Refurbished iPhones are Taking over the market:Here is Why

If you are shopping for a mobile phone with a tight budget, will you choose the cost-effective model of the season or the old flagship model? Have you heard about refurbished phones? Well, refurbished iPhones are taking over the market, and in this article, I will be addressing how this has come into being.

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Refurbished iPhones are Taking Over the Market.

The research firm Counterpoint Research mentioned in its latest market report that in 2022, global sales of refurbished smartphones will increase by 5% yearly, of which the iPhone will become the most popular refurbished smartphone with a market share of 49%.

The survey report also pointed out that some of these refurbished iPhones come from official refurbished stores, third-party refurbished channels, and a small part from open market transactions.

Although “refurbishing” and “second-hand trading” sound like risky modes of operation, many consumers still choose refurbished old iPhones. Why are these refurbished iPhones so popular? What are the advantages of these refurbished iPhones?

Meaning Of Refurbishment

Before understanding why refurbished iPhones are popular, we can first understand what a refurbished iPhone is.

“Refurbishment,” as the name suggests, is restoring and re-selling the old product with a new image. Generally speaking, these smartphones are not products with huge usability problems or design flaws.

Therefore, in official channels, refurbished mobile phones still have a certain degree of credibility.

This is how Apple describes refurbished products on its official website:

You will receive a refurbished device thoroughly cleaned, inspected, and replaced with genuine Apple parts if necessary. A refurbished iOS device will come with a new battery and case.

It is not difficult to see that these “refurbished devices” are some parts that cannot be used normally and have entered the recycling process after Apple’s official confirmation.

As mentioned above, they may not have serious quality problems themselves. Afterward, they are returned to the market once more. This approach sounds very much in line with Apple’s “environmental protection” strategy.

Apple Refurbishing Partners

In addition to official sales channels, Apple also has some partners in countries/regions worldwide, such as Black Market, AMAZON, GEEP Canada, etc. These manufacturers are consistent with Apple’s official recycling process. Still, the sales channels and after-sales service are different, and the pricing is relatively free to meet the needs of different consumers.

Sadly, I have to say that whether it is Apple’s official or its partners, the refurbished iPhones provided by these stores are much more expensive than those in the free market. However, Apple and its partners offer more critical after-sales service of “refurbished devices.”

Of course, no matter what channel you choose to buy a refurbished iPhone, you are looking for a discount.

Apple’s official refurbished store does not have mobile phone categories in mainland China for now. Still, we can also find refurbished iPhone items in malls in the United States, Japan, and other countries.

Only the iPhone 12 Pro Max is currently on sale at Apple’s official refurbished store in the United States. The 512GB version is priced at $1,009, so it seems that Apple’s official refurbished device is not too cheap.

However, Apple provides a one-year Apple Care+ after-sales service.

The most important thing about refurbished iPhones is cost-effectiveness. Consumers can buy mobile phones with high quality and guaranteed after-sales at a cheaper price, and merchants can also dispose of these models that cannot be sold through normal sales channels at a discounted price. This is a win-win situation. Scheme.

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Why Do Consumers Buy Refurbished iPhones?

A report released by Counterpoint Research at the beginning of this year also mentioned that the average price of the smartphone market is constantly rising. For many users already using flagship phones, it may be difficult to afford the cost of replacing a new flagship model. The “renovation plan” has given these users a good way.

To buy a refurbished machine, you have to bet on your luck.

Challenges Faced By Non-Apple Certified Refurbishers

However, individual merchants or uncertified institutions are also facing enormous challenges. Earlier, technology blogger Hugh Jefferys broke the news that since the iPhone 14 series, Apple has added a lot of certification information to various internal components.

Even two iPhones of the same model, storage specifications, and color may not be compatible with each other’s parts.

This way, unscrupulous merchants may use “special means” to refurbish the iPhone. Due to the limited after-sales service supported by individual merchants, there is no guarantee for such mobile phones.

By contrast, if consumers lack digital knowledge and have no skills in buying refurbished iPhones, it is still recommended to buy them from officially certified retailers.

Conversely, if you are confident enough in your knowledge, you can also buy from individual merchants or non-certified institutions. Of course, there are still risks in the solution of refurbished devices.

Who is Buying Refurbished iPhones?

The main markets for refurbished iPhones are the United States, Japan, and India. Although the starting price of new iPhones in these regions is not too high, not every consumer can indeed afford them.

As a result, refurbished iPhones have become the primary alternative for consumers in these countries when purchasing a mobile phone.

There are three main channels for refurbishing iPhones: official refurbishment stores, third-party refurbishment stores, and the free circulation market. The former two are officially certified by Apple and have relatively complete after-sales service, but the disadvantage is that the price is relatively high; In contrast, the free circulation market, that is, individual merchants or uncertified institutions, has the most significant advantage of being cheaper.

Refurbished devices officially certified by Apple can confirm that their components come from official or officially trusted companies, such as batteries, display panels, and back glass, which are relatively easy to “fake”.

To reduce maintenance costs, Apple chose an easier-to-remove rear cover glass design on the iPhone 14 and iPhone 14 Plus models, which significantly reduces the difficulty of maintenance.

This also means that if these refurbished iPhones are only externally damaged, repairs are not complex, the cost is not high, and the quality of the finished product after refurbishment will not have a big problem.

On the other hand, in addition to cost performance, many users also choose mobile phones from the perspective of personal preference. They are often not interested in more robust performance and new functions.

They need a practical and beautiful device. On social platforms, a user shared his experience buying a refurbished iPhone from an overseas shopping platform. He admitted frankly that he didn’t like the right-angled borders since the iPhone 12 series, so he chose the iPhone 11 Pro.

As we all know, this model released in 2019 is no longer available in official channels, and choosing to buy a certified refurbished model on Amazon is a relatively safe compromise.

In terms of performance, it is equipped with Apple’s A13 bionic chip, which is not a problem for daily applications and mobile games. However, the iPhone 11 Pro only has 4GB of memory and supports 4G networks. This has a relatively significant impact on daily life.

Of course, this is a particular case. Most consumers who buy refurbished iPhones will at least choose the previous generation flagship model as their primary phone, and the iPhone 13 Pro is indeed worth buying.

Realistically speaking, the entire smartphone market has not changed much in the past two years, especially Apple; from the iPhone 13 series to the iPhone 14 series, the appearance design, performance configuration, and imaging system have improved very little. However, Apple has already removed the iPhone 13 Pro from official channels. Consumers who pursue cost performance will naturally give priority to refurbished iPhones.

Sales methods and promotional activities are relatively poor in areas where refurbished iPhones are popular. The primary way for consumers to buy new phones is to sign a contract with the operator, and the price of the version without a contract is not cheap.

Another advantage of refurbished iPhones launched by Apple’s official refurbished store is that there is no need to sign a contract with the operator, and the price is relatively affordable.

Summary and Conclusion

With the gradual slowdown of innovation and creativity in the smartphone market, consumers have begun to rethink the real demand for such products and no longer blindly worship newly released products.

Founded in Paris, France, Black Market is a start-up company focusing on refurbished equipment. It has attracted the attention of investors because it meets the needs of the current consumer market. In the middle of last year, it received the latest round of financing totaling US$510 million. Menacing.

Although the refurbished market has shown great promise, refurbished electronic equipment is unsuitable for all consumers. The reason why Black Market became popular so quickly is that it provides comprehensive after-sales service, which is consistent with the advantages of Apple’s official refurbished store, but such comprehensive services do not exist in all institutions that provide refurbished equipment, which requires consumption to improve their identification skills.

It has to be said that the refurbished market is not yet very mature. For ordinary consumers, it is a waste of time and energy to buy a refurbished iPhone and learn how to identify its quality.

As far as the current stage is concerned, consumers want to buy an iPhone easily, so it is more practical to pay more attention to the preferential activities during the promotion season.