The Rebirth of Dialaphone
Now, the old Dialaphone website will be refreshed and remodeled into an entirely different company.
Instead of offering smartphones and accessories, Dialaphone will return as a mobile phone, broadband and energy comparison website.
The future mission of Dialaphone will be to provide customers with fair comparisons of different services, brands and packages. It will be an informative website that helps users save money and make smarter choices with their money going forward.
The new Dialaphone website will connect with the UK’s largest suppliers of mobile phone contracts, broadband and fiber internet, and also energy to ensure that users get all the information they need.
History of Dialaphone
Dialaphone was a mobile phone retailer that served the United Kingdom for many years. It was first established in February 1995 by Jonathan Beck and Richard Frank, offering the public mobile phones and accessories to go with them.
Initially, the pair decided that their business model should rely on direct phone calls, hence the name Dialaphone. They advertised using double-page tabloid spreads, drawing in a wide audience and attracting many customers.
During the late 90’s, Dialaphone saw a huge surge of growth thanks to the rise of the mobile phone industry. Along with their business’s unique model and low operating costs, many investors decided to jump on board with Dialaphone.
In 1998, Dialaphone decided to transition into the online market. They started planning a future e-commerce website that would eventually go on to become the company’s main source of revenue. They wanted to take advantage of the growth of the internet and change their business model to support these new advances in the industry.
In 1999, Dialaphone made a deal with Barclays Private Equity to take a majority share in the company in return for the investment. It gave Dialaphone the ability to expand their business online and reach a wider audience.
In September 2000, Dialaphone’s e-commerce website finally went online. The company also saw another huge growth spurt and appointed new management teams to accompany it. This included a new Marketing Director, Finance Director and also Managing Director. This gave Dialaphone the opportunity to become more involved in sponsorship and was even the shirt sponsor for Middlesbrough Football Club from 2002 to 2004.
From then on, Dialaphone’s business continued to grow but eventually hit a wall around 2006. Although they were the UK’s third largest contract connector, there were differences over the future of the business and Andy Brown, the Managing Director at the time, parted ways with the founders. Brown worked with Dialaphone for seven years and was brought in after he worked under John Caudwell at a rival company, Phones 4u.
Once Brown left, Dialaphone’s popularity and contract volume began to dwindle. As a result, it was bought out by their biggest competitor, Phones 4u, for a knockdown price in 2008. The fee has been reported to be around £9 million.
Fast forward to September 2014, and the Dialaphone website was taken down due to the parent company, Phones4u, going into administration.