Diversify Your Business Outside of Device Repair
By: Liliana - February 08, 202218 Views
It’s been recorded that Americans drop their phones four times a week.
Additionally, retailers looking beyond just device repair will generate additional income and be more competitive. There is a lot of profit to make in the device repair industry.
Another bonus of diversifying your business besides device repair is that you will probably become a go-to store for all the device needs, from repair to accessories.
So here are the six best ways to stretch your business beyond just repair.
Providing in-store accessories will make your business a retail destination. The list of mobile accessories is unlimited, like headphones, chargers, power banks, covers, screen protectors, and speakers.
While waiting for their phones to get repaired, customers can browse additional products with their devices. And, when they find something interesting, you will see an increase in sales and profits.
Besides, selling a screen protector or a cover is beneficial when someone gets their device repaired. They will want to protect their fixed phone, and a little assistance from your side will get them buying.
People are likely to purchase accessories which is another reason to sell more often.
Ask your customers to change their tempered glass (and phone cover) every few months.
You can buy mobile accessories from Injured Gadgets and stock your repair store with products that your customers love.
Stock Smart Home Products
Between 2020 and 2025, revenue in the smart home industry is expected to show annual growth of 16.1% (CAGR). The smart home industry is forecast to reach a $195,295 million market value by 2025, up from $92,744 million in 2020.
As the data indicate, the demand for smart home products will increase in the next five years.
Also, offer assistance in installing smart home systems to grow your services. It also boosts your credibility as a business owner and eliminates last-minute hassles.
You can also invest in smart security systems. Smart home users spent around $19.4 billion on security systems in 2020, and the rate is predicted to double to $35 billion by 2024.
If you are doubtful about investing in smart home products, start by stocking a limited number of systems. Examine the demand for those products in your area and increase your product base regularly.
Sell Mobile Devices
The demand for new devices and phones doesn’t seem to slow down soon, with new phones launching almost every day. Though the pandemic has badly hit every industry in the market, the International Data Corporation expects the sector to grow in 2021 with the launch of 5G devices.
IDC, in the long-term, forecasts by 2024, the smartphone market to reach 1.492 billion units.
If you have a budget, you can fulfill orders with drop shipping. For that, you can allow customers to order smartphones from your store and have them delivered to their address, right from your accessory vendors.
Offer Insurance and Warranty Plans
Mobile phones are highly sensitive to physical and technical damages, making them important to buy insurance plans. The rising costs of smartphones, device malfunction, and incidents of thefts are also compelling users to buy mobile phone insurance policies.
The mobile phone insurance market is determined to register a CAGR of 12.7% between 2019 and 2025.
By offering warranty and insurance extension plans, you can give your customers full service. Besides, you will generate a large amount of revenue on each insurance plan you sell, giving you peace of mind.
You can offer extended warranty options for your repair, increasing the customers’ trust in you and your repair services.
Like, Injured Gadgets offers a limited lifetime warranty on all mobile parts.
Sourcing the mobile repair parts from Injured Gadgets enables you to offer a lifetime warranty on the services, thereby enhancing your store’s credibility and revenue.
Support Buyback and Trade-Ins Programs
Integrating buybacks and trade-in is an efficient way to diversify your business besides device repair.
First, you will assist customers in ditching their old devices for new and better ones. Next, you can get pre-owned devices and sell them at a much better and higher price.
The second-hand phone market is growing rapidly. By 2022, the used phone market is forecast to reach $52.7 billion. Repair the used devices, format all the data, and sell it for a premium. This way, you will be making a higher income on that device than the original repair.
But remember, if you don’t value the customer’s old device right, you might end up losing more than you earn.
Including buyback programs and selling used mobiles also brings and attracts new customers looking for less expensive alternatives. New phone customers will get a discount on their purchase, while second-hand mobile customers will get an outright device at a pocket-friendly price.
Provide Spare Parts to Small Repair Shops
Spare parts are one of the most critical aspects of the mobile repair business. Today, customers demand high-speed service, which depends on the surplus parts being at hand.
Leverage it to your profit by providing spare parts to small repair shops locally; this helps you diversify your business outside of device repair and increase your profit margin. Like, when you order parts in bulk from Injured Gadgets, you are authorized to receive them at an optimal price plus a significant discount.
To get the most out of the spare parts supply business, ensure:
- It is not advisable to first stock the products and then sell them if you partner with small repair shops beforehand.
- Before ordering in bulk, know what parts are in demand
- Avoid overstocking the components as their prices fluctuate recurrently.
When combined with other similar strategies, the device repair business is great and can help you generate a higher income. Start by stocking smart home products and providing accessories. Then, gradually diversify to selling mobile devices, buyback programs, insurance plans, and spare parts.
Let us know in the comments in case we missed something.