CCS Insight found the second-hand smartphone segment increased 6 per cent year-on-year in 2024, surpassing growth of sales of new devices as demand for lower-cost products gains traction.

Apple retained its dominance in the refurbished sector with a 60 per cent market share, with the iPhone 11 emerging as the best-selling device in 2024. Samsung followed with a 17 per cent. Meanwhile, Oppo, Vivo, and Xiaomi saw momentum in developing markets Asia and Africa as first-time smartphone users upgraded from feature phones and budget devices.

In addition, 5G adoption in the second-hand market surged 46 per cent, with 5G models comprising more than half of global smartphone shipments in the segment.

Higher shipments did however not lead to an overall bump. The value of the smartphone market dropped 6 per cent to $32 billion.

Asia-Pacific remained the largest second-hand smartphone market, with North America and Europe following. However, the European Union’s Radio Equipment Directive banning non-USB-C charging devices took effect in December 2024, raising concerns about supply chain disruptions for models like the iPhone 12 and 13.

Ultimately, the company indicated a wider shift toward lower-cost options as the average resale price for second-hand smartphones declined 11 per cent to $275.

Consumer preference
CCS Insight’s principal analyst Leo Gebbie pointed to increasing consumer awareness, prioritisation of affordability, and partnerships between telecom operators and retailers as key drivers for the segment’s boom.

“What began as a necessity during the Covid-19 (coronavirus) pandemic has evolved into a strong consumer preference,” he explained. “Refurbished smartphones, which are often up to 50 per cent cheaper than new devices, now also come with warranties, flexible financing options and reliable after-sales service, increasing consumer trust.”

With battery life remaining a prime concern for used device consumers, the launch of Apple’s iPhone 16e, offering high-end performance at a midrange price, could hinder second-hand sales, noted Gebbie. However, trade tensions and US tariffs may further push consumers toward refurbished models.

Looking ahead, CCS Insight predicts a 6 per cent increase in the second-hand market in 2025, with growth reaching 7 per cent annually through 2028 — overtaking the 2 per cent growth forecast for new smartphone sales.