One source close to the company revealed that the programme has been drawn up after poor sales figures showed it losing share to T-Mobile and O2 in the SME market.
A Vodafone spokeswoman commented: "Mark Bond who has recently been appointed as marketing director will be making changes. But businesses are forced to make changes all the time. Some people may leave as a result but others will also join Vodafone."
The news follows a tumultuous few months for the network as it announced record losses of £15 billion at the start of June. In response to its poor annual results Vodafone announced 400 job cuts at Newbury in an attempt to save £500 million a year.

Phones 4U has an exclusive among independent retailers on the Nokia 6111 on Vodafone pre-pay tariffs. The Nokia 6111 is available in pink and black in a The X Factor-themed box set. and will be sold through through Vodafone?s own direct channels and Phones 4U only.

Head of pre-pay Wayne McBean said: We have an exclusive deal until the end of the year and expect record sales. The handset was priced at GBP150 but we have reduced it to GBP99.95 – the sweet spot for our target segment as well as offering them Vodafones free weekend calls and texts deal.

Phones 4U marketing manager Jon Fish said: Mobile music is becoming ever more important to most of our target consumers and this proposition fits perfectly with our biggest and most attractive pre-pay segment. Such powerful imagery has great impact in store – the association is great for the Phones 4 U brand.

Users can pay in the town by calling or texting a dedicated number that takes details of the location car registration and length of stay. Reminder texts are sent when the parking session is almost up and users can extend their slot without having to return to the car park.

Registration occurs on initial payment. Users can then manage their account online obtaining information about payments print receipts and adding new vehicles as required.

The service is also pitched to the city councils parking attendants who can use the service to check on cars parked in their vicinity.

O2 general manager of business sales Ben Dowd said: O2 is partnering with the best in the business to provide mobility solutions that not only allow local government to realise efficiency gains but also results in better services for the people they serve.

Colao was formerly chief executive of RCS MediaGroup an Italian publishing company but he has also served on the Vodafone Group board from 2002-2004. Additionally he will take on the role as deputy chief executive for the group. The role was formerly held by Sir Julian Horn-Smith who retired in July.

Previous European chief executive Bill Morrow left unexpectedly in July to spend more time with his family after only a few months in the position but with over a decade at Vodafone under his belt. He was replaced in the interim by chief executive for Germany Fritz Joussen who now resumes his former role. Morrow was among a number of high profile departures including Tim Miles and Ken Hyden.

Colaos first involvement with Vodafone was in 1996 as chief operating officer of Omintel Prono Italia the countrys second largest mobile operator which became Vodafone Italy. He was promoted to chief executive in 1999. In 2001 he was made regional chief executive for southern Europe which was extended to EMEA in 2003. Group chief executive Arun Sarin said: Vittorio made an outstanding contribution in his previous roles at Vodafone and he is a highly effective manager. I am confident that Vittorio is well equipped to succeed in this key position.

See Business Watch

The 7390 is a flip-phone that Nokia labels its first 3G fashion handset. It features a 3-megapixel camera and will be available across Europe for around GBP300 excluding VAT or subsidy.

The 7373 has a patterned case and a swivel form-factor. This handset comes with a 2-megapixel camera twin speakers and complementary fashion headset pouch and phone jewellery. It will retail for around GBP240 excluding VAT and subsidy.

The third handset is the entry-level 7360 – a candybar with FM radio. It will be available for around GBP135 excluding VAT and subsidy. All three handsets should be shipping this autumn.

Also released is the Sirocco a version of Nokias premium 8800 handset featuring sounds by Brian Eno and available for around GBP680 excluding VAT and subsidy.

The second unit is located in Crowborough in East Sussex. TPC manager Matt Chambers has recruited two new staff members to the business taking his total headcount to 10 across the two retail outlets and the B2B office in Crawley. Chambers recruited the new staff members from Phones 4U and the Carphone Warehouse.

Chambers asserted: Crowborough is one of the few places without any real competition in mobile phone retail. There is a wholesaler nearby too so we can pick up SIM-free stock at very good prices. Its located close to the original premises too so we can change stock and switch staff between the retail outlets.

Chambers is looking to recruit two more staff for the B2B unit and expand the retail footprint to three. Chambers said he has identified a third location in the vicinity and is waiting for the lease to come up.

He said: The ethos is to diversify – to cover laptops data mobile and every other SIM-based product in the market. We want to be a one-stop-shop for all a customers communications solutions.

We would like to increase connections to around 300 per month minimum but it is ultimately about the quality of customers we deliver. I could increase profitability by around 500 per cent if I could sell the complete communications solution to all customers.

Previously Burmester held the same position at technology companies including Visto Corperation where he helped secure deals to supply push e-mail and personal information management (PIM) tools to Vodafone Global Group. He has also held senior positions at Openwave network design company Mobile Systems International Datech and ITT Creed.

SpinVox CEO Christina Domecq said: Paul will improve penetration within the region by developing current relationships as well as establishing new ones.

SpinVox has also appointed Tom Clear as president of the companys operation in the Americas. Clear will be responsible for driving product sales throughout North and South America.

SpinVox is currently deploying with operators globally following findings that voicemail-to-text has a dramatic impact on ARPU as voicemail becomes more immediate and users can text or call back at the push of a button. SpinVox claims that its service increases text and voice traffic by 12 per cent.

The ASA has banned an O2 advertisement after a complaint by T-Mobile. The advert featured the streetmap.co.uk service that O2 was offering to its customers.

It showed a man throwing a bubble around a cityscape which folded in on itself until it became a street atlas.

T-Mobile made the complaint to the ASA claiming it was misleading as the voiceover in the advert said: Always know where youre going with streetmap.co.uk free on your mobile. Only for O2 customers.

The ASA upheld a T-Mobile complaint that the advert implies that the
streetmap service was completely free.

O2s response said: Viewers would not infer that the streetmap.co.uk was permanently free and it had received no complaints from customers. The ad featured an end date to the offer in the onscreen text.

The ASA said: We understood that the onscreen text and claim that Always know where youre going… could lead viewers to infer that the streetmap service would be continue to be free if they signed up before August 21 2006 as opposed to the service being free up to that date. Because the ad was not clear in that respect we concluded that it was likely to mislead. On this point the ad breached TV Advertising Code and the advertising must not be broadcast again in its current form.

A spokesperson from O2 said: The Streetmap campaign was a very successful one for us and we are pleased with the results. The ASA received no complaints from consumers about the adverts and though we are disappointed with the ruling we are pleased that on two of the three points raised by a rival network the ASA found in our favour.

T-Mobile refused to comment.

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HM Revenue & Customs (HMRC) has prepared a new VAT regime aimed at stopping carousel fraud. It is set to take effect on December 1.

The new tax system called a reverse charge means that for certain
electronic goods only the final retailer will be able to levy VAT. Goods affected include mobile handsets computer chips MP3 players and USB drives.

The aim is to stop fraudsters reclaiming VAT charged on goods imported free of the tax from elsewhere in the EU.

But HMRC admits the new system will be a big headache for the legitimate VAT-registered importers and sellers of the goods.

Implementation of the reverse charge requires fundamental changes to the accounting systems of businesses trading in the relevant goods it said conceding also that the rollout offered a challenging timeframe.

As a result much accounting software will not be ready until early next year and many businesses will at first have to carry out the new accounting by hand.

The move follows a pan-European crackdown on carousel fraud that saw
the seizure of more than 30000 mobile phones at Frankfurt airport and on the German-Swiss border and the establishment of the HMRCs Nemesis database to register all imported and exported mobile phones.

The fraud is estimated to have cost the government GBP8.5bn since 2001. In 2004/05 HMRC estimated it lost between GBP1.2bn-GBP1.9bn and the losses for the 2005/06 tax year are expected to be much higher.

The implementation of the new regime will depend on final authorisation from the EU Commission.