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Optus Cuts Ties With Distributors as it Revamps Retail Channels

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Australia's Optus has announced a refocusing of its retail and distribution strategy to reflect the maturing mobile market and the changing needs of Australian consumers.

The company said that the new strategy will see a more integrated retail and online presence and the rationalisation of some distribution channels, cutting some of its 3rd-party distributors.

Rohan Ganeson, Managing Director, Sales said, "As the Australian mobile market matures and we move from a period of growth to one of customer retention, we need a distribution model that reflects this. There is too much capacity in the mobile distribution market and we have made a decision to rationalise our third party distribution channels, while strengthening our branded Optus channels."

Optus has taken the first step toward implementing this strategy by terminating the licence of the Boost brand from 20 January 2013. Optus will retain the pre-paid customers acquired during the partnership with Boost, providing them with continued access to their current plans under its own pre-paid Optus brand.

Last week, Boost announced that it was migrating to rival network, Telstra.

Optus has also notified TeleChoice that its retail distribution agreements will come to an end on 31 March 2013. This includes the agreements between TeleChoice and Optus' related companies Virgin Mobile and Pre-paid Services (PPS).

Over the next 12 months, Optus also will transform its branded sales channels to become a full service customer channel. This will include a number of programs to improve and integrate the in-store and online experience plus the rollout of an additional 33 'Yes' Optus stores, and the creation of over 200 jobs.

"These initiatives are consistent with our strategy to lead the market in customer experience and customer advocacy. The market is maturing, consumer behaviour is changing and our retail strategy needs to reflect this. These changes will allow us to better interact with our customers and deliver a more consistent experience across all Optus sales channels," Mr Ganeson added.

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Tags: optus  Australia