Refurbished iPhones are often seen as a more affordable and sustainable option compared to brand-new devices. However, many consumers find that refurbished phones are sometimes more expensive than comparable new models. This may seem surprising, but it has an understandable explanation when you consider the refurbishment process and the Dutch market for second-hand smartphones.
Labor in the Netherlands is more expensive than in China, Vietnam and India
A key reason refurbished smartphones are sometimes more expensive is the use of specialized technicians in the Netherlands. Refurbishing a used smartphone is a labor-intensive process that involves testing and replacing defective parts, and thoroughly inspecting the device. At leapp, this work is done in local workshops by skilled technicians who maintain high quality standards to ensure a refurbished device is reliable and durable. The higher labor costs in the Netherlands mean that the price of a refurbished device can be higher than you might expect based solely on the purchase price.
Maintenance and replacement of parts for newer smartphones
When refurbishing more recent smartphones, such as the iPhone 14, 15, or 16, expensive replacement parts are often used. These are high-quality parts, such as batteries, screens, or other critical components. Using these new or nearly new parts not only reduces the quality and lifespan of the refurbished device, but also increases the cost. In some cases, this can bring the price of a refurbished model close to or even higher than that of a new device. You could say: never worth it! But at leapp, we believe we need to share the truth, and we've noticed a desire among our customers to consider not just the cost... but also the impact.
New smartphones are mass-produced and cheaply
New devices are mass-produced, usually in low-wage countries like China, India, Vietnam, or other Asian countries. Efficient mass production, automation, and lower labor costs allow manufacturers to offer new smartphones at relatively low prices. This explains why new models are often inexpensive, despite the advanced technologies they contain. Mass production results in a lower purchase price, which is also reflected in the consumer price.
Minimal depreciation on new equipment
A new device has experienced little to no depreciation. This means the original price is often used as a reference price by consumers and providers. Refurbished devices often have to recoup the costs of reconditioning, used parts, and labor, meaning the price isn't always much lower than that of a new model. Furthermore, refurbished devices are scarce and labor-intensive to produce, which can drive up prices.
In short
The higher price of some refurbished smartphones has several causes:
- The use of specialized Dutch technicians and the associated higher labor costs.
- The use of high-quality replacement parts, especially in newer models.
- The minimal depreciation of new smartphones, which keeps the new price relatively high.
- The serial production of new devices in low-wage countries, which makes new models cheaper to produce.
- Limited inventory and labor-intensive overhaul work that cannot be discounted without higher prices.
That's why the price difference between refurbished and new isn't always significant, and refurbished can even be more expensive than new. Choosing a refurbished smartphone isn't just about price, but also about sustainable choices, higher quality, and responsible repairs with a focus on the long term.
