Today I would want to be brief on this topic that is tackling the challenges the Corido company: the secondhand dealer, face in handling the sale of household items on behalf of its client here in Kenya. But first, allow me to briefly introduce you to what the company does and how it can be beneficial to you. You may find the services offered to be helpful despite these challenges.
Since 2018, Corido has undergone a series of transformations and shifts in its services to settle on a unique selling proposition in the Kenyan market. It started just like any other online company for listing classified ads of items on sale. Two or three years down the line, depending on how you count, the company settled on a few fully managed services by its well-trained verified agents whose roles will be shared on a different post.
The services include:
1. Buy & Sell
Corido doesn’t buy items from its clients per se, but it lists, markets, and manages the sale process of both business and household items for reliability, security, and convenience.
2. Swap Service
This kind of service is unique in our Kenyan market and especially for other categories other than vehicles. But the company has included the service on its portfolio of services where it lists items from owners in need to swap, trade, or exchange with other valuables from other persons. For instance, client A has a 6-burner cooker who would wish to trade with another person who has a 4-burner piece of a different brand or relatively smaller size. Corido’s mandate is to ensure there is a smooth exchange of the items. That’s just about it.
3. Lease or Rent
Leasing service isn’t new in the Kenyan market. People lease properties, cars, machinery, land, etc. But Corido decided to take this a notch higher by managing the lease of other business or household items such as furniture, electronic appliances, machinery, equipment, etc., on a daily, weekly, monthly, and yearly basis.
Auctioning of items sounds simple when you imagine, but it’s relatively more straightforward in a real sense. Here is where the winner of any particular deal has to be the highest bidder. Corido offering services like the eBay platform decided to bring this service close to your finger-tips. Internet users in Kenya can now access deals listed for auction via the website and bid in real-time. This type of service is also fully managed by the company.
7 Challenges Involved in Selling Household Items on behalf of clients
Ø Quality of the items
Most clients would make the mistake of going to the internet and search for the market price without considering the brand or rather the version of a particular item. There are brands which have better quality than others. Simultaneously, there are items whose older model is better than the latest and vice versa. Rushing for figures thrown around the internet is not the right way to value any secondhand items for sale.
Ø Pricing of the household items
Household items depreciate a lot faster compared to any other assets. That’s because they are mostly used for lifestyle and fashion compared to the assets used for business or revenue generation. Most people refuse to accept the fact that a furniture bought last week can lose half of its value if sold today with the following reasons:
- It’s a used product already, and you can’t do much to change the fact.
- Can be a carrier of pests and other infectious diseases.
- Supply is higher than demand for furniture.
- The furniture industry offers various options for clients to choose from, e.g., designs, shape, color, material, etc.
- The cost of transportation is high due to its size and shape.
The challenge here is just pricing or valuation of items. At times it’s the buyers who determines the price based on what they are willing to offer
Ø Location or distance of the item
For a trade to be successful, the goods have to move from the seller to the buyer conveniently and less costly. But in most cases, a buyer would be interested in an item that is very far. Thus, it costs a fortune to move the item from the seller to the buyer’s premise, hiking the acquisition cost.
Making such an item sale is close to impossible if the price doesn’t support the idea of “secondhand items being cheaper compared to brand new items.”
Ø Condition of the items
Selling used items comes with the challenge of quality control. The condition of the secondhand items directly affects the price and the need to purchase them. Poorly maintained used items possess a high risk for buyers losing their investment. Some assets can be repainted or refurbished but sold as new, which would not last long.
Ø Timing & Schedule
Most business opportunities have been lost because the timing and scheduling of trade don’t match both parties. Most of the people are working on a 9-5 pm shift, including the weekends. Yet these are the times that are suitable to trade. A couple of o buyers or sellers don’t mind transacting during odd hours, but then again, the risk involved in doing business during odd hours is quite risky. The big question here has been, how do you balance?
Communication is the mother of all negotiations. And many deals get lost due to poor communication. Some sellers or buyers would give you a promise they can’t keep, or rather their moods at the time would determine the sale of any particular item.
Ø Logistics & Delivery
Delivery for secondhand assets has been a deal-breaker over the years. At times the cost of transportation of such items doesn’t make any business sense. If the cost of moving an item from one location to another hikes the value close to the price of buying a brand-new product from the nearest shop, wouldn’t it be better if you would go for a brand new one? Even if it means adding a few coins?
My conclusion to this topic is that working with used assets poses high risks to both parties involved: the seller and the buyer. But Corido Marketplace has come up with some reliable solutions that manage the exchange of goods between the two parties.
Feel free to contact the office on 0794858010 or via the email [email protected]