Capita secures £197m contract with Germany's mobilcom-debitel

Outsourcing group Capita has been selected as a strategic partner to deliver customer services for German telecoms company mobilcom-debitel in a seven-year contract expected to be valued at €230m (£197m).

The partnership, which is due to begin on 1 March 2017, will see Capita take over responsibility for all customer services and related IT.

Capita said the contract is designed to focus on valuable outcomes, rather than the transactional model traditionally used across the German customer management sector. This model – used by Capita on some of its major customer management contracts in the UK (including O2) – directly incentivises Capita to produce the best possible outcomes for mobilcom-debitel’s customers, rather than charging on a ‘per-contact’ basis.

Chief executive Andy Parker said: “Capita is delighted to become mobilcom-debitel’s strategic customer services partner. Capita will deliver a transformed customer service operation focussed on continuing to deliver customer excellence to mobilcom-debitel’s existing and new customers and promoting its digital lifestyle products. Our enhanced operational platform will be capable of supporting mobilcom-debitel’s products as they continue to evolve.

“This new transformation partnership with a new client for Capita Europe demonstrates the interest and growing demand for different customer service outsourcing models. We have a growing pipeline of both traditional and transformation customer service opportunities in Germany and Switzerland which will provide a good platform for Capita Europe to meet our growth aspirations.”

At 0918 GMT, the shares were down 1% to 572.50p.