KT will post used phone buyback price lists at mobile phone retailers nationwide and update the prices daily. While carriers have already been running used phone collection channels through trade-in programs and partner platforms, KT's strategy is to raise price transparency in used phone transactions by disclosing the daily buyback prices of its subsidiary's used phone brand at offline stores.
According to the industry on the 13th, KT decided to attach used phone buyback price lists at mobile phone retailers nationwide from mid-month. The list will show the main device buyback prices offered by "ReBORN," the used phone brand of KT subsidiary KT M&S. Customers can visit a store to check the estimated buyback price of their smartphones. Among carriers, KT is said to be the first to disclose its own used phone buyback price list daily at retailers nationwide.
KT is introducing this system because demand for used phone transactions is growing as device prices climb. With flagship smartphone prices recently rising from the mid-to-high 1 million won range to as high as the 2 million won range, the burden of purchase has increased, and more customers are trying to resell their existing devices to reduce their purchase expense. KT is seen as seeking to upgrade existing used phone collection channels into price-disclosure consultation channels by leveraging its nationwide distribution network.
Used phone prices fluctuate widely depending on the timing of new product launches, inventory conditions, global demand, and device condition. Until now, customers often had difficulty checking real-time buyback prices when selling used phones and relied on prices offered by agents or used phone buyers. Even for the same model, buyback prices varied by company, and there were many cases where the actual compensation amount differed depending on inspection standards.
The industry expects that if KT discloses buyback price lists in stores, customers will be able to check buyback prices directly and receive consultations, improving transparency in used phone transactions. From the perspective of offline stores, in addition to device sales and rate plan subscriptions, they can also offer used phone buyback consultations, which is expected to boost foot traffic.
However, the prices KT will disclose first are limited to buyback prices based on its subsidiary ReBORN. Because many companies participate in the used phone market, making a single standard price system is difficult, so it will disclose the subsidiary's buyback prices first. KT is reportedly reviewing ways to also post the price lists of two to three major used phone companies later to broaden customer choice.
Carriers have already been expanding used phone collection and redistribution businesses. SK Telecom has built an offline collection ecosystem by partnering with Mintit, known for its used phone ATM business, and LG Uplus operates the used phone platform "SELLO" through its subsidiary Medialog. KT has also been engaged in used phone buyback and redistribution through its subsidiary ReBORN.
What sets KT's attempt apart is that it combines the price disclosure method with the offline distribution network, rather than the buyback itself. Mintit relies on an ATM-based collection model, and SELLO is largely an online platform, whereas KT aims to let customers check the same-day buyback price and receive consultations at agents and retailers nationwide.
An official in the telecom industry said, "As the used phone market grows rapidly, carriers are expanding their business scope beyond device sales to collection and redistribution," and added, "In the future, agents may take on the role of local consultation windows for used phone transactions, in addition to rate plan subscriptions and device sales."