AO World launches AO Mobile business

Ben StevensNews

AO World has expanded into mobile phones with the launch of a new ecommerce website offering handsets, contracts and SIM cards.

AO-mobile.com offers customers smartphone handsets from all manufacturers, alongside contracts from all UK mobile networks as well as handset-only deals.

The online-only electricals retailer believes it is well positioned to undercut rival high street brands like Dixons Carphone as customers “don’t have to pay for hundreds of high street stores with thousands of sales staff.”

“This is a gamechanger for customers because we’ve built AO Mobile for today’s world,” founder and chief executive John Roberts said.

READ MORE: AO World losses widen to £18.9m

“Customers tell us that they find buying mobile and connectivity complicated. From today, we’re making it easy to choose what’s best for them with easy-to-understand pricing and fantastic service.”

This comes as AO seeks to diversify its business amid growing losses, having reported a £18.9 million loss for the year to March 31, up from £13.5 million a year earlier, in June.

It has been building its mobile foundations for some months, having purchased Mobile Phones Direct in December last year, a move that it attributes to the drag on its margins.

“The UK result was achieved against an ongoing tough trading environment and includes three months’ contribution from Mobile Phones Direct which we acquired in December 2018 and its integration continues to go to plan,” Roberts said in June.

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Ben StevensNews

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