We have for you some figures that may help you understand the economics of the phone resale markets these days.
A comparative study conducted by Pricenomics, an organization which analyses the resale value of commodities like cars and gadgets, has found that the value of smartphones deprecates fast and most of them retain not even half of their original price on a resale.
However, iPhone is a notable exception, says the study, which found that iPhone retains more of its original value even after four years when compared to Android and BlackBerry counterparts.
Pricenomics has compared the resale values of smartphones from Apple, Android and BlackBerry. For the purpose of the study, they have compared the current used price of a phone to its price without contracts, on the day it was released.
The study compared all iPhone models and 70 most popular Android and 30 popular BlackBerry models. They have put these phones into five different groups based on the years of their release and then compared the resale values.
The overall trend of the findings showed that expensive phones were more likely to retain their original price on a resale, than less expensive ones, and ultimately iPhone came out on top.
The study found that an iPhone owner was able to retain 53 percent of the original price of the phone even after using it for 18 months, while Android and BlackBerry owners were able to retain only 42 percent and 41 percent of the original price respectively, after the same period of time.
However, the trend is different among less expensive Android phones which are often sold at subsidized rates by network carriers.
Pricenomics found that less expensive Android phones like Motorola Triumph, HTC Wildfire and Samsung Exhibit 4G were much better in retaining their resale value.
On an average, these devices were able to get up to 86 percent of the original value. Does the outcome of the study make you surprised? Let us know.