The Indian smartwatch market witnessed its strongest on-year growth in 2021, with Q4 being the biggest quarter, two research reports found.
Domestic brands’ growth surpassed Chinese counterparts with Gurugram-based Noise retaining its leadership position, while Fire-Boltt also managed to outpace China’s Amazfit. Overall smartwatches shipments in India grew over 9.6 million units in 2021.
The smartwatch market, which also includes connected watches, grew 364.1% on year to 12.2 million units in 2021, International Data Corporation (IDC) reported. In the fourth quarter, smartwatch vendors shipped 4.9 million units, an on-year growth of 271.2%. IDC said it was the biggest quarter for smartwatches in India.
The market share of India-based brands also doubled from the previous year, now accounting for three-fourths of the overall market.
Noise was the undisputed market leader in the segment, with a 27% share of shipments in 2021. The brand grew 410.2% on year, while also maintaining its lead for the seventh consecutive fourth quarter.
The Noise Colorfit Pro 2, Colorfit Pro 3, and Pulse brought in 60.4% of the company’s share of the portfolio, IDC said.
Boat, with a 25.1% share, finished behind Noise, while Fire-Boltt came in at third with an 11.6% share in 2021. Chinese manufacturers Realme and Amazfit came in fourth and fifth, respectively.
IDC India Market Analyst (Client Devices) Anisha Dumbre said: “The Indian watch market is thriving with a sharp increase in adoption due to increasing awareness around health and fitness.”
“As consumers seek the best combination of features, price, and quality; most brands are trying to step up in meeting the changing consumer needs via product design and pricing strategies combined with partnerships and collaborations.”
Competition at entry-level price points also brought down the average selling price to $61.3 (approx Rs. 4,600) in 2021 from $122.1 (approx Rs. 9,200) the previous year.
“This is putting immense pressure on new entrants and other existing brands to differentiate themselves in the market,” she said.
The smart wristbands market in India, however, declined for the eighth straight quarter. Shipments dipped 34% on year in the fourth quarter, IDC said.
Xiaomi was the leader in the wristbands segment, but shipments declined 43.7% on year in 2021.
Overall, India’s wristwear market of smart wristbands and connected watches grew 141.3% on year in 2021, with 14.4 million units shipped.
In another report, Counterpoint Research said the Indian smartwatch market grew a record 274% on year in 2021. The fourth-quarter growth was pegged at 8%.
Counterpoint Research noted that domestic brands had a market share of over 75% of total market shipments in 2021.
Noise’s market share grew to 27% in 2021 from 26% in 2020, while Boat retained its second spot with a share of 26%.
Fire-Boltt overtook Amazfit to become the third-largest smartwatch maker in 2021 with a market share of 13%.
Realme and Amazfit fell to fourth and fifth, respectively.
Realme had a market share of 6% in 2021, down from 17% in 2020. Amazfit’s market share fell to 5% from 11%, Counterpoint Research data shows.
Apple and Samsung also fell out of the list of top five smartwatch brands in 2021. Apple had a market share of 10% in 2020, while Samsung had 6%.
The Indian smartwatch market is mostly online driven with 78% shipments from e-commerce channels. Amazon and Flipkart contributed 43% and 48% share, respectively, Counterpoint Research said.