The refurbished smartphone market saw a sharp correction at the start of 2025, with prices tumbling significantly. According to Dipli’s Refurbished Price Index 2025, shared with SecondaryMarket.news, the index dropped by 13.46 points in Q1 alone. While part of the decline can be attributed to seasonal trends, the magnitude and speed of the fall point to deeper structural shifts in the secondary market. Notably, this price drop occurred well before the new U.S. tariffs—currently set at 20% on all imports from China—came into effect. But the bigger question remains: how long will these tariffs last?
Apple and Samsung drive competition
February 2025 saw both Apple and Samsung unveil their latest models — the Apple iPhone 16e and Samsung Galaxy S25 — intensifying their long-standing rivalry. Samsung, in particular, made waves with forecasts of 40 million Galaxy S25 units shipped in 2025, up 10% from last year. This surge has had a direct knock-on effect: as trade-ins increased, the volume of older Galaxy models entering the refurbished channel grew significantly, putting downward pressure on prices.
Trade-in campaigns flood the market
Samsung’s aggressive trade-in promotions, offering bonuses over € 150, significantly boosted volumes. These programs, while successful in new sales, flooded the refurbished market with older models such as the Samsung Galaxy S10 and S20. The result: a saturated supply environment that depressed average selling prices (ASPs), especially in the Android segment.
Maturity meets seasonal softness
Although Q1 typically shows reduced consumer activity after Q4 peaks, analysts expect a 1 to 5% year-on-year volume increase of the primary mobile market. This suggests a resilient underlying demand but also indicates a maturing market. In Europe, buyers are more informed and selective, and pricing has less room to fluctuate, especially during slower retail cycles.
Takeaways for retailers and operators
Retailers are facing tighter margins and must optimize their sourcing strategies. Timing purchases around pricing dips and targeting high-velocity devices will be critical. Meanwhile, operators have become major price influencers through trade-in programs. With 84% of international telcos running such initiatives, aligning upstream and downstream value is key.
Outlook for 2025
The first quarter of 2025 may, as often, well define the year ahead. High volumes, quick turnover, and price pressure are now the new normal. Stakeholders in the refurbished ecosystem must adapt quickly to protect value and meet evolving customer expectations. However, we have wait to see what Trump's tariffs will do.
Market
Trade-in
Repair
Refurbishing
