India's smartwatch shipments more than tripled in Q2 2021, growing by 206% YoY and by 18% QoQ, according to Counterpoint Research.
India’s smartwatch shipments more than tripled in the second quarter of 2021 compared to the same period last year, with 206% year-on-year (YoY) and 18% quarter-on-quarter (QoQ) growth during the quarter, according to the latest research from Counterpoint Technology Market Research’s IoT Service. The growth was mainly driven by affordable offerings, new entrants, changing customer preferences and demand recovery from the lockdown period.
Looking at the overall market, Senior Research Analyst Anshika Jain said, “India’s smartwatch market is in a boom phase as more and more people are trying out smartwatches because of the affordability factor. Smartwatches are now replacing traditional watches and complementing smartphone usage as well. Domestic brands are playing a pivotal role in making them accessible by introducing relevant functionality and fitness tracking functions at lower price points. The top three brands in the Indian smartwatch market are domestic and have over a three-fifths share of the total market. We are estimating double-digit growth for the country’s smartwatch market in the coming period as new vendors are coming with emphasis on the CMF factor (Colour, Material and Finish), thereby offering a wide variety of options to the consumers at different price points.” Around 10 brands have already entered this market since the beginning of 2021.
On domestic production, Jain said, “We are also seeing domestic production picking up. Samsung is already producing smartwatches in India since June 2020. Other players like realme, Molife and Timex are also opting for domestic production as it would help reduce the prices as well as dependence on the external market.”
On the price trends and features, Research Associate Harshit Rastogi said, “We are witnessing many new launches in the sub-INR 5,000 segment, which saw its contribution rising to 83% in the overall market in Q2 2021, compared to 67% in Q2 2020. Due to this, the ASP (average selling price) of smartwatches decreased by 36% in Q2 2021 compared to the same period last year. We are also seeing features like Voice Assistant, Bluetooth Calling, SpO2 and Blood Pressure Monitor trickling down from high-end models to the low-end ones.”