Table of Contents
Overview
-
- What you need to know
- Definition
Executive Summary
-
- The issues
- Unit sales pass 41 million, but growth is slowing
-
- Figure 1: US manufacturer unit shipments of wearable tech devices, 2011-16
- New technology value is doubted
-
- Figure 2: Opposition to purchasing smartwatches and bands, September 2016
- Dieters not buying in
-
- Figure 3: Ownership of fitness trackers and smartwatches among adults dieting or watching weight, September 2016
- The opportunities
- The gift market
-
- Figure 4: Receipt of fitness trackers and smartwatches as gifts, September 2016
- Quantifying health
-
- Figure 5: Interest in tracking health information, September 2016
- Assisting sleep
-
- Figure 6: Using fitness trackers and smartwatches to track sleep, September 2016
- What it means
The Market – What You Need to Know
-
- Slow growth as updates lag
- Smartwatch rising
- Older adults, dieters not investing in purchases
- Sports participation, gifts, drives sales
Market Size
-
- Growth slows to 18% in 2016
- Strong product lineup for the fall
-
- Figure 7: US manufacturer unit shipments of wearable tech devices, 2011-16
Market Breakdown
-
- Growth slowing across categories
-
- Figure 8: US manufacturer unit shipments, by segment, 2011-16
- Trackers top segment, but smartwatch closing gap
- Limited share for action cameras
- In their own words
-
- Figure 9: Market share by segment, 2016
- Figure 10: Market share by segment, 2014 and 2016
Market Perspective
-
- Antagonism to new technology
-
- Figure 11: Opposition to purchasing smartwatches and fitness bands, by age, September 2016
- In their own words
- Half of adults watching weight…
-
- Figure 12: Interest in losing or maintaining weight, by key demographics, September 2016
- …but dieters no more likely to own trackers/smartwatches
-
- Figure 13: Ownership of fitness tech among adults dieting or watching weight, September 2016
- Appearance matters
-
- Figure 14: Perception of fitness trackers as attractive, by key demographics, September 2016
Market Factors
-
- Sports participation
-
- Figure 15: Sports participation and fitness tracker ownership by sport played, September 2016
- Gifting
-
- Figure 16: Receipt of fitness trackers as gift, by age, September 2016
-
- Figure 17: Receipt of smartwatch as gift, September 2016
- Quantification of health information
-
- Figure 18: Ownership and intent to purchase wearable tech, by interest in health information and tracking steps, September 2016
- Tracking sleep
-
- Figure 19: Use of trackers and smartwatches while sleeping, September 2016
Key Players – What You Need to Know
-
- Leaders struggle with growth
- Smaller brands outgunned
- New form factors may propel fitness trackers
What’s Working?
-
- Fitbit, Garmin continue to see growth
-
- Figure 20: Fitbit, GoPro, and Garmin sales* 2012-16
- Apple dominant in watches, but sales see decline
- Nike+, Fitbit, Under Armour carry top consideration for purchase
-
- Figure 21: Ownership and willingness to purchase wearable tech brands, September 2016
What’s Struggling?
-
- Subscription and entertainment services
- Marketing budgets problematic for smaller brands
-
- Figure 22: Awareness and ownership of wearable tech brands, September 2016
What’s Next?
-
- GPS, waterproofing, independent calling
- Jewelry, ear buds, and glasses
- In their own words
- Cameras land in drones and glasses
The Consumer – What You Need to Know
-
- One in four plan to buy a smartwatch
- Familiarity, research carry influence
- Users serious about reaping fitness benefits
Ownership and Intent to Purchase
-
- Intent to purchase rivals ownership
-
- Figure 23: Ownership and intent to purchase wearable tech, September 2016
- Asians, Hispanics, urbanites intend to purchase
-
- Figure 24: Intent to purchase smartwatches and wearable cameras, indexed among Asians, Hispanics, and urbanites, September 2016
- Young men are promising buyers
-
- Figure 25: Intent to purchase smartwatches and wearable cameras, indexed by gender/age, September 2016
- Premium pricing hazardous for middle-income buyers
-
- Figure 26: Intent to purchase smartwatches and wearable cameras by household income, September 2016
- CHAID analysis demarcates distinctions by product segments
- Attitudes delineate interest in fitness trackers
-
- Figure 27: Product ownership and intent to purchase – CHAID – Tree output, September 2016
- Age and income demonstrative for watches and cameras
-
- Figure 28: Product ownership and intent to purchase – CHAID – table output, September 2016
Purchasing Decisions
-
- Limited interest in low-end options
-
- Figure 29: Spend on fitness trackers, by generation, September 2016
-
- Figure 30: Spend on smartwatch, by Hispanic origin, September 2016
- Younger owners make, take recommendations
-
- Figure 31: Recommendation of fitness tech to friends/family, by generation, September 2016
-
- Figure 32: Selection of a product friends/family owned, by age, September 2016
- Research part of process for vast majority
-
- Figure 33: Absence of research in product selection, by generation, September 2016
Attitudes to Smartwatches and Fitness Trackers
-
- Function more important than form
-
- Figure 34: Attitudes to smartwatches, by generation, September 2016
- Older owners serious about fitness performance
-
- Figure 35: Attitudes to fitness trackers, by age, September 2016
- Hispanic owners bought in part out of interest in new technology
-
- Figure 36: Attitudes to fitness trackers, by Hispanic origin, September 2016
Appendix – Data Sources and Abbreviations
-
- Data sources
- Sales data
- Consumer survey data
- Qualitative research
- CHAID analysis methodology
- Abbreviations and terms
- Abbreviations
- Terms
Appendix – Market
-
-
- Figure 37: US manufacturer unit shipments of wearable tech, 2011-16
-
Appendix – Consumer
-
- Qualitative responses
- Virtual trainers
- Using technology to achieve fitness goals
Back to top