The secondary smartphone market is undergoing a transformation, with artificial intelligence (AI) emerging as a key factor in consumers’ decisions to upgrade. Assurant’s 2024 Mobile Trade-in and Upgrade Industry Trends Report highlights that newer smartphones became the most turned-in devices in the latter half of the year, signaling a shift towards AI-enabled technology.
Trade-in values reach record levels
In 2024, U.S. consumers received a total of € 4.1 billion through trade-in programs, a 5% increase compared to 2023. Assurant’s report, based on its Device IQ analytics platform, shows that consumers benefited from higher trade-in values as they upgraded to AI-powered devices.
Consumers hold onto devices longer
During the first quarter of 2024, the average age of turned-in devices exceeded 3.6 years, marking a trend of longer device retention. However, following the launch of Samsung’s Galaxy S24 and the Apple iPhone 16, trade-in activity increased, reducing the average device age as consumers sought AI capabilities.
Apple iPhone 13 overtakes iPhone 11 in trade-ins in H2
The Apple iPhone 11 remained the most turned-in device for the first half of the year but was surpassed by the iPhone 13 in the second half. This shift suggests a growing number of consumers opting for AI-powered smartphone models.
Samsung Galaxy S21 remains top Android trade-in
For the second year in a row, the Samsung Galaxy S21 was the most frequently turned-in Android device. However, the Galaxy S22 Ultra 5G became the most traded-in Android model in the latter half of the year, reflecting the demand for newer models.
AI accelerates upgrade cycles
Assurant’s Connected Consumer Trend Report indicates that nearly half of U.S. consumers expect their next smartphone to support AI features, with 20% considering AI a crucial factor in their purchase decision. As AI-powered smartphones become more widely available, more consumers are likely to upgrade sooner than in previous years.
Trade-ins drive sustainability benefits
Beyond financial incentives, trade-in and upgrade programs contribute to environmental sustainability. According to Assurant Carbon IQ, approximately 1.8 million metric tons of carbon emissions were avoided in 2024 through device reuse. Additionally, six million metric tons of electronic waste were diverted from landfills, underlining the ecological benefits of secondary market programs.
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