Demand for new phones are dropping!
How many times do you buy or upgrade your phone? Do you have to have the latest smartphone? Or are you happy with the one you have?
Well this year its proving that many people are either happy with the one they have, repairing their device or buying refurbished phones. The sales of smartphones saw a decline by 2.7% in the first quarter of 2019 which equates to 373 million units! That’s a lot!
With the US/China trade war currently on going and despite the absence from the US, Huawei maintained its number 2 position worldwide and reduced the gap with Samsung who currently holds the top spot.
The demand for premium smart phones remained lower then the demand for basic smartphones, and as we all know that’s all that Samsung and Apple produce, so this demand affected them massively! The 2 countries US and China both saw a decline by 15.8% and 3.2% in the first quarter.
Despite all this Samsung did manage to retain its top spot status in worldwide sales on 19.2% or the market share, however this still sees a decrease by 8.8%
Huawei achieved the highest at 44.5% closing the gap and continue to dominate Greater China where it has 29.5% of the market share.
Apple sold 44.6 million unites which was a decline by 17.6%. The price cuts of the devices helped with the demand but it just wasn’t enough for Apple this time!
Why is the market dropping? Why are people not buying new phones any more?
New phones are constantly being released but what really changes? To me, not much. Unless you are a tech wizard and can spot that the software has gone from version 5.4 to 5.5 then you deserve to be a tech wiz but if like me you just want a nice looking phone that takes decent pictures and can call & text then what really is the difference
So instead of buying the latest phone with the latest software that makes no difference to your every day at the extortionate price that they are, people are now buying refurbished phones at a fraction of the cost with many of the phones still in a ‘new’ condition and sold fully boxed and with all the latest accessories so that when you receive it, you won’t even know the difference (but your bank will)
At Revive My Device we sell refurbished iPhones, state the model, colour, storage capacity and 99.9% of the chance we will have it. Unfortunately Samsung do not sell refurbished phones in the UK yet – big market opportunity for them if you ask me.
What about repairs?
As mentioned not much will go wrong with the functioning of a 3 year old phone, accept for user misuse such as smashing the screen or taking it for a swim, but like everything it needs to be kept up to date. So do the software updates and check the battery life. We can do that here in store for free!
Repairs now are being made cheaper for 3rd party companies to carry out and so therefore its much cheaper to repair the damage to your phone over buying a new one.
What are your thoughts? Do you have to have the latest tech or would you buy a refurbished phone at a fraction of the price?