Three million refurbished smartphones are purchased each year in France, representing 15% of total sales in France.
For Laure Cohen, the co-founder of CertiDeal, the market is mainly supplied by second-hand smartphones from the United States.
According to her, the French still find it difficult to resell their old smartphone which they prefer to keep in a closet “just in case”.
Where do the millions of smartphones sold in France each year by refurbishers come from?
Co-founder of CertiDeal, which has been one of the major players in the market since its creation in 2015, Laure Cohen agreed for "20 Minutes" to lift the veil on the contours of a booming sector.
How is the refurbished smartphone market doing in France?
Today, around 15 out of 100 smartphones sold in France are refurbished, i.e. second-hand.
This represents 3 million pieces sold per year.
Their average price is 300 euros.
The market weighs one billion euros and grows by 15% each year.
It is estimated that it could double by 2025 with 6 million refurbished smartphones sold in France.
How are sales distributed over the year?
We see strong seasonality in this market.
The months of July and August are important: consumers want to go on vacation with a smartphone that takes good photos… Or break their phone on vacation and need to replace it!
From September to October, people wait for announcements of new Apple products and a price drop on the previous iPhone model.
For most refurbishers, the demand is mainly for Apple and Samsung products.
Then, it's the
rush
in November and December, two months that account for 25% of the market.
This proportion remains the same each year.
Who are the biggest refurbishers on the French market?
Three players stand out: Backmarket, CertiDeal and Recommerce.
Then come smaller French actors who look like us, like YesYes, who is talked about a lot.
With Yohann Valensi, we founded CertiDeal at the end of 2015. So there was no way to buy a second-hand device with peace of mind.
So we wanted to create a certification.
We wanted to professionalize the most reliable
sourcing
possible, to be able to offer the best price with the longest warranty, 24 months, as on new, whereas the standard in force among reconditioners was 6 months.
Who are the buyers of refurbished smartphones?
As far as we are concerned, they are generally fathers or mothers aged 25 to 45 who need reassurance and trust.
The fact of benefiting from a long guarantee directs us towards these customers who will also buy for their children.
We also know a very high
repeat
rate (renewed purchases), around 30%.
We are also witnessing a paradigm shift among individuals.
More and more buyers want to reduce their carbon impact and buy refurbished.
Recently, we have seen the development of the business market.
A large CAC 40 company has just ordered 500 iPhone 8 64 GB space gray in perfect condition.
It's a homogeneous fleet that we know how to manage.
What are the different stages of a smartphone refurbishment?
Each smartphone is first registered, with its reference, its price, its IMEI number, then integrates the stock.
We then proceed to wipe data, reset to verify 32 checkpoints using an app we developed.
From then on, either the telephone is validated and is considered to be in perfect condition, very good condition and correct condition.
He can thus respond to a command.
If it is not validated, if it has a sound or screen problem, if its camera is defective, we will repair it.
Otherwise, it is used for spare parts.
A repair can last from 5 minutes to 45 minutes in the event of a chassis replacement.
Obviously, each terminal is perfectly cleaned.
Where does your inventory come from?
Between 70 and 80% of the world's stock of used smartphones come from the United States.
And for good reason: by paying a package between 70 and 90 dollars per month to their operator, American consumers can recover the new model of their smartphone when it arrives on the market!
This therefore feeds a considerable second-hand market, with lots of second-hand smartphones that will be resold at international auctions.
To have access to this American market, you must have an R2 certification (Recycling Manager).
It is a standard that is obtained by respecting different criteria.
Among them, it is imperative that the place from which the smartphones were purchased is the only point of transit before ending up in the hands of the end consumer.
CertiDeal is the only one in France to have this certification.
This assumes that a purchased refurbished smartphone has not gone through different intermediaries.
70% of our supplies therefore come from the United States.
We also source our supplies from European operators, such as Orange France, Belgium and Luxembourg.
Are individuals active resellers?
A small part of our volumes come from company fleets and individuals, but the French are still struggling to participate in this circular economy.
Many prefer to keep their old smartphone in a closet, “just in case”.
The “just in case” is very French!
But the reality is that an old smartphone just taken out of the closet will never be practical.
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success story
Founded in 2015, CertiDeal would be the second refurbisher of French smartphones and would have sold 150,000 second-hand terminals in France in 2021. Co-founded by Laure Cohen and Yohann Valensi, the small company does not know the crisis and has experienced 75% growth last year, with 40 million euros in turnover.
In 2022, CertiDeal aims for further growth of 75% and targets 70 million in turnover.
Environment
Recycling
20 minute video
smartphone
high tech
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