Mobile networks’ expansion plans just hot air or pointless
Over the past few years the mobile phone industry has kept many landlords and property agents in fine wine and cigars with firstly the independents such as Carphone Warehouse and Phones 4U wanting sites.
By Glynn Davis
This was followed by the networks who wanted to run their own chains and expanded aggressively. During this period the mobile phone shop became such a common place site that many landlords of shopping centres declined allowing any more in because of the potential for boring the customer. But in recent months this has changed and landlords are now desperate to attract anybody into their malls. The problem is that it might not be that easy any more. Carphone is looking to dispose of some of its smaller stores and 3 is not after any more outlets. And although Vodafone, Orange and T-Mobile are supposedly on the hunt for more outlets, my guess is that this is just talk and they know they’ve more than enough stores. Even with the opportunity to cut a decent deal with landlords it would seem strange to want to continue to keep adding outlets (apart from in very specific locations) when many in the industry argue that it is ridiculously saturated already. Maybe it is just ego and size really does matter to the networks regardless of the economics.
