For those who want to get rid of their old iPhones by selling them, they better start soon or else the price will drop fast. On the other hand, it will be a a good season for most consumers who wants to snag a old and affordable smartphone from Apple.
More customers are moving to upgrade their smartphones more quickly, as US wireless carriers transition away from the two-year contract. That's creating a much bigger resale market for used iPhones that are just a year old, according to data shared with CNET from both eBay and Gazelle.
"I think we're seeing an underlying trend that upgrade cycles are accelerating," said Sarah Welch, chief marketing office for Gazelle, a retailer specializing in electronics trade-ins. "There's much more variation now with how people purchase or lease their phones."
Early upgrade programs from the major US carriers are encouraging this change in consumer behavior, with more people looking to move up to the latest models every year. Apple is also getting into the mix, unveiling this month the new iPhone Upgrade Program that lets users bump up to a new smartphone every year.
These annual upgraders could benefit customers who are just as happy with used year-old iPhones. On eBay, Amazon, Gazelle, Glyde and other resale sites, used year-old models of the iPhone 6 cost roughly $300 to $500, depending on the model. A new iPhone 6 starts at $550 without a contract.
The consumer shift toward speedier upgrades over the past two years could help Apple keep up demand for its latest phones. The iPhone now makes up two-thirds of the company's revenue, so maintaining interest for the devices is critical for the Cupertino, California, company.
On eBay, year-old models accounted for 43 percent of US iPhone sales during the first half of September 2013, the time of year a new iPhone is usually announced. That figure rose to 50 percent in 2014 and 52 percent this year. Gazelle experienced a similar bump, with year-old trade-ins on its site rising from 28 percent during the same time in 2013 to 42 percent this year.
More customers are moving to upgrade their smartphones more quickly, as US wireless carriers transition away from the two-year contract. That's creating a much bigger resale market for used iPhones that are just a year old, according to data shared with CNET from both eBay and Gazelle.
"I think we're seeing an underlying trend that upgrade cycles are accelerating," said Sarah Welch, chief marketing office for Gazelle, a retailer specializing in electronics trade-ins. "There's much more variation now with how people purchase or lease their phones."
Early upgrade programs from the major US carriers are encouraging this change in consumer behavior, with more people looking to move up to the latest models every year. Apple is also getting into the mix, unveiling this month the new iPhone Upgrade Program that lets users bump up to a new smartphone every year.
The consumer shift toward speedier upgrades over the past two years could help Apple keep up demand for its latest phones. The iPhone now makes up two-thirds of the company's revenue, so maintaining interest for the devices is critical for the Cupertino, California, company.
On eBay, year-old models accounted for 43 percent of US iPhone sales during the first half of September 2013, the time of year a new iPhone is usually announced. That figure rose to 50 percent in 2014 and 52 percent this year. Gazelle experienced a similar bump, with year-old trade-ins on its site rising from 28 percent during the same time in 2013 to 42 percent this year.
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