What They Say
Counterpoint Research said that smartwatch sales in Q3 2021 were up by 159% sequentially and an amazing 293% year on year with local brands taking 75% of the market, up from 38%. The local brands introduced lower priced models, so the ASP declined.
Commenting on pricing, Research Associate Harshit Rastogi said,
“We are seeing a steep decline in the average selling price of a smartwatch. It has almost halved from the level a year back. More than 90% of the market now falls under INR 10,000 ($134) with INR 2,500-INR 3,000 ($35-$40) being the most competitive segment and contributing to around 40% of the overall market. With new launches coming at even lower prices, the market under INR 2,000 ($27) is expected to witness higher growth in the coming months.”
The article includes detailed comment on each of the brands.
What We Think
It’s not often that we see such dramatic change and top brands such as Apple and Samsung squeezed out. However, the firm didn’t say how big the overall market is. If it’s really small, this kind of change is less suprising. (BR)
