Usage Report - March 2022

As discussed in the Ownership Report, ownership of smartwatches has remained flat, at roughly 30% for the past year or so, despite reasonably healthy sales of devices (replacement devices are driving sales). The key issue, we suspect, is that the smartwatch has become synonymous with fitness to many consumers and that has limited the desire and inclination to purchase one for less active consumers.

Profile Report

The Wearables Profile Report provides a side-by-side view of different consumer profiles, offering an easy way to view differences among the consumer base. The report leverages the same data as the Ownership and Usage reports.

This latest version of the report has been expanded to provide information on third party apps that consumers may use on their smartwatches.

Ownership Report - March 2022

Despite a solid sales cycle over the holiday period – with Q4 2021 sales up 22% compared to the previous year – smartwatch ownership remains relatively flat at 31% of the consumer base. In other words, most new sales are coming from existing owners upgrading, in additional to just enough new consumers to balance out any possible churn in the segment. Is this due to smartwatches now being a mature segment that is possibly capped out of future growth? We do not believe so. Rather, we see two core challenges for the industry.