According to the latest research of the Refurbished smartphone tracker from Counterpoint, the global market for smartphones has increased by 15% in 2018, reaching almost 140 million units. This contrasted with the global market for new smartphones, which grew by only 3% last year (see here), surpassing the “second life” smartphones renewed.
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Commenting on this important trend, Tom Kang, director of research, said: “With 13% growth, Refurbished smart phones now account for almost 10% of the total global smartphone market.” The weak growth of the new mobile phone market smartphones in 2017 can be partially attributed to the growth of the renewal market. The slowdown in innovation has made the two-year flagship smartphones comparable in design and functionality to the latest mid-range phones. Mid-range low-end range for new smartphones is being cannibalized by refurbished high-end phones, mainly Apple iPhones and, to a lesser extent, Samsung Galaxy smartphones. “
The dominance of Apple and Samsung is more evident in the home improvement market than in the new smartphone market. The two combined brands represent almost three-quarters of the Refurbished smartphone market, with Apple largely ahead. In terms of revenue, domination continues to rise, as the two smartphone giants control more than 80% of the revenue in the Refurbished smartphone market. Peter Richardson, Director of Research, commented on these results:
“It is surprising to many that the fastest growing smartphone market in 2017 was not India or any other emerging market, but the market for Renewal. Smartphones in play, we believe that the new device market will slow down again in 2018. “
Richardson added: “The regions with the largest volume include the United States and Europe, the most dynamic renewal markets are Africa, Southeast Asia and India, all of which have witnessed the initiatives of the main operators (Verizon, Vodafone, etc.). .), OEM (Apple, for example) and large retailers (Brightstar, for example) that add services throughout the life cycle. The industry uses data analysis to predict the future resale values of the devices, this means that consumers can obtain a guaranteed cash value at different points of their property, which helps consumers to manage the high cost of the latest flagship smartphones, or at least obtain a useful contribution to partially offset the cost of your next phone.
Richardson continues: “This is a booming market that allows multiple stakeholders to maximize the lifetime value of a mobile device.” For many industry players, the profit margin of a used device exceeds that of a new device. It is positive to maximize the use of valuable resources, so that many stakeholders consider renewal devices to be “green.” This is true, but it also contributes to consumer confidence in many markets.In general, we expect this trend to continue. Accelerating. “
Morgana Johnson is a writer who specializes in electronics and communications. You can check out his latest website at MacBook pro accessories, where he provides unbiased reviews and buying advice for refurbished android phones uk. There is a discussion of smartphone accessories at Buy Refurbished MacBook Air, and much more.