What are packaged bank account insurances? Is it device insurance products linked to customers banking account?
The data point on more affluent users being more likely to trade-in at such a huge disparity is interesting. My initial guess would be they would be less likely to trade-in because they can afford to keep their device as a spare or pass down to a relative. The point you have trade-in opportunities likely explains the variance though.
Maybe more affluent users are also more likely to have a device with a higher re-sale value worth trading in than less aflfuent users? Less affluent users may not only lack the opportunities to trade-in because of channel but the trade-in value of their device is much lower so they think its more valuable to keep it as a spare than discount it on their next purchase.
Beyond the economics though, i agree with you that change needs to happen at the behavioral and kind of mindset level of consumers. We should try to educate wider public to look to trade-in your device even if there is not huge monetary incentive (low-end phones) to do so because it is better our environment.
Just using my family and relatives as a small sample size, none of them have ever traded in a phone. I see so many spare phones in drawers and all around the house, i even saw a nokia 3310 other day. The reason of keeping those phones is its better to have spares in case of emergencies or to pass down to younger relatives.
Packaged Bank Accounts are a relatively unique feature of the UK banking market and were a response to the introduction of widespread free banking 30years ago. For a monthly fee, customers receive a range of banking and insurance benefits which usually include travel insurance, roadside assistance and mobile phone insurance.
Unfortunately, the mobile phone brand and model data was incomplete for the cohort, but where it was provided, Apple (particularly iPhone13) and Samsung devices were way in excess of anything else. So far as I can tell in the UK, the average Apple ASP (net) is >£830 and Android >£330, so whilst phone value likely plays a factor, I think other influences play a larger role. Something for another survey perhaps!
Great stuff, thanks for sharing.
What are packaged bank account insurances? Is it device insurance products linked to customers banking account?
The data point on more affluent users being more likely to trade-in at such a huge disparity is interesting. My initial guess would be they would be less likely to trade-in because they can afford to keep their device as a spare or pass down to a relative. The point you have trade-in opportunities likely explains the variance though.
Maybe more affluent users are also more likely to have a device with a higher re-sale value worth trading in than less aflfuent users? Less affluent users may not only lack the opportunities to trade-in because of channel but the trade-in value of their device is much lower so they think its more valuable to keep it as a spare than discount it on their next purchase.
Beyond the economics though, i agree with you that change needs to happen at the behavioral and kind of mindset level of consumers. We should try to educate wider public to look to trade-in your device even if there is not huge monetary incentive (low-end phones) to do so because it is better our environment.
Just using my family and relatives as a small sample size, none of them have ever traded in a phone. I see so many spare phones in drawers and all around the house, i even saw a nokia 3310 other day. The reason of keeping those phones is its better to have spares in case of emergencies or to pass down to younger relatives.
Hi Sheng,
Packaged Bank Accounts are a relatively unique feature of the UK banking market and were a response to the introduction of widespread free banking 30years ago. For a monthly fee, customers receive a range of banking and insurance benefits which usually include travel insurance, roadside assistance and mobile phone insurance.
Unfortunately, the mobile phone brand and model data was incomplete for the cohort, but where it was provided, Apple (particularly iPhone13) and Samsung devices were way in excess of anything else. So far as I can tell in the UK, the average Apple ASP (net) is >£830 and Android >£330, so whilst phone value likely plays a factor, I think other influences play a larger role. Something for another survey perhaps!