What do they do with those "exchanged" iPads?

[The OB]

Just wondering. I read about quite a few instances where, within the fairly short no-questions-asked period, people have been simply able to swap their iPad from gen3 to gen4.

So what happens to all those iPads handed in? Sure, they can be sold as refurbished if they look and are stated to be cleaned up, tested and sold at a lower price. But what about those absolutely shiny pristine ones, maybe only a week old? The cynic in me tends to ask, "surely they would not package them up and sell as new iPad3s?" I know there are serial numbers etc... But....


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[MattIM]

That would constitute fraud and I don't think Apple would do that and jeopardize their corporate image as a trusted brand. But I did ask a Best Buy geek when I returned my three days old iPad third generation. He made a show of restoring the iPad back to factory and then he put a red tag on the Apple Box this iPad came in and placed the box in a clearly marked bin, "defective, return to manufacturer." So I would have to trust that Best Buy would follow the process and policy and not re-package and re-sell as new. In turn, Apple reviews this iPad and resells it as a refurbished iPad and adds its year long limited warranty and qualifies it for Apple Care.

I have bought a refurb iPad2 and it works very well.

 

[AQ_OC]

They become refurbished iPads, no matter the condition. Used for replacements or sold as refurbs. I'm sure they go back for inspection and reconditioning repackaging before let out into the wild. They must protect the brand.

 

[cyndy]

I do know Best buy can sell them as open box @ a reduced price. Make note, Apple still start the warranty from the first sale date. I asked why people take them back (before the iPad 3 fiasco) and they said things like, wanted bigger memory,etc. one would think Apple would make a better deal for those companies who got stuck with inventories that were in part apple's fault.

 

[iJamesH]

They are repackaged and sold to midget biker gangs because we all know that midget bikers need their iPads.

 

[The OB]

That would constitute fraud and I don't think Apple would do that and jeopardize their corporate image as a trusted brand.

Yeah you're right of course Matt. As I said, bit of a cynic, a trait I'm fighting hard to moderate!
Regards, Andrew


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[thewitt]

I do know Best buy can sell them as open box @ a reduced price. Make note, Apple still start the warranty from the first sale date. I asked why people take them back (before the iPad 3 fiasco) and they said things like, wanted bigger memory,etc. one would think Apple would make a better deal for those companies who got stuck with inventories that were in part apple's fault.

Best Buy does this by choice. Apple wants all returns sent back to be reworked and sold as refurbished units.

 

[cyndy]

I have heard the profit margin is slim to seller (not Apple stores) so to go further with the best buy example, BB resells a open box iPad @ 10%. This I know from experience. For that, you buy a slightly used iPad with less time on the guarantee. My curious mind (remember I already confessed as being a over thinker) wonders why returning the iPad to Apple wouldn't be a better deal for BB? Of course, BB does have a advantage as Apple rarely has a discount on a new model. Of courses, if you checked Apple store on this model cycle, maybe that doesn't hold true. But, I am thinking the iPad3/4 fiasco was a rare exception?

Owner of iPad 4 32 g and iPod 5th gen

 

[AQ_OC]

I have heard the profit margin is slim to seller (not Apple stores) so to go further with the best buy example, BB resells a open box iPad @ 10%. This I know from experience. For that, you buy a slightly used iPad with less time on the guarantee. My curious mind (remember I already confessed as being a over thinker) wonders why returning the iPad to Apple wouldn't be a better deal for BB? Of course, BB does have a advantage as Apple rarely has a discount on a new model. Of courses, if you checked Apple store on this model cycle, maybe that doesn't hold true. But, I am thinking the iPad3/4 fiasco was a rare exception?

Owner of iPad 4 32 g and iPod 5th gen

Maybe it takes more human effort to return it than it does to sell it as an open box, especially if the margin is slim. I'm sure the store manager has a good reason to do what they do.