Rising phone prices fuel repairs and second-hand sales in Singapore as consumers delay upgrades

In Singapore, the average cost of a mobile phone has surged by nearly 12 percent since 2023, reaching S$1,000 this year, according to NielsenIQ. This price increase has prompted consumers to delay upgrading their devices, leading to longer ownership periods and a rise in demand for repairs and second-hand phones. NielsenIQ's Asia Pacific tech and durables managing director, Louise Hawley, revealed that over two-thirds of smartphones sold this year cost over S$1,000, up from just over half three years ago.

Retailer Litemobile handles between 4,000 and 5,000 phones each month, with battery replacements being the most common repair. After four years, phones may no longer support new software updates, necessitating a replacement. Mister Mobile, with 20 outlets across Singapore, has seen a 46 percent increase in repair jobs and a further 12 percent rise in the same period. Simple battery replacements can extend an older phone's lifespan by a year or two, helping consumers avoid the cost of purchasing a new device.

This shift in consumer behavior has benefited Singapore's second-hand phone market. Mister Mobile reported a 33 percent increase in trade-in devices over the past two years, with about 95 percent of these phones resold to new owners and the rest recycled. E-waste recycler Virogreen has also experienced a 10.7 percent increase in mobile phone volumes, with between 80 and 90 percent of a phone's materials recoverable. These materials are then processed and reused in new products or incinerated as necessary.