Worldwide shipments of used smartphones, including officially refurbished and used smartphones, will reach 309.4 million units in 2023, International Data Corporation (IDC) estimates.
The unit growth represents a 9.5% increase over the 282.6-million units shipped in 2022.
In addition, IDC projects that used smartphone shipments will reach 431,1-million units in 2027, with a compound annual growth rate (CAGR) of 8,8% from 2022 to 2027.
Supply of used smartphones remains a critical challenge as refresh cycles, high price points, and macroeconomic challenges have all negatively impacted the new smartphone market.
However, demand for used smartphones remains healthy and will continue to grow throughout the forecast period, just at a slower rate than previously forecast, thanks to the challenge of acquiring inventory.
IDC forecasts new smartphone shipments to decline 3,5% in 2023 as demand, inflation, and political unrest continue to impact the global economy. In contrast, the used market demonstrated fierce resilience to overcome these unforeseen circumstances by displaying nearly 10% growth for the year.
Refresh rates for new phones in most developed markets have extended past 40 months, which has caused a shortage of available inventory for the secondary market.
Trade-in programs continue to fuel the industry but only make up a portion of the total used inventory.
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