Smart ring category grows as India wearable device market declines in Q2

New Delhi: The wearable device market in India declined for the first time by 10 per cent year-over-year (YoY) to 29.5 million units in the April-June quarter, an IDC report said on Thursday, adding that the smart ring category continues to grow.

The market in the first half declined by 4.7 per cent, shipping 55.1 million units. The average selling price (ASP) for the overall wearable also hit a record low, declining by 10.3 per cent from $21 to $18.8 in Q2.

Smartwatch category continued to struggle, declining by 27.4 per cent YoY to 9.3 million units. The share of smartwatches within wearables dropped to 31.5 per cent from 39 per cent in the same quarter last year.

Earwear category remained flat, growing by 0.7 per cent YoY with 20.1 million units. Also, a new subcategory within the earwear segment emerged, namely OWS/OES (open wireless solution/ open ear solution).

“Due to cost pressures, many brands are shifting their focus toward e-tailer channels, particularly during festive periods. While several smaller brands rely on offline channels, the major players remain heavily dependent on online channel,” said Anand Priya Singh, market analyst, smart wearable devices, IDC India.

Smart ring category continues to grow, with more than 72,000 smart rings shipment in Q2 at an ASP of $204.6.

Ultrahuman led with a 48.4 per cent share, followed by Pi Ring at 27.5 per cent and Aabo at third with a 10.5 per cent share.

IDC expects the launch of more affordable smart rings by incumbent wearable brands during the upcoming festive season in the next few months.

According to Vikas Sharma, senior market analyst, smart wearable devices, IDC India, several new model launches by incumbent brands are expected during the upcoming festive season which may help in arresting this decline.