Sony Ericsson ties with Cellucom for GCC expansion

Sony Ericsson has appointed Cellucom as a key distributor of its complete mobile handset portfolio in Oman, Qatar and Kuwait.

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By  Michael Thorne Published  September 4, 2006

Sony Ericsson has appointed Cellucom as a key distributor of its complete mobile handset portfolio in Oman, Qatar and Kuwait. The partnership focuses on these countries as emerging markets with major consumer potential, according to the two parties. “Cellucom’s strong distribution network combined with the fact that we offer our retail partners increased value added services was a key element in Sony Ericsson’s decision to partner with us,” said Arun Nagar, managing director of Cellucom. “The partnership is a valuable addition to our growing portfolio of business partners in the mobile phone industry. “Cellucom will continue to deliver high quality sales support to its growing number of retailers and satisfy their demands for new services. We will support Sony Ericsson through our well-established distribution network and expert sales staff. I am confident that our combined efforts will help Sony Ericsson gain strong market presence in the region.” The new deal comes on the back of a series of recent announcements by Cellucom as the company seeks to expand its presence across the GCC and increase its brand profile as a key mobility solutions provider through both Cellucom branded retail outlets and its distribution set up. “Sony Ericsson was looking for a partner that understands the needs of the mobile phone market. Based on Cellucom’s proven track record, the company was an obvious choice for us. We look forward to a mutually beneficial business relationship with the company.” Cellucom claims that it will strive for maximum penetration at a micro-level through effective and sustainable distribution in these regions. The company said that it would offer competitive prices, provide credit support and supply goods directly to retailers, improving Sony Ericsson’s route-to-market in these countries. Meanwwhile, in other news, Cellucom has established a new showroom in Dammam, Saudi Arabia. Located in the city’s CBD, the new 110 square metre showroom brings to 11 the total number of Cellucom outlets in Saudi Arabia. Nagar said Saudi Arabia held enormous commercial potential for further retail expansion. “There is tremendous potential in the GCC as the mobile market is showing encouraging growth trends, driven by a new generation of mobile phone users. We have over 100 outlets in the region currently, with a planned increase to over 250 by the end of 2006. We expect this number to reach 500 by end 2008,” he said.

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