Following the footsteps of Amazon India, Flipkart is also said to start selling refurbished smartphones soon. As per the reports, Flipkart is looking to start selling unboxed devices as soon as by Diwali this year.
But, Flipkart is not the only startup that is following the steps of Amazon. The Gurgaon-based ShopClues is also entering the refurbished electronics market.
It seems that the reason behind such move from Flipkart is the high rate of returns for devices. Another major reason is that the eCommerce firms will not longer have pricing advantage after the introduction of Goods and Service Tax (GST).
On the other hand, ShopClues’ decision to dive in, in the unboxed and refurbished electronic gadgets category is a step towards its aim of organising this mostly unstructured category of used and unboxed electronics in the country.
By entering this category, ShopClues is hoping to almost double its gross merchandise value and reach up to 9 million customers by the end of this financial year. According to a statement given by Radhika Aggarwal, co-founder and chief business officer of the company, their primary research has given them a crystal clear picture of the huge need gap that exists in the country when it comes to consumers buying unboxed and refurbished gadgets, especially in terms of awareness, availability, and quality assurance.
Bengaluru-based Flipkart is planning to sell its Flipkart-certified refurbished models on its online marketplace as well as offline retail stores. The company has already discussed for the same with various distributors. The devices will be delivered through its logistics arm Ekart Logistics.
Reports suggests that Flipkart plans on getting the used gadgets checked and certified to look and work like new and then sell as Flipkart-certified refurbished handsets. They will come with limited warranty, and will be priced at 60-75% of their original value.
ShopClues’ refurbished gadgets will have a surety badge named ‘Surety Re-New’ – which would signify that the product has gone through 5 levels of quality checks.
Flipkart plans on selling famous brands such as Lenovo, Motorola, Samsung’s ‘On Series,’ Panasonic, Micromax and Sony Xperia in its refurbished category. ShopClues has also tied up with top selling brands like Nokia, Samsung, OnePlus and Motorola, Xiaomi and Asus for the same.
Amazon was the first big online marketplace in India to starting selling certified refurnished handsets earlier this year. While it only sells Coolpad smartphones as of now, it plans on expanding this category to other models of brands such as Motorola and Samsung in the near future.