Are Chinese brands overtaking local giants with their surge in India’s wearables market? With upgraded audio and smartwatch offerings, the industry noted that the market demand is shifting towards higher-quality products.
Chinese companies are rapidly increasing their presence in India’s wearables market, which has long been dominated by local brands. The competition is particularly fierce in the high-volume audio sector and premium-priced smartwatches.
According to a report by the Economic Times, Chinese brands are capitalising on an ecosystem that is closely tied to their smartphone sales, utilising their extensive distribution networks both online and offline, as well as rapid technological advancements.
In contrast, leading Indian brands, hit hard by a sharp decline in smartwatch sales last year, are shifting their focus to higher-priced audio products to increase their value. Additionally, they are developing niche smartwatch features and enhancing hardware and software to attract repeat customers.
“Looking at brand origin, Indian and Global brands lost some of their share to Chinese players this year. Chinese brands captured a 16 per cent share in 2024, rising 33 per cent YoY, driven by the impressive performance of OnePlus devices like the Nord Buds 2R and Buds 3. realme and Xiaomi supported the growth of Chinese brands,” noted Anshika Jain, a research analyst at Counterpoint Research.
She further stated that these brands have drastically upgraded their audio product portfolios this year. OnePlus launched four new models, while Realme introduced five to six new models of truly wireless earbuds across various price ranges.
In the smartwatch market too, higher-priced offerings from OnePlus and Xiaomi are gaining strong traction, while older Android-powered models from Samsung are also seeing increased sales.
On the other hand, the growing base of iPhone users is driving demand for Apple smartwatches, particularly during the festive season when significant discounts are available, according to market analysts.
But what does the Indian market players say? Amit Khatri, co-founder of Indian smartwatch market leader Noise, stated that the market is ready for an upgrade because many people have been buying wearables for years, and there are now fewer first-time buyers, and experienced customers are looking for better products. Thus, whoever can meet these demands is seeing growth.
In 2024, another Indian company, boAt (Imagine Marketing) maintained its lead despite a 5.8 per cent annual drop, increasing its wearable market share from 26.0 per cent to 27.6 per cent. Noise held the second spot with 12.2 per cent market share, despite a 10.7 per cent YoY decline, according to IDC.
Read more: Indian Wearable Market Slumps For The First Time In 2024
