Global refurbished smartphone market down 9% in 2020 amid Covid crisis

Representational image

The global refurbished smartphone market fell 9 per cent (on-year) in 2020 owing to Covid-19 lockdowns and related economic deterrents, according to a new report.

The market saw a dramatic 16 per cent decline in the first half of 2020 compared to the first half of 2019, said the latest Counterpoint Research's 'Refurbished Smartphone Market Update'.

"It rebounded slightly in the second half of 2020 due to increases in new device sales and a very strong Apple iPhone launch cycle which helped the supply of devices in the secondary market," said the report.

All major countries and regions showed a decline for the full year of 2020, mainly due to Covid-19.

"The pandemic caused a significant number of smartphone owners to avoid or delay new purchases. Key secondary markets India and Latin America saw 20per cent and 24 per cent declines, respectively, during the first half of 2020 due to strict and extended lockdowns," said senior Research Analyst Glen Cardoza.

China, the most important country in the refurbished market ecosystem, saw significant declines during 2020.

"The Chinese refurbished smartphone market was hit by tensions between China and Hong Kong and trade battles with the US. Many resellers in the secondary market ecosystem avoided China due to more scrutiny by the Chinese government, the potential for higher import duties, and the rising cost of replacement parts," explained Fieldhack.

Not all segments of the secondary market declined and there were some bright spots in the refurbished smartphone ecosystem.

"Apple grew its share in the secondary market from 39 per cent to 42 per cent. Despite the proliferation of 5G networks, average selling prices (ASPs) of refurbished LTE smartphones grew," Cardoza informed.

--IANS

na/


(Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)


Dear Reader,


Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering have only made our resolve and commitment to these ideals stronger. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance.

We, however, have a request.

As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practise the journalism to which we are committed.

Support quality journalism and subscribe to Business Standard.

Digital Editor

Business Standard is now on Telegram.
For insightful reports and views on business, markets, politics and other issues, subscribe to our official Telegram channel