Impact of Coronavirus on Cell Phone Repair Businesses
Posted: Mar 21, 2020
The outbreak of the Coronavirus started in China and it is affecting the global economy to a greater extent. The Coronavirus threat has also affected small businesses including cell phone repair business worldwide.
Many businesses that rely on cell phone parts China companies can face the economic impact of the coronavirus.
Impact of production shut down
Many cell phone parts suppliers import cell phone parts China brands to repair the damaged devices. The production shut down will impact the businesses and since parts are not manufactured these businesses face business loss.
It is certainly creating issues for the cell phone repair businesses as they are not even getting the parts that can be supplied. They have stocked a lot of parts they can but still, the shutdown of production is creating problems for the business.
Inadequate stock and price hike
The cell phone parts wholesale companies are falling in short on different cell phone parts. Thus, they have to say no to the customers. The parts that they can service are coming at an expensive price. This makes them increase the repair cost which is directly going to make the customers unhappy.
Certainly, the customers would never want to spend an unbelievable amount to just get a phone repaired. No one would want to spend $200 for a repair which is worth $100.
Future of business in trouble
Earlier the manufacturing companies promised to make the availability of parts smoother by March 1, but the date now has been shifted to early April, which is certainly going to put the future of repair business in trouble. Also, many cell phone stores are being hurt as they are not able to get the parts required.
Cell phone supplies in stock
Many cell phone repair businesses used to stock different parts like camera lenses, phone screens, charging ports, phone batteries, etc just at the beginning of the year. But, this year January started with the slowdown due to Corona Virus in China.
Distributors not prepared for production slow down
As the slowdown wasn’t expected at such a greater level, many distributors were shocked. They were not prepared for the effect that production slow down would have on the supply chain due to Coronavirus.
As the demand is shooting up and the supply is constantly going down, many businesses are trying to stock parts even at a higher price than the normal price.
To be prepared for the effects of production slowdown they are stocking 2 to 5 times the regular stock.
Distributors might increase prices
The distributors who are preparing for the production slowdown might increase the prices drastically or land into out of stock problems.
Be prepared to avoid issues with your cell phone
Looking at the Coronavirus outbreak, we never know what the market condition would be shortly. Hence, make sure you take care of your cell phones by protecting it in a mobile case and using tempered glass for your mobile screen.
In case you already encountered a cracked screen issue with your cell phone or wish to replace your cell phone battery rush to get it fixed before the supplies go out of stock.
You use your cell phones a lot for almost every task you perform daily. Now, breaking your phone carelessly can cost you more than you used to spend on repairs. Moreover, looking at the Coronavirus scenario, it might take longer than expected to get your phone repaired. So, it is better to take extra care while using than landing into a mess where you can’t get your phone repaired. It is important to be prepared for the production slowdown be it a mobile user, repair businesses or distributors.
CellPhoneSpares is the wholesale online store, where you can conveniently purchase spare parts & accessories for cell phones, laptops, and game consoles.