Popular re-sale marketplace Cashify, which has emerged as a preferred platform for selling used smartphones and buying refurbished devices, is now planning to introduce try and buy option. Currently under development, with this new feature, users will be able to book a trial of their device before purchasing it.
Nakul Kumar, Co-Founder and CMO, Cashify, told Business Today, “We are glad to see that the reluctance of people towards refurbished devices is slowly diminishing. By providing six months warranty, 1 month replacement policy and much more, we have made sure that people get everything they need when they buy a refurbished device from Cashify. As more people trust the quality and reliability of refurbished appliances, we plan to take this trust to another level by introducing the Try and Buy option. Through this feature, people will be able to book a trial of their device before buying it. Under development, Cashify plans to roll out the facility by January 2023.
The unorganized second hand phone market has been in existence for more than two decades. Lately, consumers have been willing to spend extra to buy feature-rich smartphones from brands like Apple and Samsung in exchange for six months warranty and service support. This has helped the organized refurbished market gain momentum in the last five to six years, giving rise to players such as Cashify, Hyperexchange and Yantra, to name a few.
“A recent report estimates that by 2026, India’s second-hand smartphone market will reach a size of $10 billion. With the launch of every new phone, people’s desire to upgrade increases. And as people become more value-conscious, refurbished devices have become a pocket- and planet-friendly way to meet these needs and wants.
Apart from its online presence, Cashify has over 170 offline stores across the country and plans to take the total count to 250 by March 2023. For this, the company is planning to invest at least Rs 40 crore in its retail expansion. “We already have a wide presence across India. Nevertheless, there are certain regions where we are keen to venture into, such as Goa, northeastern cities and Himachal Pradesh,” says Kumar.
Apart from the retail expansion, Cashify is set to turn profitable by FY2024. Margins are higher in the unorganized refurbished smartphone space. Since it mainly constitutes of independent shops which do not provide after sales services like warranty, replacement policy and more, their investments are also not high. “On the contrary, in organized markets like ours, customer experience is of paramount importance to us. Hence, we ensure that our profits are reinvested in the form of high-end after-sales services, where we provide six months warranty, easy replacement policy and much more,” says Kumar. As of today, Cashify has raised over $120 million in funding from well-known investors including NewQuest Capital Partners, Bessemer, Blume Ventures, and Olympus Capital.
Read also: Refurbished 5G smartphone sales soar in India, up 154%: Cashify’s Nakul Kumar
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