A study has revealed that the iPhone retains its value better than the top Samsung Galaxy models.
This is despite the fact that, if you believe the reports, Samsung is becoming more and more popular everyday and gaining marketshare at Apple's expense. The report's finding suggest that Samsung's popularity isn't actually due to a reputation for being great at making smartphones. Instead it seems to back up the idea that Samsung phones are less expensive and that is why they are popular.
It also shows that the iPhone is considered to be the a more valuable phone.
The iPhone 5, iPhone 4S, iPhone 4, Samsung Galaxy S3 and Samsung Galaxy Note 2 (all of them used, not new) were compared in the report, which shows US eBay auction prices for these smartphones. Piper Jaffray analyst Gene Munster, who conducted the research, wrote: "The key takeaway from 8 weeks of data is that the iPhone is holding slightly more of its value compared to the top two Galaxy phones," reports Apple Insider.
In the picture above you can see that the iPhone 4S lost only 7% of its value in the past two months, the iPhone 4 lost about 8.8% and the iPhone 5 was deprived of only 11%. It's a different story with Samsung. The S3 is currently auctioned at 13.9% less than its original value and the Galaxy Note 2 comes in at a staggering 15% below its actual selling price. These figures might not sound that bad, but they're important for the sellers who want to get the highest amount of money for their phones.
So, if you are thinking of buying an iPhone 5 now (for £529 for a 16GB model on pay and go) and selling it next year to buy the new model; you would get roughly £471/$577. If you want to do the same with a Galaxy S3 and buy it now for £430/$500, the selling price after a year would be roughly £370/$430.
If you're the buyer you want the price to be as low as possible, after all that's why you wanted to buy a used phone in the first place. We'd advise you to check the prices on eBay, and bear in mind that you can buy cheaper phones straight from the manufacturer (e.g. Apple and Samsung) as they refurbish unwanted used phones and sell them for lower prices - just check their websites.
iPhone sales have declined over the past couple of months. This suggests that people are either expecting the release of the iPhone 5S/6 soon; or their preferences have changed. Munster stated: "We believe that the iPhone aftermarket price should continue to decrease as we approach an iPhone 5S launch, which we expect at the end of the month of September."
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