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The Indian wearables market experienced a notable downturn in the second quarter of 2024, recording its first year-over-year decline. A report from International Data Corporation (IDC) revealed that total shipments of wearable devices reached 29.5 million units, representing a drop of 10% compared to the same quarter in 2023. Over the first half of 2024, shipments fell to 55.1 million units, marking a 4.7% year-over-year decrease. This decline has been attributed to various factors, including vendors adopting a more cautious approach to inventory management as they prioritize clearing existing stock in anticipation of the festive season, along with a lack of significant new product launches from key companies.
Q2 2024: Wearables Shipment Decline in India
The IDC report highlighted a significant reduction in wearable device shipments in India, falling from 32.8 million units in Q2 2023 to 29.5 million units in the same period in 2024. This decline encompasses a variety of wearables, including smartwatches, wrist bands, smart rings, smart glasses, and earphones, while traditional analog and digital watches are excluded from this category.
Smartwatch shipments suffered the most dramatic decline, plummeting 27.4% year-over-year to 9.3 million units in Q2 2024. Within this segment, Noise emerged as the leader, capturing a market share of 25.7%. Fire-Boltt and Boat followed with 24.2% and 11.6% market shares, respectively.
Conversely, shipments of earphones experienced modest growth, increasing by 0.7% to 20.1 million units. This segment saw the truly wireless stereo (TWS) category gain ground, expanding its share from 65.5% in Q2 2023 to 71% in Q2 2024. Boat led this segment with a commanding 34% share, while competitors Boult and Noise secured 12.9% and 9.2%, respectively.
Additionally, a new category known as open wireless solutions or open ear solutions (OWS/OES) has emerged in the earwear market. Companies such as PTron (Palred), Truke (Eccentric Enterprises), and Noise (Nexxbase) have introduced budget-friendly options, while premium offerings have been launched by Bose.
Outlook for H2 2024 in the Indian Wearables Market
The report anticipates that leading brands will unveil new products during the upcoming festive season, which could play a crucial role in reversing the negative trends in wearable shipments in India. However, it is expected that annual smartwatch shipments will still decline by approximately 10% throughout 2024. Many manufacturers are likely to concentrate on expanding their portfolios in the lower to mid-price segments in a bid to attract cost-conscious consumers.
Source
www.gadgets360.com