According tomedia reports, IDC’s Global Second-Hand Smartphone Forecast 2019-2023 shows that global shipments of used smartphones, including official refurbishments and second-hand smartphones, will reach 206.7 million units in 2019 , up 17.6 percent from 175.8 million units in 2018. By 2023, shipments of second-hand smartphones are expected to reach 332.9 million units, with a CAGR of 13.6% from 2018 to 2023.
“The growth of the new smartphone market has slowed, and the growth rate of new handset shipments is slowing in the coming years. In contrast, growth in the second-hand smartphone market is not slowing at all globally,” said Anthony Scarsella, research manager at IDC’s global quarterly mobile phone tracking division. The cost-effective nature of refurbished and used handsets continues to be an additional option for consumers and businesses looking to save on their budget when buying a smartphone.
“In addition, retailers have the ability to put more affordable refurbished equipment into the market to help manufacturers expand their brand presence and expand the presence of their home applications, services and accessories ecosystems in the marketplace,” Scarcella said. This growth may be due to rising demand in the second-hand smartphone market. Compared to new equipment, second-hand products can save a lot of budget. Also, it is difficult for initial equipment manufacturers (OEMs) to consistently produce new phones that are balanced in functionality and price.
In the future, IDC expects the deployment of 5G networks and smartphones to have an impact on the second-hand market as smartphone users gradually start buying 5G devices to replace them. While factors such as regulatory compliance and environmental protection continue to affect the value added of the second-hand market, the important factor of saving money when purchasing equipment continues to drive the value added of the second-hand market.
“Overall, we believe that the purchase of new or second-hand equipment with the original equipment will be most critical to the growth of the refurbished mobile phone market. The discount and increasing funding (EIP) will be the two ultimate drivers driving the mobile phone market forward,” said Will Stofega, director of mobile device projects.