Shipments in the global smartwatches market are expected at 425 million units by 2024. Increasing demand for companion devices would propel the growth of smartwatches. The expanding health-conscious population has also led to higher demand for wearable fitness monitoring & tracking devices, including smartwatches.
Industry participants are likely to escalate in the near future. In addition to new companies, the anticipated entry of well-established players can significantly boost market growth. Ensuring wide usability and decent visual appeal of smartwatches go a long way in their international acceptance.
The management of tradeoffs between their performance and battery life is a critical profit factor. Though many novel smartwatch features have been announced, fitness continues to be at the forefront in terms of development. For instance; in 2014, Google declared its new feature that’s targeted at delivering synchronized details regarding time, distance, and speed while the users are walking or running.
In-depth research report on global smartwatches market - http://www.grandviewresearch.com/industry-analysis/smartwatches-market
The smartwatches market is divided by price and geographies. With respect to price, high-end smartwatches occupied over 90 % of the total shares in 2013. Although the entry of established participants and higher demand for wearable technology act as industry propellers, reluctance to pay USD 250 to USD 300 for smartwatches is major concern. Short battery lifespan is also likely to restrain the industry flow.
Moreover, safety & privacy concerns may hinder the acceptance of smartwatches. Average sales prices of smartwatches are projected to reduce, mainly because of new market entrants. The industry’s current firms offer most expensive products at premium costs. Rising commercialization and research & developments should introduce considerable number of low-end & mid-priced products till 2024.
Geographically, Europe and North America dominated in 2013. They jointly had around 60% of the overall shares that year. Their high-purchasing power and user-awareness are estimated to propel regional expansion. Fitness and health will be the key industry applications over the forecast period.
The Asian-Pacific market is predicted to grow at the fastest rate owing to high penetration of smartphones in the region. China-based firms; such as ZTE, HTC, and Huawei have been stressing on the development of smartwatches. Asia Pacific may also be driven by the increasing proliferation of smartphones across India, Japan, and Singapore.
Companies operating in the worldwide smartwatches market comprise Google Inc.; Apple Inc.; Samsung Electronics Co. Ltd.; Qualcomm Technologies Inc.; and Sony Corp. As smartwatches are paired with related smartphones, the huge installed base of these devices supplied by the above mentioned firms is likely to generate profits. Apart from manufacturers, component suppliers may also profit.
Increase in start-ups has contributed to innovative trends, spurring industry sales. Firms in the market focus mainly on advancements for attaining competitive benefits and product differentiation. The global industry is marked by multiple players and research & developments.
South Korea-based Samsung Electronics accounted for most of the the global shipments in 2013. Companies, like Apple Inc. and Samsung Electronics could benefit from wider adoption levels. Android has been leading the market with regards to the operating systems employed, basically owing to the sales of ‘Samsung’ smartwatches.