Exchange offers on Amazon and Flipkart have recently gained a lot of popularity especially during the proprietary sales of each website. I have seen people purposely waiting for an exchange offer before they go and buy their favourite smartphone. Most of the people today, including me, still believe that you can get much better value for your smartphones elsewhere. However, there are times when you can get really good exchange offer on some products. For example, right now while writing this article – Amazon is offering Rs 10,000 extra on your regular exchange value on the Samsung Galaxy Note 8. So not always do you get fooled by these offers. But the question here is – How does this whole exchange process work? Let’s divide this into 3 stages.
Stage 1 – Identifying the Exchange Offer
This is where companies like Amazon and Flipkart begin promoting their exchange offers on some selected devices along with some additional offers. You go to an of these websites, choose the device you want to buy and hit ‘With Exchange’. Then you choose the model name and also the IMEI number to get the exact value of your current device. Once done, you are then required to make the payment for the balance amount. In some cases, you might have to pay the whole amount first and the company would credit the exchange value post verifying the condition of the device.
Stage 2 – Picking Up the Old Device
Since most of the exchange offers are only applicable to smartphones, let’s take this stage with an example of a smartphone. Now that you have made the payment of the balance amount, Flipkart/Amazon will arrange for the delivery of your new smartphones and the pickup for your old one.
What does the pick-up guy looks for when exchanging the old smartphone?
- The phone should be in working condition.
- The phone should remain on for at least 30 seconds without the charger.
- The IMEI should be match with the one entered while buying the new device.
- The phone should have working display and there should not be any major cracks or dents.
- Although accessories are not necessary, companies do appreciate if you return all the accessories along with the original box.
Stage 3 – What Happens Next?
You got your new mobile phone and got rid of your old device in one go – that’s a double win. But what happens next? How does Flipkart/Amazon benefits from all of this?
If the device as been sold by a vendor, Flipkart or Amazon buys the product from him and sell it in the market where its actual fate is decided. If a smartphone is in a good condition, it is often refurbished and sold in the second-hand market. While if it is not, it goes through the tedious dismantle process and the spare parts is then used to repair other devices. In some cases, these spare parts are also sent to service centers.
Now Flipkart/Amazon knows the market price of the exchanged device so they don’t really bargain while selling them to the third-party vendors. So how do they benefit from this whole process? Well, more people opting for exchange offer means more sales of new devices which in turn makes a great image in the eyes of different companies selling their products on Flipkart.
Further, with lucrative exchange offers Flipkart and Amazon can easily attract new customers who were earlier reluctant to shop for a gadget like – mobile phone online. More sales means more commission which in turn means more revenue.
So should you opt for these exchange offers?
A simple answer to this will be ‘Yes’ if you think you will not get a better value anywhere else or you are just too laid back to sell it elsewhere. While its a straight ‘No’ if you still believe that your current device deserves a better value.
Have you ever exchanged your smartphone on Flipkart or Amazon? How was your experience?