Fossil exits smartwatch market
In a statement provided to The Verge a spokesperson said the company is exiting the smartwatch market. “Fossil Group is redirecting resources to support our core strength and the core segments of our business that continue to provide strong growth opportunities for us: designing and distributing exciting traditional watches, jewelry, and leather goods under our own as well as licensed brand names.”
The news should not come as too great a surprise to anyone a Fossil has not launched a new smartwatch since 2021 (the “Gen 6”). And while the Fossil smartwatch were considered well made, they never gained a mass-market appeal with less than two percent penetration of the smartwatch-toting consumers.
The Circana Take:
- Fossil was one of the few non-smartphone manufacturers to make an impact in the market, but this put the company in a tougher position. While phone OEMs can build smartwatches as part of a strategic bundle, Fossil needed to make a significant impact with their watch alone. And that simply has not happened.