Shopping in the tech industry has become less of a commitment and more of a hobby through the new start-up company called Lumoid, and their recent partnership with the powerhouse retail store Best Buy. Lumoid allow customers to rent a variety of devices that range from drones to wearable tech such as Apple watches, to audio and photo products. Forbes.com called Lumoid the “Netflix for consumer electronics.”
By the end of this month, BestBuy.com will start advertising try-before-you-buy rentals on its website by redirecting customers to Lumoid.com. By featuring a try-before-you-buy company on their website, Best Buy will direct customers to shop for tech products in a new, innovative way.
This is all made possible through “open box” products which are considered to be any product that has been opened and returned, therefore decreasing its market price through Best Buy stores. The idea of renting tech products before actually purchasing them is becoming a movement that challenges online retail stores such as Amazon, which sells tech products on Amazon.com. In order to compete with companies like Amazon, Best Buy wants to normalize rentable tech and help customers avoid making premature, ill-advised purchases.
“Try before you buy” caters to the needs of customers shopping for tech products on a budget. Business Insider referred to this concept as “a less intimidating way for a wearables novice to pick out a fitness tracker.” Rentals are available through Lumoid.com and the price depends on the product as well as the length of the rental. Lumoid customers can try out any five devices at home for up to seven days. Renting any five products from Lumoid.com costs just $20, which gives customers the opportunity to familiarize themselves with a range of devices and choose which ones best suit their individual needs. This offer often compels renters to purchase at least one of the five items come the end of the trial period, at which time Lumoid will waive the original $20 fee and ship a new model of the chosen device to the customer.
By renting a product from Lumoid, the customer is also able to activate a 20% discount on the device if they’re satisfied with the overall product and choose to purchase it afterward. Best Buy partnering with Lumoid creates web traffic for BestBuy.com, which ultimately drives customers to potentially buy these products in-store. Lumoid and Best Buy are changing the customer demand and leveraging on a common act that is often times executed in the tech world: returns.
Best Buy partnering with a small start-up company such as Lumoid shows that they trust the growth of the industry and are open to new ways to interact with the targeted consumer. Their customer base is sure to follow the move that Best Buy is making with their continued loyalty since 1983. This partnership shows that Best Buy understands that investing in tech products can be a pricey commitment, which oftentimes results in returns due to a lack of satisfaction. “Try before you buy” gives customers a chance to find their own personal style through tech gear, which is constantly changing.
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