The campaign, which forms part of House of Fraser's Christmas advertising offering, will highlight a range of O2's services, including its offer of free 02 Wi-Fi in 11 of the retailer'' stores.
It will also highlight House of Fraser's promotions, such as in-store offers and videos of fashion shows, using O2 Media's location-based messaging service.
Further promotions include House of Fraser offering O2 Priority Moments customers a £15 gift voucher when they spend £40, until the end of January.
The campaign marks the first time that O2 has worked with House of Fraser on a joint campaign and the first time a brand has integrated a range of O2's media services and its free Wi-Fi offering in one campaign.
According to O2, the retailer has plans to extend the Wi-Fi and location-based messages into the third quarter of next year.
Tim Sefton, director of new business development at O2, said: "All indications show that Christmas is likely to be exceptionally tough for retailers, so clients need as many weapons in their arsenal as possible.
"In an increasingly fragmented market, the ability to grab the consumer's attention and speak to them directly and effectively in the right place and in the right mood, will be of the utmost importance."
Last month (24 October), O2 Media appointed former Microsoft Advertising creative media strategist Andreas Nicolaou as its head of client strategy.
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