UK-based mobile phone retailer Carphone Warehouse has said it will appoint former Orange CEO Hans Snook as its new chairman. The company will also close 89 stores, centralize some of its services, and write off some of the value of its Internet investments, at a total cost of $54 million.
While Carphone Warehouse is Europe’s largest mobile phone retailer, its performance in different markets has been mixed. Its UK, French and Spanish operations have been extremely successful, while its German business has done less well – at least partly due to the lack of competition between German networks.
The company is now attempting to focus on its most profitable geographies, while also moving further into the more profitable services market, trying to make money from billing and insurance. Mr Snook’s part-time appointment should be helpful in this area: as Orange founder he revolutionized the UK mobile market.