• Home
  • Latest
  • Fortune 500
  • Finance
  • Tech
  • Leadership
  • Lifestyle
  • Rankings
  • Multimedia

Trendingnow

1

'The demographic dividend of the last 40 years is ending': J.P. Morgan says the world is running out of the two things that kept interest rates down

2

Jensen Huang made his $172 billion fortune on AI chips. His family's $75 million gift to Vanderbilt argues art decides what technology is for

3

The $39 trillion U.S. national debt isn’t as high as Japan’s and Singapore’s relative to economy size—and yet it's still worse somehow

1

'The demographic dividend of the last 40 years is ending': J.P. Morgan says the world is running out of the two things that kept interest rates down

2

Jensen Huang made his $172 billion fortune on AI chips. His family's $75 million gift to Vanderbilt argues art decides what technology is for

3

The $39 trillion U.S. national debt isn’t as high as Japan’s and Singapore’s relative to economy size—and yet it's still worse somehow
TechThe Mobile Executive

Fixing Smartphones ‘On Demand’ May Be Better Business Than Delivering Burritos

By
Kia Kokalitcheva
Kia Kokalitcheva
Down Arrow Button Icon
By
Kia Kokalitcheva
Kia Kokalitcheva
Down Arrow Button Icon
August 18, 2016, 1:43 PM ET
155293289
Detail of a smart phone with a cracked screenPhotograph by Getty Images
Add Fortune on Google for similar content.

It finally happened: You cracked your new iPhone’s screen—accidentally, of course. Since your smartphone is effectively an extra appendage, you need to get it fixed as soon as possible.

And you do. Within an hour, a technician shows up at your door, and $109 dollars later, your iPhone is back in action.

This is the average experience for a customer of CellSavers, a startup whose mission is to make mobile device repairs faster, cheaper, and overall, just better. The San Diego-based company recently closed $15 million in new funding at an undisclosed valution to continue to expand its business, which it touts as a reliable way to get your mobile device fixed within an hour.

“In L.A., we can get to you faster than you can get a slice of pizza,” co-founder and CEO Eyal Ronen jokes in an interview with Fortune.

Currently, CellSavers focuses on a limited number of devices: the iPhone, iPod, iPad, and Samsung’s Galaxy and Note smartphones. Prices vary slightly depending on the device and the problem. For example, a broken iPhone 6 screen costs $109 to the customer, the same price the Apple Store charges (though it’s more for newer models). Out of that, CellSavers’s technician gets about $30 to $40, according to Ronen, and the rest goes to cover the parts and CellSavers’ other costs. Though its technicians are independent contractors, CellSavers sources its own parts, both as a way to control quality and as a way to keep costs low since it buys them in bulk.

Get Data Sheet, Fortune’s technology newsletter.

CellSavers’ technicians, who work as independent contractors, are the company’s most crucial asset, according to Ronen. Since their job is to repair the smartphones and tablets of customers, it’s in CellSavers’ best interest to ensure it only employs the best of them.

As such, the company currently hires only 8.5% (or one of eleven) of candidates who apply, say Ronen. After being hired, technicians are first matched with repairs that are easier, most common, and on lower-end devices. As the technician progresses, they’re given more difficult jobs, according to Ronen.

Ronen and co-founder Itai Hirsch started the company in early 2015 because of frustrating personal experiences. As Ronen tells it, Hirsh, who is a father of three young kids, found himself waiting in a line at local repair shops to get his mobile devices fixed. “There must be a way to make this better,” the two friends concluded, leading them to devise CellSavers.

Of course, the idea isn’t entirely new. Similar services like iCracked have been around for several years, and the company also competes with repair kiosks at malls and consumer electronics stores, including Apple’s own stores.

Like other so-called “on-demand” startups, which promise a burrito, ride, or home cleaning at the tap of a button, CellSavers faces the challenge of providing a reliable service while making its financial math add up. Though on-demand startups exploded in popularity in the last few years, many have found that building sustainable businesses is difficult. Some are scrambling to adjust their models, while others are coming with new ones.

CellSavers, however, says that it makes a profit on each customer appointment with one of its technicians. This is largely because, unlike, say, delivering groceries or a sandwich, a smartphone repair has a high enough price tag that there’s room for a healthy margin. Moreover, the startup further reduces its cost by sourcing repair parts on its own to get lower prices.

“’On-demand’ is not a market, it’s an enabler,” Carmel Ventures partner Daniel Cohen, whose firm led CellSavers’ latest funding round, tells Fortune. “Certain things work well with on-demand and some don’t,” he says, adding that CellSavers’ ability to make a profit from each transaction shows that it’s in the former category.

The startup also says that its secret sauce for success is its ability to efficiently pair the right technician, based on skill and availability, to the right customer appointment. “It’s all about demand and supply,” says Ronen.

Though the startup touts itself as being “on-demand” and immediate, only 65% of customers request to meet with a technician right away, according to the company. The other 35% of them schedule the repair for a later time. CellSavers, whose revenue currently grows 35% per month, also says that about 20% of its customers come through referrals from other customers, and 20% of customers come back.

The startup doesn’t disclose its revenue or number of customers, though its website says it has repaired nearly 37,700 devices so far.

Repeat customers is also one way CellSavers plans to grow in the future: By adding new services, beyond repairs, that customers will want to care for their devices, such as software updates and upgrades. It also plans to expand into repairing more categories of devices and appliances, though Ronen declined to share more details.

As for geographical expansion, the young startup, which currently operates in 18 U.S. metropolitan markets, has lofty goals. “A year from now, we want to make sure we’re available anywhere in the States,” says Ronen.

Along with Carmel Ventures, Sequoia Capital also participated in CellSavers’ latest round. To date, the company has raised $18 million in funding.

About the Author
By Kia Kokalitcheva
See full bioRight Arrow Button Icon
Add Fortune on Google for similar content.

Latest in Tech

Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025

Most Popular

Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Fortune Secondary Logo
Rankings
  • 100 Best Companies
  • Fortune 500
  • Global 500
  • Fortune 500 Europe
  • Most Powerful Women
  • World's Most Admired Companies
  • See All Rankings
  • Lists Calendar
Sections
  • Finance
  • Fortune Crypto
  • Features
  • Leadership
  • Health
  • Commentary
  • Success
  • Retail
  • Mpw
  • Tech
  • Lifestyle
  • CEO Initiative
  • Asia
  • Politics
  • Conferences
  • Europe
  • Newsletters
  • Personal Finance
  • Environment
  • Magazine
  • Education
Customer Support
  • Frequently Asked Questions
  • Customer Service Portal
  • Privacy Policy
  • Terms Of Use
  • Single Issues For Purchase
  • International Print
Commercial Services
  • Advertising
  • Fortune Brand Studio
  • Fortune Analytics
  • Fortune Conferences
  • Business Development
  • Group Subscriptions
About Us
  • About Us
  • Press Center
  • Work At Fortune
  • Terms And Conditions
  • Site Map
  • About Us
  • Press Center
  • Work At Fortune
  • Terms And Conditions
  • Site Map
  • Facebook icon
  • Twitter icon
  • LinkedIn icon
  • Instagram icon
  • TikTok icon
  • YouTube icon

Latest in Tech

Google logo is displayed on a smartphone in front of the EU Flag.
CybersecurityGoogle
EU strikes Google with $1 billion fine in major crackdown on antitrust regulations even as Trump threatens retaliation
By The Associated Press and Sam McNeilJuly 24, 2026
11 hours ago
AI executives demand OpenAI release more details about how the Hugging Face hack happened
AIOpenAI
AI executives demand OpenAI release more details about how the Hugging Face hack happened
By Emily ForliniJuly 24, 2026
12 hours ago
woman yellow shirt standing in front of ring light
SuccessSocial Media
Influencer marketing isn’t an experiment anymore as companies expand their creator advertising budgets
By Tatiana SatauaJuly 24, 2026
12 hours ago
dario
AIEconomics
Anthropic’s head of economics just explained why we haven’t seen a white-collar bloodbath — yet
By Nick LichtenbergJuly 24, 2026
13 hours ago
jh
AINvidia
Jensen Huang just used his first ever X post to warn the AI industry not to make the mistake that software narrowly avoided in the 1980s
By Nick LichtenbergJuly 24, 2026
13 hours ago
pjm
EnergyData centers
The AI boom’s hidden electricity bill — and why you’re paying it
By Nick LichtenbergJuly 24, 2026
14 hours ago

Most Popular

'The demographic dividend of the last 40 years is ending': J.P. Morgan says the world is running out of the two things that kept interest rates down
Economy
'The demographic dividend of the last 40 years is ending': J.P. Morgan says the world is running out of the two things that kept interest rates down
By Eleanor PringleJuly 24, 2026
24 hours ago
Jensen Huang made his $172 billion fortune on AI chips. His family's $75 million gift to Vanderbilt argues art decides what technology is for
Big Tech
Jensen Huang made his $172 billion fortune on AI chips. His family's $75 million gift to Vanderbilt argues art decides what technology is for
By Sydney LakeJuly 23, 2026
2 days ago
The $39 trillion U.S. national debt isn’t as high as Japan’s and Singapore’s relative to economy size—and yet it's still worse somehow
Economy
The $39 trillion U.S. national debt isn’t as high as Japan’s and Singapore’s relative to economy size—and yet it's still worse somehow
By Sasha RogelbergJuly 23, 2026
2 days ago
Current price of oil as of July 24, 2026
Personal Finance
Current price of oil as of July 24, 2026
By Joseph HostetlerJuly 24, 2026
21 hours ago
The millennial generation has split, new Fed research shows: Those over 35 are edging toward boomer-style wealth, while everyone else falls behind
Real Estate
The millennial generation has split, new Fed research shows: Those over 35 are edging toward boomer-style wealth, while everyone else falls behind
By Nick LichtenbergJuly 22, 2026
3 days ago
Turns out Dead Internet Theory was right: AI agents are eating the Web, growing by nearly 8,000% and rewiring the Internet's business model
AI
Turns out Dead Internet Theory was right: AI agents are eating the Web, growing by nearly 8,000% and rewiring the Internet's business model
By Mia OsmonbekovJuly 23, 2026
1 day ago

© 2026 Fortune Media IP Limited. All Rights Reserved. Use of this site constitutes acceptance of our Terms of Use and Privacy Policy | CA Notice at Collection and Privacy Notice | Do Not Sell/Share My Personal Information
FORTUNE is a trademark of Fortune Media IP Limited, registered in the U.S. and other countries. FORTUNE may receive compensation for some links to products and services on this website. Offers may be subject to change without notice.