For over a decade, GameStop has labored with B-Stock to advertise bulk parts of trade-in mobile devices, tablets, and wearables by the use of its B2B market GameStop Wholesale. Since its inception, {{the marketplace}} has facilitated the sale of tens of a whole bunch of hundreds of devices to enterprise shoppers all through the globe and allowed GameStop to maximise pricing and amount of product sales.
Numerous the success of {{the marketplace}} could possibly be attributed to fixed grading necessities and prime quality assurance which have historically been completed manually. Not too way back, nonetheless, GameStop decided to place cash into automated gadget grading to ensure even increased necessities for every trade-in gadget. After partnering with The Phoenix Group the tactic now combines superior automated robotics-powered inspection with meticulous information checks, guaranteeing that every gadget meets the easiest necessities sooner than reaching shoppers.
To check further, we sat down with Jon Haes, GameStop’s Vice President and Head of Pre-owned Enterprise, to ask just some questions on this new initiative.
To set the stage, it could possibly be good to review a bit about how a typical trade-in transaction with GameStop works. How does GameStop initially buy the devices?
JH: “We buy devices by the use of our retailer trade-in program, which captures detailed gadget information on the extent of trade-in. Inside the retailer, we conduct information grading and sensible testing to judge the gadget’s scenario. The trade-in price is then provided by our system based on this analysis.”
How is the in-store testing completed?
JH: “The in-store testing is full and consists of over 20 completely totally different exams. These embrace checking the Uncover My iPhone (FMIP) standing, verifying all factor connections, and assessing the battery nicely being diploma. The verify outcomes are then saved in our system and linked to the unit’s serial amount.”
And what selections do prospects have for receiving their payouts?
JH: “Shoppers have the flexibleness to resolve on between receiving cash or retailer credit score rating for his or her trade-ins. Retailer credit score rating price is bigger than cash, incentivizing prospects to make future purchases with GameStop. This allows prospects to choose the selection that almost all precisely suits their speedy needs.”
How do the devices get to your central processing facility for the following steps?
JH: “Retailers ship to our Refurb Operation Coronary heart, typically often known as the ROC, on a weekly basis. This ensures that devices are successfully transported to our central processing facility and made accessible in the marketplace to our prospects on B-Stock as rapidly as doable after trade-in.”
What was GameStop’s grading course of like most important as a lot as this new initiative to place cash into automation and affiliate with The Phoenix Group?
JH: “Earlier to this new funding in automation, GameStop’s grading and processing relied on information inspection carried out by associates. Whereas we maintained fixed necessities, the selection to place cash into automation was pushed by the need for enhanced consistency and to mitigate the impression of human parts on the usual of the inspection course of. Reliable errors could possibly be made when individuals are solely performing the grading, like missing a small scratch on a phone show display screen or missing a small chip on the nook of a capsule. The outcomes from our automated system have confirmed essential enhancements and a constructive return on funding.”
How did GameStop first discover out about and interact the Phoenix Group?
JH: “We first realized regarding the Phoenix Group by the use of market evaluation completed as we evaluated plenty of distributors. We chosen Phoenix Group because of its suppliers and choices biggest aligned with our private enterprise needs and requirements.”
Was GameStop purchased on this tech immediately? Was there a pilot program?
JH: “We had beforehand carried out a pilot program with one different vendor, so after we engaged with Phoenix Group, we had been already acquainted with the know-how. Phoenix Group was able to present its prime quality efficiently by the demo and preliminary pilot verify run, which solidified our dedication to maneuver forward with them.”
How are gadget grades given and recorded?
JH: “Via the receiving stage, the system reads and prints the gadget’s serial amount on a sticker, which serves as an indicator for scanning all by the tactic. The software program program moreover information totally different gadget information, along with model, IMEI, memory measurement, FMIP standing, gadget service, and repair blacklist standing. This information is saved inside the system and linked to the gadget’s serial amount.
On the final word station, the system combines the outcomes of sensible exams, acquired gadget information, and robotic grading. Using our grading desk, the system calculates and determines the final word grade consequence for each gadget.”
What exactly does the robotics system check out when grading devices?
JH: “The robotics system at our manufacturing facility is focused solely on magnificence grading, as we already have an entire testing decision in place on the retailer diploma. The robotic grading course of identifies scratches, chips and cracks along with dents and damage to the chassis.”
Does GameStop adhere to an industry-standardized grading system?
JH: “We search recommendation from and consider industry-standard grading requirements, along with benchmarks from the market like CTIA and totally different firms, to seek out out our grading necessities. Whereas we base our requirements on these necessities, we’re open and ready to share our grading requirements with our prospects.”
Aside from grading, what totally different duties are these robots at current coping with for GameStop?
JH: “Aside from grading, the robots are at current coping with the obligation of bodily cleaning the devices so that they’re tidy and sanitized sooner than packing for resale.”
How is GameStop measuring the success of this roll-out?
JH: “We measure the success of this roll-out based on purchaser solutions and knowledge, which mirror purchaser retention expenses. Furthermore, we consider our Return Merchandise Authorization (RMA) metrics to judge effectivity and decide areas for enchancment.”
Can you give any figures spherical how this automation initiative is bettering effectivity?
JH: “One in all many key metrics indicating the success of our automation and robotics initiative is the consistency of grading outcomes, which has been highlighted as the best solutions from our prospects. This consistency has been important in bettering whole effectivity and purchaser satisfaction.”
What duties does GameStop hope to automate inside the near future?
JH: “We’re at current exploring alternate options to extra automate our processes to bolster effectivity, along with duties related to packing, sorting, and transportation inside the ability. However, any modifications might be carried out offered that there’s a sturdy enterprise case.”
The place do you see this automation initiative heading ultimately, every for GameStop notably and for the mobile secondary market as an entire?
JH: “For GameStop notably, we anticipate that the continued enchancment and development of our automation and robotics capabilities will end in even increased efficiencies in our processing operations. This may increasingly extra enhance the usual of our suppliers and offers us a risk to turn into additional merchandise.
For the mobile secondary market at large, the adoption of automation and robotics is extra more likely to set new necessities for effectivity and accuracy in gadget grading and processing. This sample may encourage totally different avid gamers on the market to place cash into comparable utilized sciences, leading to widespread enhancements inside the whole {{industry}}.”
How has the connection between GameStop and B-Stock shifted further these days? Has this automation initiative affected this partnership the least bit?
JH: “The automation and robotics initiative has strengthened our partnership with B-Stock by enhancing our processing capabilities and whole effectivity. This alignment permits us to provide further fixed and reliable trade-in choices, benefiting every our private operations and our partnership. It moreover opens alternate options for integration between our system and B-Stock’s system, which is ready to enhance accuracy and effectivity all by the end-to-end course of.”
Any remaining phrases about GameStop’s operations, mission, targets, or future by way of the pre-owned mobile devices on the secondary market?
JH: “We’re excited regarding the developments we’ve made on this space. Automated robotic grading and gadget cleaning assure consistency for our prospects. In addition to, our partnership with B-Stock permits us to leverage a top-tier platform to drive price once more to GameStop when it comes time to resell the product. We see the mobile class as a key progress house for our agency and our processing developments and partnerships inside the space current us a powerful foundation that we are going to proceed to lean into to drive the enterprise.”
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For an inside check out the rigorous multi-point inspection that each gadget undergoes to ensure actual and reliable grading, watch the video:
To check further about B-Stock’s B2B resale choices for trade-in and preowned mobile devices, wearables, and tablets, go to our internet web page for mobile sellers.