HYLA Mobile's Q1 2018 trade-in data trends report indicates that US consumers received more than $479 million from smartphone trade-ins during the first quarter of 2018.
This represents a $35 million increase compared to the same period last year (Q1 2017). The late release of Apple’s iPhone X and the launch of the Samsung Galaxy S9+ had a big impact, driving trade-ins to improve affordability for the premium devices, said HYLA Mobile.
The key findings of the report highlight:
- US consumers are holding onto devices for longer: the average age of a smartphone at trade-in was 2.66 years, up from 2.49 years during Q1 of 2017 and 2.59 years from last quarter.
- The device with the highest trade-in value was the Apple iPhone X at $580 - showing that the latest iteration of the iPhone has lost almost half its value in just three months. This was followed by the Samsung Galaxy S9+, which had a trade-in value of $543.
- Of the top five most traded devices, the Apple iPhone 6 was the most traded at 39%. It was also the top-traded device in Q1 2017 at 34%.
- And perhaps unsurprisingly, the top 5 traded devices from Q1 2018 were all Apple iPhones - potentially due to the introduction of the iPhone X.
- The average trade-in value of an Apple iPhone in Q1 2018 was $163, more than twice the value of Android smartphones which, on average, returned $80EIP plans are now the norm for most US consumers, with 84% favoring them over standard contracts.
- With an overall perception of lack of innovation in the market, and the high-cost of new devices, mobile trade-ins are playing an important role in driving uptake of new devices. Carriers and retailers, along with OEMs such as Google, are taking a more aggressive stance with trade-ins and are having success with it.
Data from HYLA Mobile’s Q1 2018 trade-in trends suggests that trade-in values of smartphones have increased, as consumers hold onto their devices for longer—an extra 63 days than in Q1 2017. Increasing trade-in values is a way for operators to entice customers to upgrade.