CompAsia eyes increased revenue on back of higher demand for used gadgets this year

CompAsia forecasts strong growth for its operations this year, largely fuelled by growing consumer preference for second-hand devices.

It will also look at doubling its talent, from its current 250 employees, across the region to support its planned growth.

In 2020, CompAsia sold 500,000 used mobile gadgets globally, while 2021 saw an increase to over 600,000 units. The company trades in repurposed, second-hand gadgets such as smartphones, laptops, and smart watches.

“We traditionally provided a business-to-business (B2B) buyback and trade-in solution with major telecommunication companies and phone manufacturers in the region,” said CompAsia founder and chief executive officer, Julius Lim.

“But the Covid-19 pandemic created an upsurge in demand for affordable, quality gadgets, especially smartphones, due to the movement restriction orders, which forced people to learn, and work from home.

“CompAsia launched its first ever e-store in Malaysia during this period, where we saw the biggest potential and market demand in the region. We also have new channels in Singapore and Thailand joining the fray last month, and we are looking at expanding our remarketing businesses into more markets this year,” he added.

The Petaling Jaya-based company operates in nine markets in the region, and partners with over 50 mobile, and financial-related companies.

It is, at present, the only recommerce company in the world offering a full suite of solutions to complement its e-commerce platform. ReNew+ is the first device financing with instant credit scoring in Southeast Asia, while InstaCover provides digitalised device care in the region.

CompAsia also provides after-sales service support.

“These value-added options allow us to build an ecosystem that offers consumers a safe, convenient, and stress-free space to trade in,” he said.

Lim added that the company’s 32-step quality check, along with its secure data erasure protocols – which comply with International Standard DoD 5220.22-M – protect both buyers and sellers alike, and were among the reasons for its growing consumer base.

“For 2022, we will look at offering our remarketing, ReNew+ and InstaCover solutions in countries we already operate in, while we evaluate new markets in the region and beyond,” he said.

“We also foresee higher market acceptance for pre-owned gadgets over the next two, to four years, as consumers transition to 5G-ready devices, in line with network upgrades that will be happening in various stages, across different countries.

“In preparing for market changes, we are looking to further develop our consumer-fronting businesses. Our aim has always been to maximise affordability, so as we improve on our systems, we are looking to be more cost-effective; making it even more affordable for our consumers,” Lim added.

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