The $83 Billion Trade-In Blind Spot

US consumers are sitting on an estimated $83.74 billion in unrealized trade-in value, according to new research from Alchemy conducted in partnership with CCS Insight. The takeaway isn’t that Americans don’t understand trade-ins. It’s that the industry isn’t consistently offering them.

The survey of more than 2,000 US consumers found that 90% have either traded in a device before or are open to doing so. Yet nearly a third said they were not offered a trade-in option at the point of their most recent electronics purchase. Even in smartphones — the most established trade-in category — 58% of devices were neither traded in nor recycled.

Only 61% of US consumers said they were offered a trade-in during their most recent smartphone purchase. Just 44% actually completed one.

Stephen Wise, Director Global Marketing at Alchemy, said the gap represents more than a missed environmental opportunity.

“We’ve known for a while that consumers want trade-in options, but this research shows just how much money brands are leaving on the table by not offering them. When nearly a third of US shoppers aren’t even being asked if they want to trade-in at the point of purchase, that’s a massive missed opportunity not just for revenue and loyalty, which keeps customers coming back, but for the planet too, as millions of usable devices end up scrapped instead of recirculated.”

The commercial upside is hard to ignore. 71% percent of consumers said a compelling offer would prompt them to upgrade earlier, shortening cycles by an average of six months. Sixty-eight percent would move to a more premium model if offered more than $270 in trade-in value. And 62% said trade-in affordability would likely increase basket size through accessories or extended warranties.

“The numbers are clear: people will stick with brands that make trade-in easy and rewarding,” added Wise. “And when they do trade-in, they’re more likely to upgrade to better devices, add accessories, and replace their tech more regularly. It’s a win for everyone – brands get loyal customers and greater customer lifetime value, consumers get access to better tech at more affordable prices, and devices stay in use longer instead of sitting in drawers or ending up in landfill.”

Ben Wood, Chief Analyst at CCS Insight, said consistency is the missing piece.

“This research reinforces the momentum we’re seeing across global consumer tech buying behavior. Trade-in has moved from niche to mainstream, but the next step is consistency. For manufacturers and retailers, clear offers and transparent processes will be essential to convert intent into action and meet the huge consumer appetite identified in this study.”

Beyond smartphones, categories like kitchen appliances (20% participation) and floorcare (14%) lag significantly — despite more than half of consumers in those segments expressing intent to trade in down the line.

The demand is established. The revenue opportunity is measurable. The remaining challenge is execution.

Visit www.wearealchemy.com for more information.

See also: The Smartphone Upgrade Cycle Slows