Flipkart launches B2B app to boost India’s refurbished and used smartphone market

The booming market for refurbished and used electronics in India

The refurbished electronics market in India is set for massive growth, with predictions that it will reach $11 billion by 2026. Flipkart’s new B2B app seeks to tap into this growth by offering retailers access to quality-checked refurbished smartphones and accessories. Notably, the app does not impose minimum order quantities, making it accessible for small and large retailers alike.

Ashutosh Singh Chandel, Senior Director and Business Head of Recommerce at Flipkart, emphasized that the platform aims to empower sellers by providing access to high-quality refurbished products. "We’re promoting sustainable consumption while providing an organized market for sellers," Chandel stated. The app is part of Flipkart’s broader strategy to strengthen its recommerce segment and level the playing field for sellers in the rapidly growing secondary market.

Sustainability and growth in recommerce

This move continues Flipkart's ongoing efforts to grow its recommerce business. In 2018, Flipkart launched its refurbished platform, 2GUD, and in 2022 it acquired the electronics recommerce startup Yaantra, further solidifying its presence in the sector. The launch of the 'Flipkart Reset for Business' app is another step toward expanding the reach of affordable, sustainable electronics.

The recommerce sector is especially relevant in India, where rising electronic waste and demand for affordable gadgets have made refurbished products a key part of the market. By offering refurbished smartphones and accessories, Flipkart is not only catering to this demand but also contributing to sustainable business practices.

Flipkart's growing competition

Despite these positive developments, Flipkart faces challenges on multiple fronts. The Competition Commission of India (CCI) recently found Flipkart, along with Amazon, in violation of the country’s competition laws. Both companies are accused of favoring select sellers on their platforms, and the CCI is currently seeking turnover details from both e-commerce giants to determine penalties, which could amount to up to 10% of their global annual turnover.

However, Flipkart continues to expand its services despite the intensifying competition in India’s e-commerce landscape. The company has launched a quick commerce service, ‘Minutes’, in Bengaluru and Delhi, and is planning to operate 100 dark stores, or mini warehouses, to improve delivery speed during the festive season.

Conclusion

With the launch of the ‘Flipkart Reset for Business’ app, Flipkart is not only boosting India’s burgeoning refurbished and used electronics market but also reinforcing its commitment to sustainability and recommerce. As the market for refurbished goods continues to grow, Flipkart is positioning itself to meet the increasing demand while contributing to more sustainable consumption practices. The rapid growth of India’s secondary mobile phone market is exerting pressure on the global supply of used phones, particularly for other regions. As India’s demand for refurbished smartphones surges, more products are being diverted to meet this need, creating potential shortages in other markets that also rely on these pre-owned devices. The increased shipment of used phones to India could disrupt the global flow of refurbished electronics, as suppliers prioritize regions with the highest prices.

Source: Inc42.com