Slumping 20.7% YoY in 3Q24, what lies ahead for India’s wearable device market? Growth in the wireless stereo segment, rising prices, and the popularity of smart rings signal a shifting trend in consumer tech.
India’s wearable device market shrank by 20.7% year-over-year (YoY) to 38 million units for the second consecutive quarter in Q3 2024. According to a report by the International Data Corporation (IDC), this decline is mainly due to fewer new product launches and a conservative inventory approach, even during the festive season.
However, the average selling price (ASP) for wearables rose by 1.3% to $21.3 in 3Q24, marking the first increase since 2Q19.
Among the top five smart wearable companies, Boult and realme were the only companies to see market growth, with 32.5% and 56.5% YoY increases, respectively. Oppo saw a crushing YoY decline of 46.7%, followed by other brands, Noise (Nexxbase) and boat (Imagine Marketing).
In 3Q24, smartwatches faced continued challenges, falling 44.8% YoY to 9.3 million units. During the festive season, brands focused on clearing old inventory with discounts, especially on e-commerce platforms. Noise maintained its lead, while boAt focused on clearance during festive sales.
The ASP for smartwatches rose by 1.4%, from $25.8 to $26.2. Advanced smartwatches saw a 39.9% YoY drop, although their market share slightly increased from 2.4% to 2.6%.
The earwear segment declined 7.5% YoY to 28.5 million units. Within this category, Truly Wireless Stereo (TWS) earwear reached a record 73.2% market share, up from 68.2% last year, despite a 0.7% YoY drop. Other earwear types, including tethered and over-ear models, fell by 22.0% to 7.6 million units. Earwear ASPs grew by 5.9%, reaching $19.2.
In the TWS category, Boult and realme posted YoY growth of 55.0% and 94.6%, respectively, among the top five. The smartphone brand Nothing experienced impressive growth, up 308.2% YoY in the overall wearable market.
In the earwear segment, offline channel shipments grew by 9.4% YoY, increasing its share from 29.1% to 34.4% in 3Q24, while online shipments fell by 14.4%. In contrast, online sales in the smartwatch category have steadily risen for three consecutive quarters, reaching 63.8% in 3Q24. Shipments from long tail brands, including white boxes, dropped sharply by 59.1% in 3Q24, following a significant 328.8% YoY growth in 3Q23.
The smart ring market grew in 3Q24, with over 92,000 units shipped and a 16.2% YoY drop in ASP to $162.1. Ultrahuman led with 36.8% share, followed by boAt (20.5%) and Pi Ring (16.3%). Prices are falling, and new launches are expected.
“As smartwatch shipments saw a swift uptake in 2023, white box shipments also increased multifold during the year. However, tapering demand for smartwatches in 2024 led to a sudden drop in the share of these long tail brands, significantly impacting the overall festive shipments,” said Anand Priya Singh, market analyst, Smart Wearable Devices, IDC India.
Looking ahead, the report forecasts a flat or slight decline in the smartwatch market in 2025, with a shift toward advanced models for better health tracking.
