Phone sales down, but recycling still a priority
Monday, January 30, 2012 - 13:31:04
UK consumers bought fewer mobile phones over the Christmas period in 2011 than in previous years, according to new figures published this week by the Carphone Warehouse.
Despite the downturn in handset sales, experts still believe that consumers are prioritising value and frugality when purchasing new phones, which means many more people are recycling old mobiles in order to drum up some cash for their next upgrade.
According to Roger Taylor of the Carphone Warehouse, the number of contract phones sold by the company was down by almost two fifths in the run up to the festive season, which is usually a bumper period for retailers.
Despite this, Mr Taylor said that he was confident of being able to service consumer needs in the future and said that as a result of the performance, the Carphone Warehouse would be downsizing its high street outlets, since large amounts of floor space are not needed to sell mobiles to contemporary buyers.
Many high street chains felt the pinch over the past 12 months and many took to discounting products earlier than usual, to take advantage of increased spending throughout December.
Some people are holding on to their mobile phones for longer than in previous years, although there are reports that a growing number of consumers are actually moving back to a pay as you go method of paying for their mobiles, rather than getting a free handset, but committing to a lengthy, expensive contract.
Those who do take the pay as you go route can keep their mobile for as long as they want and then dictate which model they get when they upgrade, selling their old mobile phone in the process, to help reduce the total amount they have to spend each time.
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