- There is no single global standard. Every refurbisher uses their own rubric. Always confirm the spec sheet before agreeing to a price.
- Grade A in 2026 trade usage typically means light micro-scratches on screen and frame, no chips, no LCD marks, fully functional, and battery health above 85 percent.
- Grade B allows visible scratches, minor dents on the frame, no glass cracks. Functionality must be 100 percent.
- Grade C allows cosmetic damage including chips, dents and heavy scratches. Functionality must still be 100 percent unless explicitly sold as "working with faults."
- 14-day phones are returned-but-unused stock from carriers. They are typically the highest-grade used product in the trade after CPO.
- Battery health, MDM lock status, and original-vs-aftermarket parts are the three biggest sources of post-shipment disputes.
Why does grading matter more than price in wholesale used phones?
Two traders quote you the same SKU at the same price. One delivers stock that meets your retail partner's definition of Grade A; one delivers stock your partner classes as Grade B and discounts by 18 percent. The difference in margin on a 1,000-unit lot is often larger than the difference between any two suppliers' offer prices.
That is why grading discipline is the single biggest leverage point in the used phone trade. The price negotiation is the visible part. The grading clause in the PO is where money is actually made or lost.
What does Grade A mean in 2026 wholesale practice?
Across the major refurbishers and trading desks, the working definition of Grade A used has converged on the following:
- Cosmetic: Minor micro-scratches visible only at an angle. No chips, no dents, no cracks. Original glass and original housing. No LCD discoloration, dead pixels, burn-in, or shadows.
- Functional: All buttons, ports, speakers, microphones, cameras (front and rear), face ID or Touch ID, and wireless charging fully operational. No water damage indicators triggered.
- Battery: Health above 85 percent for iPhone (verified via Settings > Battery > Battery Health). For Android, equivalent state-of-health measured by diagnostic tool.
- Lock status: No iCloud lock, no Google FRP lock, no MDM enrollment, no carrier lock unless explicitly sold as locked.
- Box and accessories: Typically not included unless specified as "in original box."
The variance comes at the edges. Some sellers grade phones with screen protectors as Grade A and only inspect underneath if challenged. Some treat 80 percent battery health as Grade A; some demand 90. Confirm the exact thresholds before you agree the price.
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What do Grade B and Grade C mean, and where does the floor sit?
Grade B
Visible scratches, minor frame dents and edge wear are acceptable. The screen must be free of cracks. Functionality must remain at 100 percent. Battery health threshold is typically 80 percent.
Grade B is the bulk-volume tier in the secondary market. It is what feeds most low-cost retail channels in emerging markets and most insurance-replacement programmes in developed markets.
Grade C
Significant cosmetic damage allowed: deep scratches, dents, chips, scuff on the back glass. Screen cracks are typically a separate sub-grade (Grade C+) unless explicitly excluded. Functionality must be 100 percent unless sold as "working with faults." Battery health typically 75 percent floor.
Grade C is the volume tier for refurbishers who will replace housings and screens and re-grade the resulting unit upward. The economics work when housing replacement costs are below the grade-A-vs-grade-C price spread.
Beyond C
Anything below Grade C is normally sold as "parts only," "BER" (beyond economic repair), or "mixed with faults." In the trade these lots are priced by chassis count, not by working unit.
The 14-day grade
14-day stock is phones returned to carriers within the statutory return window in the UK and similar markets, before activation or after limited activation. They are physically near-new, sometimes still in box. In trader spec sheets, "14-day" is typically priced above Grade A and below CPO (Certified Pre-Owned). The catch: 14-day stock is regional. UK 14-day phones are unlocked but carry European spec, which matters for buyers shipping to North America or APAC.
Which grading rubric holds up at delivery?
| Grade | Cosmetic | Functional | Battery health (iPhone) | Typical price vs Grade A |
|---|---|---|---|---|
| 14-day | Near new | 100% | 100% | premium to Grade A |
| CPO | Refurbished cosmetic | 100% | >90% | premium to Grade A, above 14-day |
| Grade A | Micro-scratches only | 100% | >85% | baseline |
| Grade B | Visible scratches, minor dents, no cracks | 100% | >80% | -12% to -20% |
| Grade C | Heavy wear, chips, no cracks | 100% | >75% | well below Grade A and below Grade B |
| C+ / cracked | Cracked screen acceptable | 100% or stated faults | >70% | -45% to -65% |
| BER / parts | Any condition | Not guaranteed | n/a | chassis-priced |
Every figure in the price column is measured against Grade A as the baseline, not against the grade immediately above it. These are indicative trading bands, not published market data, and they move with model, volume and region.
What are the four most common grading disputes?
- Battery health. Buyer expects >85 percent across the lot; receives a distribution where 12 percent of units fall between 80 and 85. The fix: write the spec as "100 percent of units >85 percent battery health, verified at Settings > Battery > Battery Health (iOS)." Specify what happens if any unit fails: replacement, credit, or pro-rata refund.
- Aftermarket parts. A unit grades A on cosmetic and function but has a non-original screen or back glass. For Apple devices, iOS now flags non-genuine displays in Settings > General > About. The fix: write the spec to require "original Apple parts only, verified via Settings." Some traders accept aftermarket parts at a discount; just price it explicitly.
- MDM enrollment. The phone passes IMEI and iCloud checks but is locked to a corporate MDM (Mobile Device Management) profile that activates on first setup. The fix: require sellers to confirm MDM-free status via DEP / Apple Business Manager check, or accept a defined return rate for MDM-locked units.
- Inconsistent intra-lot grading. The seller's "Grade A" lot contains a 6 percent tail of units that look like Grade B. The fix: agree a tolerance threshold up front (commonly 3 to 5 percent) and a remediation mechanism for any tail beyond that.
How do you write a grading clause that holds?
The PO grading clause is short, specific and references measurable thresholds. A working template:
Grade A specification (sample clause):
All units shall be classified as Grade A subject to: (1) cosmetic, micro-scratches only, no chips, dents or cracks; (2) functional, 100 percent functional including all sensors, buttons, ports, cameras, biometrics and wireless charging; (3) battery health greater than 85 percent for iPhone, equivalent state-of-health for Android; (4) original manufacturer parts verified via device diagnostic; (5) free of iCloud, Google FRP, carrier and MDM locks; (6) intra-lot tolerance of 3 percent; deviations beyond tolerance to be replaced or pro-rata credited.
How do verified counterparties on Aikon handle grading?
On Aikon, grading is part of the offer post itself, not a separate negotiation. A seller posting a sell offer for 1,000 iPhone 14 units specifies grade, battery health threshold, lock status and origin region as structured fields. A buyer filtering the feed sees only offers that match their grade and battery thresholds.
That structure does not eliminate disputes, disputes happen when units arrive, but it eliminates the most common pre-shipment misalignment, which is two traders thinking they agreed on Grade A and meaning two different things.
What changes for traders who grade tightly?
Tighter grading lowers the average price the trader can sell at, but it also lowers dispute volume, lowers return rates from downstream retail customers, and protects the trader's reputation in a market where reputation determines who answers your WhatsApp messages. The traders who close the most repeat business in 2026 are not the cheapest sellers; they are the ones whose grading is identical lot after lot.