Cell C has announced plans to sell 44 of its 47 company-owned stores as it moves to a franchising model.
The mobile operator, which is the focus of a turnaround being led by CEO Jorge Mendes, said in a statement on Wednesday that the store franchise model is “in line with the strategy to leverage partnerships and collaboration to boost revenue and drive growth”.
The company plans to retain three flagship stores: those in Mall of Africa in Gauteng, Gateway Theatre of Shopping in KwaZulu-Natal and Canal Walk in the Western Cape.
“The decision follows a review of our service model and a benchmark exercise on the current 47 stores that are company owned. Our franchise model has proven to be successful, with franchising stores performing 14% better,” the company said.
“Cell C will implement enterprise and SMME development with staff to be given the opportunity to purchase stores as franchisees, with a rigorous and fair selection process focused on branch staff,” it added.
“The process is expected to take a minimum of three months, with more details to be communicated in due course. Jobs will be retained; staff contracts will be transferred to franchisees with the same employment terms and conditions, with Cell C’s involvement in ensuring a seamless transfer.” — © 2024 NewsCentral Media