How Refurbed leverages Sprinque
Unlocking Faster Deal Flow, Minimizing Risk, and Enhancing Customer Happiness
Refurbed is one of the fastest growing online marketplaces for refurbished products in Central Europe.
It sells refurbished Consumer Electronics (phones, laptops, tablets, wearables), Small and Domestic Appliances (kitchen, household and garden equipment) as well as Sports equipment (bikes, fitness, yoga) which are up to 40% cheaper and more environmentally friendly than their brand-new, store-bought counterparts. Refurbed devices are refurbished through a 40-step process, making them look like new and function like new. On top of that, each device comes with at least a 12-month guarantee. The company was founded in 2017 and is headquartered in Vienna, Austria.
From their inception in February of 2017 up to the end of 2022, Refurbed has been fully focused on providing the best electronic refurbished products to consumers. However, in the last 2 years they noticed a growing demand from companies wanting to purchase refurbished goods for their business needs. While smaller businesses were able to already purchase via their marketplace, they launched a dedicated B2B program for large business customers and public institutions to capture the opportunity.
After making the initial investment to launch their B2B business unit, the B2B team noticed their existing consumer “B2C” checkout and payment flow was only converting smaller business transactions. From speaking to their users, they learned businesses required the ability to Pay by Invoice with Net Payment Terms in order for their business buyers to go through with purchases of €1000+. Asking business buyers to pay upfront for larger transactions was out of the question because Paying by Invoice on Payment Terms is at the heart of best practices for cash flow management.
Refurbed faced the build or buy dilemma. With implementing an internal payment term solution to cover all their 7 active buyer markets they knew they had to invest in tooling, data and robust processes to manage default risk and fraud, collect payments, all the while providing a great customer experience.
Requires provider to service all 7 active markets
Solution can’t increase operational complexity or manual work
Require payment experience to meet the needs of large businesses
Refurbed decided to partner with Sprinque, as they realized it was not the right investment to build and manage a solution which would increase costs, add complexity to their existing financial and sales processes, and required them to own all of the default risk as they continue to grow across Europe.
According to Christopher Estl, Head of B2B, “Sprinque had the largest and best geographic match to Refurbed’s buyer footprint, provided the best localized payments experience, and allowed us to accelerate our deal flow as all we worry about is providing the best products to our customers while they receive the flexible payment terms they require to complete the transaction. It’s a win-win!”
Time reduction in time to purchase
€1,000 - €65,000
Transaction value range handled by Sprinque
European buyer markets serviced
Default risk taken on by Refurbed to grow B2B business unit
Sprinque had the largest and best geographic match to Refurbed’s buyer footprint, provided the best localized payments experience, and allowed us to accelerate our deal flow as all we worry about is providing the best products to our customers while they receive the flexible payment terms they require to complete the transaction. It’s a win-win!
Christopher Estl, Head of B2B at Refurbed