Unlocking growth in the refurbished electronics market: major gap between US consumer intent and actual purchases revealed – and what brands can do about it

Alchemy, global leader in circular solutions for consumer electronics, today releases new US research showing that while awareness of refurbished tech is now mainstream, purchases lags behind. 76% of consumers would consider buying a refurbished device – yet only 45% have actually done so. This gap between intent and action represents big untapped revenue opportunities for OEMs, retailers, and carriers.

The research – conducted with CCS Insight across 2,000 US consumers – finds that while affordability (65%) remains the top driver, price alone isn’t enough. Consumers want assurance: 65% say a warranty would increase confidence, 54% say a clear returns policy would do the same. Trust sits firmly with OEMs: 86% trust manufacturers most to sell refurbished devices, compared with 67% for retailers, 62% for marketplaces and 57% for telecom operators.

The refurbished category is already widely established in the US. Smartphones top the list, with 39% of US consumers open to buying a refurbished handset, followed by laptops, monitors and tablets at 37%. A further 27% would consider refurbished home electronics, cameras and gaming products, demonstrating that the opportunity extends well beyond mobile. 

Despite this broad awareness and intent, only 47% of consumers who are aware of refurbished devices have actually bought one. Refurbished purchasing is strongest among younger consumers, with 53% of 18-24-year-olds having already bought a refurbished device, while adoption drops from age 45 onwards, highlighting where the strongest conversion opportunities lie and where targeted messaging and channel investment could have the greatest impact.

Where consumers are buying refurbished, affordability is the dominant driver, cited by 65% of buyers as the primary reason for their purchase. This motivation is evenly spread across income levels, confirming that demand is driven by perceived value – accessing a quality product at a meaningful discount versus buying new – rather than financial necessity alone. When asked what discount they would expect versus buying new, half of consumers said a 51% discount on a two-year-old smartphone in excellent condition would meet their expectations. 

The research is clear that the brands best placed to grow refurbished sales are those that pair competitive pricing with the right assurances. The data shows a sizeable and receptive audience is there to be unlocked, and identifies exactly what it will take to unlock them:

• Warranty: 65% say a warranty would increase their confidence in buying refurbished, making it the single most powerful conversion tool available to brands and a baseline expectation rather than a premium add-on
• Returns: 54% say a clear returns policy would make them more likely to buy, with 55% expecting at least a 30-day return window
• Battery health: 51% say battery guarantees or visible technical checks would make them more comfortable buying, reflecting the importance consumers place on transparency about the device's condition
• Grading: 42% want to see the grading report before buying, and the research points to a clear opportunity for brands to differentiate through clearer, more standardized grading that uses visual examples rather than terminology alone

On grading specifically, the research finds that some of the most commonly used terms in the industry are not landing as intended. 96% of consumers associate “good” with the most visible signs of use, when often it sits above “fair” in the grading hierarchy. Standardizing grading language and pairing it with visual examples and clear descriptions would reduce confusion and make refurbished products easier to compare, easier to trust and easier to buy.

Appetite for buying refurbished directly from OEMs in particular is strong and consistent across categories, with 64% of US consumers saying they would likely buy a refurbished device from an OEM at a discounted price versus new. The top factors driving trust are reputation (20%), quality and accountability (20%), data security (15%), customer service (13%) and process transparency (12%).

Stephen Wise, Director of Global Marketing at Alchemy, commented: "There isn’t a demand problem for refurbished products - consumers understand refurbished, they're open to it and many actively want it. What's holding back conversion is uncertainty about the specific device in front of them, the warranty behind it and what happens if something goes wrong. Every one of those barriers is addressable with solutions available today. Brands that invest in building consumer confidence don't just win the second sale; they unlock entirely new audience groups and purchasing moments that their new range cannot reach. The brands that take this seriously – starting with the fundamentals of quality, assurance and a coherent consumer experience – will be better positioned to grow as the market matures."

Ben Wood, Chief Analyst at CCS Insight, added: "This research gives the industry a picture of where the refurbished market stands and what it will take to grow it at scale. The awareness and the intent are clearly there. The key factor here is consumer confidence in quality, battery health, grading, warranty, returns and seller credibility. Building that confidence requires a coordinated response across pricing, warranties, returns, grading and channel. For OEMs in particular, the findings are significant. More than half of consumers are ready to buy refurbished smartphones directly from the manufacturer, and that is a commercial opportunity the industry is only just beginning to fully grasp."

For the full insight report, please visit: https://www.wearealchemy.com/report-unlocking-growth-in-the-refurbished-electronics-market or contact Alchemy to learn more: https://www.wearealchemy.com/contact

 

-ENDS-

 

Notes to Editors

Alchemy commissioned CCS Insight to conduct independent research which was carried out in Q4 2025. The research combines insights from in-depth industry interviews with leading OEMs, retailers and carriers, a quantitative survey of more than 2,000 US consumers, and focus group discussions exploring motivations and barriers around trade-in.