Clothing & accessories retailer Fat Face has agreed a new deal that is expected to save the company £5,000 a year on all phone calls, it was announced today.
By finalising a contract extension with Vodat International that will see the communications solutions provider supply all of its telephony services, the fashion specialist has been able to reduce costs across its network of around 200 UK stores.
Fat Face reported profits of £24.8 million in the 52 weeks to May 28th 2011, a 28 per cent increase year-on-year and well ahead of 2009-10’s trading performance.
Sales of £152.7 million – 13 per cent growth compared to the previous 12-month period – were also reported, indicating that the company has held up well in the face of a significant downturn on the British high street.
CEO Anthony Thompson, who joined Fat Face from Asda’s clothing arm George in April last year, has overseen a rapid change in the business’s fortunes, which has involved improving product ranges and strengthening the senior management team with a number of key appointments.
Today’s telephony deal will see its head office and store network tech infrastructure revamped, with two new larger resilient central pipe connections added to the former and next generation network ADSL2+ services introduced in the latter.
Commenting on the new phone contract, Head of IT at Fat Face Tim Bird said: “We were looking to increase efficiencies across the organisation and we were keen to reduce the cost of all calls across the business.
“Having been a customer of Vodat’s for over five years we turned to them for their expertise to see how we could achieve this.
“We will now be able to handle all land line calls and communications under one roof and significantly reduce our costs at the same time.”
Fat Face founders Jules Leaver and Tim Slade sold the company to private equity form Advent International in 2005 in a deal that netted the pair almost £100 million.
The business was the subject of another private equity transaction when Bridgepoint acquired the group for $540 million (£360 million) two years later.