Here’s why Apple really wants you to trade in your old iPhone
Customers aren’t the only ones who benefit from trade-ins.
Most of the major smartphone brands offer some pretty significant trade-in promotions for users looking to upgrade their phones. Major players, like Apple, will give you a substantial amount of credit when you trade in your older device, but why is that promotion so beneficial to the company?
A new video from the YouTube channel Apple Explained sheds some light on the benefits of trade-in devices for Apple. At the end of the day, this promotion, which benefits Apple’s customers immensely, serves a great deal for all parties involved.
Apple initially began offering trade-in values in 2013, after the company saw its first quarterly profit decline in years. They began heavily promoting the trade-in option in 2017, after the release of the $999 iPhone X.
The idea was that the market had become saturated and people weren’t buying new phones as often. By offering trade-in credit, Apple helped convince users to purchase new phones, even as prices began to increase.
But the benefits don’t stop there. Apple would essentially lose whatever trade-in credit they offered in profit if they weren’t able to do anything with the devices that were traded in. For phones in good shape, the company is able to refurbish the devices and resell them for a more affordable price in emerging markets, but what about phones that the company can’t restore?
For damaged devices, Apple has actually built a robot that is capable of recovering any recyclable materials in a phone. The robot, known as Daisy, is able to recycle 200 phones per hour, recovering precious materials that could otherwise end up in a landfill.
At the end of the day, Apple’s trade-in promotions are a win for everyone. Consumers are able to trade their old phones for a discount on upgrades, while the company is able to profit even more by selling some phones twice. And the environment wins, as the company is able to reuse materials in older phones instead of sending them to their demise.
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