Carphone Warehouse pools £4m account into WDMP

LONDON - Carphone Warehouse has awarded the direct account for its mobile phone business to WDMP, having consolidated it with its TalkTalk fixed-line division business to form a single 拢4m account.

The account had been held by Clark McKay & Walpole for the past three years. The decision to pool the direct business was taken to "increase their effectiveness".

The agency has been briefed to increase the average revenue per user for Carphone Warehouse, as well as encouraging existing customers of pre-pay services to upgrade to contracts.

Activity for the brand will begin with a mailing to 350,000 customers this month promoting contract offers. It will be followed by monthly activity intended to increase ARPU.

Matt Broekhuizen, group account director at WDMP, said: "Carphone is bringing it back to basics on how it measures its activity. It is very ROI-focused and now that it has 600 stores, increasing ARPU has become key."

WDMP has had the TalkTalk business since February last year when Carphone Warehouse relaunched its fixed-line business to take on BT in the free domestic calls market.

The agency has already launched high-profile direct response campaigns for TalkTalk, most notably around the brand's sponsorship of Big Brother on Channel 4.

Carphone Warehouse has been facing falling margins and excessive churn in a virtually saturated market, as mobile operators muscle in on the high street.

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