There are people that like new things, there are people who prefer older things. I am willing to spend money on a new phone every 2 years because it is my main computing device. I, also, don’t miss a lot of things of older phones. I never used as SD card, I never replaced a battery, and I haven’t used wired headphones in a decade.
I like my iPhone 14, the LiDAR gives me a ton of cool applications, the camera takes the best photos I’ve ever taken before, it will be kept updated for the next 5 years and the always-on screen is very useful for unlock-free info.
If you trade-in a fairly new phone, you can heavily discount a new phone purchase as well. It’s more like leasing a car vs owning a car. Pay for the time you use the phone, return it while it still has value in the 2nd hand market and get a fresh phone.
On the other hand, my brother sticks his phone in his pocket all day and doesn’t look at it at home. He bought an iPhone SE a few years ago and it just works. He would argue buying a new phone is silly as well. But we use our phones very differently and so our purchase habits will be different.