Cashify Plans to Launch 200 New Stores Over the Next Two Years.

Cashify, a leader in the refurbished electronics market, plans to open 200 new stores and expand into categories like laptops, tablets, and smartwatches as part of its growth strategy. The company aims to achieve full-year EBITDA positivity by 2025, according to CEO and co-founder Mandeep Manocha.

"Opening stores was essential to build trust in refurbished products, offering a touch-and-feel experience and warranty-backed service," Manocha said.

The expansion aligns with Cashify’s pivot toward a direct-to-consumer (D2C) model, which now accounts for 55% of its revenue. The move is designed to enhance brand loyalty and improve margins. "Higher margins and brand building with consumers can only be achieved through D2C channels," Manocha noted.

A key focus of the expansion is deeper penetration into Tier 2 and Tier 3 cities, which contribute nearly 50% of Cashify's demand. “Our expansion plans prioritise these regions to meet the growing demand,” Manocha added.

The company also plans to diversify beyond smartphones, which currently represent 92% of its business. It aims to reduce this share to 80% by doubling its focus on other categories like laptops, tablets, and smartwatches. "SMEs and start-ups are major buyers of refurbished devices as they help significantly cut costs," Manocha explained.

Cashify has made strides in improving operational efficiency, reducing its losses by a third in 2024. The company’s Noida facility, which can refurbish up to 80,000 devices monthly, currently operates at 30,000 devices.

The refurbished phone market remains nascent, but rising aspirations and increasing device costs are fueling growth. "Our target audience is people who aspire to own premium products like iPhones but cannot afford new devices. Refurbished models offer them social capital at lower prices," Manocha said.

With these strategies, Cashify is positioning itself as a key player in India's growing refurbished electronics market.

HBL