Tension between OnePlus and offline stores: what we know
- As per a Moneycontrol report, the South Indian Organized Retailers Association (ORA) has written a complaint to Ranjeet Singh, Sales Director, OnePlus Technology India on April 10th highlighting their various concerns.
- One of the biggest concerns is that offline stores get low-profit margins selling OnePlus products.
- ORA also blames OnePlus for not addressing the delayed warranty claims from various customers, even after repeated escalations.
- It also underlines the logistical issue of carrying non-moving products to meet model-specific bundling requirements.
- All of these results in customer dissatisfaction, poor sales and piled-up inventory.
- So, the retailer’s body has decided to stop selling OnePlus products from May 1st, 2024 in more than 4,500 stores situated in Gujarat, Maharastra, Andhra Pradesh, Telangana, Karnataka and Tamil Nadu. This included big chains like Poorvika Mobiles, Sangeetha Mobiles, Big C, and Pooja in Southern and Western states.
- The body said, “Throughout the past year, we have encountered significant obstacles associated with selling OnePlus products, which remain unresolved. As esteemed partners, we had hoped for a more fruitful collaboration with OnePlus. Regrettably, the ongoing issues have left us with no alternative but to discontinue the sale of your products in our stores. Despite our persistent efforts to address these concerns with your company, little progress or resolution has been achieved. Promises made have not been fulfilled, leaving us with no recourse but to take this drastic measure“.
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While the full letter isn’t out, Moneycontrol claims to have seen it. Meanwhile, OnePlus has yet to comment on this matter. ORA has asked OnePlus to address the issues before this month ends.