Substantial profits are there for the taking in the robust smartphone market. To open shop, an electronics retailer can add smartphones and smartphone contracts to the store’s offerings, for example, and a small business entrepreneur can open a franchise.

Anyone considering an investment in this area should know the state of the market, however. Sales of new and leading smartphone cell phones have remained strong. Fears for sustained growth persist, though. With 85% of American consumers already owning a mobile phone, the market is considered nearly saturated.

These three steps can assist potential smartphone vendors in making their venture successful:

1. Compare smartphones and service contracts to select the best ones to carry. Much of the recent sales increase has come from consumers upgrading and switching to the latest in smartphone technology.
2. Connect to the network providers to set yourself up as a retailer.
3. Submit inquiries and explore the options for franchise opportunities in smartphones and pre-paid cell phones.

Action Steps
The best contacts and resources to help you get it done

Review the smartphone offerings from AT&T and Verizon Wireless

To carry smartphones, a retailer works with the network providers who provide the phones and the service plans. AT&T and Verizon Wireless are two of the major providers in the United States. Their products include various smartphone models, including the Microsoft smartphone, the Samsung smartphone, the Treo smartphone and devices that are GPS-enabled or function as a PDA smartphone.

I recommend: AT&T bills itself as the largest wireless company in the United States, and boasts the fastest 3G network. Find out more at the AT&T service page, and review their list of products and rate plans at AT&T: Cell Phone Deals & Packages. The iPhone by Apple, carried by AT&T, is not available for sale by independent retailers, however. Verizon Wireless advertises the most reliable network across the United States. Find examples of their products, including choices for a PDA smartphone or smartphone GPS systems, at Verizon Wireless smartphones and Verizon Wireless BlackBerrys. This list is for phones available in New York; enter your regional information for area-specific options.

Review the smartphone plans available through Sprint Nextel and T-Mobile

Sprint Nextel Corp. and T-Mobile USA, Inc., are two more of the major network providers in the United States.

I recommend: Find out about Sprint's wireless service in general at the Sprint Nextel Corp. and about the mobile smartphone rate plans that a retailer can offer at Sprint plans. Get the low-down on T-Mobile USA, Inc., at About T-Mobile. The T-Mobile plans website lists the various plans available for the United States (although there could be variations by region, also).

Submit inquiries to join the smartphone vendors for the network providers

To open up shop selling smartphones through the network providers described above, follow the links and instructions below.

I recommend: AT&T Inc. provides retail sale opportunities through its Local Dealer Program. Verizon Wireless has an Authorized Agent Program for sales opportunities. The Sprint Authorized Representative Program offers entry into business with Sprint Nextel. Find out about becoming a T-Mobile Authorized Retailer at T-Mobile.

Explore the opportunities to open a smartphone franchise

In addition to carrying smartphones at your current place of business, a small business entrepreneur could open a franchise specializing in cell phones and smartphones.

I recommend: WorldWide Wireless, Inc. and Wireless Zone offer two distinct franchising opportunities to sell smartphones.

Tips & Tactics

Helpful advice for making the most of this Guide

• •  Smartphone software enhances the smartphone experience. These applications are generally available for downloading, however, and are not a retailer's key moneymaking product.
• •  Smartphone accessories are often sold alongside the phones on the shelves for extra revenue.
• •  In addition to selling smartphones, a retailer could offer simpler cell phones and pre-paid mobile phones to round out their offerings.