Recent trends in the UK mobile phone and contract market are said to have had a negative impact on sales figures for mobile phone retailer Carphone Warehouse.

According to recent reports sales figures for the mobile phone retail giant Carphone Warehouse have been negatively affected by recent trends in the mobile phone and contract market in the UK. The switch from eighteen month contracts to twenty four month contracts on mobile upgrades along with weak prepay phone sales is said to have dampened profits for the retailer.

In the thirteen weeks to 2nd July there was a five and a half percent fall in total connections as well as a drop of over three percent in like for like sales. Officials from Carphone Warehouse said that the figures were not unexpected and said that it was still excited about its ‘Wireless World’ format for stores, where it is promoting a range of additional products such as tablet computers, which are increasing in popularity.

One analyst said that the figures released by Carphone Warehouse had been in line with expectations, stating: ‘The European retail sales decline of 3.3 per cent isn’t quite as bad as feared, but that was boosted by good growth in Europe, meaning that the UK was well down, despite the promise of the big push into tablet sales.’

The rising popularity of internet tablets could help to boost the company’s profits over the coming months if there are some good deals available, as a rising number of people have taken an interest in these devices.

Source – This is Money