Wal-Mart launches smartphone trade-in deals
It's now offering $50 to $300 in exchange for an old, working device, just in time for Apple's new iPhone launch.
Starting Sept. 21, consumers at more than 3,600 U.S. Wal-Mart stores and Sam's Clubs can exchange their old devices for credits ranging from $50 to $300 that can be used to purchase more than 100 different smartphones. Of course, the trade-in can't be damaged and must be in working order.
Boosting its foothold in wireless makes sense given Wall Street's pressure on Wal-Mart to improve its lackluster financial performance after its latest disappointing quarterly earnings. CNBC, which broke the trade-ins story, noted that wireless has been a bright spot for the Bentonville, Ark., company. According to NPD data CNBC cited, the discount chain gained more than 350 basis points in unit share in the latest quarter and was the No. 1 wireless retailer on that basis.
Last week, Wal-Mart slashed the price of the iPhone 5 to $98 from $129 (with a two-year-contract with a wireless carrier), which it says is the lowest price for what was until today Apple's top-of-the-line smartphone. Wal-Mart also markets Straight Talk, a prepaid wireless service that provides talk, text and data for $45 a month.
"More and more, customers are choosing where they purchase new smartphones based on where they'll get the best value for their trade-ins," said Steve Bratspies, executive vice president of general merchandise for Wal-Mart U.S., in a press release.
The smartphones that are traded in at Wal-Mart will be shipped to partner CExchange, which will either recycle or refurbish them. CExchange has vowed that the devices it receives from Wal-Mart and Sam's Club will never be sent to landfills either domestically or internationally.
Wal-Mart isn't the only company that stands to benefit from the new iPhones. Over the past month, the number of eBay (EBAY) listings for the iPhone 5 has surged 44%, eBay vice president for North American marketplaces Jeff Somers told CNBC.
Jonathan Berr does not own shares of the listed stocks. Follow him on Twitter @jdberr.
Copyright © 2014 Microsoft. All rights reserved.
Fundamental company data and historical chart data provided by Morningstar Inc. Real-time index quotes and delayed quotes supplied by Morningstar Inc. Quotes delayed by up to 15 minutes, except where indicated otherwise. Fund summary, fund performance and dividend data provided by Morningstar Inc. Analyst recommendations provided by Zacks Investment Research. StockScouter data provided by Verus Analytics. IPO data provided by Hoover's Inc. Index membership data provided by Morningstar Inc.
[BRIEFING.COM] The stock market finished the Wednesday session on an upbeat note with the Nasdaq (+1.3%) ending in the lead. The S&P 500 settled higher by 1.1% with all ten sectors posting gains.
The benchmark index spent the entire trading day in the green, rallying to new highs during the last hour of action. The tech-heavy Nasdaq, meanwhile, briefly dipped into the red during morning action, but was able to recover swiftly.
Stocks began the trading day with modest gains ... More
More Market News
The company is scrambling to protect its equities arm, which could face declining volume and revenue as competitors close the gap.
MUST-SEE ON MSN
- Video: Easy DIY smoked meats at home
A charcuterie master shares his process for cold-smoking meat at home.
- Jetpacks about to go mainstream
- Weird things covered by home insurance
- Bing: 70 percent of adults report 'digital eye strain'