Boat, Noise drive growth in Indian wearable market

The wearable market in India has seen a growth of 29.2% YoY in Q3 2023, shipping a record 48.1 million units. The market has already shipped 105.9 million units in the first three quarters of 2023, surpassing the 100.1 million units shipped in 2022, according to recent data from the International Data Corporation (IDC).
The growth in the market can be attributed to the launch of new models across price points and product categories, leading to continuous innovation in smartwatches, earwear, and the emerging smart ringcategory.The overall average selling price (ASP) of wearables has decreased by 20.4% from $27.2 (around Rs 2,260) to $21.7 (around Rs 1,803).

Smartwatches grows the most, Ultrahuman leads the smart ring cateogory

Among all product categories, smartwatches have emerged as the fastest-growing category, with 41.0% YoY growth and 16.9 million units shipped. The heavy discounting and offers have led to a 35.3% YoY drop in smartwatch ASPs to US$26.7 (Rs. 2,218 approx.) in Q3 2023. However, the ASPs have grown QoQ by 4.3%, primarily due to an increased share of advanced smartwatches and the introduction of premium options.
The Smart Ring category has gained a lot of attention from consumers lately thanks to its unique form factor and several recent product releases. Ultrahuman is currently leading the market with 75.5% market share, followed by Pi Ring at 10.9%, and Boat (Imagine Marketing) with an 8.2% market share in 3Q23.
Earwear saw a YoY growth of 23.6%, shipping 30.9 million units, but its market share dropped to 64.4%. Within the earwear market, Truly Wireless Stereo (TWS) dominated with a 68.4% share, which grew by 46.7% YoY. However, neck bands declined by 6.9% YoY.
The average selling price (ASP) for TWS was $19.5 (around Rs 1,621), with a 17.1% YoY decline. The ASP for neck bands was $14.2 (around Rs 1,181), with a 4.6% YoY decline.
Offline channels recorded a 31.5% share, which is a record high, and grew by 58.3% YoY. This highlights the significance of an omnichannel presence, especially in Tier 3/4 cities.
The top five wearable companies in Q3 2023: Boat, Noise, Fire-Boltt, OPPO, and Boult Audio. boAt leads with a 29.7% share and 19.4% growth; Noise is second with a 10.8% share and 0.6% YoY growth. Other players include Titan, BeatXP, Samsung, and Mivi. The smart ring category is gaining interest due to its unique form factor and recent launches.