retail device processor case study
Client Background
- Client is a global retailer of new and used electronics, toys, video game hardware and software, accessories and clothing purchases used mobile devices for resale on secondary market
- Acquires used devices with limited device–specific information
- Sells used mobile devices in “lots” based on average model pricing with limited device-specific information
Client Issues
- Client is looking to reduce purchase prices and increase sales prices
- Client has difficulty in accurately sorting phones for resale
- Client has no access to carrier financial eligibility data on a per-device basis
- Client sells carrier-locked devices as unlocked and left money on the table
- High return rates (RMAs) due to carrier turn-on refusal issues
- Consistent percentage of devices not usable for buyer’s intended usage led to customer dissatisfaction
- Declining customer confidence in purchasing lots
PrologMobile Actions
Analyzed phone sorting process and related issues
Provided near real-time carrier-specific data for each device regarding financial eligibility for four primary US carriers
Provided OEM-specific data for each device
Identified devices that were carrier locked and unlocked
Enabled more accurate sorting with additional per-device data
Added analytical processes to intake line that took zero net additional line processing time
Deployed a train-the-trainer approach to teach line workers how to use PrologMobile system and data – took one hour
Project Results
%
Fully unlocked lot prices increased 10 – 20% due to device accuracy
%
Carrier-related lot prices increased 5-10% due to device accuracy
%
RMAs declined over 95% with huge associated cost savings
/year
Mobile device RMA team disbanded and re-assigned saving client over $125k/year in labor costs
Manager regained 20% of their time due to increased efficiency
Increased customer confidence in purchasing lots from client
Customer experience improved dramatically