Strategically, many commentators would suggest that this is a sound business move to make. He believes that the operators’ strategy is to reduce the number of phones and contracts sold through independent outlets in favour of dealing with customers directly, with an associated increase in profit likely through such a move. Should consumers be concerned?ĭavid Kassler, chief executive of Phones 4U, said that its closure would mean “less competition, less choice and higher prices for mobile customers in the UK”. EE has its own chain of high street stores, so it really didn’t need Phones 4U any longer. It meant, above all, that in the very price-sensitive field of comparing package offerings on mobile phone contracts, Phones 4U had nothing to offer their customers in terms of price comparisons. So the closure was an almost inevitable outcome – no retailer can effectively rely on only one source of supply. Their withdrawal followed that of Vodafone a couple of weeks previously and O2 and Three earlier in the year. The final nail in the coffin for Phones 4U came when its last remaining operator partner, EE, removed its patronage. Unfortunately, however, it means that thousands of people will be made redundant and that shoppers will see more closed stores on the high street. But the reality of this company’s demise seems to be the result of the ambitions of phone operators and Phones 4U were the luckless collateral in this particular war. This time it’s Phones 4U that’s closing its doors.

Phones 4u