Latin America Refurbished and Used Mobile Phones Market 2024–2033

Reports Description

According to Custom Market Insights (CMI), Latin America Refurbished and Used Mobile Phones Market size was estimated at USD 3.04 Billion in 2021 and is expected to reach USD 4.3 Billion in 2022 and is expected to hit around USD 8.79 Billion by 2030, poised to grow at a compound annual growth rate (CAGR) of 12.77% from 2022 to 2030.

Our recently published report, “Latin America Refurbished and Used Mobile Phones Market”, offers a comprehensive and deep evaluation of the market stature. Also, the market report estimates the market size, revenue, price, market share, market forecast, growth rate, and competitive analysis.

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Latin America Refurbished and Used Mobile Phones Market Overview

A refurbished phone is a secondhand phone sold by an individual to a network, manufacturer, or retailer. The phones are tested, repaired, and certified to verify that they meet the specifications. The fixed phones are also for sale at a reduced price. Because of the availability of new smartphone technologies, the total cost of smartphones has risen. As a result, shoppers in developing countries are hesitant to spend huge sums on the latest mobile phones and instead go for secondhand devices. A year or two-year-old refurbished model would give roughly the same utility, and the technology is up to date.

Used phones are cell phones that have been used by consumers and then sold to other customers through market re-commerce platforms. Because customers must inspect the phone's functioning condition and functionality, used phones are rarely the consumer's first choice when acquiring a phone. As a result, refurbished phones have increased in popularity since they already have all of the inspections, and the customer does not have to spend extra time guaranteeing the quality. In addition, used phones are less expensive than new counterparts on the market, enabling middle-class customers to pick in excellent condition and inexpensive used phones.

Latin America Refurbished and Used Mobile Phones Market: COVID–19 Impact Analysis

The lack of raw materials like semiconductors in Latin America during the pandemic, owing to the closure of international borders, to contain the spread of the COVID-19 virus had negatively impacted the supply chains. It hampered the export and import of essential raw materials and smartphones globally. This created a new opportunity for the vendors operating in Latin America's refurbished and used mobile phones market. The increased demand for second-hand phones during the pandemic is expected to have a long-term impact on the Latin American market due to changes in consumer buying and consumption behavior.

Therefore, the COVID-19 pandemic had a slightly negative impact on the market's revenues. However, it boosted the demand for refurbished and used phones across the globe and positively impacted the market by creating a tremendous growth opportunity for the vendors operating in Latin America refurbished and used mobile phones market.

Latin America Refurbished and Used Mobile Phones Market: Growth Drivers

Introduction of technology

The advent of new technologies in the electronics and communication field provides a chance for mobile companies to introduce new mobile phone models in the market. The features, specifications, and software of mobile phones are designed to improve performance and provide a unique experience to the consumer. The availability of such mobile phones in the market entices the consumer's interest and encourages them to go for the new product.

The increasing introduction of new mobiles in the market and the growth rate of purchases of new phones by consumers are affecting the sales of refurbished and used mobile phones. The new phones are also restraining growth, and the increasing awareness of new phones discourages consumers from going for refurbished ones.

Increasing sustainability

Environmental degradation is one of the biggest threats that the earth is facing. The increasing rate of environmental degradation is causing an adverse effect that is giving rise to the adoption of eco-friendly products in the Latin American market. Latin America produces 145,000 tons of waste every year, and the harmful chemical in the plastic contaminates the water, leading to several human diseases. Therefore, sustainability is one of the most important goals for humanity to maintain, and it would help reduce environmental damage.

The refurbishment of mobile phones is the best way to reduce the amount of electronic waste in the environment, and it encourages price-sensitive consumers to purchase mobile. In addition, the availability of refurbished products in the Latin American market is helping to increase awareness and sales by promoting their product detail in the market.

Latin America Refurbished and Used Mobile Phones Market Segmentation Analysis

The refurbished and used mobile phones market is segmented based on type, price point, and region. First, based on type, it is segmented into refurbished and used phones. Based on the price point, it is low-priced, mid-priced, and premium. Finally, region-wise, it is analyzed across Latin America (Brazil, Argentina, and the rest of Latin America).

According to refurbished and used mobile phones market analysis, based on type, the refurbished segment gained a significant share in the Latin American market in 2021 and is expected to sustain its market share during the forecast period as the availability of refurbished smartphones is higher compared to used mobile phones and the population is highly interested in getting a hands-on experience of the new devices. In addition, introducing or launching new devices in the region has encouraged consumers to shift to the use of new phones, creating a surplus volume of used phones in the market. Furthermore, growth in the popularity and feasibility of high-performing phones propels sales of refurbished and used mobile phones among the population across the region.

According to refurbished and used mobile phone market trends, based on price point, the mid-priced segment gained a significant share in the Latin American market in 2021 and is expected to sustain its market share during the forecast period. A consistent increase in disposable income and growing interest in high-performing quality phones is increasing the support for the sales of mid-priced refurbished and used mobile phones during the forecast period. In addition, the increasing launch of new models of smartphones is affecting the price of the old models as it becomes more affordable for the population to purchase.

Based on country, Brazil dominated the refurbished and used mobile phones market in 2021 and is expected to remain dominant during the refurbished and used mobile phones market forecast period. The market's supremacy is primarily attributed to customers' extensive product knowledge and the region's growing interest in high-performance smartphones. In addition, Latin America is distinguished by developing countries, a growing interest in technology, and a strong demand for high-quality intelligent gadgets. These factors increase the population's need for refurbished and used mobile phones.

In addition, the growing awareness about the benefits of using refurbished phones in the population of Brazil, Argentina, and developing countries is helping to increase the demand for gadgets. The benefits are that refurbished phones help to reduce electronic waste, encourage sustainability, and offer better products at economical pricing.

Furthermore, expanding e-commerce platforms and increased investment in the refurbishing industry drive market development. In addition, the advent of 5G services throughout the area is increasing smartphone sales, and it is projected that with further expansion, the market need for new smartphones will offer an equivalent growth potential for refurbished and used phones.

Report Scope

Key Insights:

• Based on type segmentation, the refurbished phones segment is estimated to hold the largest market share during the forecast period.
• Based on price point, the mid-priced segment is the leading revenue-generating category during the forecast period.
• Based on geography/country, Brazil was the leading revenue generator in 2021.

Recent Development

• In September 2022, Apple, Inc. introduced all the models of refurbished iPhone 12 to be kept up for sale. Previously Apple was involved in selling iPhone 11 and its predecessor models.

Regional Landscape

Throughout the projection period, the Latin America region will likely remain one of the most appealing regions, accounting for the bulk of market revenue. Brazil stands out for its high level of disposable money, increased interest in technology, and high demand for high-quality intelligent gadgets. These reasons contribute to a greater need for refurbished and used mobile phones. Furthermore, market development is driven by the rise of e-commerce platforms and a more excellent investment in the refurbishment sector.

The introduction of 5G services throughout the region is growing smartphone sales, and it is expected that as the market for new smartphones expands further, the need for refurbished and used phones will offer equivalent development potential.

Competitive Landscape

Our report offers quantitative and qualitative insights into the refurbished and used mobile phones market and significant development initiatives adopted by the key players. Further, it provides competitive details and market share analysis. The report further includes relevant financial information, products and services offered, SWOT analysis, and the players' recent developments.

Prominent Players:

• Apple Inc.
• Amazon
• Samsung
• Verizon Communications, Inc.
• Cashify
• Walmart
• eBay
• Paytm
• Huawei
• Yaantra
• AT&T Inc.

The Latin America refurbished and used mobile phones market is segmented as follows:

By Type Analysis

• Refurbished Phones
• Used Phones

By Pricing Range Analysis

• Low-priced Refurbished and Used Mobile Phones (Less than $200)
• Mid-Priced Refurbished and Used Mobile Phones ($200-$500)
• Premium Refurbished and Used Mobile Phones (More than $500)

By Sales Channel Analysis

• Online/ e-Commerce Sales of Refurbished and Used Mobile Phones
• Refurbished and Used Mobile Phones Sold at Physical Retail Stores

By Application Analysis

• Individual
• Businesses

By Region/Geography

• Latin America
• Brazil
• Argentina
• Rest of Latin America