Apple HomePod might be known for its premium features, but according to a new research done by Consumer Intelligence Research Partners (CIRP), the speaker has only managed to acquire about 6 percent of the market share in the smart speaker industry, which is said to hold about 50 million units by the end of June. In comparison, Amazon and Google are way ahead of Apple, with about 70 percent and 24 percent of the market share respectively.
To be fair, Apple did only launch the HomePod in February this year, which is almost two years after Amazon launched its first Alexa-powered Echo speaker. However, that’s not the only reason why Apple’s smart speaker is performing poorly in the market. According to Josh Lowitz, Partner and Co-Founder of CIRP, the fact that the company only offers one speaker priced at premium $349 (approximately Rs 24,000) is also a big reason for it to fall behind its competition in the smart speaker space.
In comparison, both Google and Amazon offer a range of speakers at a variety of price points. There are Google Home Mini and Amazon Echo Dot, both of which are priced close to around $50 (approximately Rs 3,400). Not just that, both companies are also focusing on selling more than one speaker to customers. The report claims that about 34 percent of Amazon Echo users and 31 percent of Google Home users own more than one smart speaker.
Not just that, about 10 percent of Echo speaker owners have stated to have more than three speakers at home. The report states that having low-cost speakers in the assortment is a very good strategy, as it encourages the customer to try the device and further get comfortable with the concept, which leads to buying more speakers for every room in the house.
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That said, recent reports have suggested Apple to be working on a low-priced HomePod speaker, which is touted to be priced around $150 (approximately Rs 10,300). On the side, Apple is also focusing on improving the functionality of its speaker to be at par with the competition. A report suggests that Apple is currently working on a new software for HomePod that could add features like phone calling and multiple timers