5G, AI reshape mobile trade-ins in record-breaking Q3

Recording a three-month period in which a number of milestones were reached, both in terms of revenue and device type, Assurant’s Mobile trade-in and upgrade industry trends report for the third quarter of 2024 has revealed a marketplace in which a total of $1.09bn was returned to consumers – representing a significant leap in value that highlights the growing popularity of trade-in programmes and the secondary device market – with 5G devices taking an unprecedented lead as regards the top products traded in.

What makes the value figure so notable, said the report, was that historically, the fourth quarter of the year marks the peak of the trade-in cycle, when trade-in programme returns to customers surpass the $1bn mark in total returned value to consumers. This is the first time that milestone has been reached in any third quarter in the history of the report.

Looking at general device age trends, the report found that while consumers were generally holding onto devices for longer year-over-year, the average age of devices turned in from trade-in and upgrade programmes decreased for the first time in 2024.

The iPhone saw a meaningful decline in average age, while Android devices are trending younger by an average of 4% each quarter in 2024. The average age of iPhone and Android trade-in devices at turn-in was 3.69 and 3.38 years respectively.

From a device perspective, the report also showed the acceleration of consumers turning in 5G-enabled devices across both Android and iPhone models. Specifically, the three-year-old iPhone 13 became the most turned-in device from trade-in and upgrade programmes this past quarter, surpassing the iPhone 11 and iPhone 12.

The iPhone 11 held the top spot for nine consecutive quarters and the iPhone 12 held the number-two position for four consecutive quarters. The iPhone 13 accounted for 23.2% of the top five trade in devices.

The Galaxy S22 Ultra 5G overtook the Galaxy S21 as the leading Samsung model and most traded-in Android device. The S21 had held the top position for the past five quarters.

Biju Nair, executive vice-president and president of global connected living and international at Assurant, said the findings demonstrated the ubiquity of 5G technology and the strength of the secondary device market.

“With the recent introduction of new devices that feature capabilities such as AI, consumers are trading in newer, 5G-enabled devices and benefiting from their higher value – which in turn increases the availability of faster connectivity for secondary device consumers,” he said. “We’re proud that Assurant plays a vital role in expanding global access to 5G capabilities by helping bridge the digital divide through our mobile trade-in and upgrade programmes while promoting circularity.”