iPhones Vs. Android: Which Phones Hold Their Value Better Explained
The iPhone holds its value for about twice as long as Android phones, which may be due to Apple's uniqueness or Android's pervasiveness.
As the prices of Apple’s iPhone and Android smartphones from various manufacturers rise to and sometimes far beyond $1,000, the resale value of these devices after a year or two is beginning to become more important. An easy way to find how quickly a particular type of phone drops is to check trade-in or buyback prices.
The latest Apple smartphone starts at $699 for a 64-gigabyte iPhone 12 mini and tops out at $1,399 for a 512-gigabyte iPhone 12 Pro Max. Samsung’s latest Galaxy S21 ranges from $800 for the entry-level model to $1,380 for its flagship Galaxy S21 Ultra with 512-gigabytes. If choosing a folding phone, Samsung’s Z Flip costs $1,200 and its most expensive phone, the Galaxy Z Fold2, is priced at $2,000. These are the top two manufacturers, so less expensive options can be found, but for those looking for the very best, they can expect to spend around $1,000, sometimes more, for a modern flagship phone.
A recent depreciation report from BankMyCell details how much value is lost on various device types over a number of years. The company that produced the report has access to a vast amount of related data, because it is an electronics recycling and resale aggregation and comparison website, allowing consumers to check how much value their smartphone has and see buyback offers from different stores. The report highlights that an iPhone typically loses just 16.7 percent of its value in a year. By comparison, that figure is a 33.6-percent drop for Android phones. After two years, the loss is about double that, 35.5 percent for iPhone and 62.5 percent for Android. Skipping to four years after the initial release date, it begins to even out a bit, with 66.4 percent of the iPhone value lost and 81.1 percent for the Android phones on average.
Part of the reason for Apple’s smartphone holding its value for so long might be because it releases new iPhone technology just once a year. That means an iPhone shopper has the very best Apple technology possible, within their chosen price tier, for a full year before it is surpassed by the new model. Some Android phone manufacturers release phones every few months and incorporate new technology throughout the year. Samsung even has multiple flagship phones. The very best is the Galaxy S-series, which is usually announced in the first quarter, but that inevitably falls behind when the new Galaxy Note phone comes out later in the year. That may change this year, as rumors suggest there may not be a new Galaxy Note.
Another reason for the iPhone holding its buyback worth for longer might be due to the unique operating system. Apple is the only manufacturer of an iPhone using Apple technology and Apple’s processor, capable of running iOS and iPhone apps. Comparing an iPhone with any other phone must include the disclaimer that the ecosystem almost makes the comparison moot. The same can’t be said for Android phones, as they all use the same operating system, very similar technology, and the same apps. This is the beauty and the curse of Android. It means every month, any Android phone may be supplanted by a new release.
Source: BankMyCell