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Forums › Mobile handsets › Where do outdated mobiles go when the new model arrives? Clearance shop?
Gemini

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#274565 29-Aug-2020 08:20
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Where do outdated mobiles go?
Old models disappear quickly from JB
For Noel Lemming it was showing 70+ Galaxy A20s for a not great price a few weeks ago, now they've disappeared from their website.
Can the in-store numbers be that wrong? Or is the model so old they've passed them to a Clearance shop to sell? If so It's not the Noel Lemming clearance shop as they don't sell new phones...

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Batman
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  #2551715 29-Aug-2020 08:38
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i'd say to developing countries but that's just a guess.



lucky015
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  #2551722 29-Aug-2020 09:10
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It'll most likely be slightly different between chains but for anything from The Warehouse Group they'll probably vanish for a few months while all the stock is rounded up and then appear as a "Sale" on 1-day.co.nz

NikT
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  #2553152 31-Aug-2020 13:53
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There is a huge backend to the consumer electronics retail industry that's not often discussed publicly outside of the industry itself.

Outside of the retail market is the trade market - either international distribution companies shifting stock around, or small operators who work on super slim margins mostly through chat apps with the right contacts - products are shifted around the country or the world when they get stuck in one channel or another.

Those traders often operate by bulk purchasing items on sale and selling them off elsewhere. When products get cheaper in NZ than they are in other markets, that's when retailers need to monitor who's buying and in what quantities. Sketchy discount electronics stores love to fleece the big retailers, I spend time monitoring my sales for this behaviour. Different retailers will have different priorities, policies, and KPIs for what constitutes aged or dead stock and what the right course of action is to move it. Some retailers hate spending their own money to discount products and will go to extraordinary lengths to avoid it.

Usually old models get support from the brand or distributor to clear them, because the retailer won't be keen to stock up on a new model while the old one is kicking around costing them money to keep it on shelves. Ex-demo phones are often ridiculously cheap when they come off of demo tables.

Samsung's A-series are popular and many corporate customers prefer to stick to the same model as long as possible, any reasonably-sized business could eat 70 units of an EOL model with ease.




Product Manager @ PB Tech

Smartphones @ PB Tech | Headphones @ PB Tech

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