3/4/2009 1:13:00 PM
The Hut Group buys the Zavvi brand
The Hut Group has bought the Zavvi brand name and online arm, and will launch a mobile category within 12 months.
It relaunched the Zavvi website on Monday (2 March).
The company delivers online platforms for retailers including Phones 4u and Asda, and is extending its range in a bid to compete with sites such as Amazon and Play.com.
The new Zavvi site will offer a broader entertainment range alongside a new range of lifestyle products, such as perfume and electricals.
Its mobile category will launch with a prepay offering in around six months, and will be followed by accessories. The company is currently talking to potential partners about stocking the phones.
The Hut Group has also bought Zavvi’s database, which contains more than one million names, and will have a ‘more extensive range of products’, according to the retailer’s chief, and former 20:20 chief, Matthew Moulding. The company is adding 500,000 items to Zavvi’s website to take the number of products on offer to 750,000.
Moulding (pictured) said: ‘We bought it on Friday and we started retailing straight away. We are using it as an opportunity.’ He added that the site is launching with an ‘aggressive strategy’ that includes an initial 10% discount on all products.
The deal will also see 100 extra jobs created over the next 12 months, including software developers, design, customer service, buying and marketing specialists.
Zavvi fell into administration just before Christmas and closed the last of its stores in February.
The retailer, formerly Virgin Megastore, was formed after a management buyout of the Virgin Group division in 2007, and was the largest independent UK retailer.