The holiday season truly is the most wonderful time of the year for the mobile device industry. During the holiday shopping season, consumers are more likely to upgrade to the latest smartphone models—and carriers, OEMs, and retailers are right there with creative promotions to make it easier.
What better gift could they give their customers than, for example, AT&T offering up to $700 off an iPhone 11, Galaxy S10, or Galaxy Note 10 when switching service with a qualifying trade-in?
Well, it gets even better when you look at the bigger picture. For consumers, retailers, carriers, and OEMs alike, mobile devices are the holiday gifts that keep on giving.
Trade-Ins Give Mobile Devices Long-Term Value
One of the main reasons that mobile devices have become the holiday gifts that keep on giving is that promotions now revolve around trade-ins. During the days of subsidy models and two-year service contracts, carriers and retailers weren’t incentivizing trade-ins the way they do now. Instead, consumers could get the latest devices for a subsidized cost as long as they bought into the contract.
The shift to equipment installment plans and highly incentivized trade-in programs has made smartphones long-term sources of residual value. From a consumer perspective, a mobile device purchased during this holiday season will also pay out in trade-in value when it comes time to upgrade, whether that’s next holiday season or in two to three years.
Almost every device has at least some trade-in value. But as consumers shop for new models, it’s important to keep in mind that devices retain value differently. For example, ongoing demand for iPhones has boosted trade-in values even beyond the most recent models. And while the same is true for many Android models, the truth is that many devices lose their value quickly.
For consumers to maximize mobile device value and take advantage of the gift that keeps on giving, they need to trade-in their devices sooner rather than later. But this isn’t just a challenge for consumers—carriers, OEMS, and retailers must also stay on top of trade-in values to ensure they’re making the most of the holiday purchases that keeps on giving.
Maximize Revenue from Mobile Device Sales and Trade-Ins
The holiday season gives you a chance to catch up on all of your revenue goals for the year. But it’s not enough to make one-off mobile device sales. Being able to turn device sales into subscriber loyalty and ongoing trade-in revenue is essential to maximizing revenue.
Having the right data is the key to meeting these objectives. When you can take advantage of predictive insights into device trade-in value, you can optimize promotional offers and ensure that you’re making the most of mobile device sales—both at the initial point of sale and later on when it’s time for an upgrade.
The HYLA Analytics platform is designed to help you take advantage of the holiday gift that keeps on giving. With the industry’s most complete mobile device secondary market insights and risk management solution, you can easily access and analyze the latest market trends, historical performance, and future value for any device at any time.
Without the right data, you risk getting into a race to the bottom on pricing with your competitors. You might win over subscribers in the short term with a promotion—but if it comes with high churn and backend pricing discrepancies later on, it probably won’t be worth it.
Mobile devices shouldn’t just be the gift that keeps on giving for consumers. While you provide long-term value for them, make sure you’re also benefitting at the initial point of sale and at trade-in by optimizing your upgrade programs and promotions.
It all comes down to the data and we’re here to help you get the most out of it. Contact us today to find out how HYLA Trade-in Services and Analytics can make your holiday seasons brighter.