Wearables are failing to attract the attention of consumers despite being billed as one of the hot products after smartphones. According to eMarketer report, demand for wearables have cooled off and only 20 percent of the US population plan to use a wearable next year. Also Read - Fossil introduces new Gen 6 smartwatch in India: Check price, featuresAlso Read - Apple Watch Series 7 in pics- Slim bezel display, durable body, new features
The research firm says sales for wearables, which includes both fitness trackers and smartwatch, will grow, but at a slower pace. It says the wearable usage will only increase year-over-year by single digits starting from 2019. The firm adds that the only reason for slower growth in wearable sales is the problem that no wearable device has become a must-have device like smartphone for most users. Also Read - Apple Watch Series 7 release details leak ahead of launch tonight: Design, display, variants, price and more
According to PCMag, the research firm also notes that the problem is also partly caused by the nearly $300 starting price of most smartwatches. The report primarily indicates that wearables have a way to go before gaining mass market adoption in the US.
“Instead, for this holiday season, we expect smart speakers to be the gift of choice for many tech enthusiasts, because of their lower price points,” eMarketer analyst Cindy Liu said in a statement shared with PCMag.
The report largely reflects a similar finding from Gartner which said that wearables suffer from high rate of abandonment. While the demand for smartwatches is yet to match that of smartphones, the segment is not heading towards eventual death. According to IDC, the annual smartwatch shipments across the world will more than double over the next five years.
Apple is the major name in the smartwatch segment but it is facing competition from major watch brands like Fossil and Tag Heuer. The launch of new wearables from these fashion brands means that fitness bands will stagnate over the next few years.
In the US, the research firm says that smartwatch adoption will see double-digit growth until 2020 as demands falls. By the end of 2020, it sees only 10 percent of the population is using smartwatches.