ChannelLife New Zealand logo
Industry insider news for New Zealand's technology resellers
Story image

IDC: Used smartphone market poised for growth

Mon 11 Jan 2021
FYI, this story is more than a year old

IDC has released a statement claiming it expects worldwide shipments of used smartphones, inclusive of both officially refurbished and used smartphones, to reach a total of 225.4 million units in 2020. 

This represents an increase of 9.2% over the 206.5 million units shipped in 2019. 

IDC projects used smartphone shipments will reach 351.6 million units in 2024 with a compound annual growth rate (CAGR) of 11.2% from 2019 to 2024.

Much of the 9.2% growth continues to be driven by mature markets in which trade-in emulates a form of subsidy to push consumers to upgrade. 

Over the past year, there has been a rapid growth in trade-in programmes and average selling prices (ASPs) across numerous channels. 

Premium flagship offerings continue to rely heavily on trade-in programmes to make the upfront cost more affordable to consumers. 

Vendors such as Apple, Samsung, and Huawei have all implemented their own programmes with very aggressive trade-in offers compared with other channels. 

Telcos on the other hand are using trade-in combined with bundling (family plans and services) to get consumers to turn over their old device and upgrade. 

Although 2020 volume was not as large as expected, the used market still performed well compared with the new market, where IDC is expecting a 6.4% decline for smartphones for the year. 

As with our previous forecast, we still expect to see double-digit growth during the forecast period, at an average of 11.8%.

"In contrast to the recent declines in the new smartphone market, as well as the forecast for minimal growth in new shipments over the next few years, the used market for smartphones shows no signs of slowing down across all parts of the globe," says IDC Worldwide Quarterly Mobile Phone Tracker research manager Anthony Scarsella.

"Refurbished and used devices continue to provide cost-effective alternatives to both consumers and businesses that are looking to save money when purchasing a smartphone. Moreover, the ability for vendors to push more affordable refurbished devices in markets where they normally would not have a presence is helping these players grow their brand as well as their ecosystem of apps, services, and accessories."

"Although the COVID-19 pandemic has posed challenges for secondary market participants around able-bodied workers and logistics, most of the industry has been able to satisfy the demand for refurbished smartphones. Once the pandemic begins to fade, those that were able to invest in technology will be well-poised to prosper during the recovery," says IDC mobile phones programme director Will Stofega.

According to IDC's taxonomy, a refurbished smartphone is a device that has been used and disposed of at a collection point by its owner. 

Once the device has been examined and classified as suitable for refurbishment, it is sent off to a facility for reconditioning and is eventually sold via a secondary market channel. A refurbished smartphone is not a "hand me down" or gained as the result of a person-to-person sale or trade.

The IDC report, Worldwide Used Smartphone Forecast, 2020–2024, provides an overview and five-year forecast of the worldwide refurbished phone market and its expansion and growth by 2024. 

This study also provides a look at key players and the impact they will have on vendors, carriers, and consumers.

Related stories
Top stories
Story image
New Zealand
2degrees announces appointments to newly established board
2degrees has announced Liz Coutts as the board chair, while Russell Stanners and Kathy Meads join her as directors.
Story image
Web application firewall
Radware recognised in KuppingerCole’s 2022 Leadership Compass report
Radware has been named a Product, Innovation, Market and Overall Leader in the 2022 KuppingerCole Leadership Compass report for Web Application Firewalls.
Story image
Financial results
Jade Software’s plan to get back to surplus in 2022
Jade Software has released its latest financial report, revealing that the company has kept its loss low from $567,000 in FY 2020 to just $153,000 in FY 2021.
Story image
Document Management
TrustRadius gives M-Files two document management awards
TrustRadius has recognised M-Files with both a 2022 Best Feature Set and a 2022 Best Relationship award in document management.
Story image
SaaS
Claroty launches new cloud-based industrial cybersecurity platform
The company says Claroty xDome is the industry's first solution to deliver the ease and scalability of SaaS without compromising on visibility, protection, and monitoring controls.
Story image
Tether
Ricoh and NZ tech company Tether initiate new reseller partnership
A new reseller partnership between Ricoh and NZ tech company Tether will focus on monitoring, hybrid work and air quality solutions.
Story image
Cloud
Pax8 acquires NZ cloud company Umbrellar
Pax8 has recently acquired New Zealand cloud company Umbrellar in a move that will expand Pax8's footprint in the region and empower its fast-growing partner base.
Story image
Gaming
Hands-on review: SteelSeries Apex Pro Mini Keyboard
SteelSeries has taken the design of its range of Apex keyboards to create a smaller version, the Apex Pro Mini. Techday’s Darren Price checks it out.
Story image
Wireless
Hands-on review: James Donkey RS4 Knight Wireless Gaming Keyboard
I have always liked mechanical keyboards, and this is no exception. I find the action much easier to use than the modern keyboards with limited travel.
Story image
Mergers and Acquisitions
Netskope acquires Infiot, delivers integrated SASE platform
Converged SASE platform provides AI-driven zero trust security and simplified, optimised connectivity to any network location or device, including IoT.
Story image
Customer
OfficeMax NZ sees significant growth through Seismic partnership
OfficeMax New Zealand has announced it has seen a significant increase in customer and sales confidence as a result of Seismic’s digital enablement software.
Story image
CRM
Forrester names Pega a Leader in CRM Solutions 2022 report
Forrester Research has named Pega a Leader among 11 competitors in The Forrester Wave: Core CRM Solutions, Q3 2022 report.
Story image
Report
Westcon NZ posts $19.1 million YOY revenue increase - report
Westcon NZ has released its latest financial report, showing the company has increased its revenue by $19,119,905 in the last financial year.
Story image
Ernst & Young
Ernst & Young NZ acquires tech firm Q4 Associates
Effective from today, the Q4 Associates addition will impact significant areas of EY’s working operations, particularly in the financial sector.
Story image
Printers
Comedy legend Jimeoin fronts Epson advertising campaign in NZ and Australia
According to Epson the company’s EcoTank models now account for 74% of all printers sold in the category in New Zealand, alone.
Story image
i-PRO
VisualCortex and i-PRO partner for enhanced APAC deployments
VisualCortex and i-PRO have partnered to facilitate enterprise-wide Computer Vision technology deployments in APAC.
Story image
Hybrid Cloud
The essential guide to digital transformation by SolarWinds
Digital transformation is a buzzword thrown around all the time by companies, but what does it actually mean and why is it important? SolarWinds breaks it down.
Story image
Toshiba NZ
Toshiba's New Zealand Branch sees profit decline - report
Toshiba Australia's New Zealand Branch have released their latest financial reports, showing the company’s total revenue from contracts with customers has grown by $6,926,000 in Australia.
Story image
Compliance
Why security needs to shape your journey to the cloud
It's estimated that 80% of workloads could be in the cloud in the next few years. How can you make all that data secure?
Story image
Malware
Nozomi Networks Labs identifies impacts on 2022 threat landscape
Nozomi Networks’ latest research finds that wiper malware, IoT botnet activity, and the Russia/Ukraine war have had the biggest impact on the threat landscape in 2022 so far.
Story image
Enterprise
Fortinet reports second quarter 2022 financial results
“We delivered strong revenue and billings growth in the second quarter driven by an increase in the number of transactions larger than one million dollars."
Story image
SAP
OutSystems joins SAP PartnerEdge program, integrates solutions
OutSystems has become an official member of the SAP PartnerEdge program. This will make it easier for other businesses within the SAP ecosystem to discover and connect with OutSystems.
Story image
Financials
Google NZ numbers show strong comprehensive profit increase
The latest financial report from Google New Zealand Limited has revealed an increase in total comprehensive profit of over $NZD 7 million.
Story image
Cloud
Microsoft and Auckland Transport announce new cloud agreement
Auckland Transport (AT) and Microsoft have announced a new cloud agreement aimed at promoting innovation, reducing costs and improving sustainability in transport services.
Story image
Tablets & laptops
Chromebook and tablet shipments see another rapid decline for the year
According to research from Canalys PC Analysis, Chromebook and tablet shipments have fallen for the fourth quarter in a row for Q2 of 2022.
Story image
Gaming
Chorus announces Hyperfibre sponsorship deal with NZ Esports
Chorus has put its support behind New Zealand's Esports community with a newly announced three-year Hyperfibre sponsorship deal with NZ Esports.
Story image
Phishing
Norton research finds NZ threat landscape diversifying on social media
Norton's quarterly report has highlighted the seriousness of the threat landscape in New Zealand.
Story image
Tablets & laptops
Hands-on review: Xencelabs Graphic Display Tablet
Xencelabs seemed to show up out of nowhere on the market. I had no idea who they were or what they were about, but I was very intrigued.
Story image
Apple
2degrees unveils eSIM functionality for selected devices
2degrees has enabled eSIM functionality to work with a variety of Apple, Samsung and Oppo devices, including a range of iPads.
Story image
Identity and Access Management
Pitney Bowes launches rebranded digital visitor management offering in A/NZ
Pitney Bowes has launched Smart Access Management (SAM), its rebranded digital visitor and contractor management offering in Australia and New Zealand.
Story image
Product Management
TeamViewer and Siemens to innovate product lifecycle space with AR
TeamViewer's new partnership with Siemens Digital Industries Software to bring the power of TeamViewer's AR platform, Frontline, to Siemen Teamcenter software.
Story image
SAP
Microsoft unveils two new security products to help reduce attack surfaces
The products are set to give companies deeper insights into threat actor activity and help them successfully navigate the changing threat landscape.
Story image
Sales
BNZ launches first tap-on-phone point of sale app in NZ
Bank of New Zealand has launched BNZ Pay, an innovative mobile app for retailers that transforms an Android device into a contactless payment terminal. 
Story image
Cybersecurity
More than a fifth of cybersecurity teams ban the use of public WiFi
Verizon’s fifth annual Mobile Security Index report has revealed a continued rise in significant cyberattacks in the last year involving a mobile/IoT device.
Story image
Microsoft
SaaS sector in NZ thriving as a result of trans -Tasman partnerships
New Zealand's Software-as-a-Service (SaaS) sector is on track to be the biggest contributor to GDP this year, generating more than NZD$20 billion for the New Zealand economy.
Story image
Wireless
Wave Audio spices up portfolio with first ever party speaker
Australian-based pioneers Wave Audio are enhancing their extensive range of groundbreaking new audio products by adding one of the most versatile speakers on the market to their growing portfolio.
Story image
Firewall
Fortinet unveils compact firewall for hyperscale data centres, 5G networks
"Fortinet’s dedication to pushing the boundaries of what is possible in security performance has yielded the most powerful compact firewall yet."
Story image
Financial results
Facebook NZ financial report reveals notable revenue increase
Revenue from contracts with customers increased by $NZD 1,089,292 compared to 2020's figures.
Story image
Data Protection
Video: 10 Minute IT Jams - An update from SearchInform
Alexey Pinchuk joins us today to discuss the role the company plays in helping organisations manage risk and provide better security outcomes.
Story image
Inde
Exclusive: Inde provides innovative solutions across the tech sector
Inde likes to call its approach the 'power of the collective', which essentially means that if a client approaches the company with a problem, they'll get the team's collective insight to help drive the best outcome.
Story image
Revenue
IBM NZ sees significant revenue increase in latest report
IBM NZ has posted revenue of $172,449,000 for the financial year, according to its latest report, a year-over-year increase of over $47.5 million compared to $124,904,000 in 2020.
Story image
Wireless
Wave Audio delivers ultimate immersion with new wireless earbuds
Wave Audio, one of Australia's best new audio brands, has recently released a set of landmark noise-cancelling true wireless earbuds, the Immersive Pro.