iPhone buyback firms unruffled by Apple's trade-in plans
Quote volumes climb as early adopters prep for next month's new iPhones
Computerworld - Buyback firms today remained unconcerned about a reported Apple in-store iPhone trade-in program, saying that if accurate, it simply vindicated their business models.
"Apple [doing buyback] would be great for our business," said Anthony Scarsella, chief gadget officer at Gazelle, in an interview. "It will only add a ton of awareness to the idea of re-commerce."
Jeff Trachsel, chief marketing officer at NextWorth, agreed. "This is more a validation of our business model than anything else," Trachsel said when asked about Apple's purported plans.
Gazelle and NextWorth are two players in "re-commerce," the buying of used consumer electronics like smartphones, primarily in developed countries, then refurbishing them for resale in less affluent markets.
Their sentiments were in line with comments by re-commerce companies in June, when news first circulated that Apple would this fall begin accepting older iPhones as trade-ins for new models. On Monday, those reports intensified, with TechCrunch saying that some Apple retail stores were already running pilot programs.
Scarsella and Trachsel contrasted their programs, and others like them, with what Apple is expected to offer. Gazelle and NextWorth pay cash for used smartphones, while Apple will only offer in-store credit in the form of an Apple gift card. Both Gazelle and NextWorth accept a wide range of devices, giving consumers who want to switch from an Android-based phone a sell-back outlet.
Scarsella was the most aggressive in downplaying the threat, noting that Apple's program required that customers visit a store. "I think this could be a nightmare," said Scarsella, referring to the lines that often form outside Apple stores at the launch of a new iPhone. "With us, it's fast and easy, and you wait until you get the new one before you send the old one back."
Both Gazelle and NextWorth offer a lock-in period, a span of X days during which they guarantee a quoted price for a trade-in. Usually, that's long enough for consumers to buy a new phone, switch their number and transfer their apps and content before shipping off the old smartphone.
On Monday, Gazelle extended its usual 30-day lock-in to 50 days, or until Oct. 15. NextWorth offers a 30-day lock-in period.
Apple is expected to unveil its new iPhones on Sept. 10 and begin selling them Sept. 20.
Talk of those dates has, as usual, boosted activity on re-commerce companies' websites as consumers decide whether to sell their older iPhones before purchase prices drop further.
- Automakers show off in-vehicle Wi-Fi, new smartphone interfaces
- First-to-market means diddly when it comes to smartwatches
- Apple slates WWDC for June 2-6, sets up ticket lottery
- Nadella to Cook on Office revenue sharing: Drop dead
- Microsoft scraps 'Windows-first' practice, puts Office on iPad before Surface
- iOS tops Android for Web browsing in U.S. and other developed nations
- Microsoft's free OneNote vaults to top of Mac App Store chart
- Apple discounts iPhone 5C 8%-9% in five markets via storage cuts
- Microsoft's OneNote strategy: Battle Evernote, or something bigger?
- Microsoft's new lower-priced Office 365 is 'obvious preface' for iPad suite
- Why Projects Fail CIOs are expected to deliver more projects that transform business, and do so on time, on budget and with limited resources.
- The New Business Case for Video Conferencing: 7 Real-World Benefits Beyond Cost-Savings This whitepaper provides insight into the value of video conferencing in today's business environment, and how organizations are using visual collaboration to find...
- Gartner Magic Quadrant for Client Management Tools The client management tool market is maturing and evolving to adapt to consumerization, desktop virtualization, and an ongoing need to improve efficiency.
- Audit Ready and Asset Optimized: The Solid Promise of an Intelligent Software Asset Management Solution In this paper Frost & Sullivan examines the benefits of enterprise-grade Software Asset Management solutions, and how these solutions serve as the convergence...
- LIVE EVENT: 5/7, The End of Data Protection As We Know It. Introducing a Next Generation Data Protection Architecture. Traditional backup is going away, but where does this leave end-users?
- On-demand webinar: "Mobility Mayhem: Balancing BYOD with Enterprise Security" Check out this on-demand webinar to hear Sophos senior security expert John Shier deep dive into how BYOD impacts your enterprise security strategy... All Smartphones White Papers | Webcasts