In this line, Apple continues to be the leader in the wearables market, although it has lost some ground with Apple Watch and AirPods shipments declining year over year. The Apple Watch and AirPods product lines are immensely popular in the wearable category. Thanks to constant demand, Apple remains at the top of the market, according to IDC figures.
Apple leads, but less than before
Released on June 4, wearable device shipment numbers have increased for the overall market. With 113.1 million shipments in the first quarter of 2024, the market has seen 8.8% growth year-on-year. However, IDC adds that the market has been negatively affected by the decrease in sales prices average during the fifth consecutive quarter.
On a per-company basis, Apple leads with 20.6 million shipments in the first quarter of 2024. This represents a decrease compared to the 25.4 million observed in the same quarter of the previous year, which means a contraction of 18.9%. The decrease in shipments means that Apple's market share has decreased over the course of a year, going from 24.5% to 18.2%. The closest competitor is Xiaomi, with 11.8 million shipments and a 10.5% market share.
IDC explains that Apple was hampered by “poor macroeconomic conditions.” The ban on sales of the Apple Watch in the United States apparently also caused problems, as did the absence of new AirPods.
Apple Watch shipments are said to have declined 19.1% year over year, while AirPods and subsidiary Beats products are down 18.8%.
It appears that consumers will likely gravitate toward mid-range priced products unless new sensors or algorithms to track new data points, such as glucose or blood pressure, and boost the windows of these high-end accessories again.
Impact on the global market
Analyst reports are often based on supply chain surveys and other unofficial data sources. However, Apple's Q2 2024 financial results help prove that the numbers are quite accurate, as Apple's revenue in Wearables, Home and Accessories decreased by 9.9% to 7.9 billion dollars.
Apple's declining market share has allowed other brands to gain ground. Huawei and Samsung, for example, have seen increases in their shipments, with Huawei reaching 9.5 million units and Samsung 8.7 million, giving them market shares of 8.4% and 7.7%, respectively.
Imagine Marketing, known for its BoAt wearables brand in India, has also grown significantly, reaching 6.2 million shipments and a 5.5% market share.
In conclusion, although Apple remains an undisputed leader in the wearables market, recent figures indicate that the company needs to adapt quickly to changing consumer preferences and an increasingly challenging competitive landscape to maintain its dominant position.
