Other Shouldn’t our trade in prices also be increasing?

[Lumpydog]

Hear me out on this…

If the price of Apple products is increasing, shouldn’t the price of used Apple products also increase (Trade in offers from Apple)? This supply-driven price increase is a new phenomenon for Apple products - very new and very different than what we’ve ever seen - Tim Cook has said the same... We’re in outlier territory. Technology has always toed the line of new tech/better tech for (inflation adjusted) the same price over time. That just changed.

But this isn’t really new. It’s happened with cars, homes… Prices spike up. But the offset has always been, your existing asset increased in value too - new cars spiked in price…. used cars increase in price… helping existing owners bridge the increase.

If Apple is going to increase the price of its new products (inevitably iPhones)… what about the used market? It goes both ways. Right? Apple?

 

[GMShadow]

They may increase here in the near future, it's happened before. Might be in a month or two.

 

[ftaok]

You’re right. Trade in values should go up, but Apple isn’t going to just hand you more money like that. It’ll take them losing trade-ins to 3rd party sales before they up the trade in prices.

If you want more money for your old phone, you gotta do the work and sell it yourself.

 

[JPack]

Apple: What about AppleCare+?

 

[Marko3563]

In theory if they want people to continue to upgrade with the skyrocketing prices they should offer more trade in credit to offset those cost... but you know, they won't.

 

[subjonas]

“Should” in what context? Ethics? Mathematical balance? There’s not really an ethical “should” because there’s no basic human right that one should receive any trade in value for their purchase—it isn’t ethically owed. And for math, who knows if Apple chose to keep trade in values the same and opt to raise product prices less than they otherwise would? There are just a lot of variables that we can only guess at (even though many like to believe it’s obvious and they know). But really it just depends on the business strategy Apple chooses which we also only know at a very surface level. Strategies are complex but they generally start with looking at company income and expenses as a whole—so looking at the price of individual products without knowing that whole strategy context will probably often not make sense mathematically.

But also I heard trade-in values are actually determined by Apple’s trade-in partner company.

 

[ElPaso]

If you want more money for your old phone, you gotta do the work and sell it yourself.

Yep. All of my old phones (except the ones I accidentally destroyed) get sold on Ebay.

 

[SiXiam]

I think we have all seen them increase trade in values after initial sales were a little disappointing. Just don't buy at launch.

 

[hajime]

In theory if they want people to continue to upgrade with the skyrocketing prices they should offer more trade in credit to offset those cost... but you know, they won't.

Trade-in prices are quiet low already. If they don't increase the trade in credit, I move back to Windows.

 

[SiXiam]

Trade-in prices are quiet low already. If they don't increase the trade in credit, I move back to Windows.

No Windows phone though 😊

 

[SiXiam]

Trade in for my 16 Pro to get a 17 Pro is $560. That's not bad given the phone is 15 months old and cost $999. Little less than $30 a month depreciation.

 

[Apple_Robert]

Hear me out on this…

If the price of Apple products is increasing, shouldn’t the price of used Apple products also increase (Trade in offers from Apple)? This supply-driven price increase is a new phenomenon for Apple products - very new and very different than what we’ve ever seen - Tim Cook has said the same... We’re in outlier territory. Technology has always toed the line of new tech/better tech for (inflation adjusted) the same price over time. That just changed.

But this isn’t really new. It’s happened with cars, homes… Prices spike up. But the offset has always been, your existing asset increased in value too - new cars spiked in price…. used cars increase in price… helping existing owners bridge the increase.

If Apple is going to increase the price of its new products (inevitably iPhones)… what about the used market? It goes both ways. Right? Apple?

It doesn't go both ways and never has.

 

[Lumpydog]

It doesn't go both ways and never has.

We’ve also never seen price increases like this… from our host: The company has "never seen a component price increase this much, this quickly," and while Apple held off on raising prices for as long as possible, the situation has become dire enough that it feels it needs to pass the increases along to customers. Apple says that it is "working tirelessly to find solutions," but memory suppliers forecast that shortages and high prices will last well into 2027.

 

[SiXiam]

Seems they did raise some prices last month. Minor though.

Apple Updates Trade-In Values for iPhone, iPad, Mac, and Apple Watch

Apple today updated its U.S. trade-in estimates, raising values for most current iPhone, iPad, Mac, and Apple Watch models while reducing several Android offers.

www.macrumors.com

 

[Biro]

Trade-in value for my iPhone 16 Plus is a big factor as I weigh the benefits of sticking with my current phone until it is worth nothing… trade it in on a 17 Pro or Pro Max now (and keep that until the chip crisis is over)… or wait until the 18 family comes out in September and buy one of those.

My 16 Plus is worth $465 as a trade-in with Apple right now. Historically, that value would drop by $200 or more as soon as the next generation of phones is introduced - making my 16 Plus a two-year old phone. If we believe the rumors that say MSRP for the 18 Pros and Pro Maxes is likely to go up by $200… that’s a total of $400 more that I could be paying to get the latest and greatest.