Refurbished Smartphones Are Entering the Mainstream — but Trust Still Determines the Sale

Awareness is high, but conversion remains limited

Across the five markets, 85% of respondents had encountered a refurbished product offer in at least one category. Smartphones were the most recognised refurbished category, with 67% awareness.

However, only 30% of respondents had ever purchased a refurbished smartphone. France recorded the highest adoption at 38%, while Germany ranked lowest at 25%.

This difference between awareness and purchase is commercially important. Consumers generally understand that refurbished smartphones are available, but many still need stronger reasons to choose one over a new device.

The opportunity becomes clearer when looking at repeat purchase intentions. While 40% of all respondents said they would probably or definitely consider a refurbished smartphone for their next purchase, this increased to 81% among consumers who had already owned one.

In other words, the hardest conversion is the first one. Once customers have a satisfactory experience, refurbished smartphones can generate strong repeat-purchase potential.

Refurbished is a value proposition — not only a sustainability proposition

Environmental protection is relevant, but it is not enough to close the sale. The study found that the most important purchase drivers were:

• Device condition: 69%
• Price advantage compared with a new device: 65%
• Availability of software updates: 58%
• Remaining warranty: 56%
• Sale through a manufacturer or trusted platform: 56%
• Environmental protection: 46%

The results suggest that refurbished smartphones should primarily be positioned as reliable devices offering attractive value for money. Sustainability strengthens the proposition, but it does not replace the need for competitive pricing, transparent grading and dependable after-sales support.

Consumer expectations are also demanding. Around 78% would accept only minor signs of wear, while 73% expected a refurbished device to be priced 25–50% below an equivalent new product.

This creates a difficult commercial balance. A refurbished offer must be visibly more affordable than a new device while still funding professional testing, repairs, data handling, warranty service, reverse logistics and customer support.

Trust is the central commercial barrier

The main concerns preventing consumers from purchasing refurbished smartphones were:

• Limited performance or functionality: 49%
• Lack of software support or updates: 44%
• Doubts about whether the warranty would be honoured: 44%
• Lack of a trustworthy certificate: 41%
• Insufficient cost savings: 39%

These are not abstract sustainability concerns. They are practical purchase risks.

A successful refurbished proposition therefore needs to reduce uncertainty before asking the customer to make a decision. Clear cosmetic grading, battery-health standards, diagnostic testing, software-support information and visible warranty conditions should be treated as core product information — not placed deep inside terms and conditions.

The seller’s reputation also matters. Refurbished devices offered by a recognised operator, retailer, manufacturer or certified specialist may be able to overcome some of the trust barriers faced by lesser-known marketplaces and private sellers.

Europe still has a large supply problem hiding in household drawers

The study also highlights a major challenge on the supply side of the circular device market.

After replacing a smartphone, 51% of consumers keep the old device. Around 22% retain it as a backup, while 21% simply leave it unused in a drawer. By comparison, only 10% sell the old device privately, 8% recycle it and 7% trade it in through a retailer.

Almost half of those keeping an old smartphone said they might need it again. Other barriers included uncertainty about what to do with the device, concerns about personal data and the effort required to return or sell it.

This demonstrates why trade-in cannot be treated merely as a promotional discount. It must be designed as a simple, trusted service that removes friction from the entire return process. Customers need:

• A clear and credible valuation
• Simple device-condition questions
• Convenient collection or drop-off
• Secure data-transfer and deletion options
• Transparent final inspection
• Fast and predictable payment

Secure data handling deserves particular attention. Services for data transfer and deletion were already known to 41% of respondents, while 15% had used them. Making these services more visible could remove one of the practical reasons consumers retain old devices.

Younger consumers are accelerating circular behaviour

Generation Z showed stronger engagement with refurbished devices than older consumers. Approximately 37% of Gen Z respondents had previously purchased a refurbished smartphone, compared with 18% of baby boomers. Half of Gen Z also expected to consider refurbished for their next smartphone purchase.

Younger respondents were more likely to repair devices as well. Around 33% of Gen Z had repaired their current smartphone, compared with only 8% of baby boomers.

At the same time, younger and technology-focused users tend to change devices more frequently. This combination makes them especially relevant to circular device models: they can become buyers of refurbished products, users of repair services and regular suppliers of relatively recent devices through trade-in programmes.

What does this mean for the Baltic device market?

The study does not include Latvia, Lithuania or Estonia, so its results should not be presented as direct evidence of Baltic consumer behaviour. Nevertheless, it identifies several priorities that Baltic operators, retailers, distributors and refurbishment partners should test locally.

1. 1. Build the proposition around trust

   A low price alone will not make refurbished devices credible. Offers should include transparent grading, battery-health thresholds, warranty terms, diagnostic standards and clear information about software support.

2. 2. Connect trade-in with the next purchase

   Trade-in should be integrated into device financing, upgrades, online checkout and retail sales conversations. It works best when returning an old device becomes a natural part of acquiring the next one.

3. 3. Treat data security as part of the product

   Secure data transfer and certified deletion can directly reduce customer hesitation. These services should be visible during valuation and sales — not introduced only after the customer agrees to trade in the device.

4. 4. Reduce operational friction

   Complicated condition questionnaires, uncertain valuations, inconvenient shipping and slow payments weaken conversion. The most effective propositions will make the circular option easier, not merely greener.

5. 5. Develop consistent quality standards

   The study found that 78% of respondents would be interested in certificates for quality-tested devices after repair or refurbishment. Consistent testing and grading standards could therefore become an important competitive advantage, especially in smaller markets where trust in the seller is critical.

The next phase is commercial execution

The refurbished market has already passed the awareness stage. Consumers know the category, and many are prepared to consider it. The remaining challenge is execution across the full device lifecycle.

For device businesses, the opportunity is broader than selling a second-hand phone. It includes sourcing, trade-in, residual-value management, diagnostics, repair, refurbishment, data security, warranty service and resale.

Companies that connect these elements into one credible customer journey will be better positioned to unlock devices currently sitting unused, improve affordability and create recurring value from the same hardware.

The circular device market will not scale through sustainability messaging alone. It will scale when choosing refurbished — or returning an old device — becomes financially attractive, operationally simple and commercially trustworthy.