Hustle Ideas

Can You Make Money Selling Phones?

The purpose of this article is to explore the possibility of making money selling used phones; it is assumed that the market for brand new phones is the purview of multinational companies and their retail partners.

Used mobile phones therefore present an opportunity because the prices are not directly set by the manufacturers; thus leaving an opening for negotiation between buyer and seller. This room for negotiation therefore presents the opportunity for profit because one can buy a used phone, and then mark up the price.

As long as the phone functions optimally, and the body is not too rough, one may be able to convince the buyer to pay a higher premium. But two conditions have already been mentioned.

What Must Be Observed Before Selling Used Phones?

For any business to thrive it has to deliver on promises made; thereby boosting brand confidence; giving the business a good name in the eyes of the general public.

Selling used phones is no different; you have to want your buyers to enjoy a few good years from the phones they have purchased from you. In order to this you need to deal on phones that function well, and that are not worn out on the outside. To do this you have to:

Step 1: Source Your Phones From The Right Places

Like it or not, phones that were used right here in Africa usually have little or no value as used or second hand products for a combination of reasons.

  • Phones that are unboxed in Africa, especially in West, Central, and East Africa are usually cheap copies coming from phone makers that deliberately make these phones for sale on the continent. These cheap phones have very little quality, from the build (housing) to their cameras and operating systems.
  • Phones used on the continent are more prone to rough usage, and if they are being sold off, then chances are very high that there is something wrong with them. These are certainly not the types of phones you wish to sell as a dealer.

For the above reasons you want to source your phones from countries like America, Britain, France, Italy and Germany. Interestingly, phones that are sold in most of Asia are also good quality phones. The Vivo phone in the picture above was used in Thailand, and has been in use (second hand) in Nigeria for 2 years without any problems.

Step 2: Choose Your Phone Brands Carefully

Just like it was mentioned above, people build confidence in brands based on the experiences they have when they make purchases from said brands. There are phone brands that have gained this public trust, and that can be recommended by families, friends, and well wishers who want others to have similarly great experiences.

Some of those top quality brands include:

iPhone

Samsung

Nokia

LG

Huawei

Step 4: Learn About Each Model You Are About To Sell

Sometimes, even the biggest names in technology can make howlers; like the Samsung phone that exploded when plugged in to charge.

The good thing about top quality brands is that they can recall defective products. You therefore want to ensure that you are not selling to the public phones that ought to be recalled.

It is generally a bad idea to read product descriptions coming from the manufacturer’s website, or to believe what you hear on TV.

However, there are some phone review websites that have created some reputation for themselves by reviewing phones based on their experiences with them. Even some of these websites are compromised because they are bought over by the phone makers, but some can be trusted to a reasonable extent.

Browse around the internet and find a review website that you can trust, so you at least know what you are buying.

Step 5: Buy Only Phones You Want

This is against buying phones that are available; or that the sellers tell you to buy. Never do this because they may just be trying to offload defective products on anybody who is available. You must therefore ensure that you are not available for such bad deals if you are to be a successful phone dealer.

This may seem like it will slow down the process of stocking your shop but it is worth it in the end because you will always have quality phones for sale, and this will boost your reputation.

Where To Sell Your Phones

A shop is a good idea, but it is not always necessary. Social media and word of mouth are some of the most effective means of sending out word about what you have to sell; these can be used to showcase what products you have to sell. You can send the phones to buyers via courier after payment has been confirmed.

If you have a shop, or you are comfortable meeting customers in your living area; this may also be a good idea.

Where To Get Stock

You can get stock from bigger dealers in your local electronics market. They are happy to sell at discounts when bulk purchases are made. However, when you are ready to go bigger, you can place your orders to shippers from any of the countries listed above.

You can start by typing “Buy Used Phones From the UK” into your favorite search engine. Please carefully sort through the search results.

Can You Make Money Selling Used Phones?

Yes, used phones represent a good opportunity to make money. In fact, used phones may even be better than new phones when it comes to the chance of making money because one can rarely mark up the price of a new phone; and if not sold quickly, new phones can quickly depreciate in value.

However, used phones can be bought quite cheaply, and then sold after significant mark ups. This is especially true when the particular models have gained reputations as very good products.

Starting a business as a used phone dealer will take significantly less capital than it would take to start selling brand new phones.

Further Reading: How To Start A Dropshipping Business

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