More people are renting gadgets than buying them outright due to the cost of living crisis, according to a popular shopping website. MusicMagpie said that over the past year it had added an extra 16,500 subscribers to its rental subscription service, where people can rent a refurbished phone for a lower monthly price then return it once the rental ends.
The resale company sells used phones and electronics as well as CDs, DVDs and Blu-Ray discs. Chief executive of MusicMagpie, Steve Oliver, said: "In light of the continuing squeeze on consumer spending, we believe that device rental subscription services will become an increasingly attractive option to a wider range of consumers seeking to replace their non-discretionary technology products in a cost-effective way."
The business said its profits dropped to £19 million from £23 million in the first half of this year compared to the same period in 2021. Its revenue also fell to £71.3 million from £72.8 million, a decline the firm blamed on fewer customers buying music and books than during lockdown, when people were looking for ways to occupy their time at home.
