Canalys: smart watch/band market up 3% in Q3’24, affordable smart bands help drive the growth
Affordable Smart Bands Fuel Growth in Wearable Market
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The global market for smart wearables saw modest growth in the third quarter of 2024, driven by a surge in demand for affordable smart bands. Shipments reached 52.9 million units, a 3% increase compared to the same period last year, according to new data from Canalys.
While overall growth was muted, the smart band segment experienced a notable resurgence, with shipments climbing 7% to 10.4 million units.This marks the first quarter of growth for the category as Q3 2020.
Canalys analysts attribute the rise in smart band popularity to strong demand from emerging markets. First-time buyers are increasingly drawn to the improved hardware and affordability of these devices. Popular models like the Xiaomi Smart Band 9 and Samsung Galaxy Fit3 have seen meaningful success in Latin America and EMEA.
Xiaomi Challenges Apple’s Dominance
Xiaomi has emerged as a major player in the wearables market, challenging Apple’s long-standing dominance. Both companies shipped 8.5 million units in Q3 2024, capturing a 16.1% market share each.
Xiaomi’s success can be attributed to the popularity of its Redmi Watch 5 series and the impressive growth of its Xiaomi Watch S line, which saw a 70% year-on-year increase in shipments.
| Vendor | Q3 2024 Shipments (Million) | Q3 2024 Market Share | Q3 2023 Shipments (million) | Q3 2023 Market Share | Annual Growth |
|—|—|—|—|—|—|
| Apple | 8.5 | 16.10% | 8.9 | 17.20% | -3.60% |
| Xiaomi | 8.5 | 16.10% | 6.2 | 12.10% | 37.30% |
While the overall growth in the smart wearables market was modest,the strong performance of affordable smart bands and Xiaomi’s rise signal a dynamic and evolving landscape. As technology continues to advance and prices become more accessible, the wearables market is poised for continued growth in the coming quarters.
Smartwatch Sales Tick Up, But Affordable Bands Drive Growth
Global shipments of smart wearables rose 3% in the third quarter of 2024, driven by strong demand for affordable smart bands, according to a new report from Canalys. While overall smartwatch shipments saw modest growth,the segment continues to face challenges in mature markets like North America.The report highlights a significant shift in the market landscape. While apple and Xiaomi shipped roughly the same number of units, their revenue figures paint a different picture. Apple captured a commanding 40% of the total shipment value, raking in a staggering $10.9 billion,a 5.6% increase from the previous year. In contrast, Xiaomi’s share of the market value stood at a mere 4%.
This disparity can be attributed, in part, to Xiaomi’s strategic shift towards more affordable devices. The company’s average selling price (ASP) has dropped by 9% – the lowest it’s been since the first quarter of 2021.
“Smartwatches, accounting for only 35% of shipments but 74% of market value in Q3, are facing headwinds in mature markets like North America,” says Jack Leathem, Research Analyst at canalys.”Even Apple is experiencing weaker demand for its older models, while Fitbit continues to lose ground.”
Leathem points to a lack of compelling new features as a key factor hindering smartwatch upgrades. consumers who already own advanced smartwatches are finding fewer reasons to invest in the latest releases.
The report underscores the growing importance of affordable smart bands in the wearables market. These devices offer essential features at accessible price points, attracting a wider range of consumers and fueling overall market growth.
Smartwatch Showdown: Innovation Key to Winning Over Consumers in 2024
The race for your wrist is heating up. As the wearable tech market continues to evolve, industry analysts predict that 2024 will be a pivotal year for smartwatch makers.
Canalys, a leading technology market research firm, recently reported that the global wearable band market saw a 1% year-on-year decline in the third quarter of 2024. While this might seem like a setback, experts believe it highlights the need for innovation and a focus on premium features to capture consumer attention.
“2024 remains critical for vendors’ premiumization ambitions and end-user ecosystem stickiness,” Canalys analysts noted. “To stay competitive, vendors must continue investing in software and hardware that help put them at the front of the industry, for example through machine learning-driven insights, dual-processor architecture, and advanced sleep tracking.”
This means we can expect to see some exciting advancements in smartwatch technology in the coming months. Imagine devices that can not only track your steps and heart rate but also provide personalized health insights based on your unique data. Picture smartwatches with lightning-fast processing power, capable of handling complex tasks and running demanding apps seamlessly. And envision devices that go beyond basic sleep tracking, offering detailed analysis of your sleep patterns and suggesting ways to improve your rest.
The battle for your wrist is on, and the winners will be the companies that can deliver truly innovative and user-centric experiences.
Affordable Smart Bands Drive Wearable Market Growth: An Interview with Canalys Analyst
Welcome back to Newsdirectory3.com, where we bring you the latest tech news and analysis. today,the spotlight is on the wearables market,which saw modest growth in Q3 2024,fueled by the surprising surge in demand for affordable smart bands.
To delve deeper into this trend, we’re joined by [Name of Canalys Analyst], an expert in the wearables market from Canalys, the leading market research firm behind this latest data.
Welcome to the show, [Name].
Analyst: Thank you for having me.
Newsdirectory3: The Canalys report highlights a 3% growth in the overall smart wearables market. while not explosive, it’s certainly worth noting. What do you attribute this growth to?
Analyst: You’re right, 3% might not seem like much, but it’s encouraging especially considering the challenging economic climate. The real story is in the details.We saw a remarkable 7% growth in smart band shipments, reaching 10.4 million units. This segment is clearly driving the market forward.
Newsdirectory3: Intriguing! What’s contributing to this renewed interest in smart bands?
Analyst: Affordability is key. Consumers,particularly in emerging markets,are finding increasing value in these devices.
They offer essential features like fitness tracking and notifications at a fraction of the cost of premium smartwatches.
Popular models like Xiaomi’s Smart Band 9 and Samsung’s Galaxy Fit3 have proven incredibly successful in markets like Latin America and EMEA.
Newsdirectory3: Speaking of success,we see some captivating developments in the competitive landscape.
Apple,traditionally the market leader,is facing stiff competition from Xiaomi. Can you elaborate?
Analyst: Absolutely. Xiaomi has gone from strength to strength. They’ve strategically focused on offering feature-rich wearables at competitive prices. The redmi Watch 5 series has been a hit,and their Xiaomi Watch S line saw a phenomenal 70% year-on-year growth. This has allowed Xiaomi to catch up with Apple in terms of market share, both companies now stand at 16.1%.
Newsdirectory3: This is fascinating. So, the wearables market is becoming increasingly diverse. What can we expect in the coming quarters?
analyst: We anticipate continued growth, driven by affordable smart bands and the expansion of emerging markets.
Innovation in health and fitness tracking features will also play a crucial role.
Newsdirectory3.com: Thank you for providing such insightful analysis, [Name].
Analyst: My pleasure.
To our viewers, remember to check out the full Canalys report for a deeper dive into the wearables market.
We’ll continue to monitor the evolving landscape of the wearables market and bring you the latest developments. Stay tuned to Newsdirectory3.com for your daily dose of tech news.