India is all set to become the world’s largest market for wearables by the end of 2023, surpassing North America and China. With lower penetration and affordable options, India is witnessing a surge in the adoption of wearable devices, which is primarily driving the growth of the nation in the wearables market.
- India is expected to account for around 26% of the total global units shipped in the wearables market.
- The country shipped 100 million units of wearables in the previous year, ranking second only to China and North America.
- For every smartphone sold in India, one smartwatch is also sold, indicating the growing popularity of wearables.
- Local vendors offer a wide range of low-cost yet feature-rich wearable devices, driving the market growth.
- Wearables in North America and China tend to be relatively costlier and feature high-level operating systems like Apple’s WatchOS and Google’s Wear OS.
- The Indian market’s rapid growth and large consumer base contribute to its projected dominance in the wearables market.
India Emerges as a Powerhouse in the Global Wearables Market
India’s dominance in the global wearables market is set to soar as it is projected to account for approximately 26% of the total 504.1 million units of wearables expected to be shipped worldwide this year, according to market research firm IDC India. Surpassing last year’s shipment of 100 million units, India is steadily closing the gap with market leaders China and North America, which together accounted for nearly four-fifths of global shipments.
According to IDC research manager Jitesh Ubrani, India has already surpassed the United States and China in terms of market size, and this trend is expected to continue. The country’s market dominance can be attributed to the availability of low-cost yet feature-rich devices from local vendors. Projections by IDC indicate that India’s wearables market is estimated to grow by up to 35% in 2023,
Notably, India’s wearables market claimed the top spot in the January-March quarter of this year, representing 26% of global shipments, as reported by IDC India.
Contrasting wearables market Dynamics: India vs North America and China
- India’s wearables market is dominated by affordable, basic offerings, while North America and China focus on higher-priced wearables with advanced operating systems.
- Smartwatches from Apple, Samsung, and Google may face challenges in India due to rising prices amid a difficult economic climate, despite discounts.
- In contrast, India’s average selling prices are expected to decline further, reaching $23-25 this year.
- The earwear category, contributing 60% of wearable shipments, is anticipated to consolidate in India due to limited use cases and discomfort.
- Smartwatches, known for tech innovation and diverse designs, face challenges in India regarding their perception as accessories rather than purely tech products.
Analysing the Growing Wearables Market in India: Key Insights and Trends
The Indian smart wearable market is projected to exhibit a remarkable compound annual growth rate (CAGR) of 23.91% during the forecast period of 2022 to 2027. This growth is primarily driven by several factors, including increased consumer awareness regarding the importance of adopting energy-efficient products, evolving lifestyles, rising disposable incomes, and improved living standards. As a result, consumers are more inclined to invest in smart wearables, contributing to the expansion of the market.
The Indian smart wearable market can be segmented based on product types, including smartwatches, head-mounted displays, smart clothing, ear-worn devices, fitness trackers, body-worn cameras, exoskeletons, and medical devices. These diverse product categories cater to different consumer preferences and needs, providing a wide range of options in the market.
Indian Wearable Market Trends: Innovations and Product Launches Shaping Future
India’s Wearable Market focuses more on smart wear, driving transformative changes in healthcare and accessibility. The rise of smartwatches equipped with AI integration and real-time monitoring capabilities is revolutionising health tracking and diagnosis. Innovations like touch-sensitive timepieces for the visually impaired and sleek smartwatches with advanced features are enhancing accessibility and improving the quality of life. With launches from companies like B.Rebel and IIT Kanpur, the market is expanding to meet the diverse needs of consumers. These trends signify the growing importance of smart wearables in promoting health and inclusivity and directing the growth of the wearables market in India.
Disclaimer: Investments in the securities market are subject to market risks; read all the related documents carefully before investing.