Homegrown brands Noise and Fire-Boltt drove the growth of their India smartwatch market and surpassed 5 per cent of the global market share to rank fourth and fifth, respectively, a new report by Counterpoint Research said on Wednesday. Even as the Indian smartwatch market's growth slowed in the fourth quarter (Q4) of 2022, Noise grabbed a 5.6 per cent market share and Fire Boltt got a 5.5 per cent market share in the global smartwatch market.
The global smartwatch market shipments grew 12 per cent year on year (YoY) last year, in the wake of the strong YoY growth registered in the first three quarters of the year, says Counterpoint Research’s recently published Global Smartwatch Model Tracker. But the shipments fell 2 per cent YoY in Q4, 2022 amid inflationary pressures and slow India growth. Notably, this was the smartwatch market’s first negative growth in eight quarters since the pandemic hit the world in 2020.
“Apple strongly drove the average selling price (ASP) rise in the global smartwatch market in 2022, especially in the >$400 price band. There are two main reasons for this ASP rise – a diversified Apple smartwatch line-up and a rise in the exchange rate. This year, Apple released its first premium model, Ultra, at a release price of $799 in the US. In addition, as the exchange rate rose, the local price of Apple Watch in various countries changed. The demand for the premium segment remained relatively strong despite the decline in consumer sentiment at the end of 2022," Woojin Son, Research Analyst, Counterpoint Research, said in a statement.
“On the other hand, we must be cautious about the low-price band of sub-$100. While this segment expanded in 2022 along with the remarkable growth of India’s market, it showed a large withdrawal in Q4 when compared to Q3," Son warned.
Where do Samsung and Apple stand in global smartwatch market
Samsung’s yearly shipments increased by about 12 per cent in 2022 to account for about 10 per cent of global smartwatch shipments. However, revenue only increased by 0.5 per cent, which seems to be largely due to a slight drop in the ASP compared to the previous year, although sales of the Galaxy Watch 5 series were positive.
Apple’s shipments increased 17 per cent YoY on the back of strong sales of Apple Watch Series 8, the Watch Ultra and the Watch SE 2022. In addition, annual shipments increased by 50 million for the first time, accounting for about 60 per cent of the global smartwatch market revenue and further widening the gap with close competitor Samsung.