National electronics store chain BestBuy is set to start a Buy Back program that is expected to help customers from constantly paying up to get the latest and greatest consumer electronics. Bring in the old technology and turn it into something new.
Under the plan, consumers who pay an additional fee when they purchase an item will be able to sell back their smartphones, tablets and computers for a portion of the original purchase price. The exact percentage of the refund will vary depending on the length of ownership and condition of the product. Only products originally sold for under $5,000 are eligible.
The store is reportedly set to launch the program January 5, 2011 and will expand it to add more products in coming months.
Best Buy already offers a similar trade-in program though its website. It is expected that the new program will eventually replaced the online program.
Fees to enroll will vary for different products.
One example given is a $59.99 enrollment fee for cell phones. Within six months of purchasing the phone, the consumer can return it for 50 percent of its original retail value. After six months but within 12 months, a 40 percent refund is offered. A 20 percent refund is offered from 19 months to 25 months.
The refund price structure for TV works similarly, but offers a 10 percent refund in the third and fourth years of ownership.
All refunds will be handed out in the form of BestBuy gift cards, which is the same policy in effect now for the company’s existing trade-in policy. Additional details of the BestBuy “Buy Back Program” to be unveiled by the company.