The global shipment of smart watches is expected to reach 62.63 million in 2019. Driven by Apple’s reduction in the price of the old apple watch in 2020, and the enthusiasm of various brands to launch smart watches, the shipment is expected to reach 80.55 million in the future, with an annual growth of 28.6%; The shipment of Apple watch will also grow from 27.9 million in 2019 to 34 million in 2020, with an annual growth rate of 21.8%.
Observing the main reasons for the growth of the smart watch market, Tuo Yi analyst Cai Zhuo Yi pointed out that since the launch of the second generation products, apple watch’s shipments have grown rapidly and become the manufacturer with the highest market share. In addition to Apple’s active development of smart watch products, the price reduction of series 1 products is also an important factor.
On the other hand, with the launch of the latest generation of Apple watch and the price reduction of Apple watch series 3, as well as more brands and products into the smart watch market, driving the growth momentum of the overall market in the future, it is estimated that the smart watch will officially break through the 100 million level in 2022, with a total of 113 million.
Cai Zhuo said that although killer applications to attract consumers have not yet appeared on smart watches, they have many valuable functions from sensing various life functions from various physiological information.
Therefore, in recent years, the focus of product development is to improve consumers’ willingness to try, rather than providing a large number of new functions and components. In this case, the entry-level product becomes the key to sales, which is why the hardware specifications of the new Apple watch series 5 are not different from those of series 4, and the series 3 is retained as the entry-level product.
In addition, when the growth of smart phones and other products stagnated, the brand began to turn its attention to other products with growth potential, such as smart watches, real Bluetooth wireless headsets and other wearable devices, which became the focus of manufacturers’ attempt to develop.
As existing manufacturers such as Huawei, Samsung and Xiaomi continue to launch more new watch products, other brand manufacturers such as oppo, vivo and Google may also try to enter this market. It is estimated that the annual growth rate of non Apple smart watches will reach 34% in 2020, and the overall market share will change accordingly.
Source: Tuolong Industrial Research Institute