EMarketer: Wearable Market Is Growing Less Strongly Than Expected

The market research company eMarketer is forced to drastically revise the growth forecast for the wearable market in 2015 – in other words: drastically downwards. Apparently this year will be far less wearables among the Christmas trees in the USA than previously assumed. The company emphasizes that, in particular, Smartwatches does not convince potential customers sufficiently.

In October 2015, the share of wearable owners in the US was expected to grow by 60% this year. According to the latest forecast, however, there will be only 24.7% growth. In other words, with the correction of the forecast this year will be out of 39.5 million instead of 63.7 million adult wearable users. The main reason for this is the Smartwatches, which have sold less well than originally expected due to high prices and questionable use. According to the new forecast, about 16% of the US population will have a wearable effect this year. However, a drastic increase is not to be expected either here, and the percentage share is to rise to about 21% by the year 2020.

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Before the Apple Watch it was the Fitness Wearables, which is why people interested in the portable gadgets, explains Cathy Boyle of eMarketer. Fitness and health stretching was the main reason for the people to get a wearable. Smartwatches could not keep up as well as expected because of the high prices as well as their functions, which often overlap with those of smartphones. Young adults are mainly concerned about the fitness tracker with Wearables for the first time, says Boyle. She further explains that the use of fitness trackers gives more “meaning” to this young group, as the tracker has a clear benefit and costs significantly less.

Furthermore, eMarketer points to a “gender shift” within Wearable users. In 2018, fitness wearables are to be used more often by women than by men.