Have you ever stopped to think about how many hours a day you spend online? According to KPCB’s report, the average adult user spends approximately 5.9 hours daily with digital media. This includes smartphones, desktops and laptops, and other connected devices. As a result, over $4 billion in revenue is generated by the cell phone repair industry alone in the United States each year. So what does this mean for tech franchise like Device Pitstop? Simply put, mega opportunity with ultra-high margins!
For those of us who have had a broken phone screen but couldn’t bear to part with your smartphone for a mail-in manufacturer repair, Device Pitstop is a dream come true. They can turnaround repairs with same-day service because all repair work is done in-house.
The Device Pitstop Difference
Buy. Sell. Trade. Repair. That’s the Device Pitstop model.
Device Pitstop is a retail and repair tech franchise that buys, sells, trades and repairs laptops, tablets and smartphones of all varieties–from Apple products to Windows and Android. They provide quality refurbished and factory recertified laptops and other personal devices at high-value retail prices. Additionally, the service and repair aspect of the business model comprises approximately 30% of average store sales. Refurbished retail inventory is acquired on an ongoing basis from our customers selling their gently-used or no longer needed electronics to Device Pitstop for cash on-the-spot.
Device Pitstop stores are generally located in high-visibility power retail centers near regional malls and big-box retailers and phone stores. They are generally between 1,000 and 1,200 square feet in size and beautifully merchandised to support their 2-part business model.
Part 1: The Front Retail Area. This aspect is focused on reselling used, high-quality and brand name certified/warranted laptops, smartphones and all-in-one PC’s. Here you’ll find just about any tech toy you can think of, including drones and home automation, at tremendous value pricing. This is a win-win for consumers and the franchisee given consumers get discounted pricing and franchisees experience high gross profit margins.
Part 2: The Back Workshop Area. This is where you will find multiple workstations and technicians (in-store) to speed turn-around time on repairs, provide helpful service and offer upgrades. Again, resulting in a win-win for consumers and franchisees alike.
Benefits of Owning a Device Pitstop Tech Franchise
Think about the number of electronic and Internet-connected devices you have in your home today. It’s easy to see how Device Pitstop has positioned itself as a recession-proof tech franchise model that only provides upward growth potential!
- Device Pitstop stores are multi-faceted, multi-revenue stream businesses. They can generate much higher sales revenue volumes and more potential profit centers than limited scope cell phone repair businesses in virtually equivalent retail space.
- Think of these stores as the return of the “neighborhood, one-stop-shop” computer/tech store for everybody who appreciates value. This time, however, it’s in a high gross profit margin used hardware business that’s conveniently located next to other national retailers. As a bonus, it has a beautiful store design that stands out from the competition.
- About 80% Gross Profit Margin (GPM) on repairs/services/upgrades, combined with about 35% GPM on used hardware sales, leads to a blended GPM of approximately 50 to 60%… that’s considerably higher than traditional specialty retailers.
- Greater Bench Strength = with high GPM, you can afford an entire tech staff. So, you don’t have to be the tech yourself. Instead, be a business owner who oversees your staff, and then you can focus on building your business.
- Proprietary, cloud-based, Point-of-Sale System. Their computer hardware/software system that offers you an industrial-strength tool to measure and manage your inventory efficiency, staff efficiency and cash-flow.
What does the ideal Device Pitstop franchise owner look like?
Device Pitstop is a perfect business model for couples or partners, where one can keep their career job with benefits and the other can focus on getting the franchise location up and running. Additionally, Device Pitstop is looking for franchisees that are self-confident, outgoing, sales/marketing orientated and experienced in staffing oversight, project-management, budgeting, time management and organization. An owner needs to have passion for tech gadgets but does not have to be a technician.
This is a great model for individuals looking for a scalable business. It does require full-time effort the first year to learn the business before bringing on a full-time manager to run the business.
Minimum financial requirements include: $75K liquid cash and a $400K minimum net worth. Total investment range: $147,250 – $218,250.
If you are interested in learning more about the Device Pitstop franchise concept, visit the website https://devicepitstopfranchise.com/ today or call 952-923-1223.
Author: Stacie Shannon, Founder & CEO, Fusion Franchising