According to International Data Corporation’s (IDC) India Monthly Wearable Device Tracker, 23.9 million wearable devices were shipped in the second quarter (Q2) of the calendar year (CY) 2022 (April – June, 2022), growing by 113 per cent year-on-year (Y-o-Y). Meanwhile, 38 million units were shipped in the first half (H1) of CY’22 (January – June, 2022) growing at 65.8 per cent Y-o-Y, supported by new launches, discounts, and marketing. As per the study, affordability remains a key growth lever. However, the overall average selling price (ASP) declined by 7.2 per cent Y-o-Y in Q2 CY’22.
As per the IDC report, watch-based wearables continue to be the fastest-growing category shipping 6.4 million units; a growth of 298.4 per cent Y-o-Y. With a strong push for entry-level price points, the ASP declined by 28.9 per cent Y-o-Y to reach $45.1 (as compared to $63.4 in CY’21). Meanwhile, the basic watches continue to dominate with 95.2 per cent share growing by 306.4 per cent annually in Q2 CY’22. Also, the wrist bands declined by 63.0 per cent Y-o-Y as weaker demand continues to restrict its growth.
Besides, the hearables accounted for 72.6 per cent of the overall wearables category while the truly wireless (TWS) accounted for half of the earwear shipments growing by 187.4 per cent Y-o-Y.
Commenting on the report, Upasana Joshi, research manager, Client Devices, IDC India, said, “Brands continue to compete on lowering the price points which ensured a healthy growth in H1 CY’22. In addition to the affordability, the features earlier available at mid/high price points such as Bluetooth calling, bigger screen sizes, and AMOLED displays are getting introduced at lower price points. This is attracting both first-time users and upgraders.”
Meanwhile, Navkendar Singh, associate vice president, Devices Research, IDC India, South Asia and Australia and New Zealand (ANZ), said, “Demand for wearables has moved beyond urban centres by appealing to the aspirational consumers in smaller cities and towns. This has been driven by marketing and pricing efforts by key brands and supported by aggressive e-tailer sales events since the overall category remains online heavy. IDC forecasts record shipments of more than 90 million in 2022. The wearable device market is bucking the trend of tapering demand seen in the overall devices space. As consumers look for exciting designs and a better feature set in a device complementing their smartphone, they are willing to experiment and spend on these devices.”
