By Stu Woo

KC Lau wanted Samsung Electronics' folding phone, but not at $1,900. So she found an increasingly popular workaround: the secondhand market.

Lau bought a used Samsung for $500 on eBay three months ago. It's working well. "I honestly don't see why everyone doesn't do this," said Lau, a 55-year-old nanny in Phoenix. "I can have this phone and feel like I can still pay rent."

More and more shoppers are saving money with secondhand phones -- and their experiences can guide anyone looking to replace their current one. While most buyers still want a new device, those looking for an alternative will find that mobile carriers, retailers and even Apple and Samsung themselves are stepping up their used-phone offerings.

More than 208 million used phones were shipped worldwide in 2024, up 7.1% from a year earlier, according to market research company IDC. The market is valued at $75 billion, with North America accounting for more than a third.

Used devices represented 14.4% of global phone sales last year, and IDC projects that figure will reach 16.6% by 2029.

Driving the trend are people such as Lau, who want a premium experience without the price tag. Top-end Apple iPhone and Samsung devices that are a generation or two old are popular, said IDC analyst Anthony Scarsella.

"Instead of buying a new Honda Accord, you buy a BMW 3 Series that's a couple of years old," he said. While a new iPhone 16 Pro Max starts at $1,199, a secondhand iPhone 14 Pro Max can go for $500.

Another reason: "Phones are flat out lasting longer," said Sean Cleland, an executive at B-Stock, a big platform for secondhand phones. "The glass is less likely to crack. The software, the operating system is getting longer support."

In 2016, Americans held on to their phones for an average of 2.38 years before trading them in or upgrading, according to trade-in provider Assurant. That figure has crept up, to 3.64 years last year.

The used-phone industry has matured, with companies inspecting and testing devices before resale. Shoppers can access Carfax-like reports detailing a phone's test results and ownership history.

Instead of nudging shoppers toward new devices, mobile carriers, phone makers and retail chains including Best Buy have embraced the trend. Apple wants to keep people on Apple devices, Scarsella said, while a carrier could lure a customer from a rival with a deal that includes a secondhand phone.

People looking for deals on used phones should monitor promotions from carriers, Scarsella said, because they can subsidize the device's cost with a service plan.

Big retailers and phone companies offer warranties and returns, and shopping from known brands also minimizes the risk of buying a stolen phone.

Lau prefers buying used phones on eBay that aren't tied to a carrier, to give her greater flexibility. Her advice to shoppers: Examine the seller's reviews and return policy. "Do your research," she said.

Write to Stu Woo at Stu.Woo@wsj.com

(END) Dow Jones Newswires

March 28, 2025 11:00 ET (15:00 GMT)

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