SOURCE: uSell.com

September 09, 2014 13:45 ET

uSell Beats Gazelle on Offer Prices for Used Devices Ahead of the Apple iPhone 6 Launch

Marketplace Efficiencies and Data-Driven Decisions Enable Some of the Best Prices in the Market

NEW YORK, NY--(Marketwired - Sep 9, 2014) - uSell.com, Inc. (OTCQB: USEL), a leading US-based reCommerce marketplace that instantly finds cash offers for used smartphones and electronics, announced today that it has higher prices than Gazelle, its direct competition in the reCommerce space. This announcement coincides with Apple's anticipated iPhone 6 launch when customers are expected to seek the highest offers to sell their used phones.

uSell compared prices on its top 50 products to those of Gazelle on September 8, 2014. Of the top 50 products in good condition, Gazelle had offers for just 38 products, indicating that uSell has a larger product catalog driven by its growing network of professional buyers. Further, on the 38 products that had offers on both sites, uSell's prices were 58% higher on average, demonstrating its ability to offer higher prices due to competitive forces in its marketplace.

uSell's marketplace model creates efficiencies in its business that competitors such as Gazelle don't have, which enable it to offer top dollar on used devices. "Because we are a marketplace business, we're able to leverage the power of over 50 buyers who are competing on price," said Nik Raman, COO and Co-Founder of uSell. "We don't hold any inventory, so we're able to operate leaner than our competition, which in turn allows us to offer more money to our sellers while still remaining profitable."

With an increasing focus on marketing, technology, and analytics, uSell makes data-driven decisions to ensure that it remains more competitive on price than its competition. The company recently conducted a price elasticity analysis to optimize its pricing model. uSell immediately saw an increase in orders by more than 20% once the optimized pricing was implemented.

uSell's higher offer prices over Gazelle seem to be paying off. Brand index data collected by YouGov -- a third-party market research firm that provides national panel data -- revealed that uSell outperformed several well-known e-commerce brands, including Gazelle, on 3 key areas. Of brand aware customers, 3.7x more respondents felt that uSell offered good value versus Gazelle. Additionally, 3x the number of brand aware respondents felt that uSell represents good quality versus Gazelle. Lastly, 21% more respondents were willing to recommend uSell to a friend than Gazelle.

uSell's announcement coincides with Apple's highly anticipated announcement of the iPhone 6. uSell has already seen iPhone order volume increase by 133% since the beginning of the year, and it expects to see an even larger spike once the announcement has been made. While offer values typically decrease by more than 20% during the weeks surrounding a new iPhone launch, uSell's pricing optimization will ensure that customers can get more money by selling on uSell than to the leading competition and the carriers.

"Due to our unique marketplace model and our continual analysis of the extensive data we collect, uSell is able to offer prices that no one else in the market is able to offer," said Raman. "Through repeated testing and analysis, uSell guarantees that customers can sell their phones without having to compromise any of their value, and buyers are able to get their hands on used devices in unprecedented volumes."

About uSell.com, Inc.
uSell is a reCommerce marketplace that helps individuals turn unused items into cash. uSell ensures that customers get the highest payouts with the least amount of hassle by facilitating risk-free transactions with professional buyers. For uSell's buyers, uSell offers a scalable technology, marketing, logistics, and analytics solution that provides a high volume of inventory at a low acquisition cost. 

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