A refurbished phone is a communication device that was previously used and has been restored to a specified condition. From lower phone prices to the growing focus on shrinking corporate carbon footprints, here are a few of the biggest advantages of being able to provide refurbished phones to wholesale clients and customers.
Refurbished Phones Are Budget-Friendly
The global average selling price of a new smartphone was $363 in 2021. This average skews low when the manufacturer’s suggested retail price for premium iPhone models is over $1,500. No matter which phone models a distributor or seller plans to stock, it is always the case that refurbished phones cost less than the same models sold as new.
Distributors and sellers can save by buying refurbished models of the latest releases, such as the iPhone 13 Pro and Pro Max, the Samsung Galaxy S22, the Galaxy S21, and the Galaxy Note 20. Today’s Wholesale Closeout members can compare the prices and availability of these and other makes and models of brand-new and refurbished phones.
The price point for a refurbished version of a phone can be hundreds of dollars less than the MSRP. Refurbished phones offer all of the same features as new phones, and distributors and sellers can also choose to cover these products with warranties or allow consumers to exchange phones in accordance with set terms.
More Customers and Clients Want Refurbished Phones
In a 2018 survey of Consumer Reports members, 82% of respondents reported being highly satisfied with refurbished phones they had purchased since January 1, 2016. The fact that 67% reported having no complaints, compared to 69% of new smartphone owners who participated in the same survey, suggests a growing majority of clients and consumers are open to buying or actively seeking refurbished phones.
Sellers and distributors should consider stocking refurbished options of popular phone makes and models. Budget-conscious consumers are more likely to select these options and continue to purchase refurbished phones when the grade of each of these products is clearly indicated.
It is also important to check the grade of phones that distributors and sellers order for inventory and to ensure that the marketing and pricing of these phones correspond to the actual condition. Maintaining consumer confidence is key for repeat purchases of refurbished devices.
The Different Grades of Phones
Distributors and sellers considering ordering refurbished phones wholesale should be aware of the grades used to indicate the condition of these devices. Brand-new phones are sold in the original sealed box with the original accessories. Kitted phones are also new, but are bundled for sale with new or like-new accessories.
Factory-refurbished phones are reconditioned and packaged with accessories in a generic box. There are three sub-categories that describe the exact condition of each device. A-stock phones are lightly used and have minor nicks or scratches. B-stock phones have moderate usage and have medium nicks or scratches. C-stock phones are heavily used and have significant nicks or scratches.
When sellers and distributors order refurbished phones to sell, it is important to check the make, model, and grade of the phones sourced. This information is helpful for keeping inventory records and should be made available to consumers, so they can make more informed phone purchasing or upgrade decisions.
Refurbished phones can offer clients and customers years of use, and are also a cost-effective and more environmentally friendly alternative to buying brand-new phones every few years or more frequently. Factory-refurbished phones are reconditioned, but not brand new, and grades such as A-stock, B-stock, and C-stock enable distributors and sellers to source refurbished wholesale phones of any condition for sale.