Carphone Warehouse 2014 Annual Report Download - page 5

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Carphone Warehouse Group plc
Annual Report 2014 03
STRATEGIC REPORT
The business operates under the Carphone Warehouse brand in the UK andIreland
and under the Phone House brand in the rest of Europe.
Pro forma revenue
£3.3BN
Pro forma Headline EBIT
£151M
Connections
9.0M
Stores
2,024
Employees
Over11,500
CPW has  years of experience in the mobile industry. During this time,
the business has developed sophisticated IT systems and operating
processes to help customers navigate through the extensive range
of network package plans and other options, and to facilitate rapid
transactions. It has also evolved bespoke customer relationship
management tools which enable services such as upgrade
reminders, data storage and tariff checks.
With the advancement of mobile and cloud technology and increasing
connectivity between people and devices, the business has identified
greater opportunities for its services. As such, CPW has started to
package its core systems, expertise and relationships into a range
of services. This business unit is called Connected World Services.
Within its own channels, CPW is already offering managed services
to a number of businesses in Europe. However, the development
ofthis growing range of services offers potential new business
opportunities outside of CPW's existing territories.
THIS GROWING RANGE OF SERVICES CONSISTS
OFFOURMAINCATEGORIES:
CONNECTED WORLD SERVICES
PAGES 12-13
CONNECTED WORLD SERVICES
EXPANSION THROUGH PARTNERSHIPS
PAGE 11
VIRGIN MOBILE FRANCE
Carphone Warehouse Group plc has a % interest in
VirginMobile France ("VMF"). On  May , the shareholders
ofVMF entered into an exclusivity agreement for the proposed
sale of % of VMF to Numericable Group.
JOINT VENTURES
PAGE 18
STORE-IN-STORE PARTNERSHIPS
Within its own store portfolio at  March , CPW had 
stores-in-stores ("SIS"), providing a specialist connected products
and services proposition on behalf of retailers with larger store
formats, who enjoy significant footfall but who lack expertise in
the mobile field. This concept proved to be particularly successful
in the US with Best Buy Mobile. CPW aims to replicate the success
of such arrangements with other established retailers in Europe,
providing further growth opportunities for the business.
MANAGED SERVICES
In addition to the SIS model, CPW has taken the opportunity
toleverage its retail expertise to provide retail services to a
number
of MNOs, other service providers and, more recently,
manufacturers.
The business manages stores on behalf of
anumber of European networks and in February , CPW
announced a preferred-partner agreement to operate Samsung
Experience Stores across Europe. At  March , CPW’s own
stores included  stores being managed on behalf of third parties.
CONNECTED RETAILING
SERVICES AND SUPPORT
HONEYBEE PLATFORM
GLOBAL PARTNERSHIPS