According to the latest research from Counterpoint’s IoT Service, smartwatch shipments in India tripled in Q2 2021 compared to the same period last year, with 206% YoY and 18% QoQ growth during the quarter. Affordable offerings, new players, variable customer preferences, and post lockdown demand recovery were the key factors behind the hike in numbers.
The market is getting competitive as more and more players are entering the market, smartwatches are being preferred over traditional watches for their feature-rich interface and compatibility to get paired with smartphones. This in turn has also resulted in the availability of smartwatches in lower price brackets. Indian brands continue to dominate the market, with the top three brands in the Indian smartwatch market being domestic and have over a three-fifths share of the total market.
The market is going to increase further, with more brands lined up to enter the market in the future. Around 10 brands have already entered since the beginning of 2021. The major highlight is the domestic production growth. Samsung is already producing smartwatches in India since June 2020. Other players like realme, and Timex are also exploring options for domestic production as it would help reduce the prices and dependence on imports.
A Research Associate at Counterpoint Research states, “We are witnessing many new launches in the sub-INR 5,000 segment, which saw its contribution rising to 83% in the overall market in Q2 2021, compared to 67% in Q2 2020. Due to this, the ASP (average selling price) of smartwatches decreased by 36% in Q2 2021 compared to the same period last year. We are also seeing features like Voice Assistant, Bluetooth Calling, SpO2, and Blood Pressure Monitor trickling down from high-end models to the low-end ones.”
Some key highlights are:
- Noise tops the charts for the fourth consecutive quarter.
- boAt Storm leads the best-selling model list for the quarter.
- Marketing is dominated by Indian brands that occupy 70% of the total shipments.
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