Grade spread

Pricing Models

Grade spread is the price differential between the highest and lowest condition grade for the same device model in a given market, expressed as a percentage of Grade A price.

Grade spread is a key metric for pricing strategy because it determines how much revenue is at stake when grading decisions are made. Flagship iPhones typically show smaller grade spreads than comparable Android models because their brand value floors lower-grade pricing. Grade spread also compresses when Grade A supply is abundant and widens when it is scarce. Monitoring grade spread trends alongside competitor pricing helps operators calibrate condition-based pricing adjustments in real time.

See also