The global used and refurbished smartphone market is expanding at a pace that significantly outstrips new device sales, according to analysis from research firm IDC. Driven by sustained demand for affordable access to premium hardware, secondary smartphones are demonstrating nearly triple the growth rate of new devices across multiple regions. This acceleration highlights a structural shift in the global mobile ecosystem, where pricing pressure and longer replacement cycles are increasingly reshaping procurement decisions for consumers and enterprise buyers alike.
Pricing dynamics reshape demand
IDC data shows that the average sales price of a used smartphone rose to approximately € 333 in the third quarter of last year, reflecting a 3% year over year increase. This upward movement has been driven by higher launch prices for new smartphones and a parallel increase in trade-in valuations. SecondaryMarket.news data indicates that trade-in prices increased by an average of 9.7% during the same period, reinforcing the view that the used device segment is absorbing cost inflation originating in the primary market.
Memory constraints influence strategy
According to Anthony Scarsella, IDC US research director, memory pricing and supply constraints are likely to intensify demand for used smartphones in the near term. As memory components continue to affect the bill of materials for new devices, the resulting cost increases are expected to cascade into retail pricing. With new smartphone prices rising by around 6% last year, buyers are increasingly assessing premium used devices as a pragmatic alternative that delivers high specifications at materially lower acquisition costs.
Supply pressure risks emerging
While demand for used smartphones is strengthening, IDC cautions that supply constraints may follow. Rising interest in premium refurbished models could reduce available inventory, particularly for recent flagship devices. This tightening supply environment may exert further upward pressure on used device pricing, challenging refurbishers and distributors to optimise grading standards, sourcing strategies, and refurbishment throughput to maintain margins and volume.
Primary market recovery context
These developments are unfolding against a backdrop of recovery in the global smartphone market. IDC reports that worldwide smartphone shipments grew 3.5% year over year in the third quarter of 2025, reaching 325.7 million units. Growth was concentrated in the premium segment, alongside innovative form factors and more affordable AI enabled devices, underscoring continued consumer appetite for differentiated hardware despite macroeconomic uncertainty.
Role of trade-in programmes
Industry leaders Apple and Samsung recorded strong July quarter results, supported by aggressive trade-in programmes and flexible financing models. Robust demand for the Apple iPhone 17 lineup and renewed interest in Samsung’s Galaxy Z Fold 7 and Flip 7 demonstrate how incentives are stimulating upgrade cycles. These programmes are also feeding higher quality devices into secondary channels, strengthening the circular flow of smartphones while reinforcing the strategic importance of recommerce to original equipment manufacturers.
Circular economy implications
The convergence of rising new device prices, higher trade-in values, and maturing refurbishment capabilities is reinforcing the role of the secondary market as a stabilising force in the smartphone industry. Extended device lifecycles, improved grading transparency, and stronger trade-in economics are aligning commercial incentives with sustainability outcomes. As affordability pressures persist, the used smartphone market is positioned not merely as a fallback option, but as a core pillar of global mobile distribution.
Via: IDC.com
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