PLAINFIELD, Ind.-Wireless distributor Brightpoint Inc. is going directly to consumers with branded retail stores.
The company will sell mobile phones and services from Sprint Nextel Corp., Virgin Mobile USA L.L.P. and Vonage Holdings Corp. through outlets under the brand Fono Wireless. Brightpoint, which opened the first store this week in Noblesville, Ind., will license the brand to retailers that will own and operate each store.
Brightpoint will assist licensees with site selection, employee training and marketing and merchandising efforts.
“This is a new direction for Brightpoint that allows us to utilize our extensive global supplier and carrier relationships and leverage Brightpoint’s strengths in wireless products, logistics and activation services,” said Robert Laikin, chief executive officer of Brightpoint.
The move comes as competition heats up in the wireless reseller space, which is increasingly dominated by Wal-Mart and RadioShack, according to a study from Telephia. Wal-Mart has more than doubled its mobile-phone market share among major U.S. retailers in the last two years, according to the research firm, taking the lead among national resellers.
The two national chains account for 60 percent of the total market share among major retailers for mobile device purchases, Telephia said.
“With the holiday shopping season swinging into full gear, consumer electronics, such as cell phones and other mobile devices, are predicted to be hot sellers once again,” said Kanishka Agarwal, Telephia’s vice president of new products. “The major retailers, such as the big-box and consumer electronics stores, are the first stop for many shoppers.”
