In the market for electronics, appliances or tech gadgets? You’ve likely seen all those “refurbished” stickers alongside tempting price tags. But is it worth taking the plunge, or should you stick with brand new? The impact of this decision plays out each day to millions of shoppers, and making the wrong choice could cost hundreds of dollars or leave you feeling frustrated with a subpar item.
Whether you’re shopping for a refurbished laptop to use at work, a renewed phone to give to your kids or a pre-owned gaming console to send away to college with your high school grad, knowing the actual difference between refurbished and new products can help you make wiser purchasing decisions. Below we will break down the five keys that differentiate the two choices, and see which decision leads to the bigger bang for your buck.
What Does “Refurbished” Really Mean?
But before you can compare anything, you have to do a little homework to find out what you’re really getting when you see “refurbished” on the sticker. You’re not alone if you think refurbished is just a nice-sounding word for “used and broken,” but that’s only part of the story.
Renewed products work and look like new. They could have been returned items from buyers who regretted their purchase, display models in stores or items with small defects that were repaired. The difference here is that someone has inspected all of these items and verified that everything is in good working order before listing these back for sale.
Here’s what the process to produce a renewed product usually looks like:
- Customer returns items (They didn’t want them after all)
- Product is checked by the manufacturer or retailer
- Any defects are repaired or replaced
- The product has been tested for quality
- It’s repackaged and sold again
Some refurbished items are almost new — perhaps someone purchased a phone, didn’t like it after a couple of days and returned it. Others may have had real problems that needed solving. It’s a mixed bag, and that’s why knowing the source is so important.
Price Differences That Do Matter
The cost of refurbished and new products is the most obvious difference, but the savings are not always as big as they might appear at first glance. Let’s break them down.
Immediate savings: refurbished products are usually 20-50% cheaper than their new counterparts. While this might not sound like a lot for small everyday items like kitchen appliances, it is a significant sum of money for costly devices like laptops, smartphones, or washing machines.
However, these savings only make sense if the used product lasts you as long as its new version. Thirty percent off does not apply if your refurbished laptop breaks down after one year instead of living three years like a new one.
Additionally, you should think about some other potential extra costs:
- First, many used items have a shorter warranty, which means that you may have to start paying for repairs earlier than you would if your laptop were new.
- Second, an older model might not have the most recent features, so you will have to upgrade to a new one sooner.
- Third, some refurbished products do not come with all of the original accessories and may require additional purchases.
- Fourth, you might have to spend the money on shipping costs if something goes wrong.
Therefore, it is best to calculate the “cost per year” of ownership. For instance, an $800 laptop that lasts you four years is an investment of $200 per year. If a refurbished $500 laptop’s lifespan is just two years, you will end up spending $250 per year in this scenario. Hence, the new laptop is a much better deal in terms of cost, even though it is more expensive upfront.
Manufacturer Refurbished (Best Option)
- Uses authentic components and are restored to factory specifications
- Extensive testing procedures
- Often indistinguishable from new products
- Comes with manufacturer warranty
Retailer Refurbished (Good Option)
Examples: Best Buy Geek Squad, Amazon Renewed
- Professional refurbishing with standardized processes
- Quality testing but likely use compatible (not original) parts
- Solid warranties, but details not as lengthy as with manufacturer programs
Third-Party Refurbished (Risky Option)
- Unknown refurbishing standards
- Minimal testing procedures
- Questionable part quality
- Limited or no warranty coverage
Red Flags to Avoid
Keep an eye out for these red flags when you shop refurbished:
- Not much is known regarding return and warranty policies
- Unspecifics on what was “refurbished”
- Suspiciously low fees or prices (if it sounds too good to be true, it probably is)
- Sellers with negative scores
- Original accessories are missing with no indication why
The best refurbished products may be sold with reports that detail what was tested, what was replaced and what condition grades signify. Steer clear of any seller who cannot offer this level of transparency.
3. Real Talk About Warranty and Support
This is where new products usually win and it isn’t as wide a gap as you would think in the quality refurbished category.
New Product Warranties
Brand new products generally include the following:
- Full manufacturer’s warranty (typically 1-3 years)
- Complete customer support access
- Easy warranty claims process
- Defects and some accidental damage covered
- Option to purchase extended warranties
Refurbished Product Warranties
Quality refurbished products offer:
- Limited warranties (standard for these is typically 90 days to a year)
- Manufacturer warranty support same as for manufacturer-refurbished items
- Not as much warranty compared to new products
- May not include damage or wear
Pro Tip: Some refurb programs come with better warranties than you’d expect! Apple gives its refurbished products the same one-year warranty it gives new Apple products, and the company says customers are also eligible to purchase AppleCare protection. Through the Amazon Renewed program, you also get a return period of 90 days, frequently longer than that offered by many retailers.
When Warranty Matters Most
Consider when warranty duration matters most:
- High-priority warranty items: expensive electronics, appliances, and anything you rely on daily
- Medium-priority warranty items: gaming systems, tablets, and other secondary devices
- Low-priority warranty items: accessories, backup devices, and any product worth less than $100
Put simply, the warranty difference on high-priority products may justify the added cost for new. Moreover, the shorter warranty on a much cheaper refurbished product makes financial sense for everything else.
4. Environmental and Sustainability Impact
This factor does not impact your wallet directly. However, this is becoming increasingly essential to a growing number of consumers and may have an impact.
The Environmental Case for Refurbished
Refurbished items have a clear environmental value for several reasons: they keep electronic waste from seeping into landfills, reduce the new product demand, save the raw materials and energy needed to manufacture, and maintain useful items for longer.
Real Numbers
Making a brand new laptop emits 300-400 kilos of CO2. So, every refurbished laptop sold eliminates a sizable environmental cost while guaranteeing a perfectly functional device gets a second life.
Sustainability Without Sacrifice
A lot of people want to make more responsible decisions but are worried about sacrificing performance or quality. However, this is not the case. The high-quality refurbished product works identically to new ones. Therefore, you are not exchanging environmental benefits for functionality. Additionally, the finest refurbished goods meet the same requirements as new goods.
Corporate Responsibility Programs
Fortunately, some of the world’s largest corporations have risen to the occasion. These firms provide refurbished products with a particular focus on environmental concerns. Such programs have additional quality standards, higher quality, and firm status requirements than the typical refurbished product. The companies’ reputations are equally at stake as their refurbished goods are tested by environmental certifications and annual sustainability reports. Therefore, by selecting manufacturer refurbished products, you may have peace of mind about their environmental consequences.
5. Smart Shopping Strategies That Work
Understanding the distinction between new and refurbished is just half the battle. The other half is knowing how to be a smart shopper for either option.
Best Times to Buy Refurbished
Timing your used purchases right can score even more savings:
- Post-holidays: January-February – lots of returns become refurbished stock
- Back-to-school: August-September for educational discounts and trade-ins
- Product refresh cycles: Prices of refurbished on a last generation model usually decrease when new generations of products are released
- End of fiscal quarters: In the months of March, June, September, December, common times for clearance pricing
Where to Get Good Refurb Deals
Manufacturer Direct Programs:
- Apple Certified Refurbished Store
- Dell Outlet
- HP Renew
- Samsung Certified Re-Newed
- Lenovo Outlet
Trusted Retailer Programs:
- Amazon Renewed
- Best Buy Open-Box and Geek Squad Certified
- eBay Refurbished (with eBay guarantee)
- Walmart Restored
- Newegg Shell Shocker Refurbished
New Product Shopping Strategies
When new makes more sense:
- Newest technology needs: Requires the latest and greatest features/benefits that is only available in the newest models
- Long-term ownership plans: Own for at least 3 years
- Business/professional use: When lost productivity is more costly than the savings
- Warranty-critical applications: Items where extended coverage is important
Questions to Ask Before Buying
For Refurbished Items:
- What specific testing was performed?
- Which (if any) components were removed/replaced?
- What’s included in the box?
- What’s the exact warranty coverage?
- What is the return policy if I am not satisfied?
For New Items:
- Do you have any offers, special packages or promotions currently?
- What comes with the manufacturer warranty?
- Do I really need an extended warranty, or is it a waste of my money?
- When will we see the next model?
- Do you have student/military/other discounts?
Making Your Decision: New vs. Refurbished
The decision between new and refurbished isn’t always so cut and dry. Here’s a practical decision framework:
Choose Refurbished When:
- Budget is your primary concern
- You’re purchasing from a trusted manufacturer or retailer program
- It’s not a mission-critical device for work or daily life
- You’re okay with shorter warranties
- Environmental impact matters to you
- You want proven technology (not the most recent “bells and whistles”)
Choose New When:
- You want latest features and technology
- Long-term reliability is crucial
- Extended warranty coverage is important
- You expect to have the item a long time
- The refurbished savings aren’t substantial enough to outweigh the risks
- You’re looking for the full unboxing experience and all original accessories
The Middle Ground: Consider “open-box” items — products that were returned unused or barely used. These frequently provide new-product quality at refurbished-level pricing, typically with better warranties than you’d get with most refurbished items.
Real-World Success Stories
Sarah’s Laptop Triumph: Wanted a laptop for school but only had $600 to spend. Bought a manufacturer-refurbished MacBook Pro (last year’s model) for $580, down from $1,200 new. Three years later, it’s still running perfectly, and it helped her graduate from college debt-free.
Mike’s Smartphone Mistake: Purchased a third-party refurbished phone at a $200 discount. It died after eight months and the warranty didn’t cover it. He ended up spending more replacing it than he would have on a new phone in the first place.
The Johnson Family Smart Buy: Re-outfitted home office with factory refurbished equipment: printer, monitor, desktop computer. They saved over $800 from what they would have paid new, everything had warranties, and everything is still working fine 2 years later.
These stories illustrate the need to source your refurbished tech carefully — and know when the potential rewards are worth the risk.
Frequently Asked Questions
Q: Are refurbished items simply broken things that got fixed? A: Not necessarily. Many refurbished items were never broken — they were perhaps customer returns, overstock or display models. When items are repaired, they are tested to make sure they’re working according to strict quality standards before being resold.
Q: Do refurbished electronics have a shorter lifespan than new electronics? A: Good quality, refurbished items from reliable sources should last as long as new. But third-party refurbs with mysterious or questionable histories could end up having shorter lives.
Q: Am I able to return a refurbished product that I don’t like? A: The majority of reputable refurbished programs will have return policies, but the length will typically be less than returns on a new product. Be sure to read the individual return policy before you buy.
Q: Do refurbished products come with original accessories? A: That depends on the seller and the product. Manufacturer refurbished products are likely to come with the original accessories, whereas third party ones tend to use generic accessories. Be sure to always read what’s included before purchasing.
Q: Are refurbished items bought online safe to purchase? A: Yes, if purchased from sources with good return policies and warranties. Stick with manufacturer or well-known retailers with specific refurbishing standards.
Q: How do I know if refurbished is good quality? A: You’ll want to pay attention to detailed condition descriptions, clear warranty information, good seller ratings and transparent return policies. Products refurbished by the manufacturer are generally of the best quality.
Q: Will refurbished devices receive software updates? A: Yes, refurbished products get the same software updates as new products. The refurbishment process doesn’t impact whether a device can be updated.
Q: Is it OK to purchase refurbished goods as gifts? A: This depends on the recipient and the product quality. Manufacturer refurbished items, when they’re of high quality, can be ideal gifts, particularly if the savings mean you can grab a higher-tier model than you could if it were new.
Wrap Up: Your Money, Your Choice
The refurbished vs new issue doesn’t have one right answer. The right decision for you will depend on your budget, needs, risk tolerance and the specific products you are considering.
Remember these key takeaways:
- Factory refurbished items are usually refurbished by manufacturers themselves
- Make sure to calculate total cost of ownership – not just upfront costs
- Know what you’re getting warranty-wise and make an informed value judgment
- Weigh the environmental benefits of prolonging the life of products
- Always shop through a trusted source with a clear return policy
Whether you go new or refurbished, make your decision based on facts, not fear or assumptions. With a little bit of smart shopping and an understanding of your purchase, both options can offer great value.
So the next time you find yourself making that choice, here are five things to think about to make it easier. They can save you money, and probably of more importance, potentially save the environment.
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