Rising iPhone Prices Are Changing India’s Refurbished Smartphone Market: ControlZ’s Yug Bhatia Explains What Buyers Should Know

India's refurbished smartphone market is entering an interesting phase. New smartphone prices have been rising, particularly as component costs increase, while consumers are increasingly looking for alternatives that offer better hardware without stretching their budgets. The shift is particularly interesting in the premium segment, where the gap between a new iPhone and a pre-owned model can run into tens of thousands of rupees.

Speaking to MySmartPrice, Yug Bhatia, who heads ControlZ, discussed how the company sources and renews pre-owned iPhones, the problems it finds in used devices, why battery health matters, and why trust remains the biggest hurdle for the refurbished smartphone market in India.

Rising Phone Prices Are Creating More Space for Refurbished Devices

According to Bhatia, the last six to seven months have been particularly disruptive for the smartphone trade. He said Android smartphone prices have increased significantly across several categories, while iPhones have also become more expensive. According to him, iPhone prices have increased by around 25%, despite the usual pattern of older models becoming cheaper as new generations arrive.

That has changed the dynamics of the market. The annual period when consumers typically wait for older iPhone models to become more affordable has traditionally been an important part of Apple's sales cycle in India. But Bhatia believes that rising prices have disrupted that equation and created an opportunity for pre-owned and refurbished phones.

"For us as a brand, there is an opportunity to grow 10 times," Bhatia said.

ControlZ Doesn't Buy Phones Directly From Consumers

One interesting part of ControlZ's business model is that the company doesn't directly purchase phones from individual consumers. Instead, it sources devices through partners, including e-commerce companies, large-format retailers and smaller dealers. These partners acquire phones from consumers and then supply them to ControlZ. The company then renews the devices at its own facility before selling them through its retail network and website.

Bhatia said ControlZ currently has more than 1,300 retail partners and around 700 service centres across 50 cities, allowing it to handle both distribution and after-sales service. The company is positioning this as a "premium renewed" category rather than simply selling phones according to conventional refurbished grades. The idea is to offer devices that look and work as close to new as possible, with ControlZ claiming 100% battery health on its renewed phones and a 12-month warranty.

Most Used iPhones Arrive With Some Kind of Problem

The condition of incoming devices is one of the biggest challenges in the business.

Bhatia said around 80% of the devices ControlZ receives have some kind of issue, with only around 20% arriving in what the company considers good condition. Cosmetic damage is obviously common, but battery, display and camera problems are among the more significant issues found during inspection. Battery degradation is particularly important because ControlZ promises 100% battery health on its renewed devices.

Displays are another major source of problems, ranging from damaged panels and display lines to other defects. Cameras have also become increasingly complicated as smartphones now use multiple-camera systems. Bhatia said issues such as dust inside camera modules and flickering can occur in used premium smartphones. Interestingly, the company doesn't automatically replace a battery simply because a phone isn't at 100% health.

Bhatia said ControlZ generally replaces batteries below 90% health. Phones above that threshold are retained rather than having their batteries replaced unnecessarily. The reasoning is consumer-focused. If someone spends ₹40,000 or ₹50,000 on a renewed smartphone, Bhatia believes giving them a phone with 70-80% battery health doesn't make sense because that battery will continue to deteriorate during the next year or two. The company's goal, he said, is to give customers enough battery life to use the phone comfortably for around two years.

Another important aspect of ControlZ's refurbishment process is that the company doesn't simply replace every damaged component with a new one.

Bhatia said the company has its own facility where components such as displays, batteries and cameras are inspected and renewed. For displays, the company can repair certain issues including glass damage and scratches instead of replacing the entire panel. Bhatia said only around 10-15% of displays need to be replaced. The same approach is used for cameras, with the company claiming it can reuse around 95% of the camera modules it receives.

Where replacement components are required, Bhatia clarified that the company uses equivalent-quality alternative parts rather than Apple-certified components.

ControlZ also has an in-house testing setup for components such as displays, batteries and cameras. Bhatia said displays are tested across parameters including brightness, contrast and RGB performance and compared against a new display before being approved.

Why ControlZ Is Focused Almost Entirely on iPhones

ControlZ has worked with Android devices in the past, but Bhatia said the company's current focus is firmly on iPhones.

More than 90% of ControlZ's business currently comes from iPhones, according to Bhatia. The reason is less about Android being unsuitable for refurbishment and more about where the company sees demand and supply.

"Right now we are very focused on iPhones because the market is booming very, very fast," he said. For a company operating at its current scale, Bhatia believes concentrating on one category allows it to build deeper expertise rather than spreading its refurbishment operations across too many devices.

There is also an interesting relationship between a phone's age, demand and refurbishment margins. Newer iPhones have stronger demand, but they are also more expensive to acquire, which leaves lower margins. Older models are cheaper to source and can offer better margins, but demand naturally falls as the devices age. That makes the middle of the range particularly attractive.

According to Bhatia, models such as the iPhone 13, iPhone 14 and iPhone 15 currently offer the best balance between supply, demand and margins. For ControlZ, these devices sit in the sweet spot rather than either extreme of the iPhone lifecycle.

Trust Is Still the Biggest Problem With Refurbished Phones

Despite the price advantage, Bhatia believes one issue continues to hold back India's refurbished smartphone market: trust. Consumers often don't know the actual condition of a used phone, particularly when buying online. Battery health, scratches, previous repairs and component replacements may not always be immediately visible. The situation can become even more complicated in India's offline grey market.

Bhatia warned that consumers buying from unorganised sellers can potentially end up with international devices, phones with unclear histories or even stolen devices. Without proper documentation or a reliable seller, buyers may have little protection if something goes wrong later.

For him, solving that trust problem is more important than simply offering a cheaper phone.

"If you compare it with the new phone today at a retail counter, 80% would take this phone if the trust issue is solved," Bhatia said. The value proposition is straightforward: a refurbished premium iPhone can potentially offer hardware that would otherwise cost significantly more when purchased new. But consumers need confidence that the device has been properly inspected and renewed.

There is another perception the refurbished industry has to deal with: the idea that a phone that has never been repaired is automatically better than one that has been refurbished.

Bhatia acknowledged that consumers generally prefer a phone that is naturally in good condition over one that has been repaired. However, he believes that perception changes when consumers understand what actually happens during a professional renewal process. There is also a simple supply problem. If a phone is being sold because its owner has upgraded, but it has never suffered any wear or component degradation, it represents only a small part of the used-device market.

"If my phone is in a good condition, why would I sell it?" Bhatia said. As a result, most devices entering the pre-owned market will require some level of repair, refurbishment or renewal before they can be resold in good condition.

What Should You Check Before Buying a Used iPhone?

For buyers, Bhatia's biggest advice is to understand exactly what they are purchasing. Online buyers have a particular disadvantage because they cannot physically inspect the device. Battery health, cosmetic condition and component history can therefore become difficult to verify. Offline buyers face a different set of risks, particularly in the unorganised market.

Bhatia recommends paying attention to the seller, the condition of the device, its battery health and whether there is a proper warranty or service network behind the purchase. The cheapest phone isn't necessarily the best deal if its history is unclear.

Which iPhones Does ControlZ Recommend?

Bhatia also shared some of the iPhones he considers worth looking at across different budgets.

Below ₹20,000, he pointed towards the iPhone 12, which he said can be found around the ₹20,000-₹21,000 mark. Around ₹25,000, the iPhone 13 becomes a stronger option. He particularly highlighted the iPhone 13 Pro as one of ControlZ's strongest sellers, thanks to its Pro camera system and premium build and the ₹50,000 mark, Bhatia considers the iPhone 15 another attractive option.

For buyers willing to spend more, he pointed towards the iPhone 15 Pro at around ₹70,000, while newer models such as the iPhone 16 and iPhone 17 can also be considered when available. However, he noted that newer iPhones are harder to keep in stock because of their higher demand.

The Refurbished Market Is Moving Beyond Just Cheap Phones

The bigger change Bhatia sees isn't simply more people buying used smartphones. He believes the market is moving towards consumers looking for an alternative to increasingly expensive new phones.

ControlZ is therefore trying to position its products differently from the traditional second-hand market. Instead of competing purely on price, the company wants to sell the idea of a renewed premium device with predictable quality, warranty support and after-sales service. Whether that model can convince more Indian consumers will ultimately depend on one thing: trust.

For buyers, the attraction is obvious. A properly renewed iPhone can offer access to premium hardware at a considerably lower price. But as the refurbished market grows, transparency around battery health, repairs, components and device history will become increasingly important. With new smartphone prices continuing to rise, that transparency could determine whether refurbished phones remain a niche alternative or become a much bigger part of India's smartphone market.