US refurbished machine craze hit Samsung Apple

In 2017, Apple and Samsung Electronics launched a wave of product prices, high-end mobile phone prices almost equal to 1000 US dollars, the media questioned whether such a high price can be consumer acceptance.

According to foreign media latest news, Samsung and Apple’s high price policy is producing some negative effects, including high-end mobile phone market in the United States, more and more consumers to buy refurbished machines, a mobile phone history as many as 34 users, which Affected Samsung Apple’s new handset sales.

According to an authoritative financial media in the United States, more consumers in the United States choose to buy refurbished machines for older cell phones or use their old cell phones for longer, and they will not choose to buy expensive new phones.

In the past, refurbished mobile phones were only popular products in countries in Asia, Africa and Latin America. In the United States and other countries, in the past, carriers’ mobile phone subsidy system was implemented. After the expiration of the two-year contract, operators or handset manufacturers will have a large number of old mobile phones in hand and handset manufacturers will conduct official refurbishment to replace the parts or the shell and ensure that mobile phones Continue to be available, in addition to provide a new warranty policy. These refurbished handsets are being sold to countries in Asia, Africa and Latin America that have less spending power.

Earlier, Apple also plans to sell official refurbished machines in India, as the price of new iPhone products in the Indian market is more than $ 1,000, far exceeding the national consumption power. However, the government of India rejected Apple’s proposal to sell refurbished machines that would damage the rights and interests of Indian consumers and affect the handset manufacturing and cell phone brands in India.

It is reported that North American refurbished machines have also emerged in a popular trend. The auction website B-Stock told the media that in five years ago, the United States accounted for only about half of the phones auctioned by the company, but its share has now risen to 93%.

Statistics show that nearly 10% of smartphones sold in the world are refurbished machines. In this way, refurbished handsets have become the fastest growing segment of the smartphone market.

Statistics from various agencies showed that for the first time in the global smart phone market last year, the annual decline was witnessed. About a 10% sharp drop occurred in the Chinese market. Many second and third tier brands are withdrawing from the mobile phone market. In the US mobile phone market, sales have lost momentum, but no major downside.

In addition to refurbished machines boom, other factors that affect consumers to buy a new phone also includes the US carrier to cancel the subsidy system. In the past, the subsidy for many high-end handsets was only $ 199, putting almost no pressure on consumers.

But nowadays, consumers need the full price to buy high-end phones from Samsung and Apple. Although handset makers and operators generally provide installments (for example, they can be paid in installments in two years or three years), the $ 1,000 price is still a burden (the average monthly salary for Americans is $ 4,000, and a handset is equivalent to One week’s salary).

According to the analysis, the mobile phone market innovation degree of decline, manufacturers make up for the upgrade mode, which also affected the consumer interest in buying a new cell phone.

It is reported that the current US consumer use of a cell phone cycle has increased by 8 months compared with 2013, extended to 31 months, next year will be extended to 33 months.

Last year, Apple Inc. introduced the iPhone X to commemorate the tenth anniversary of entering the mobile phone market, but various data show that the phone sales are bad. In the case of the release of three mobile phones, Apple’s mobile phone sales in the fourth quarter of last year, once again fell into the quagmire of decline.

Nikkei News reported that Apple has half the iPhone X production plan in the first quarter to 20 million. Affected by the iPhone X, Samsung Display Company was also forced to reduce the OLED screen production Liu Cheng, iPhone X also hit parts suppliers in Taiwan.

Although the iPhone X increased the average selling price of Apple’s mobile phones, but its sales weakness, the high price of $ 1,000 to Apple has had some negative effects.

Among the new handsets released this year, whether Apple will learn the lesson and reduce the retail price of high-end handsets is noteworthy.