India's Refurbished Phone Market Grows 13% as New Device Prices Rise
Consumers are shifting to used flagships due to high new phone costs, with the informal sector dominating sales.
Key points
- Refurbished smartphone sales in India rose by 13% in H1 2026 while new phone sales fell by 11%.
- Samsung and Apple hold the top market shares, with the iPhone 13 being a particularly popular model.
- Approximately 80% of the market remains informal, with organized channels accounting for only 20%.
The market for pre-owned smartphones in India is experiencing a significant boom as the cost of new devices continues to climb. According to data from Counterpoint Research, sales of refurbished phones increased by 13 percent in the first half of 2026. This growth occurred even as sales of brand-new smartphones dropped by approximately 11 percent during the same period, indicating a clear shift in consumer behavior.
This trend reflects a practical adjustment to rising prices. Rather than buying new entry-level or mid-range models that offer limited features, many buyers are opting for older flagship devices. These used premium phones often provide superior cameras, displays, and processing power at a lower price point, offering better value for money.
Major brands lead the shift
Samsung has captured the largest share of this growing market, accounting for 30 percent of refurbished sales in the first half of the year. Apple follows closely with a 23 percent share, showing strong demand for older iPhone models. The iPhone 13, in particular, has become a popular choice because it balances high-end capabilities with an accessible price tag for buyers looking for premium features without the new-device premium.
Informal trade dominates sales
Despite the growth, the majority of these transactions still happen outside of regulated channels. The organized retail sector, which includes certified refurbishers and official trade-in programs, represents only about 20 percent of the market. The remaining 80 percent is handled by informal sellers, which often lack standardized quality checks and warranties.
Companies like Cashify and ControlZ are working to change this dynamic by offering certified devices with better transparency. However, the dominance of the unorganized sector means that many buyers still face risks regarding device condition and longevity. As reported by varindia.com, this gap presents an opportunity for manufacturers and retailers to professionalize the industry through better quality assurance and consumer protection.
Future growth and sustainability
Analysts expect the refurbished smartphone market to expand by another 16 percent in 2026. This growth is driven by higher prices for new phones and a broader acceptance of pre-owned technology. The trend also supports a more circular economy by extending the useful life of devices and reducing the volume of electronic waste generated by frequent upgrades.
