Now, buy that brand for less
Websites, companies sell refurbished products at 30-50% lower than market prices
After buying a new laptop, young Richa Patel was taken aback by the huge dent on its side. The 29-year-old returned it immediately. Shocked by the experience, she decided to hunt for other avenues to purchase a laptop. The solution came from a reverse-logistical, popularly known as a refurbishing portal.
She bought a laptop of the same brand, but at a 30 per cent discount to the market price. In addition, the gadget came with an authorised bill and warranty from the same company.
A reverse-logistic company/portal sells products, which are surplus, returned or faulty in nature from the manufacturer’s side. These firms rectify, process and sell the same goods after resolving the glitches. For instance, Patel’s dented laptop would find its way into a company or portal which would repair and then sell it at a lower price. The flaws, in many cases, are so nominal that it does not hurt the quality or performance.
| WHILE BUYING, REMEMBER |
| * To check the source and whether the company/portal is giving original and authorised bills and warranties |
| * To check if they are selling under the same brand name |
| * To check if the company/portal is offering a return or exchange policy if there is a default or damage |
| * To check if they offer good and dedicated after-sales service |
| * To check the price of the product in the open market as well |
Although products are re-worked, the reverse logistic company gives the same warranty and sells it under the same brand name, which assures customers good quality at competitive prices. One can buy products, such as electronics, home appliances, mobiles, laptops and healthcare.
There are many such products available in the market. According to industry sources, almost 10 per cent of products are returned by customers. “Earlier, I thought Tier-II and Tier-III cities were my target market,” says Hitendra Chaturvedi of GreenDust.com. “But, it’s surprising to see more traffic coming from metros, including HNIs (high net worth individuals). Today, at least 3,000 customers buy from our portal every month,” adds the founder and managing director of the reverse logistic company. Also, their products have a “fault rate of 1.6 per cent, as against five per cent of some manufacturers”.
These products are sold typically 25-30 per cent below market prices and at times even 50 per cent below the Maximum Retail Price. But a word of caution: one should not go by the pricing alone. It is important to look at various factors, including the policies of the company selling it. That is, whether they will take it back, or the kind of after-sales service they provide.
The discounts on offer are quite high because the manufacturing companies cannot sell these anymore. At times, these companies and manufacturers together share revenues from such sales.
After you select an item online, a product description appears — whether it’s an unused or a refurbished one. One gets an original bill and warranty on it. In case you wish to buy an extended warranty, you can do so online, by paying extra. Payment can be made via credit/debit card, or cash on delivery, too.
Buying a refurbished item can be a great way to get branded products at best prices. Hence, there is no logical reason why being merely labelled ‘refurbished’ should attach a negative connotation to the product when it’s the same product (at times not even used) just being rectified and re-sold.