Smartwatches Market

Smartwatches Market Outlook (2022-2032)

In 2022, the global smartwatches market is valued at US$ 23.5 billion and is predicted to reach US$ 121.5 billion by the end of 2032. Smartwatch sales statistics, as per this revised Fact.MR study, predicts market expansion at a stellar CAGR of 17.8% through 2032.

Apple dominates the smart-watch market and has sold the highest number of units of smartwatches since 2015 when it launched its first watch. While it may have seemed that Android-operated smartwatches would be highly popular over the coming years, Apple’s newly launched smartwatches are expected to put a dent in those expectations.

Report Attributes	Details
Smartwatches Market Size in 2022	US$ 23.5 Billion
Projected Market Value (2032F)	US$ 121.5 Billion
Global Market Growth Rate (2022-2032)	17.8% CAGR
North America Market Value (2022)	US$ 8.3 Billion
Key Companies Profiled	Fitbit Inc. Samsung Electronics Co. Ltd Sony Corporation Garmin Ltd. Fossil Group Inc. Apple Inc. Huawei Technologies Co. Ltd. Xiaomi Corporation Nokia Corporation (Withings) LG Electronics Inc.

Smartwatch Sales Analysis (2017-2021) in Comparison to Market Forecasts (2022-2032)

Smart devices have become a crucial and integral part of people’s lives over the past few years and increasing digitization will only bolster this trend in the near future. Smartwatches are one of the most popular smart devices that have gained unprecedented sales and popularity in recent times.

The growing millennial population and rising uptake of smartwatches by the younger population is a key factor that is expected to propel smartwatch sales over the next ten years. High disposable income, growing focus on health and fitness, increasing product launches, and availability of affordable smartwatches are other factors that potentially favor demand for smartwatches. Construction smartwatches and industrial smartwatches are expected to witness a hike in demand across the forecast period.

The future scope of smartwatches is completely dependent on technological advancements in the industry and innovation by smartwatch manufacturing companies such as Apple, Garmin, Fitbit, and Samsung is expected to be of paramount importance over the years to come.

However, the strong market presence of traditional watches is expected to restrain overall smartwatches market potential to a certain extent through 2032. Worldwide shipments of smartwatches are anticipated to surge at a CAGR of 17.8% from 2022 to 2032.

Which is the Main Target Market for Top Smartwatch Brands?

“Growing Urbanization and Rising Popularity of Fitness Tracking among Young Population”

The adoption of smartwatches has been high in the younger population and this trend is expected to be rife over the coming years as well. The younger generation is expected to be a highly lucrative target market for smartwatch manufacturers throughout the forecast period.

Young people are more aware of their health and fitness than ever before and their increasing standards of living are expected to make them favorites for top smartwatch brands.

Increasing urbanization and digitization in Gen Z and the millennial generation are also expected to drive smartwatch shipments among young people through 2032.

How is High Per Capita Income Factoring in for Smartwatch Sales?

“Rising Disposable Income Driving Market in Developing Economies”

Disposable income in developing and underdeveloped economies has been increasing over the past few years and this trend is expected to favor the overall demand for smartwatches over the coming years. A high per capita income increases the consumer spending potential and this could positively impact shipments of smartwatches through 2032.

Economies such as India and China are witnessing a spike in smartwatch sales owing to high disposable income and the same trend is expected to be observed across the world over the years to come.

This revised smartwatches market study by Fact.MR, a market research and competitive intelligence provider, gives a detailed assessment of all the key smartwatch market trends that could influence the market growth over the next ten years.

Country-wise Insights

What is the Demand Outlook for Smartwatches in the U.S.?

“Rising Expenditure on Smart Devices Driving Smartwatch Demand”

The United States is known for its early adoption of advanced technologies and the nation is at the forefront when it comes to the use of smart devices as well. Expenditure on advanced tech products in the country is higher than ever with both elderly as well as young people opting for smart devices such as smartwatches, smart locks, smart cameras, etc.

Adoption of smartwatches by the elderly is expected to increase owing to the launch of smartwatches designed for the aged people, rising demand for remote monitoring, and increasing awareness of technology and favor the market for smartwatches in the U.S.

Moreover, the presence of key smartwatch suppliers such as Apple is also expected to provide new opportunities in the smartwatch market. Increasing awareness of fitness and health coupled with a high prevalence of obesity is also projected to bolster smartwatch demand in the country through 2032.

Why is India Becoming a Hub for New Smartwatch Companies?

“Favorable Government Initiatives & Attractive Business Opportunities in India”

Technological proliferation in India has increased exponentially over the past few years and this trend is expected to be prominent over the next ten years as well. Adoption of smart devices and wearables is on the rise in the country and this is expected to bolster sales of smartwatches through 2032.

Supportive government initiatives, low labor costs, growing demand for affordable wearables, and increasing disposable income are key factors that attract new companies to India.

• A start-up named WatchOut Wearables, launched in 2018, is making waves in the Indian smartwatch industry by cashing in opportunities in the affordable smartwatch segment, which is a highly attractive segment in the country. Smartwatches from this new company are not only affordable but packed with high-end features such as biometric sensors, heart rate monitors, gesture control, etc.
• In April 2022, Gizmore, an India-based startup, launched a new smartwatch under the ‘Made in India’ program. The GIZFIT 19 PRO comes with premium features and an affordable price tag with impressive battery life.

Indian start-ups are also scaling up with acquisitions to improve their global market presence and business potential.

• In January 2022, Imagine Marketing Private Limited, the parent company that operates the business for boAt, a consumer electronics brand, signed an agreement to acquire Singapore-based wearable IoT product development startup, KaHa Pte Ltd (Cove IoT).

Category-wise Insights

Which Operating System Will Be More Popular in Smartwatches Going Forward?

“Android-operated Smartwatches Could Gain High Traction”

The global smartwatches market, based on operating system, is segmented into Watch OS (iOS), Android /Android wear, Linux, Pebble OS, RTOS, Tizen, and others.

The watch OS segment is anticipated to account for a dominant market share over the coming years owing to high sales of Apple watches. The watch OS has gained massive popularity owing to the simplicity of the UI and features that it provides.

However, Android-operated smartwatches are anticipated to witness a hike in sales over the coming years as they step up and provide advanced features with better connectivity than that of watch OS-operated watches.

Which Distribution Channel Accounts for High Smartwatch Sales?

“High Sales via Online e-Commerce Stores to Expand Market Size of Smartwatches”

The global smartwatches market, based on sales channel, is segmented into online e-commerce stores, organized retail chains, and unorganized retail stores.

The e-Commerce industry has witnessed major expansion over recent years and this has propelled sales via online channels for all types of products. Rising consumer preference for online shopping, attractive offers, and rapid home delivery services are some of the key factors that promote smartwatch sales via online channels.

The prospect of reaching out to a larger audience via online channels is expected to push manufacturers of smartwatches to invest in online and e-commerce stores to bolster their sales potential. The online e-commerce stores segment accounts for a dominant market share and is expected to maintain this stance through 2032.

Competitive Landscape

Smartwatch suppliers are focusing on product innovation and technological advancements to gain a competitive edge over other market players and increase their revenue generation potential.

• In September 2022, Apple, a leading technology company, announced the launch of its new line of smartwatches. The company launched 3 variants of its new Series 8 watches with different price points to attract consumers with different spending potential. The newly launched products are equipped with new features such as crash detection sensors and advanced temperature sensors.

Key Segments in Smartwatches Industry Research

• By Type :

  • Extension Smartwatches
  • Standalone Smartwatches
  • Hybrid Smartwatches

• By Operating System :

  • Watch OS (iOS)
  • Android /Android Wear
  • Linux
  • Pebble OS
  • RTOS
  • Tizen
  • Others

• By Age Group :

  • 3-14 Years
  • 15-24 Years
  • 25-34 Years
  • 35-54 Years
  • 55+ Years

• By Sales Channel :

  • Online e-Commerce Stores
  • Organized Retail Chains
  • Unorganized Retail Stores

• By Region :

  • North America
  • Latin America
  • Europe
  • APAC
  • MEA