Dixons Carphone will cut 800 jobs in the company to further integrate retail and online activities.
The company says it is streamlining its store management structure so that electrical and mobile executives can work and focus on the customer experience regardless of channel.
Accordingly, positions such as Retail Manager and Assistant Manager will be replaced by new roles such as Sales Manager, Customer Experience Manager and Operational Excellence Manager.
CEO Alex Baldock has put an omnichannel strategy at the heart of his transformation program, in which all 531
Dixons Carphone is the UK’s newest mobile phone retailer, but is struggling to cope with changing consumer habits. A saturated market and longer update cycles lower contract renewal rates, making SIM-only tariffs and SIM-free cell phones more popular and squeezing margins.
Mobile phone sales declined a fifth last year, but the closure of the Carphone Warehouse stores was a significant step forward, according to the company, to avoid loss of mobile devices. The smaller branches could not meet the changing consumer demand, which would be better served by the larger branches and online platforms.
The move to online was accelerated by the coronavirus pandemic, with sales of electrical equipment increasing during the ban. The company hopes that a more integrated approach will help increase online revenue in the mobile space as well. It has already been said that all employees affected by the job cuts will be asked to apply to ShopLive, an online service that advises customers via video link.
“We remain committed to our stores as part of an omnichannel future in which we offer our customers the best of online and stores,” said Mark Allsop, COO of Dixons Carphone. “As part of this, we want to strengthen our branch management teams, create a flatter management structure and make it easier for our customers to shop with us as they want. This proposal ensures that the roles in the store are designed to provide a seamless customer experience and exceptional service across all of our customer channels, whether online or in-store.
“Unfortunately, this suggestion means that we have now consulted with some of our business colleagues. This was not an easy decision and we will do everything we can to look after our colleagues for whom we cannot find new roles financially or otherwise. “