In recent years, the smartphone market has witnessed a significant shift in consumer behavior, largely driven by the soaring prices of new devices. Flagship phones from brands like Apple, Samsung, and Google now often exceed €1,000, pushing many consumers to reconsider whether upgrading to the latest model is worth the investment. As a result, more and more people are turning to the second-hand and refurbished smartphone markets—not just as a cheaper alternative, but as a smarter, more sustainable choice. Second-Hand Smartphones

This change is not limited to budget-conscious users. Tech-savvy consumers and environmentally aware individuals are also contributing to the growing demand for used smartphones. Whether it’s due to inflation, supply chain disruptions, or simply the fact that smartphones have become “good enough” to last for years, the traditional upgrade cycle is being redefined.

Global analysts from IDC and Counterpoint Research confirm that the refurbished and second-hand phone industry is no longer a niche—it’s a booming global sector with billions in revenue and rising consumer confidence. Platforms dedicated to buying, selling, and refurbishing smartphones have gained prominence, while some governments are stepping in with new policies to support this shift.

With the average price of new smartphones rising sharply—by about US$474 in Q1 2025 vs. $390 in Q1 2022—consumers are increasingly turning to the second-hand market, where prices have also climbed but remain more affordable at around $264 vs. $228 over the same period.

Why Are New Smartphones Getting Pricier?

• Advanced tech features: 5G, AI-powered chips, superior cameras, and battery improvements are driving costs up.
• Supply chain pressures: U.S. tariffs on electronics and global chip shortages inflate device costs.
• Currency and inflation effects: In markets like Brazil, smartphone prices surged nearly 88% year-over-year, jumping from R$1,361 to R$2,557 between Q1 2024 and Q1 2025.

IDC & Counterpoint: Analysts Call It a Shift

Global analysts from IDC report that the shipment growth of new smartphones is stagnating, while used-device shipments grew by roughly 4% in early 2025. Counterpoint also scaled back its 2025 forecast from a projected 4.2% growth to just 1.9%, signaling consumer reluctance to pay inflated prices for new models.

The Rising Value of Used Phones

The second-hand smartphone market is expanding fast. Globally, it reached an estimated US$59.4 billion in 2024 and is expected to surpass $75.4 billion by 2029 (CAGR ~4.9%). Growth drivers include:

• Strong online platforms and refurbishing services
• Eco-conscious consumer behavior
• Trade‑in programs offering credits toward new devices

Regional Trends & Regulatory Boosts

• North America: Growth is fueled by carriers like Walmart and Best Buy and services like Phobio, which buy and resell refurbished devices.
• Europe: Legislation (e.g., Portugal’s 2022 mandate extending refurbished warranty to 3 years) has boosted consumer trust.
• Latin America & Brazil: Devices sold second‑hand made up 9% of total smartphone sales in mid‑2022 (up from 7.2% in 2020), frequently chosen by younger consumers and lower-income segments.

Consumer Behavior: Saving Money & Planet

• Financial savings: Used smartphones often cost 30–40% less than new models, a vital factor amid tightening household budgets.
• Eco appeal: Buying refurbished devices aligns with sustainability goals, reducing e-waste and supporting the circular economy.

What’s Coming Next?

As smartphone prices remain high and new device growth lags, market dynamics are likely to persist:

1. Continued migration toward refurbished devices.
2. More innovative trade-in finance programs.
3. Enhanced consumer protection laws for second-hand goods.
4. Broader e-commerce refurbishing services are expanding globally.

Bottom line about Second-Hand Smartphones

Rising new-phone prices—driven by inflation, advanced tech, tariffs, and supply chain issues—are pushing consumers toward used and refurbished alternatives. This is reshaping global demand, fostering eco-friendly trends, and transforming the smartphone lifecycle.