IDC said that there has been a boost in the market for used and refurbished smartphones and the analyst forecast that the market will grow to 222.6 million units by 2020. This is being driven by trade-in promotions in the US, Western Europe and Asia. CAGR for this kind of phone is 22.3%. Given that the average price for a refurbished phone is $130, IDC estimates the value of the market at $30 billion.
“The used smartphone market will impact OEMs, mobile operators, and component suppliers, thus IDC has committed new resources to help customers understand and plan for this new and potentially disruptive force. Although there is a potential downside to mobile ecosystem suppliers, IDC believes that the used smartphone market also presents new opportunities to grow revenue and increase market share,” said Will Stofega, program director, Mobile Phones.
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Worldwide Market for Used Smartphones (shipments in millions of units) |
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|
Region |
2015 Shipments |
2015 |
2020 Shipments |
2020 Market Share |
2015-2020 CAGR |
|
North America |
15.2 |
18.7% |
55.2 |
24.8% |
29.4% |
|
Rest of World |
66.1 |
81.3% |
167.4 |
75.2% |
20.4% |
|
Total |
81.3 |
100% |
222.6 |
100% |
22.3% |
|
Source: IDC, Worldwide Market for Used Smartphones October 2016 |
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