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News 1999

Dunstone: Call That Impartial Advice?

23/11/1999

Virgin Mobile tonight responds to the claims levelled by Charles Dunstone, the bumptious boss of Carphone Warehouse.

Dunstone has suggested that Virgin Mobile's simple, straightforward tariff is poor value compared to the convoluted tariffs on offer at Carphone Warehouse. Virgin Mobile resolutely refutes this notion, particularly from an organisation which once, supposedly, prided itself in offering simple independent advice.

Richard Branson said: "I like Charles Dunstone and when he heard that Virgin was entering the mobile phone market he came to see me. He thought what we were doing was a fantastic idea - a simple, no-catches, cheap service. But when I told him we would not be selling our phones in Carphone Warehouse, because we wanted to avoid commission hungry middle-men, he literally begged me to change my mind. I was very sad to show him my door."

Carphone Warehouse is an outmoded business, even the name smacks of the 80's. It survives on the back of complicated tariffs and consumer confusion. Charles Dunstone can no longer claim to offer independent impartial advice on all the phones, on all the networks, because his position is now clearly undermined by the launch of Virgin Mobile.

Last year the supermarkets took 40% of mobile sales from a standing start, this Christmas that number is forecast to be much higher.

"Charles Dunstone is clearly scared by Virgin Mobile's honest and transparent pricing policy because it exposes the sham of business practices which are designed deliberately to baffle the consumer," added Branson.

Virgin Mobile today launched the simplest mobile phone service in the UK. There is one cheap, simple tariff, with no catches, no line rental, no service charges, no voucher expiry dates and no restrictive contracts. In fact, if you buy a Virgin Mobile and decide not to use it, it won't ever cost you a penny to keep in service.

Charles Dunstone claims people use the phone in different ways. This is true, but that does not mean there should be hundreds of tariffs. Our tariff is flexible and the more you use it the cheaper it gets - Dunstone clearly doesn't understand this. Calls on Virgin Mobile cost from 5p at any time of day.

-ends

For further information please contact:

Steven Day:
020 7 4844322 or 07931 777 777

Alison Bonny:
020 7 4844323 or 07941 204 418

Will Holt:
07941 200 200

Debbie Burtt:
07941 200 300


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