Price elasticity
Pricing Models
Price elasticity in recommerce is the sensitivity of demand to price changes for a given device model and condition grade, indicating how much conversion changes when prices are adjusted up or down.
High price elasticity means small price increases significantly reduce conversion, while low elasticity means the platform can hold prices without losing significant volume. Flagship iPhones in Grade A condition typically exhibit lower elasticity than mid-range Android devices, because buyer trust in the brand sustains demand across a wider price band. Understanding elasticity by model and grade allows pricing teams to find the margin-maximising price point rather than defaulting to the lowest competitive price.