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Apple Relying on Trade-In Program to Boost Sales

John BeanbyJohn Bean
June 8, 2013
inMobile, News, Tech
Apple Logo

Photo Credit: Apple Inc.

Apple Logo
Photo Credit: Apple Inc.

Apple has devised a solution to their problem: iSwap.

Okay, they are not calling it iSwap, but Bloomberg reports that Apple will start a trade-in program this month. Apple is looking to boost sales for the iPhone 5. According to Digital Trends, Apple is also looking to profit from the re-sale of trade-ins in emerging markets.

Bloomberg said Apple will be teaming up with mobile phone distributor Brightstar, which does trade-ins for AT&T and T-Mobile as well.

According to Tech Crunch, this is not the first time Apple has used a trade-in program. Tech Crunch said Apple accepted trade-ins back in August 2012, and offered $345 in store credit. In that program, Apple teamed up with PowerOn, and called it their “recycling program”. Tech Crunch points out that the difference is the trade-in program will only be available in Apple’s retail stores.

Digital Trends reports that the trade-in business is growing. According to Digital Trends, 11 percent of consumers buying a new smartphone used a trade-in service in 2011, and Israel Ganot, the CEO of Gazelle, told Digital Trends the figure will rise to 20 percent this year.

Roger Dentler, an analyst at Recon Analytics, believes this is a good move by Apple. Dentler said, “This will help them sell more phones, because it will lower the consumer’s out-of-pocket expense.”

None of the recycled phones will be sold in the US. They will only be sold overseas.

It was a busy day for Apple. They also are reportedly going to start an internet radio service with Sony. UPI.com reported that Apple is also expected to make an announcement about iOS 7. Apple has been feeling the heat. Samsung raised the bar with the release of their latest smart TV. Apple now has to step up their game. How will they respond? They say competition brings out the best in everyone.

 

 

Tags:appleiPhone Trade-in
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