Amazon Ends Sales of Externally Refurbished Devices: What It Means for Consumers

E-commerce giant Amazon is making significant changes to its refurbished electronics marketplace, Amazon Renewed. The company has announced that it will discontinue the sale of externally refurbished devices, shifting its focus to products that are returned on its platform and refurbished by its own certified professionals.

Why is Amazon Phasing Out Externally Refurbished Devices?

Amazon has cited high return rates and rejections as the key reasons behind this decision. The company has also informed sellers on Renewed through emails regarding this shift. A spokesperson for Amazon confirmed the move, stating:

“As part of our efforts to continuously improve our selection of refurbished products, we’ve decided to discontinue selling externally refurbished products.”

This means that moving forward, any product returned on Amazon will be inspected, refurbished, and resold only by Amazon-certified experts, ensuring better quality control and customer satisfaction.

The Changing Landscape of the Refurbished Devices Market

Industry experts note that the refurbished device market is becoming increasingly concentrated, with established players expanding while smaller businesses are struggling to survive.

Declining Number of New Refurbished Businesses

According to data from Tracxn, the number of new companies entering the refurbished device sector in India has dropped significantly:

• 2020: 4 new companies

• 2021: 4 new companies

• 2024: Only 1 new company

A similar trend is observed globally, where the number of new entrants peaked at 10 in 2021, but fell to 4 in 2023 and just 1 in 2024.

Mobile Phones Dominate the Refurbished Market

The refurbished device industry is largely sustained by smartphones, particularly iPhones. Analysts state that while mobile phones continue to drive the market, other categories like laptops and hard disks are seeing reduced demand, as customers increasingly opt for brand-new products due to affordable EMI options.

5G Revolution May Disrupt the Refurbished Mobile Market

The demand for 5G smartphones is expected to negatively impact the market for older 4G models, making it even harder for refurbished mobile sellers to stay competitive.

Amazon Renewed: A Journey Since 2017

Launched in 2017, Amazon Renewed initially offered customers certified, pre-owned electronic products such as:

• Smartphones

• Laptops & PCs

• Hard disks

• Joysticks and gaming accessories

These devices were refurbished by either third-party technicians or Amazon’s qualified professionals. With the latest changes, Amazon will now exclusively sell refurbished products that originate from its own platform, ensuring a more controlled and reliable quality standard.

Conclusion: A Strategic Shift Towards Quality Assurance

Amazon’s decision to discontinue externally refurbished device sales reflects a broader shift in the refurbished electronics market. With rising customer expectations and an increasingly competitive landscape, Amazon is prioritizing quality control by ensuring that only its own certified professionals handle refurbished products. While this move could limit the number of refurbished options available, it is likely to enhance customer trust and satisfaction in the long run.

As the refurbished market continues to evolve, industry players must adapt to changing consumer preferences, emerging technologies like 5G, and the growing demand for affordable yet high-quality devices.