Smartphone businesses dominate the tech market. A growing dependence on these devices paints a clear picture of future market health, indicating a robust industry for years to come. Thus, those looking to start a cell phone business must prioritize two other considerations: uniqueness and potential. Phone-n-Fix’s cell phone store franchise opportunity is innovative and enterprising while responding to a market need that is steadily gaining momentum. As the leading premium cell phone reseller, Phone-n-Fix’s wireless retail franchise is positioned for longevity in this bustling market.
As more wireless providers move away from two-year contracts into one-year lease or upgrade programs, more people are selling or trading their old devices to used cell phone retailers. According to a recent study, 64 percent of smartphone owners consider secondhand options for their used phones when they upgrade. Of that percentage, 41% will trade or sell their old smartphone privately while 23% will pass their phone down to someone else.1 Combined with the support of our approved vendor and supplier network, this increased participation in the pre-owned market means that our cell phone store franchise owners will have a robust supply of premium product to offer their customers to start a cell phone recycling business.
The pre-owned market is particularly attractive to those who are ready to upgrade, yet want to avoid the costs of a brand new device. Used cell phones have become an increasingly common alternative. In fact, experts predict that at least 10% of the premium smartphones purchased in 2016 will have a lifespan of three or more owners before being retired, and will still be in active use in 2020.2 By then, the pre-owned market is estimated to have reached $30 billion, with the average used device selling for $136.3
Experts have already noted 50% year-over-year growth in the used cell phone market during the last year, bringing revenue to an impressive $17 billion.4
Don’t miss out on an opportunity to enjoy this niche’s growth as a Phone-n-Fix wireless retail franchise owner. Download our free brochure to learn how our cell phone store franchise concept revolutionizes the repair niche with its premium offering of certified pre-owned smartphones.
1 Upgrades Fueling Second Hand Smartphone Sales Boom, Says Gartner. Lomas, Natasha. Techcrunch.com, Feb 18, 2015. https://techcrunch.com/2015/02/18/reuse-dont-recycle/
2 Used Smartphones: The $17 Billion Market You May Never Have Heard Of. Deloitte Global. 2016. https://www2.deloitte.com/content/dam/Deloitte/global/Documents/Technology-Media-Telecommunications/gx-tmt-prediction-used-smartphones.pdf
3 Worldwide Market for Used Smartphones Forecast to Grow to 222.6 Million Units in 2020, According to IDC. International Data Corporation. Nov 21, 2016. https://www.idc.com/getdoc.jsp?containerId=prUS41929916
4 Deloitte Global, ibid.