The Cell Phone Buy Back business has stepped up a notch in the past 2 years, with new Comparison sites like USell and SellCell now dominating the Google search results.
They’ve successfully displacing the traditional 10 slots on Google or Yahoo – just type in that golden key word “Sell My Cell Phone” and you’ll see how effectively they dominate.
Any buyback business not in their stable and no longer in the top ten will need to bid up to $15 a click on Google to ensure a space on the front page high street. This reflects the gold rush outlook the cell phone buyback business has generated.
The Comparison search engines are here to stay. They command the highest traffic and as such get the top ranking on Google. The real companies you are ultimately doing business with can’t compete, and ultimately join the club.
But what does this mean to you? Do you get paid any less as a result? Well. yes, a lot less – and here’s why…
Being part of a comparison search business does not come cheap. Up to 50% of the value of the cell phone or device you trade-in will go to the comparison site as “commission”.
The Comparison site will take up to $54 in commission from the Buyback site you sell your Cell Phone to. That’s $54 out of your pocket.
Nik Raman, founder of USell, states “we are not just selling our orders to our buyback partners, we are selling them a highly valuable customers who will keep coming back them.”
Ultimately when you go to a comparison site you are the commodity, not the item you are selling. The buyback site who gets your first products will be looking to market you for any other gadgets you have which you no longer use. Not a bad thing – after all – they are pioneers in the making sure your gadget gets use again by someone else.
But you are paying for this comparison service. It is not free. We have done a comparison of prices quoted on the major comparison sites compared to the cash you would receive form Trade2Save. Trade2Save do not compete on any comparison sites, and do not have to pay an additional $54 for your item.
Top seller pay you $270
USell will get $54
Buyer pays $324 for your item
Trade2Save pays $277.20
Comparison sites do not sell completed orders, they sell you. On average, 50% of orders made will be completed. Whether you complete your order or not, the comparison site will still charge the Buyback Company the same price for your item. You can imagine the temptation for competing sites to be making bogus orders against each other.
The comparison site takes $27 for every order made. For the Buyback partner, this equates to a cost of $54 for every cell phone they get which is valued at $120 or more.
This often exceeds 50% of the price that is actually paid to you. Had you gone directly to the buyback site, they could have paid you double and still make the same amount of money on the resale of your cell phone.
So its worth searching deeper into the Google Search results before you sell your old phone. A Comparison site does not always mean you are comparing like with like.