Mobile Device Trade-In and Upgrade Programs Return More Than $3 Billion to US Consumers In 2021
22 Februar 2022 - 2:30PM
Business Wire
Trade-in programs return more than $1 billion
to U.S. consumers in Q4 2021 alone, according to Assurant data
Assurant, Inc. (NYSE: AIZ), a leading global provider of
lifestyle and housing solutions that support, protect and connect
major consumer purchases, today reveals that $3.1 billion was
returned to U.S. consumers in 2021 through mobile device trade-in
and upgrade programs. This is almost $1 billion more than the $2.1
billion returned in 2020, and even exceeds pre-pandemic levels of
$2.4 billion in 2019, according to Assurant’s 2021 Annual Trade-in
and Upgrade Industry Trends report.
Assurant also issued a report revealing insights specific to Q4
of last year. According to the report, in Q4 2021, $1.1 billion was
returned to U.S. consumers via trade-in and upgrade programs, a 40%
increase from $757 million in Q3 2021, and a 34% year-on-year
increase. In addition, there was a 220% increase in online
trade-ins from Q4 to Q3 2021 and a 42% increase over Q4 2020.
Assurant’s data highlights the significant role trade-in and
upgrade programs are playing in the move to 5G. Consumer adoption
of 5G is reliant on commercially available 5G devices, and
according to recent research by the Global Mobile Suppliers
Association (GSA), over 850 5G-enabled models were commercially
available by the end of 2021. Programs that make upgrading to these
devices more attractive and affordable are having a significant
impact on the market.
Key device findings from Assurant’s 2021 Annual Trade-in and
Upgrade Industry Trends report include:
- iPhones continued to lead the top five devices turned in
through trade-in and upgrade programs in 2021. The top traded
devices of the year were: iPhone XR, iPhone 11, iPhone 8, iPhone 8
Plus and iPhone X.
- The Samsung Galaxy S9 was the top traded Android device of
2021.
- The average trade-in value for an iPhone in 2021 was $199,
while the average trade-in value for an Android smartphone was $98.
Overall, the average value of a smartphone at trade-in was $140, a
13% increase from $124 in 2020.
For Q4 specifically, Assurant’s report reveals:
- The iPhone XR was the top turned in device for the fourth
consecutive quarter and, in Q4, made up 33% of the top five traded
devices.
- The average age of devices at trade-in decreased in the fourth
quarter, a trend typically seen in this quarter. In Q3 2021,
iPhones were 3.39 years and Androids were 3.08 years at trade-in;
in Q4 2021, iPhones were 3.36 years at trade-in and Android devices
were 2.96 years.
- There was an anomaly in Q4 in the average trade-in value for
devices, which saw an unusual dip of 10% compared to Q3 2021. The
average trade-in value of a smartphone in Q4 was $136, compared to
$150 in Q3.
- For wearables, the Apple Watch Series 6 had the highest
trade-in value at $183.68.
“Q4 is traditionally a strong quarter for trade-ins and upgrades
thanks to new smartphone releases, sales periods like Black Friday
and Cyber Monday, along with holiday shopping. Remarkably, this
past Q4 saw trade-ins and upgrades skyrocket—putting over $1
billion into US consumers' pockets and contributed to a
record-breaking year which is truly incredible and shows just how
important trade-in and upgrade programs are to move consumers to
5G,” said Biju Nair, EVP and President, Global Connected Living at
Assurant.
“Many operators, OEMs, retailers and cable companies run
trade-in and upgrade promotions to encourage the move to 5G, and
these incentives are clearly working. We also see more consumers
making their trade-ins online, which undoubtedly is providing a
boost to the overall trade-in metrics. And, for additional trade-in
convenience, we have enabled capabilities like ‘take home-trade
later’, which allows consumers to purchase a device in store and
trade-in their older devices from home later,” added Nair.
Assurant’s report provides insights into trade-in and upgrade
trends in North America. Using data from Assurant’s Device IQ
analytics platform, as well as industry market data, the report
identifies the top smartphones and wearables turned in through
trade-in and upgrade programs during the quarter, as well as the
average age and value of devices at trade-in and upgrade.
The Assurant 2021 Annual Mobile Trade-in and Upgrade Industry
Trends report is available to download here.
The Assurant Q4 2021 Mobile Trade-in and Upgrade Industry Trends
report is available to download here.
About Assurant
Assurant, Inc. (NYSE: AIZ) is a leading global provider of
lifestyle and housing solutions that support, protect and connect
major consumer purchases. Anticipating the evolving needs of
consumers, Assurant partners with the world’s leading brands to
develop innovative products and services and to deliver an enhanced
customer experience. A Fortune 300 company with a presence in 21
countries, Assurant offers mobile device solutions; extended
service contracts; vehicle protection services; renters insurance;
lender-placed insurance products; and other specialty products. The
Assurant Foundation strengthens communities by supporting
charitable partners that help protect where people live and can
thrive, connect with local resources, inspire inclusion and prepare
leaders of the future.
Learn more at assurant.com or on Twitter @AssurantNews.
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version on businesswire.com: https://www.businesswire.com/news/home/20220222005064/en/
Media Contact: Andy Mus Director, External Communications
770.763.1694 andy.mus@assurant.com
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