Does your business need to stay competitive in a market where trade-in opportunities are growing? Trade-in presents a growing advantage for retailers, especially multi-category retailers, if executed efficiently.
Ingram Micro Lifecycle supports trade-in programs for large retailers and network operators. Our end-to-end solutions enable the recovery of products, providing cost savings and value recovery for customers.
In this piece, we’ll explain the advantages of a trade-in program for multi-category retailers, highlighting the key benefits of this customer offer.
Offering a trade-in solution to your customers presents the opportunity to improve and increase attach rates. Trade-in can be a hook to get your customer in the door and open up the conversation to retain their custom.
Following a trade-in, the customer can use the awarded value towards a new purchase from you or have this value as store credit to be used at a later point. There’s also the opportunity for upselling or offering added-value peripheral products.
Trade-in offers you the opportunity to build a strong and long-lasting relationship with your customers.
Enabling consumers the option to purchase a new device from you when they trade in makes acquiring a new product more affordable. It doesn’t have to be a brand-new product, but new to them. Cash or credit from a trade-in lowers the cost as a barrier to purchasing another product.
Encouraged by green messaging, customers can understand the environmental impact of their choice. By deciding to trade in their device, they’re supporting the circular economy and reducing e-waste. This boosts the satisfaction of those who are eco-conscious. Research by the Reverse Logistics Association found that 62% of consumers would change their shopping habits to reduce their environmental impact, and the largest segment would choose brands based on how they aligned with their values.
The value of the customer’s trade can be used to purchase a new product from any range across the retailer’s platform.
Ingram Micro Lifecycle manages a trade-in program for an online multi-category retailer. Working alongside manufacturers, the ecommerce retailer can display special promotional offers, which we support with our trade-in program. Diversifying payment options to include offers, discounts, and cash increases the opportunity to satisfy the customer.
Demand for refurbished technology is growing as consumers and businesses recognize this as a sustainable and cost-effective alternative to buying new. These products appeal to environmentally conscious and budget-aware consumers. If you have the right infrastructure in place, you can uplift the quality of traded-in devices and return them to market as refurbished stock for your customers.
Trade-in programs can be completely sourced as a link-off solution. The third-party operator of the program must have the financial backing to purchase the devices from the end-user owner. The retailer is removed from this burden, along with all the other responsibilities of managing the program.
Outsourcing is a great way for multi-category retailers to benefit without needing to diversify their resources from core business areas. Instead, they remain competitive by offering their customers more choices.
An experienced partner managing the trade-in program may provide fully trained and knowledgeable contact center agents. These can liaise with customers of the trade-in program, advising on issues and queries.
The outsourcing partner will have seamless processes, working to ensure efficient device assessment that triggers customer payment promptly. Years of technical experience will inform tips and guidance to be passed on, making the transaction seamless with minimal effort for the customer.
Through harnessing a repair partner’s experience, yields are improved and increased, boosting the potential for value recovery. A greater volume of products can be expertly recovered to a higher quality, providing a greater supply of products for resale.
An array of repair and refurbishment techniques to improve the aesthetic and functional qualities of traded-in products increases the potential for greater financial return.
The trade-in program owner should have access to a large, global recommerce network to sell recovered products seamlessly. Their industry insight and knowledge ensure accurate pricing to obtain the greatest value.
The partner should maintain industry-recognized certifications that prove their capabilities in erasing personal data from traded-in products.
They will invest in specialized software that sanitizes data-bearing devices, providing an auditable trail of paperwork. The customer is transacting with the partner so it’s the partner that must ensure compliant and secure processes to protect the customer’s data.
There are multiple ways a trade-in program can benefit your multi-category retail business. And you don’t have to do it all yourself. Outsourcing is a great way to share responsibilities with experts who have the technical capabilities to ensure success.
Ingram Micro Lifecycle has decades of experience extending the lifecycle of unwanted consumer electronics and business technology. Honing our processes, we increase yields and maximize potential value recovery, combating the effects of depreciation with rapid turnaround times.
Contact us today to discuss how you can take advantage of our trade-in solutions.