sales up prices down

Nokia has reported high Q4 sales and profits despite shifting phones at lower average prices.

Nokia shipped a record 106 million phones at decreased average selling prices. It put its lower average selling prices down to sales in emerging markets. Despite this it reported higher profits as a result of its scale.

Its net sales in Q4 were up 16 per cent sequentially and 13 per cent year-on-year. Gross margin increased to 32.4 per cent up from 30.9 per cent last quarter.

Operating margin rose to 13.3 per cent up from 12.2 per cent in the last quarter.

Nokia had been expected to report 24 per cent growth in sales of its more expansive multimedia phones. The confirmed figure just six per cent fell way short of that mark. Analysts saw this as a minor blip.

Nokia CEO Olli-Pekka Kallasvuo said: We recorded record device volumes net sales and earnings-per-share for both the fourth quarter and full year 2006. Also on a sequential basis profitability improved significantly with gross margins for the quarter up in all business groups.

He added: Nokia was able to increase its share of the global device market significantly in 2006 to an estimated 36 per cent clearly solidifying our number one position in the industry. We achieved this result through the strengths of Nokias world class brand products cost structure and efficiency without sacrificing our operating margins or cash flow.

Elite re-launches dealer incentive

Elite Mobile is offering dealers the chance to ride in helicopters speedboats and rally cars as part of its Xchange dealer incentive programme which is running again this year.

Xchange will run through the year. Dealers on the Xchange programme are allocated points against purchases of specific product ranges. As points accrue members get to claim more valuable rewards.

Up to 30 rewards are up for grabs. Elite is offering a Powerboat Day a Helicopter Tour over London a days Subaru Impreza Rally Experience a Sony HD digital camcorder and a Sony Vaio laptop.

Elite sales and marketing director Barry Nash said: Many of our customers are independents. We work hard to support them and we want to reward their loyalty. When we were researching schemes that would be open and fair to every customer no matter their size or status we found the typical loyalty promotion runs for just a few weeks or months and is inevitably skewed in favour of the larger buyer something other dealers naturally resent.

That type of incentive wasnt for us.

Nash claimed the Xchange programme rates dealers fairly whether large or small. Ninety per cent of Elites customers used the scheme said Nash.

EBS and Orange in quality drive

EBS has combined with Orange and Sony Ericsson on its latest dealer incentive scheme Rock the Kasbah. The new scheme rewards dealers for the quality of the Orange connections they put through EBS.

Rock the Kasbah offers EBS dealers the opportunity to earn points based on sales of Sony Ericsson handsets and Orange connections. Higher levels of points are given on specific handset and higher Orange tariff sales. Bonus points are also rewarded to dealers based on reducing levels of returns and bad debt or fraud.

The new scheme is in line with Oranges quality drive. Orange is looking for a reduction in returns and bad debt from its dealer base.

Orange national sales manager Mark OMeara said: With such fierce competition for dealer loyalty and market share incentive programmes are becoming the key to creating and driving communication and loyalty. We are keen to work with the channel to ensure dealers distributors and in turn Orange benefit from improving quality alongside driving retention and sales.

He added: To ensure we create an incentive that not only delivers return on investment but impacts the bottom line we have incorporated the traditional sales volume targets with two additional measures based on dealer returns and bad debt. This will result in a better quality of sale for all involved and deliver results against the bottom line.

EBS commercial director Mark Jennings said: Unlike previous years when a network has decided to go it alone and shift their focus from quantity to quality this year all networks are delivering the same message. They all want quality connections. This is something that can not be ignored.

Sony Ericsson UK & Ireland managing director John Harber said: Sony Ericsson is committed to supporting Orange in ensuring quality sales and reducing return rates. We are excited to be sponsoring the Rock the Kasbah incentive which promotes our Walkman and Cyber-shot range.

Jennings added: EBS has run many successful dealer incentives over the years but they have all been driven by delivering volume connections on high talk plans. We have recognised that this needs to change for us to fit into the current model being delivered to ourselves and quality needs to become a measurable commodity.

Top scoring dealers on the incentive will win a trip for two to Marrakech in Morocco with a jeep safari through the Atlas Mountains a visit to the Bahia Palace and a trip to the famous Souks to boot.

Go Mobile takes 14 stores off Fone Logistics

Go Mobile has acquired all 14 Activmobile stores from Northeast distributor Fone Logistics for an undisclosed amount.

The purchase takes Go Mobiles retail footprint to 53 and consolidates it as the second largest independent dealership chain behind JAG and the fourth largest indirect retail chain behind Carphone Warehouse Phones 4U and JAG.

The sale sees Fone Logistics end its 10-year association with retail originally in the guise of an MPC franchise and latterly in a wholly owned estate of 14 outlets.

Go Mobile currently with 39 stores will assume control for the 14 Activmobile outlets immediately on conclusion of the legal transfer and will seek to incorporate them into the current estate.

All existing Activmobile staff will have their employment transferred to Go Mobile and the stores will begin trading under license from February.

Go Mobile managing director Iain Humphrey told Mobile News: I said last year that we would look to expand the chain further and in the right manner. We are ensuring that our retail footprint is right – that it is an asset to the networks and not a competitor of them on the high street. The acquisition consolidates our position as a quality dealership chain.

Fone Logistics said that it will concentrate its efforts solely on developing its network relationships and capitalising on market opportunities.

Fone Logistics CEO Ian Gillespie said: Fone Logistics is a distributor. Our primary focus is in supporting our dealers and working with them to develop sustainable long-term business. Our retail business served a purpose initially in helping us understand the dynamics of the high street but as the industry shifts within indirect to a SME and B2B focus we have shifted along with it. To succeed in independent retail you need to live and breathe it and that is what Go Mobile does.

Humphrey added: Our business model is built around achieving a critical mass of stores and in trading each of them to its max. We are pleased to have made this acquisition which represents the next step in Go Mobiles development.

Brightstar open for UK business from March

US distributor Brightstar has teamed up with US IT distributor Tech Data to launch a new UK and European handset distribution business.

The new company Brightstar Europe will distribute mobile phones and other wireless devices to network operators dealers agents retailers and e-tailers throughout the UK and Europe. Tech Data and Brightstar will have a 50 per cent joint ownership of Brightstar Europe. The joint venture arrangement will be finalised in the coming weeks.

Brightstar Europe will be headquartered in the UK with access to 10 logistics centres and 16 sales offices across Europe. The company is expected to commence operations in March pending regulatory and other required approvals.

Tech Data CEO Robert Dutkowsky said: The formation of this joint venture with Brightstar is a new and exciting approach towards extending Tech Datas reach into new product and service markets. Tech Datas established pan-European footprint and logistics capabilities in combination with Brightstars knowledge of the mobile device market and its relationships with many of the worlds leading mobile manufacturers and operators will provide customers with unparalleled service.

He added: Brightstar Europe will serve as a critical supply chain partner enabling manufacturers and operators to reduce costs improve delivery times and invest more in next generation technologies.

Brightstar president and CEO Marcelo Claure said: The European mobile device market is highly fragmented in terms of supply chain and distribution services. We believe that Brightstar Europe will transform service levels provided to operators retailers and manufacturers significantly reducing operating costs and improving mobile device delivery throughout the region. We are introducing next generation distribution to the European market.

Last week Brightstar confirmed that it had struck a global distribution deal with Motorola.

Motorola executive vice president and president Ron Garriques said: Motorola is working aggressively to build our brand strength as well as our distribution reach in markets throughout the world. Brightstars expertise are proven. It brings rapidly expanding capabilities that can help us seize and capitalize on market opportunities.

Jones joins EBS

Gareth Jones has joined Northampton distributor EBS as a non-executive chairman.

EBS founder and majority shareholder Ray Kingston said: Gareth and I have been friends and colleagues since the early nineties. I have great respect for Gareths in-depth knowledge of the industry and his proven track record. I believe his appointment will further enhance our current excellent management team ensuring we are well placed to achieve our ambitions and strategic plans.

Jones said: I have watched Ray and his team develop a first class and successful business over the years and I am delighted to be joining them and involved in their exciting future plans

Jones was sales director for Orange until 2001 and chief operating officer at 3 for two years following its launch in early 2003.

JAG expands direct B2B operation

JAG has announced the expansion of their direct B2B operation and their intention to continue that development this year.

JAG managing director John George said: We have been planning the expansion of our B2B operation for almost 12 months.

In April last year I appointed Gareth Evans a senior member of the JAG team to manage the business department in a drive to expand it.

Gareth has been in the business for over a decade and brought a wealth of experience and know-how with him.

JAG has also recruited three new business managers to its ranks and will be looking to expand its team to around 16 B2B managers.

The new managers are operating from Romsey Llanelli and Cwmbran signifying a move into southern England and Wales over recent years which have been covered by JAGs retail expansion. This trend is expected to continue as more managers are recruited.

Vodafone service vow

Vodafone UK head of convergence Andy Bord said: It s hard to pinpoint who we ll go up against because there are a shed-load of players out there at the moment. We re looking to improve our existing customer service and further raise customer confidence.
Bord said that the network had invested in round-the-clock support for the service.
We ve had many requests from our customers for improved customer service so it s something we want to push forward he added. We are also strengthening this push with a 30-day money-back guarantee for customers who experience any faults with the service.
The new service is available on an 18-month contract and costs 25 a month. Customers who cancel their mobile contract will be required to pay 35 a month for broadband. Subscribers will receive up to 8Mbit broadband with inclusive anytime calls for up to 60 minutes to UK landlines. Vodafone said it is available to 97 per cent of UK households.
Vodafone mobile customers get the Vodafone Mobile Connect USB modem for a half-price fee of 58. Wireless 3G connectivity is available at 29 per month.