Swappie Resolves to Make Refurbished Electronics a Norm Across Europe

In light of the new European Commission’s mandate, Swappie outlines the industry’s first-ever vision to establish a fair and competitive landscape for Europe’s refurbished electronics market. 

Helsinki, Finland – Wednesday, September 04, 2024: Swappie, Europe’s leading destination for buying and selling refurbished iPhones, is proud to announce the publication of its White Paper titled “Let’s Make Refurbished Mainstream: Our Vision for Europe’s Secondhand Smartphone Market.” This comprehensive document offers an in-depth analysis of the current state and future potential of the secondhand smartphone market in Europe, highlighting Swappie’s commitment to fostering a sustainable and circular economy.

The Growing Importance of the Secondhand Market

With the European smartphone market reaching an estimated value of €100 billion, the White Paper emphasises that only 10 % of this market currently consists of refurbished devices. Swappie aims to significantly increase this share, leveraging its position as a market leader to promote the benefits of refurbished smartphones—both economically and environmentally.

The White Paper cites that the production of new smartphones is responsible for approximately 85 % of the devices’ total carbon footprint, amounting to 80 kg of CO2 emissions per device. In contrast, purchasing a refurbished smartphone from Swappie can reduce CO2 emissions by up to 78 %, a substantial contribution to reducing Europe’s annual electronic waste, which totaled 62 million tonnes in 2022.

Jori Ahvonen, Chief Technology Officer at Swappie highlighted the document’s role in underscoring the company’s mission of creating a future where technology is both accessible and environmentally responsible. He said: “As a company dedicated to sustainability and innovation, Swappie is committed to leading the way in the refurbished electronics market. Our white paper reflects the need for amplification of the Right to Repair movement, ensuring that consumers across Europe have access to high-quality, affordable, and sustainable technology. There is a direct correlation between the cost of repair and how many devices are actually repaired. By making repairs more affordable through pro-repair policies, we can significantly reduce the number of devices ending up in landfills, enabling their longevity by providing people with economical and sustainable alternatives to choose from.” 

Challenges and Opportunities

Swappie’s White Paper identifies several key challenges facing the secondhand smartphone market, including:

1. Competitive Environment: The market is currently dominated by the original manufacturer that controls the supply of spare parts and repair manuals, creating an uneven playing field for independent refurbishers. Swappie advocates for fair competition and access to necessary resources for all players in the market
2. Taxation: The report highlights the need for better enforcement of marginal VAT regulations to prevent tax fraud, particularly in cross-border transactions. By improving these systems, Swappie believes that the secondhand market can thrive, benefiting consumers and businesses alike.
3. Supply of Skilled Workers: With the smartphone refurbishment sector still in its infancy, there is a pressing need for skilled labour to perform complex repairs. The White Paper calls for enhanced training programs and strategic immigration policies to address this skills gap.

The efforts to spearhead the White Paper were led by Swappie’s Head of Public Affairs, Claire Darmon. She added that: “The implementation of the Right to Repair agreement is a critical step toward reducing electronic waste and promoting circular economy principles. Our white paper offers a comprehensive analysis of the technical and regulatory frameworks required to foster a competitive, yet equitable, refurbished electronics market in Europe. By advocating for standardised repairability metrics and transparent reporting, we aim to empower consumers and support the development of a robust, sustainable tech ecosystem.”

A Vision for a Circular Economy

Swappie’s vision for the future is centred around the principles of circularity. The White Paper outlines several strategic initiatives to achieve this vision:

• Product Design and Repairability: Emphasising the need for smartphones to be both durable and repairable by design, Swappie calls for the elimination of anti-repair practices such as part-pairing and the promotion of transparent pricing for spare parts.
• Consumer Engagement: The report stresses the importance of educating consumers about the benefits of refurbished devices and encouraging them to return their old smartphones for reuse or recycling. Currently, only 25% of pre-owned phones are recycled or sold back in Europe, leaving millions of potentially reusable devices unused.

Sources:

1. European Commission (2024). The next generation Internet of Things.
2. World Health Organization (2023). Electronic waste (e-waste).
3. Persistence Market Research (2023). Europe Refurbished and Used Mobile Phones Market Size.
4. Global E-waste Monitor (2024). ITU & UNITAR.