Early Adopter On A Budget

With the release of the iPhone 3G around the corner, many are pondering what they’ll do with their current mobile device. If they’re anything like me, I just got a new cell phone 6 months ago. Being an early adopter can quickly become an expensive lifestyle, especially if you do not have the bankroll to drop hundreds of dollars on the latest and greatest device every 6-12 months.

I’ve always been an early adopter, craving the newest iteration of my favorite technologies. Before I had a job to sustain this lifestyle, I had to think of creative ways to fund my addiction for the shiny new toys I desired. I was able to minimize costs of the new devices and recoup 60%-80% of the purchase price by using some simple techniques. It pays to be an early adopter, most of the time the devices will hold their value in the short time they are in your possession.

Spring Cleaning

I began by liquidating things around my home that I did not have a use for anymore. I took a minimalist approach as I took inventory on all of my possessions, making a list of things I had not used in 3, 6, and 12 months time. The things I had not touched in 12 months and older were the first on the auction block. Working my way down to 3 month items and the items that held a sentimental value. The items that didn’t make the cut went up on Craigslist and eBay, netting me the capital to invest in the new gadgets I wanted and (let’s be honest) show off to my friends.

Tricks of the Trade

• The key is to keep the boxes, original packaging, manuals, installation CDs, etc. Selling an item in it’s original packaging will net you 30%-40% higher resale than the same item without a box. Find a place in your closet to put all packaging until you’re ready to sell for another gadget.
• Take high quality pictures and write a detailed description of the item when listing it for sale online. This can be a simple copy/paste of the technical specifications found on the manufacturer’s website. The bottom line is people want to know what they’re buying.
• Be sure to barter when buying a new gadget. Many times you can get free headsets or car chargers when purchasing a new mobile phone. Use these free items to sweeten the deal for potential buyers and make your item stand out from the hundreds of other people selling the same product. This can also justify the higher asking price when including these extras.
• Be careful. Scratches and dents will mean less resale value at selling time. Purchase a skin or case to protect the device while you’re using it and remember you can include it as an extra when going to sell.
• Consider shipping costs. With gas prices on the rise, shipping has become more expensive. Use the calculator on eBay to help determine shipping costs. Avoid inflating flat rates to make a couple more dollars profit, this is dishonest and could result in negative feedback.

Out-of-Box, Big Savings

I recently purchased a Samsung HDTV from Circuit City for 43% off the retail value. When someone returns an item like this, the store cannot put it back on the shelf at full retail price. For whatever reason the merchandise was returned, the next customer stands to save a fortune on a store’s “open box” policy. The item still comes with the same warranty and is eligible for the same service plan as an unopened item. Early adopters should take advantage of deals like this to save money on their gadgets. Skip the service plan though, chances are the limited warranty will cover any product defects in the short time it’s in your possession.

Locked In? No Problem!

I’ve upgraded phones so many times with Verizon Wireless, adding to the length of my contract each time, I’m pretty sure it expires shortly after the end of time. Fortunately, Verizon has loosened their termination fee policy and now prorates based on how long you have left on your service agreement. Check with your service provider to see if they’ve been pressured to lighten up on their ridiculous termination fees too. Another option is to visit a contract swapping website like Cellswapper where you can get out of current contract by pawning it off on someone else.

Using these techniques, I’ve been able to save a fortune and still feed my craving for new gadgets. The constant turnover in older technology keeps my collection current, while earning money for new toys and eliminating the tech graveyard in my drawers and closets. Bring on the iPhone 3G!

~ by mattmusgrave on June 20, 2008.