4/30/2009 10:54:00 AM
Argos prepay share halves amid box-breaking concerns
Argos is attempting to shake-off concerns around box breaking as operators have started pulling prepay deals from the retailer.
Argos’ prepay market share is understood to have halved over the last six months, with Vodafone, O2, Orange and T-Mobile all thought to have reduced their investment in the retailer.
Argos has historically been targeted by box breakers, damaging the so-called ‘activation rate’ on prepay phones sold through the retailer, which is the critical measure used by operators to identify whether customers who buy subsidised handsets remain on the network.
The new head mobile buyer for Argos, Gary Venn, is understood to be devising new measures on prepay buying to improve quality, and some sources have indicated that Argos will pursue a Sim-free handset strategy.
Argos was unable to comment as its parent company, Home Retail Group, released its results this week.