The value of device trade-ins in the US increased 25 per cent year-on-year in Q1, spurred by demand for and promotions of 5G devices, figures released by Assurant showed.
Assurant’s research is based on long-standing analysis from used device specialist Hyla Mobile, which it acquired in October 2020. It showed trade-ins raised $668 million during the opening quarter compared with $535 million in Q1 2020, with Apple models remaining top of the heap overall and Samsung’s Galaxy S9 leading the Android charge.
Apple devices returned a typical trade-in value of $192 in the recent quarter, around $100 more than the average Android device, with a mean age across all smartphones of 3.15 years.
In a blog, Hyla Mobile explained the annual increase was fuelled by demand for 5G models, which it describes as a “game-changer for trade-in and upgrade programmes”.
It noted consumers “have been waiting for the innovation” 5G devices offer and the creation of compelling offers around the next-generation devices along with “using trade-in and upgrade programmes as a vehicle to attract new customers” would be a key driver of “new device sales”.
US operators are already stepping-up such efforts.
Verizon yesterday (1 June) commenced a free 5G device offer for new and existing customers who trade-in smartphones when they take an unlimited plan.
T-Mobile US is offering to help post-paid customers clear outstanding balances on smartphones up to half of the value of the device, while AT&T is running promotions involving Apple’s iPhone 12 Pro Max and Samsung’s Galaxy S21.Subscribe to our daily newsletter Back