Apple preparing to launch in-store iPhone trade-in program

By on June 7, 2013, 2:30 PM
apple, iphone, emerging markets, trade in program, brightstar

Apple will soon launch a new in-store iPhone trade-in program designed to help boost the sales of the iPhone 5 stateside while at the same time building a collection of refurbished iPhone 4 and 4S models for emerging markets. The hope is that customers will be more willing to part with their older phones on the spot in exchange for a newer model with little out-of-pocket expense.

People with knowledge of the plans told Bloomberg that mobile phone distributor Brightstar Corp. will be in charge of the program. This is the same company that manages trade-ins for T-Mobile and AT&T, among others. For comparison, AT&T currently dishes out upwards of $200 for working iPhone 4s and 4Ss.

Apple hasn’t given the refurbished iPhone market much consideration up to this point but considering that 20 percent of US customers are estimated to buy a smartphone this year using a trade-in to subsidize the cost, now could be as good of a time as any to jump in.

Such a program could also go a long way in helping jumpstart Apple’s lagging stock which at one time topped $700. As of writing, share value in Cupertino sits at just $441.62 which represents a 38 percent decline since September of last year.

As mentioned, phones turned in through the trade-in program will be refurbished and set aside for sale in developing markets where demand for cheaper smartphones is greater. Sources said Apple won’t sell any of the refurbished units in the US as to not cannibalize sales of the iPhone 5.




User Comments: 5

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1 person liked this | Vrmithrax Vrmithrax, TechSpot Paladin, said:

Sources said Apple won?t sell any of the refurbished units in the US as to not cannibalize sales of the iPhone 5.

Subtly dodging the fact that they can't legally sell the 4 in the US now anyhow, since they were found to be infringing on Samsung's patent and blocked... Well played, Apple... Well played...

1 person liked this | Fbarnett Fbarnett said:

Lol an emerging market cant afford a Iphone. Maybe they will make the people work in a factory for a couple years to pay off a used Iphone.

lawfer, TechSpot Paladin, said:

Sources said Apple won?t sell any of the refurbished units in the US as to not cannibalize sales of the iPhone 5.

Subtly dodging the fact that they can't legally sell the 4 in the US now anyhow, since they were found to be infringing on Samsung's patent and blocked... Well played, Apple... Well played...

Except they can... seeing how it simply was an import-ban. There are millions of iPhone 4 units in shelves and warehouses being (and ready to be) sold.

1 person liked this | Skidmarksdeluxe Skidmarksdeluxe said:

Maybe they'll let you trade in your iPhone for a Samsung or any other brand. Wouldn't be a bad idea.

Vrmithrax Vrmithrax, TechSpot Paladin, said:

Except they can... seeing how it simply was an import-ban. There are millions of iPhone 4 units in shelves and warehouses being (and ready to be) sold.

Haha, yah I saw that in another article after I posted that one. Amazing how many were just reporting it as an "Apple can't sell old phones anymore" scenario, and not correctly identifying that it was a limited import ban. Which, honestly, amounts to a slap on Apple's wrist with a feather, since there is really no reason to import any old units (can't cannibalize their 5 sales).

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