Reverse logistics & economics of India’s computer trade

A 2007 report by Toxicslink mentions how Mumbai generates 19,000 Tonnes of e-waste per year, and yet imports furthermore. In the heart of Jari Mari Industrial Area in Mumbai is Saki Naka, the focal point of electronic waste trade in India and the centre of a large low-income slum area. There are approximately 100 shops of computer waste located in Teen Number Khadi (Bay No. 3). Kurla, Kamathipura-Grant Road, Jogeshwari and Malad are other centers for computer waste in Mumbai. Entrepreneurs with the capability to scavenge, salvage and re-engineer products out of e-waste have created a vibrant economy of unorganized retail for computers and consumer durables across Mumbai. Hundreds of such retailers use Chaupaati as a medium to reach tens of thousands of consumers across Mumbai, many of whom are located in slums in the same areas.

Sayed Asad, owner of Best Computer Solutions, is headquartered in a prime location in Saki Naka. He purchases old computers, laptops and printers from leading banks and corporations, then re-furbishes and upgrades them with multimedia and entertainment capabilities, then offers them at unbelievable prices for education, home and office use. He provides replacement warranty for all his products and has broken a price barrier that no one in Mumbai is able to match, especially for entry-level configurations. He has 10 branches across Mumbai and 25 full-time engineers. Sayed says, “Now we are proud we made it easy for all to purchase computers.”

When Sayed first heard about Chaupaati on June 15, 2008 (10 days before Chaupaati launched), he was immediately convinced because of our focus on second-hand products, and he is one of the best in the business for old computers. Sayed Asad was one of the first dealers to advertise his deals on Chaupaati and then went on to be a party to Chaupaati’s first known phone pe deal on July 4, 2008, within 4 days of launch.

Since then, Sayed has acquired over 1,000 customers from Chaupaati and he says “For every 100 inquiries received from Chaupaati, at least 25% get developed into deals”, and says “we have been able to build a brand across Mumbai. Since we joined, Chaupaati has resulted in significant growth in business development for us.” Compared to newspapers, Internet, flyers and other media, he finds mobile as the fastest and best medium for interaction. After a customer is generated, “we get an immediate alert by SMS. This is followed up with a quick conversation, prompt visit, and fast deal.” Chaupaati has sent him inquiries from all corners of Mumbai (Vashi - Eastern corner, Vasai/Virar - Northern corner, Colaba - Southern Corner) and the customer profiles include low-income, middle-class as well as corporate buyers.

It is customers like Sayed Asad that help us fulfill the promise of “best deals in Mumbai” for computers.