During the pandemic, the general public realised the value of computers and handheld gadgets. The sector saw an increase in sales as people became more reliant on their devices for work, school, and leisure at home.
When we broke down the purchase pattern to understand customer behaviour, we discovered that, while individuals prefer brand-new computers, a large portion of sales and consumption came from acquiring used items.
In the late 2010s, the Indian auto sector experienced a significant shift in Indian customer behaviour when it came to car purchases. A market that had previously been wary of purchasing used cars began to warm up to the idea. The transformation was gradual, and may be attributed to increased awareness, addressing potential customers' pain spots, and establishing an organised institution that provided multi-touchpoint checks and assurances. The Indian used-car market is already estimated at USD 23 billion in FY2021 -22, and it is expected to expand at a CAGR of 19.5% until FY 2026-27.
Interestingly, the trend of the Indian refurbished laptop sector mirrors that of the country's second-hand automotive industry. This requires that the refurbished laptop and electronics industries draw parallels and use similar strategies that have resulted in the segment's unrivaled success.
Establishing the segment and bringing in trustworthy partners: The idea of purchasing refurbished computers is very new in the country. While it is widely available in the market, the lack of certifications and warranties that show that the product has passed the expected durability tests is driving buyers away. Similar to the initial phase seen in the second-hand vehicle business, where several unauthorised local partners supply refurbished products, the ecosystem must work together to create a mechanism that ensures clients that laptops and PCs are in great condition. Establishing a multi-checkpoint list and communicating about the product's testing history will also help to boost the machine's trustworthiness.
Companies should also collaborate with the government to increase authenticity by providing a stamp or certifying stores that sell used electronic devices to ensure customers.
Increasing awareness: Putting in place a process to assess product quality remains a priority; the next steps are to raise awareness and dispel myths about the items. It is frequently assumed that second-hand products will only provide subpar performance. Driving awareness about the thorough quality tests that ensure that the computers are in excellent condition and give performance comparable to newly purchased laptops at a reduced cost is sure to attract more buyers.
Building a circular economy and promoting the refurbished laptop ecosystem would also help tackle the country's rising and future e-waste crisis. India is the world's third greatest producer of e-waste, after China and the United States of America. Building an ecosystem that extends legible second-hand PCs and refurbished laptops will not only provide customers with a powerful machine at a reasonable price but will also help to reduce the strain on the environment and take the first and necessary step towards fostering a circular economy of e-waste in the country.
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Technology is a useful servant, but a dangerous master, it was rightly said. Electronic devices have grown into an inevitable part of our daily lives.
