Smart wearable devices are now popular consumer electronics products with essential applications in health monitoring. These devices capture the wearer’s health for data-driven analysis. Smartwatches stand out for their convenience and health monitoring features. For example, fitness enthusiasts can monitor their sports data effortlessly, while patients can regularly observe their general wellness progress.
Overview of the Global Smart Watch Market
The global smartwatch market is experiencing rapid growth as more and more people embrace this modern technology. The COVID-19 pandemic has further fueled this growth, with smartwatch brands introducing health measurements to self-track COVID-19 symptoms. The pandemic has also led to a surge in demand for fitness products, including smartwatches, as people avoid going out and visiting crowded spaces like gyms and fitness centers, presenting significant opportunities for the smartwatch market.
Smartwatches on the market can be roughly classified into two types based on their functions – basic and advanced models. Basic models, such as Starmax GTS4 and GTS5, cover fitness tracking, notifications, Bluetooth calling, and other basic features. Advanced models come with powerful functions such as GPS navigation, remote control, heart rate monitoring, etc. While advanced models offer more functions, basic models provide essential features that meet the needs of most users at a lower price point.
The global smartwatch market is predicted to grow at a CAGR of 21.98% by 2027. While advanced smartwatches account for approximately 30% of the global smart watch market, basic smartwatches are expected to capture 70%. While advanced models offer more features, they are often more expensive. Consumers tend to choose cost-effective products with good performance. Therefore expensive smartwatches may deter buyers, especially those with no specific requirements.
Booming Indian Smart Watch Market
This trend is especially noticeable in India. The Indian smartwatch market started late, but it occupies a significant market share of smartwatches worldwide. The Indian smart watch market is growing extremely fast. It is expected to be one of the future drivers of the global smartwatch market development.
India’s Market Share Growth
The recent data showed from IDC India, smartwatches are the fastest-growing trending products of smart wearables in India from Q3 2021 to Q3 2022, with a growth rate of about 178.8%.
The number of smartwatch users has increased by nearly 50% in India alone since 2019, making it one of the most rapidly growing markets for smartwatches. It is reported that smart watch shipments in India have increased by 171% year-on-year. As the chart below shows, India topped the global market for the first time in Q3 2022.
Major Players in the Indian Smart Watch Market
Renowned smartwatch brands like Apple, Xiaomi, Samsung, and Fitbit have already entered the Indian market, indicating the growing importance of the Indian smartwatch market. With more and more brands entering the market, consumers have an increased selection of affordable options that meet their needs.
Local Indian smartwatch brands are cost-effective and meet the expectations of most Indian consumers. Additionally, consumers in India may prefer “Make in India” products, further boosting local brands.
The Emergence of Local Brands
According to the chart below, local Indian brands, such as Fire-Boltt, boAt, and Noise, have grown significantly. They dominate India’s smartwatch market with a combined market share of 75.6% as of Q3 2022.
Noise is the most popular brand in both online and offline markets, ranking first in quarterly shipments. Fire-Boltt followed with a 71% year-over-year growth to take second place. Although boAt did not perform as well as the other two brands this quarter, it still holds a significant market share.
However, it remains to be seen if their rankings will change in the future. So let’s take a closer look at these three major smartwatch brands in India, starting with Fire-Boltt.
Fire-Boltt is a fast-growing brand in India, with product lines such as Bluetooth headsets, smart watches, TWS earbuds, and Bluetooth speakers. Their famous “Ninja Series” smartwatches perfectly combine style and technology with features such as an HD display, Bluetooth calling, health & fitness mode, and water resistance. Fire-Boltt even developed the world’s first Gaming, Entertainment, Fitness & Rewards Ecosystem with their APP – Boltt Play.
The boAt is a prominent Indian smart wearables brand with a range of products, including TWS earphones, smart watches, and smart glasses. They also launched a smartwatch model with Alexa built-in. It has secured a large share of the Indian market and become a competitor to Xiaomi and Huawei, ranking as the 5th largest intelligent wearable brand globally.
Noise, a leading brand in India, has been a best-selling brand on Amazon and Flipkart for four years. As of Q3 2022, they are India’s top smartwatch brand and the second-largest TWS earphone brand. Globally, they are ranked as the third-largest smartwatch brand. In addition, the Noise Pulse Go Buzz smartwatch is Amazon’s second best-selling smartwatch, featuring a 1.69-inch display, long battery life, Bluetooth calling, health and fitness tracking, and more.
Factors Driving India’s Smart Watch Market
Rising healthcare awareness among Indians and the rapid rise in internet connectivity and digitization are partly contributing to the growth in demand for wireless devices such as smartwatches. Under the influence of multiple forces, India has become one of the world’s most dynamic smart watch markets, and this trend will continue.
First, India is the second most populous country after China. In recent years, with the continuous development of the economy, the income level of domestic residents has increased, and the middle and upper incomes groups have also continued to grow. As a result, it has maintained a relatively fast growth rate in the consumer electronics market. The growing economic strength of India’s huge population base has laid a solid foundation for the rapid development of India’s intelligent watch economy.
Second, the Indian government promotes digital transformation by encouraging online consumer electronics purchases. To increase the export market share of wearable devices, the Indian government has now developed the Production Linked Incentive Scheme (PLI scheme). On the one hand, the PLI scheme can stimulate the manufacturing power of local brands. On the other hand, the domestic demand for smartwatches will also see growth.
Decreased Selling Price
One of the key reasons behind the growing sales of smartwatches is the decrease in their prices. As more brands enter the market and competition heats up, prices have become more economical. This has made it easier for consumers to choose a smartwatch that fits their budget and requirements.
Rise of Local Brands
The local brands have also been able to bring out their latest functions quickly, keeping up with the fast-changing market demand. With their visually appealing design plus innovative features, these cost-effective smartwatches of local brands are popular among consumers. In terms of marketing, local brands are more localized in their marketing strategies.
Popular Online Shopping
Besides, e-commerce platforms like Flipkart and Amazon make people’s lives more convenient. Coinciding with platform activities and holidays, people can also get terrific discounts, so the sales of smartwatches online are also very impressive.
All these are vast potential to push India to become one of the leading players in the global wearable devices market. Thus, India’s smartwatch industry will soon develop more opportunities and innovations.
How to Start a Smart Watch Business
With the rising popularity of smartwatches and the increasing demand for cutting-edge, stylish designs, a smartwatch business can now be seen as one of the best product ideas. So how to seize market opportunities to obtain large profits? First of all, the most basic and essential thing we need to consider is the supplier. Regarding suppliers or manufacturers, we have to mention China, the largest manufacturing country in the world.
Advantages of Chinese Manufacturers
China is known as the “world factory” as the second-largest economy in the world. In addition to having a sufficient labor force, China has strong manufacturing capabilities and a worldwide industrial system. After years of market development and policy cultivation, China’s manufacturing industry has formed a close and efficient market division of labor and cooperation system, dotted industrial and enterprise clusters, and the production and supply capacity of general standardized parts and components.
According to the study, China’s two most concentrated economic regions with complete industrial systems are the Yangtze River Delta and the Pearl River Delta. In addition, the Pearl River Delta has unique advantages in both industrial and emerging industries. Its high emphasis on developing high-tech sectors has made the Pearl River Delta region an important center of China’s electronic information industry.
In recent years, Shenzhen has leveraged its well-developed electronics manufacturing industry in the Pearl River Delta to emerge as China’s leading electronics industry hub. The city has prioritized the development of major projects and industrial agglomeration bases for integrated circuits, mobile phones, and smartwatches. Starmax Technology‘s strategic location in this electronics manufacturing hub gives the company a competitive advantage in this dynamic market.
By 2021, the scale of Shenzhen’s electronic information industry will have increased to one-fifth of the country’s total and one-tenth of the global scale. Shenzhen’s major electronic product manufacturers are involved in communications, consumer electronics, computers, emerging electronics, and other fields. As one of the emerging electronic products these years, smartwatches also occupy a non-negligible share in Shenzhen’s electronic industry.
Your Trusted Chinese OEM Smartwatch Manufacturer – Starmax Technology
Founded in 2015, Starmax Technology is a leading Chinese high-tech enterprise of intelligent wearable products. With more than 8 years of experience in manufacturing smartwatches, we focus on the research and development of smartwatches, sports bracelets, and other sports data monitoring devices.
For further services, we also provide sports data management, health monitoring software development, and integrated software and hardware solutions. We have over a hundred smartwatch patents, certifications, and independent intellectual property rights. The “Runmefit” App developed by Starmax serves over 25 million users worldwide.
In addition, the production process of all Starmax products is under the ISO9001 quality management system standard, and BSCI’s social responsibility approves the enterprise. Our products are sold in over 50 countries worldwide, and we work with many international retailers and buyers. In addition, we provide efficient logistics and fast delivery to ensure customer satisfaction.
If you are considering starting your smartwatch business, contact Starmax R&D Team for more smart watch ideas. We have now launched new smartwatch models on our official website. For more information, please visit Starmax’s official website.