Here is the simple method to backup the contacts from windows phone, Microsoft recently launched an App called 'Contact +Message ' . This application has the ability to backup the contact from your windows for later restore to the same phone or Other windows handset.
It can backup all your contacts in VCF format and the SMS and MMS including attachment files that are saved in the SD Card in XML Format. The backup data are stored in the SD-CARD . It also has an live tile feature.
Note: This app will not appear on your app list . Just Goto settings in your phone just scroll down 👇 you can find it in extras menu