MusicMagpie

Last updated
musicMagpie
Company type Private company
Industry E-commerce
Founded2007
FoundersSteve Oliver, Walter Gleeson
Headquarters Stockport and Macclesfield
Area served
Worldwide
Key people
Steve Oliver, Walter Gleeson
Services Online shopping
Number of employees
1,000 (December 2019)
Website musicmagpie.co.uk

MusicMagpie Plc (styled as musicMagpie) is a British online retailer buying and selling refurbished electronics and second-hand computer games, consoles, books, films and music. [1]

Contents

History

musicMagpie was founded in Stockport in 2007 by Steve Oliver and Walter Gleeson, both with previous experience of the music industry. The company was originally based in Oliver's garage, buying only CDs. [2]

Records show that from February 2017, the company employed 1000 people, and received 5 million ratings on eBay, becoming the most popular seller on that platform. [3]

By 2018 the company had sold an estimated £125 million of used items, primarily through Amazon and eBay. [2]

In 20 November 2023, companies such as the BT Group and Aurelius Group announced their interests to buy the company. [4]

In October 2024, British electrical retailer AO World announced it would acquire musicMagpie for approximately £10 million. [5] Two months later, the purchase was completed. [6]

Business model

Prices are checked through an algorithm which determines an item's popularity on all competitors' websites. Due to its low prices for items such as CDs, the service is often used by individuals selling in bulk. [2]

Customers can enter an items’ barcode or name into musicMagpie's website to receive an instant quotation. Customers can then send their goods to the company free of charge by various methods. [7] Once the goods are received, if they meet quality requirements, the seller is paid.

The principle behind its purchase and sale algorithm is to keep a minimum stock in the company's warehouse, and continuously buy and sell the same item while listing it on multiple platforms. Depending on an artist's new release, advertisements and other relevant factors, the company tends to increase the stock if expecting to get bigger sales from a specific product. DVDs are typically purchased for 1 penny and books for 20 pence, and then resold for an average of £1 or £2. [ citation needed ]

Customers can purchase used items through a separate part of the website.

Poundland and Asda deal

The company had a deal with UK budget retailer Poundland, where it supplies them with used CDs, DVDs and Blu-rays, which are sold for one pound as part of Poundland's Replay range. [8]

In August 2020, MusicMagpie ended their deal with Poundland and formed a new relationship with Asda. This involved the sale of used DVDs, CDs and Blu-rays in the store which would be sold on their own dedicated MusicMagpie branded stands in the entertainment section of the store. This deal expanded later on with the introduction of MusicMagpie kiosks in a variety of Asda stores which enabled customers to sell used electronics and other items. [9] Subsequently, after this deal was completed, Poundland's replay range was dropped as a result.

See also

References

  1. King, Mark (5 January 2018). "MusicMagpie – consumer app of the week". The Guardian . Retrieved 3 February 2019.
  2. 1 2 3 Reynolds, Matt (8 June 2018). "How musicMagpie turned old CDs into a £125 million a year business". Wired . Retrieved 3 February 2019.
  3. Begum, Shelina (21 February 2017). "musicMagpie is first in world to pass 5 million in eBay feedback". Manchester Evening News . Retrieved 3 February 2019.
  4. Boyadzhieva, Yanitsa (2023-11-20). "BT tunes into potential musicMagpie takeover amid EE revamp". TelecomTV. Retrieved 2023-11-20.
  5. "UK's AO World to buy musicMagpie in $13.3 million deal". Reuters. 2 October 2024.
  6. "AO World plc (LSE:AO.) completed the acquisition of musicMagpie plc from a group of shareholders". MarketScreener. Retrieved 2025-07-30.
  7. "How It Works | How Do I Sell My Phone & Tech?". musicMagpie. Retrieved 24 February 2020.
  8. Begum, Shelina (3 November 2017). "MusicMagpie strikes deal with Poundland to offer CDs, DVDs and Blu-Rays". Manchester Evening News. Retrieved 24 February 2020.
  9. Snowdon, Ros (27 September 2021). "Asda customers can recycle old phones and CDs for cash". Yorkshire Post. Retrieved 27 September 2021.