Wearables device segment sees slower growth in March quarter but players remain bullish on outlook

The wearable device segment witnessed sluggish growth trends in the March quarter but players said they continue to have a bullish outlook. As per estimates released by IDC, India’s smart wearable device market grew by merely 2.1 per cent in March quarter (Q1 2024) year-over-year (y-o-y) to 25.6 million units after growing by double digits consecutively since Q4 2017.

Responding to businessline’s queries, Amit Khatri, Co-Founder, Noise, said, “The wearables industry in India continues to grow. Although it shows a single-digit growth rate, this reflects the market’s maturation and the broadening adoption of wearable technology rather than stagnation. With increased market penetration over the years, the growth rate naturally varies.”

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Khatri pointed out that the smart wearable ecosystem is “very dynamic”, and players will need to adapt and constantly revamp their strategies to sustain. “We have demonstrated positive growth, with the highest growth rate of 19 per cent compared to other brands. We are committed to maintaining this momentum through our strategic focus on advanced innovation, consumer-centricity, and premiumization,” he stated.

IDC’s report indicated that India’s smartwatch shipments declined for the first time since Q4, 2018 by 7.3 per cent to 9.6 million units y-o-y in Q1 2024 (vs Q1 2023). Meanwhile, wristband shipments grew by 17.5 per cent over Q1 2023 and the earwear segment grew by 8.3 per cent. The report has flagged early signs of slowdown in the smartwatch segment in India this year, while earwear shipments are expected to grow by “mid-single-digit”.

“We are very optimistic and bullish about the wearables segment. We foresee a strong growth trajectory over the next few quarters, driven by our upcoming innovative product launches,” said Arnav Kishore, Founder and CEO, Fireboltt. He added that the company is focusing strongly on strategic investments in R&D to ensure sustained growth and offer customer-centric solutions.