If you happen to’ve tried promoting your outdated smartphone on a refurbishment web site, likelihood is you ended up with a dozen browser tabs evaluating costs. French startup Back Market is profiting from this fragmented business to create a marketplace and combination all refurbishers on a single online platform.
The startup simply raised $48 million (€41 million). Groupe Arnault, Eurazeo, Aglaé Ventures and Daphni participated in right now’s funding spherical.
Back in Could, the corporate informed me that it was working with over 270 factories. Back Market has generated over $110 million in gross merchandise volume over the previous three years. The service is now stay in France, Germany, Spain, Belgium and Italy. The corporate simply expanded to the U.S.
“Earlier than, refurbishment was only a factor for tech savvy folks and tech bloggers,” co-founder and chief artistic officer Vianney Vaute informed me. “With Back Market, it turns into a mainstream various.”
Working with a number of factories can be a aggressive benefit in terms of pricing, fail charge and high quality assurance. Back Market has an outline on the business and might select to work with some companions and go away underperforming ones behind. The startup must construct a model that customers can belief.
Whereas smartphones and laptops are essentially the most outstanding merchandise on the homepage, Back Market additionally accepts sport consoles, TVs, headphones, espresso machines and extra. Back Market additionally sells Apple merchandise refurbished by Apple itself.
Now that smartphones have change into a mature market, many shoppers aren’t wanting for new and glossy gadgets. Some prospects could be completely pleased with a phone that was launched final 12 months or two years in the past. It represents a possibility for Back Market and the refurbishment business as an entire.
Source : TechCrunch