The refurbished and used mobile phones market is expected to witness a CAGR of 11.45% and experience significant growth by 2030. Says CMI
According to CMI (Credence Research), the refurbished and used mobile phones market is expected to witness a CAGR of 11.45% and experience significant growth by 2030. This projection indicates a substantial increase in the market size over the next decade.
According to a market research study conducted by Custom Market Insights, the Global Refurbished and Used Mobile Phones Market was valued at approximately USD 64.10 billion in 2022. The study projects that the market will reach USD 62.79 billion in 2023 and is expected to further grow to around USD 146.43 billion by 2030, exhibiting a CAGR of 11.45% between 2022 and 2030. The report highlights key market players, including Apple Inc., Amazon, Samsung, Verizon Communications, Inc., Cashify, Walmart, eBay, Paytm, Huawei, Yaantra, AT&T Inc., and others, providing insights into their sales, revenues, and strategies.
The Custom Market Insights research report titled "Refurbished and Used Mobile Phones Market Size, Trends and Insights provides valuable information on the industry. According to the report, the global market for refurbished and used mobile phones was valued at approximately USD 64.10 billion in 2022 and is projected to reach USD 62.79 billion in 2023. The market is expected to further grow and reach a value of around USD 146.43 billion by 2030, with a compound annual growth rate (CAGR) of about 11.45% during the forecast period from 2023 to 2030."
The report highlights that when a smartphone is returned to the manufacturer and undergoes testing, inspection, and refurbishment, it can be resold as a refurbished device. This process allows the device to have a second life instead of being discarded and contributing to environmental waste. Refurbished phones, even with minor damages or scratches, can be sold at a lower cost while still being in excellent condition. This helps reduce electronic waste and the harmful impact on the environment, as many smartphone components contain plastic and lithium-ion batteries.
Overall, the report emphasizes the growing market for refurbished and used mobile phones, driven by the benefits of cost-effectiveness and environmental sustainability.
In today's digital age, cell phones have evolved from being a tool for online shopping and communication to an integral part of people's lives. With the rise of digitalization, modern consumers are knowledgeable and seek high-quality, advanced technological devices. However, due to the rapid pace of advancements in the industry, many buyers are hesitant to invest a significant amount of time in a single device as upgrade cycles become shorter.
In today's market, well-informed consumers are increasingly drawn to high-quality, advanced mobile devices. However, due to the short upgrade cycles, many buyers prefer not to invest significant time in a single device. This has led to a growing preference for second-hand mobile phones, which offer desired features at an affordable price. Factors such as expanding economies, increasing demand for budget-friendly products, and growing consumer acceptance of smartphones are driving the global market for refurbished and used mobile phones.
The reliance on electronic devices in developing countries also contributes to the demand for refurbished and used mobile phones. Manufacturers in these nations are investing resources to produce high-quality devices that meet customer demands. This factor is expected to further boost the global market.
The used mobile device market is expanding rapidly and becoming more mainstream in the electronics retail arena. The demand is increasing across regions, and the practicality of used devices is permeating various use-case possibilities. Asia, in particular, is predicted to be one of the leading markets for refurbished smartphones due to reasons such as cost-conscious consumers, access to high-quality refurbished devices, quality assurance and warranty offerings, and environmental concerns.
To succeed in the market, reconditioned products must offer customers the best possible value, establish a reputation, and provide proactive after-sales services. This drives the market for used smartphones.
The demand for refurbished smartphones has significantly risen in emerging countries due to widespread smartphone adoption. Companies are focusing on developing distribution channels and acquiring customers to maintain a competitive edge and market share. Overall, factors such as emerging markets in developing countries, consumer demand for affordable products, and increased smartphone penetration contribute to the growth of the global market for refurbished and used mobile phones.
The availability of low-quality mobile phones and growing customer security concerns pose significant limitations to the expansion of the industry. These low-quality products not only undermine customer satisfaction but also contribute to environmental issues due to their high plastic content.
The growing reliance of consumers on affordable, high-quality smartphones presents new opportunities for market expansion in the Refurbished and Used Mobile Phones industry. Consumers' inclination towards cost-effective options and their technology-oriented mindset create favorable conditions for the market.
The market for refurbished smartphones faces challenges due to the wide availability of smartphones in online stores. Major online platforms like Walmart Inc., eBay Inc., and Amazon.com, Inc. offer discounted cell phones and collaborate with banks to provide further discounts through credit and debit cards. Seasonal sales and promotional events also attract a significant customer base. The rapid growth of e-commerce companies can potentially have a negative impact on the refurbished cell phone market.
Refurbished phones are expected to grow at the highest CAGR and hold a dominant position in the future. The affordable prices and discounts offered by sellers attract many buyers, driving the market growth.
The mid-priced segment leads in the pricing range category and is expected to contribute significantly to the refurbished and used mobiles market. This can be attributed to the expansion of e-commerce platforms and the availability of advantageous EMI (Equated Monthly Installments) options for customers purchasing older mobile phones in the midrange price range. Furthermore, the utilization of semiconductors and the entry of new competitors have reduced the production costs of refurbished mobile devices.
The Asia-Pacific region holds a dominant position in the Refurbished and Used Mobile Phones market and is expected to continue its dominance throughout the forecast period. This can be attributed to the region's increasing infrastructure development, which facilitates the growth of the market. Rising urbanization, a growing population of tech-savvy individuals, and rapid technological advancements also contribute to the market's expansion in this region.
In particular, China has emerged as a significant player in the resale of old and refurbished mobile phones. Many buyers and resellers face challenges when selling or refurbishing devices through traditional channels, leading them to turn to e-commerce platforms. The convenience and wide reach of e-commerce platforms make them an ideal choice for buyers and sellers in the refurbished and used mobile phone market. These factors, along with the popularity of reconditioned and used mobile phones in China, are driving the growth of the market in the Asia-Pacific region.
Feature of the Report
|Market Size in 2021||USD 52.34 billion|
|Projected Market Size in 2030||USD 146.43 billion|
|CAGR Growth Rate||11.45% CAGR (2022-2030)|
|Prominent Players||Apple Inc., Amazon, Samsung, Verizon Communications Inc., Cashify, Walmart, eBay, Paytm, Huawei, Yaantra, AT&T Inc., and Others|
|Key Segment||By Type, Pricing Rang, and Region|
|Report Coverage||Revenue Estimation and Forecast, Company Profile, Competitive Landscape, Growth Factors and Recent Trends|
|Regional Scope||North America, Europe, Asia Pacific, Middle East & Africa, and South & Central America|
|Buying Options||Request tailored purchasing options to fulfil your requirements for research.|