A rising average price of new smartphone drove demand for refurbished smartphones higher in the first half of 2022 than for new ones.

According to top market research companies, executives and analysts, refurbished phone sales are growing in both offline and online segments as the industry expands beyond smartphone.

According to Glen Cardoza, senior research analyst at Counterpoint Research, refurbished smartphone are expected to grow rapidly due to the growth of the secondary market, consistent initiatives by the players, and increased consumer awareness of refurbished options.

In the first half of 2022, analysts estimate the smartphone market to have fallen 1% on year.

“We do not expect refurbished smartphones to grow as fast as they did last year (25 percent on year versus 7% growth for new devices) since pent-up demand is not that high,” he said.

In 2025, the segment is expected to double to $4.6 billion from $2.3 billion, according to industry lobbying group India Cellular & Electronics Association. As we move into the post-pandemic world, connecting everyone digitally is a high priority, especially for the Indian market, which still has more than 400 million feature phone users.