Consumers think the mobile trade-in process ends when they get their cash or credit towards a new device; but service providers know there’s more to it – especially at the back end.
Every week, the average trade-in device prices drop by about 1% of the device’s original value. That may not sound like a lot, but when you consider the 1.9 billion new devices sold in 2014, all of those trade-ins start to represent significant dollars.
Clearly, speed is the name of the game when you’re designing any trade-in program – you need to receive the device, get it in and out of the lab, and sell it as fast as possible. The quicker the diagnostic process on the backend, the greater the ROI for a service provider. Easy, right?
One of trickiest parts of the mobile trade-in program is speeding up the point of sale process without introducing errors.
As a service provider, it’s time to figure out how to make that happen. In this post, we’ll discuss the keys to optimizing your mobile trade-in program without sacrificing quality.
Simplicity is the Key to Mobile Trade-in Success
Human error is often the leading factor in trade-in device evaluation mistakes.
The key to trade-in success is not to ask sales reps to do something they’re not equipped to do – especially at the point of sale. Stick to the essential questions. This will minimize potential issues that might arise, that will require adjustments on the backend of the trade-in process.
To optimize a trade-in program, you must eliminate as much human subjectivity from the process as possible.
Automating processes can quickly identify and test things like:
- LCD pixel functionality
- the battery’s ability to hold a charge
- whether or not all customer data has been wiped
Cosmetics are still a tough subjective hurdle to get over, but otherwise the process is largely automatic.
Ideally, the entire mobile trade-in process – from the time you submit the device to the time it hits the market – shouldn’t take longer than five days.
To further speed along the process, consider coordinating with a trade-in partner that offers more transparency. A mobile app that allows customers to pre-asses the condition of their mobile devices, before they walk into the store, gives customers a better understanding of where their device is valued at. Not to mention, this speeds up the entire process and aids in the accurate evaluation of the phone’s current estimated value.
Alternatively, with a mobile app, the customer has the option to perform the entire diagnostic process themselves, right from their phone and then ship the phone directly to the lab without even going to the retail store.
5 Tips to Get You Started on Trade-in Optimization
1. Examine Devices Quickly While Minimizing Adjustments
- Be able to quickly answer a customer’s most pressing question: “How much will you give me for the phone?”
- Evaluate your sales reps on two things: if they offer the trade-in option to your customers and how effective their trade-in attachement rate is for these transactions.
- Ensure sales reps are confident about evaluating the condition of a phone accurately and quickly to minimize human error
2. Make Sure the Activation Lock is Disabled
- A locked device is impossible to sell and recent legislation has made it inevitable that most phones will be shipped with this feature enabled.
- Implement an automated check and blocking trades when the devicec is locked is the only viable solution to ensuring long-term success.
3. What Model is the Device?
- 20% of trade-in transactions get verified with the wrting model
- Your staff should be able to quickly distinguish between an iPhone 6 and 64GB iPhone 6s and a Galaxy S5 or a Galaxy S6.
4. Use Automated Tools for More Technical Analysis?
- Dedicate automated diagnostic tools to your phone retailer's buyback program, who want to deliver quick and accurate condition reports at the time of device trade-in.
- Automation speeds up the trade-in process while determining consistent and fair values for devices.
5. Have Efficient Shipping Cycles to the Lab
- How quickly devices are moved from the store to the processing lab to the market is a key element to trade-in programs.
- Used devices can lose 1% of their value every week, so every wasted day in the back-end process costs money.
- It is essential to establish clear rules for shipping cycles, and to balance them with shipping costs to see better ROI.
Speed Doesn’t Have to Be Difficult
For many businesses, increasing speed or efficiency for any process can be costly or challenging. However, boosting trade-in speed and efficiency doesn’t have to be. With the right trade-in partner, sales reps will have all of the tools necessary to move through transactions quickly and effectively.
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