India’s refurbished smartphone volumes rose 13% year-on-year in the first half of 2026, even as sales of new devices fell around 11%, indicating that rising handset prices have pushed consumers towards lower-cost alternatives.
According to Counterpoint Research, the divergence points to a widening affordability gap in the handset market. Prices for smartphones have climbed, particularly in the cost sensitive entry and mid-range segments. There buyers are thereby relying on used premium devices instead of trading up to a new mid-range phone.
A refurbished flagship, with a better camera, display and processor, is proving a more attractive purchase than a brand-new mid-tier model at a similar price point, according to analysts.
By brand, Samsung held the largest share of the refurbished smartphone market at 30%, followed by Apple at 23% and Vivo at 10%. Apple’s position is being helped by strong secondary demand for the iPhone 13, which analysts said is a combination of a premium experience with a lower price tag. Samsung, meanwhile, has its own certified refurbished program to add structure and credibility to the category.
“Rising memory prices are changing the value equation for consumers. As the cost of new smartphones increases, refurbished devices offer a more affordable way to access premium specifications,” Senior Analyst Prachir Singh said.
Exchange and trade-in programs have also emerged as a key supply driver for the secondary market, which aid better valuations and instant discounts. This has encouraged consumers to return older phones rather than let them sit unused or move through informal resale channels.
However, informal trade still constitue the dominant market. The organized channel, comprising established retailers, OEMs, and dedicated recommerce platforms accounts for only about 20% of volumes, while roughly 80% continues to run through the unorganised sector. This gap provides significant headroom for formalisation, leading to a growing institutional interest in the space.
Research director Tarun Pathak said that recommerce platform Cashify remains a leading organized player and has reportedly flagged plans for an early-2027 listing, a sign, he said, is of the scale and maturity the market is reaching. Newer entrants such as ControlZ, GREST and Budli are also expanding the organised ecosystem.
Counterpoint expects India’s refurbished smartphone market to grow 16% for 2026, with the festive season and new flagship launches in the second half expected to spur fresh trade-ins and boost the supply of recent-generation devices entering the secondary market.