Why Canadians are Buying the iPhone 8 Right Now
Apple released the iPhone 8 in September 2017 and continues to sell it as their “value” device today. This post will explore why now is probably the best time to buy this classic device.
To full understand why the this phone is such a great buy, we have to go back to late summer 2019, before the launch of the iPhone 11.
The price of the iPhone 8 in Summer 2019
As of the end of last summer (2019) you could buy the iPhone 8 from Apple for $819 CAD ($599 USD). At the time, it was Apple’s mid-range model, sitting between the flagship iPhone XS series on the high end, and the iPhone 7 as the value device.
By comparison, the price of a pre-owned iPhone 8 in Very Good condition was $615 CAD ($467 USD). This price had been quite stable over the course of the summer (see chart below).
How the iPhone 11 Launch Impacted the Price of the iPhone 8
The launch of the iPhone 11 bumped the iPhone 8 to Apple’s “value” device, behind the iPhone 11 series and the XR.
Typically, the move to a value device comes with a drop in price of about $130 CAD, or $99 USD.
This year however, Apple dropped the price of the iPhone 8 by $220 CAD ($150 USD), to $599 CAD ($449 USD).
Naturally, when the price of the new device dropped by that much, there was a similar drop in the aftermarket. In this case, the price of a used/refurbished version dropped overnight to $459 CAD / $349 USD.
That’s a drop of $260 CAD, or about 25%!
But it didn’t end there.
How the Price of the iPhone 8 has Changed since the iPhone 11 Launch
As it turned out, the iPhone 11 surpassed even Apple’s own sales expectations. Buyers of the iPhone 11 frequently traded in iPhone 8s which meant there was a lot of supply in the aftermarket.
Predictably, this unexpected oversupply of traded-in iPhone 8’s wound up pushing their (used) price even lower.
This effect doesn’t happen overnight: it takes a while for traded-in phones to make their way into the aftermarket.
So the price of the iPhone 8 steadily dropped over the holiday period and into the new year.
Currently a used iPhone 8 sells for $389. That represents a drop of 37% in 5 months! The chart below shows the last 12 months of price history to put that drop in context.
Why Now is a Great Time to Buy
The market is finally reaching a place where this supply of traded in iPhone 8’s is starting to dry up, and prices are stabilizing.
We don’t have a crystal ball, but our expectation is that this phone’s price will remain relatively steady moving forward. That’s because purchases of new iPhones always slows down in Q1. With so many fewer purchases, there will also be fewer trade-ins, and therefore less supply of the iPhone 8.
That’s why savvy customers are picking up this phone right now: it has never been cheaper, and the price should stabilize moving forward.
Are you thinking of getting one for yourself? Check out Orchard’s inventory of pre-owned iPhone 8’s here.