Optus overhauls retail distribution strategy

Telco service provider, Optus, is terminating its licence of the Boost brand, and its distribution agreement with TeleChoice as part of a broader effort to refocus on its retail and distribution strategy.

The new strategy is an attempt to reflect the "maturing mobile market" and the changing needs of Australian consumers.

As a first step towards this strategy, it will be terminating the licence with Boost from January 20, 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.

The TeleChoice distie agreement ends on March 31, 2013.

This includes the agreements between TeleChoice and Optus’ related companies Virgin Mobile and Pre-paid Services (PPS).

According to the company, the new strategy will see a more integrated retail and online presence and the rationalisation of some distribution channels, enabling Optus to take greater control of the end-to-end customer experience under the Optus brand.

Optus sales managing director, Rohan Ganeson, said it decided to review its retail distribution strategy to reflect a distribution model that aligns itself with the maturing mobile market and customer retention.

“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,” he said.

“As the products and services we sell become more diversified and sophisticated, so too do the needs of our customers. As a result, retail is no longer just a sales channel – it’s a channel where customers come to better understand technology and how to get the most from it,” Ganeson said.

In the coming 12 months, Optus will be transforming its branded sales channels in an attempt at becoming a full service customer channel.

It claimed to launch a number of programs to improve and integrate the in-store and online experience, as well as rollout an additional 33 ‘Yes’ Optus stores, and over 200 jobs. Other customer initiatives include:

• dedicated product experts who will be on hand to offer practical information and advice to customers on the latest products and services
• tighter integration between all Optus channels so customers who buy online can collect in-store
• improved IT systems and infrastructure to better support Optus retail staff
• increased focus on employee training and accreditation among Optus retail employees

“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,” Ganeson added.

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