A US company that believes it has devised the most efficient way to keep mobile phones out of landfill has revealed that it is heading for the UK next year.
Flipswap, which says it provides the more money to consumers who trade in their phones than rival phone reuse and recycling firms, has recently received $14m (£9m) in venture funding and will use part of that money to open for business in the UK and Europe.
Chief executive Sohrob Farudi told BusinessGreen.com that the company is partnering with "a company with vast experience in the European wireless industry" to support the expansion plans.
"We have a boatload of opportunities in the US and Canada that we have yet to tackle, so that will be our first order of business," he added. "But we plan on expanding to Europe and specifically the UK sometime in mid-2009."
Since it opened for business in 2005, Flipswap has bought more than 740,000 phones and has sold on the vast majority to customers around the world. The remainder is recycled for their materials.
Farudi said there are a couple of aspects to the company's business model that give it a leg up over competitors in the recycling business.
He argued that firstly Flipswap's proprietary pricing algorithm gives the company a unique view of the secondary market for wireless handsets. "This allows us to provide consumers with a high value for their used handset, because our software knows the exact place around the globe we can sell the handset for the highest price," he explained. "We make money by collecting and reselling the phones so they can be used a second time."
Secondly, he said that Flipswap gives customers the option to either send phones to the company in the mail, postage paid, and then they, or an elected charity, will receive a cheque in the mail, or go to a local store, which has become a Flipswap partner, and receive in-store credit.
"Because we span both brick-and-mortar and online direct to consumer, we are in a unique position to use both channels to provide consumers and retailers with a solution and value proposition that none of our competitors can offer," he said.
The company has also sought to further bolster its green credentials by pledging to customers that it will plant a tree for every mobile phone it receives that does not have a resale value and has to be broken up.
Leaked document obtained by BusinessGreen.com reveals Defra is considering halving spending designed to help the UK cut waste levels 21 Oct 2009
Survey show councillors fear taxes with rise unless action is taken to increase recycling rates 07 Jul 2009
Over 80 per cent of IT decision makers not getting value from old equipment sales 16 Dec 2009
PFI initiative will be funded to the tune of £40m by the Welsh Assembly over the next 25 years 15 Oct 2009Global waste-to-energy market booming as US firm leads acquisition drive and new report highlights European expansion 27 Aug 2009
Desert tortoise fears allayed? 19 Mar 2010
Cameron presents pre-election energy policy, promising greater investment certainty for low-carbon projects, green loans for households, and streamlining of planning system 19 Mar 2010
Joint statement from carbon exchange and Hungarian government aims to restore confidence in CER market 19 Mar 2010
More news
From climate change contrarians to the "KitKatastrophe" of Nestle's palm oil policy, we look at the best the green web has to offer this week 19 Mar 2010
"It needs the political enthusiasm that was behind the war on terror after 9/11" 19 Mar 2010
From the government's plans for a marine energy revolution to John Lewis' proposals for an off-grid supermarket 19 Mar 2010 More in-depth
Post your comment
Send an email to the Business Green editor at feedback@businessgreen.com
