New Delhi: Togofogo, Indian marketplace for buying and selling of re-commerce products in the mobiles category plans to open over 100 retail stores in the next two years. In the initial stage of expansion, the company will be focusing on the northern part of the country.
The offline expansion of the present online venture is to expand reach to the last mile customers.
Also, through these retail stores, the company plans to weed out inefficiencies, lack of certified products in the market, and under or overvaluation of pre-owned mobile phones. The company aims to capture major market share in the offline market.
Togofogo said, the refurbished market became the fastest growing smartphone segment in 2017 with the majority of sales being made through the unorganized players in the offline market. However, with the demand for refurbished or second-hand smartphones predicted to grow by up to 27% in the coming two years, Togofogo wants to significantly capture the offline market through an organized channel.
“We are planning to launch our first ever offline store in Jaipur, being one of the potential cities in North which contributes a major chunk of sales volume in this segment of mobile handsets. We will be focusing only on tier-I and II cities for our offline expansion this year and will evaluate foraying into smaller cities next year, based on the rollout and performance of these offline stores,” said Soumitra Gupta, Founder, Togofogo.
“By entering into the offline market, we are eliminating the multiple layers and involvement of third parties by directly connecting to our customers”, he further added.
Gupta said his company has successfully sold 3, 50,000 units of refurbished and pre-owned phones and established a customer base of 3, 00,000 in a span of 3 years.
Founded in 2015, Togofogo has a network of over 500 sellers that list mobiles of more than 20 brands on the Togofogo website. Leading brands like Samsung, Apple, Blackberry, Sony, Asus, and Xiaomi among others are also featured on the company’s website.