- Cash Crusaders has seen sales growth of 16% over the past year.
- Traditionally, second-hand goods do well amid in an economic slump. But the company says demand for its new, private-label electronic products has been strong.
- To assist shoppers who may be hesitant to go to stores, Cash Crusaders has started using Whatsapp video to buy and sell goods.
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As others in the retail sector struggle, second-hand specialist Cash Crusaders says its sales have jumped by 16% over the past year.
Trade in second-hand goods is traditionally strong during an economic slump, with cash-strapped buyers looking for bargains, while under-pressure consumers are keen to sell their goods for cash. But the company says new products were a strong driver of sales growth during this period.
Cash Crusaders has a range of its own, private label products, including Doogee smartphones, Dixon home appliances, Beyer and Dixon DIY appliances; Dixon Audio appliances, Sanchez Musical Equipment, and Amber home appliances.
“We believe there has been a large shift in how people have moved from spending money on big brand names when there are so many great quality private label brands that offer similar [specifications] at a competitive the price,” said CEO of Cash Crusaders Sean Stegmann.
According to the company, as customers spend most of their time at home, many of them are putting considerable effort into “sprucing up their homes” or improving their environment by purchasing mostly home appliances. The Eastern Cape showed the biggest sales growth over the past year (+18.2%). Gauteng followed at 16.4%, with KwaZulu-Natal at 16.3%.
And as people are keen to limit physical contact in the age of Covid-19, Cash Crusaders has turned to Whatsapp video to sell its goods.
Buyers can contact a store near them via Whatsapp (text, call, or video call), where an in-store expert will walk them through product through demonstrations. The purchase will then take place in the store if customers are satisfied.
For sellers and pawning, on the other hand, customers can contact an in-store buyer and demonstrate the product to them. The buyer will offer a purchase price or loan price, though that price is contingent on in-store testing.
“Like most of us have got used to communicating via Zoom in a virtual room, customers are extrapolating that to buying and selling in a virtual world as they feel safe here," Stegmann says.
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