As most of you noticed sales of mobile phones dropped during this time by some amount as sale of mobile phones is also to some degree seasonal. While this is quite obvious when you sell ice cream or maybe soft drinks – you get the most demand during the hot days and during cold days the demand drops significantly.
But this might not be so apparent at first sight for this kind of business – according to our records we (as mobile trading companies) have “high season” during the late summer and then, obviously, some during the Christmas time but March, April, May is “low season”. I also did some research on this using some public data and it supports my findings. I think I can share this publicly at later time.
Though my point is – sometimes there is shortage of deals like at this time and then the price war steps in. Unfortunately (or maybe fortunately?) our market – Lenovo, Xiaomi, ThL, Zopo, Oppo, ZTE is not yet fully developed and as such with sale of the goods it doesn’t really end but it actually only begins as there is usually no official support or repair center available for it therefore the only way how to get any help once the goods gets to the end customer is from the seller.
I think this business, trading of Lenovo, Xiaomi, ThL, Zopo, Oppo, ZTE; can be done in two ways – with very slim margins – you sell it like Apple – you buy from somebody, then you sell it to somebody else and make maybe between 0.1 % – 2 % profit on it, right? We know some of these people and their trading floor, office, warehouse, customer support, dining room and bedroom is usually located in one place:
You will probably get the best price from these companies but as always everything comes at a price so do not expect any support, guarantee or any knowledge of the stuff they are selling and if anything goes wrong you are on your own. You know unless you are completely new to this business, and now I’m referring to sale of phones in general not to any of the above mentioned brands, you know that there is always a possibility that something goes wrong. With brands such as Lenovo, Xiaomi, ThL, Zopo, Oppo or ZTE as these brands are not so mature and the customers are not used to these brands thus the chance that something goes not the expected way is much higher.
By the way one of these companies has been recently banned for life at GSMExchange.com for exactly this reason – they boasted they can do anything and nothing is problem for them so the poor customers ordered goods from them and when it came to solving problems they just run away with their money. If you don’t believe us ask directly at GSMExchange.com marketplace which company was selling these brands and why they were kicked out…
Anyway we at Witty see things differently – we believe that selling these brands is, if you take it seriously, not so easy and it definitely can’t be so called “one-man-show” – we now have close to 30 people in three countries on two continents (China/Asia, Czech/Europe and India/Asia) and almost half of these people it is taking care of customer welfare and added value so once the customer buys goods from us he knows he can sell it immediately to the end customer. Here is a small sneak peek at our warehouse:
We called this blog post a Friday humor which it is unless you buy from a company who run away with your money…
Anyway thank you for taking time reading our blog post and enjoy the weekend!