Source: Upstart Business Journal
Rumors are swirling that Apple is gearing up to accept iPhone trade-ins at its stores. And at online trade-in players such as Boston-based Gazelle, competition from Apple would be fully welcomed, according to CEO and co-founder Israel Ganot.
“It’s more competition, but more awareness” among consumers about re-commerce as a result, Ganot said.
Gazelle’s service has become the dominant one online for buying used smart phones and tablets, he said. The company earns revenue by re-selling the devices, often in Latin America, Asia and Africa, where the devices are harder to find.
Currently, half of consumers still do nothing with their smart phone after they’ve moved on to another device, Ganot said. Sixteen percent trade their device in, while 30 percent give it away or throw it away, he said.
“We can’t wait for Apple” to start taking trade-ins and boosting awareness, he said. “If we hold on to our market share, this will double or triple the size of the company.”
And Gazelle isn’t a small company to begin with. The firm saw $58 million in revenue in 2012, and expects to grow to more than $100 million in revenue this year — assuming Apple launches a new iPhone in the fourth quarter of the year, Ganot said.