Apple Watch market share falling amongst fitness trackers, holding steady with smartwatches

Posted:
in Apple Watch edited December 2016
New IDC data examining the wearables market shows a growing overall presence, with fitness bands claiming 85 percent of Q3 sales, but little impact demonstrated from the late-quarter Apple Watch refresh in its short availability.




Leading the market was Fitbit with a 23 percent share, heralded by a refresh of the Charge family of devices. Xiaomi held 16.5 percent, with most of its sales in China, while Garmin took 1.3.

The more expensive Apple Watch held a narrow lead over Samsung with 4.9 percent of the market. Samsung controlled 4.5 percent with a mixed product line of both fitness bands and smartwatches.




IDC claimed that Apple's downturn for the quarter was mostly attributable to an "aging lineup and an unintuitive user interface." The firm's analysts argued that Apple's success in the category will be at best "muted" because of continuing challenges in the category.

However, narrowing down to the smartwatch category specifically, Apple maintained a commanding lead over all its competitors, falling only slightly to 41.3 percent of the market. In that segment, Garmin was a distant second place at 20.5 percent, with Samsung pulling in third at 14.4 percent.




Apple's third-quarter numbers were largely unaffected by the release of the Series 1 and Series 2 Apple Watch on Sept. 7, with only a few days of availability at the end of the quarter.

Overall, IDC expects that app-running smartwatches like the Apple Watch will "continue to struggle in the near term" versus far less capable -- but cheaper -- fitness trackers.
«13

Comments

  • Reply 1 of 56
    NY1822NY1822 Posts: 593member
    how many days in Q3 are these numbers tallying?
  • Reply 2 of 56
    I love my first gen. Apple Watch for running...two taps and I'm ready to run. I bought it to measure my heart rate to keep in the Max fat-burning zone. 

    I don't carry an iPhone so I'm not fooling with it or EarPods.

    I just wish I could have one or two readings in large text like the large text time display. The current displays are a little too crowded with small hard to read sized fonts.

    All I need is Distance and current pace. Mainly current pace. It beeps at every mile, and the half-way point. It auto stops when I stop to tie a shoe or drink and auto starts when I start running again. 

    I'll eventually get the second gen w/ GPS, but for now, the 1st gen is just excellent. I run on trails in the Arizona desert that are known posted distances and I find the Apple Watch to be accurate to about 5%-10% which is fine by me...It's about "time on the trail," not so much about speed.
    wlymalbegarcsteveh2old4funmacplusplusjahbladewatto_cobra
  • Reply 3 of 56
    blastdoorblastdoor Posts: 1,894member
    I'm actually not too worried about this. 

    The first gen watch was a little off target, but I think they righted the ship with version 3 of the OS and the current hardware lineup. 

    If they can just keep pushing the product forward I think they'll do fine. 

    The problem is -- that's a big "if". It seems difficult for Apple to continuously push multiple product lines forward at once. Only the iPhone consistently gets annual updates. 
    calitmayration aljahbladewatto_cobra1983
  • Reply 4 of 56
    "Holding steady"
    Yeah, uh.  That's awesome.
  • Reply 5 of 56
    mac_128mac_128 Posts: 3,399member
    blastdoor said:
    I'm actually not too worried about this. 

    The first gen watch was a little off target, but I think they righted the ship with version 3 of the OS and the current hardware lineup. 

    If they can just keep pushing the product forward I think they'll do fine. 

    The problem is -- that's a big "if". It seems difficult for Apple to continuously push multiple product lines forward at once. Only the iPhone consistently gets annual updates. 
    While I agree, I do think it took too long to get a second model out. We've been looking at the exact same design since September 2014, which despite being a substantial improvement over Series 1, nevertheless lends to the perception it's an old model offering nothing new. And, I have believed since the beginning that the Apple Watch did too much, and things that most people are clearly not buying smart watches for, requiring a more complicated interface for some. Combined with a relatively high price compared to the fitness trackers most people seem to be opting for, and it becomes something of a luxury for the mass markets Apple needs to woo in order to make this thing as successful as their other product lines. But they are laying the groundwork for a big leap forward. If rumors are accurate, and the Apple Watch gains LTE and independence from the iPhone, it will likely take on a whole new life for some. A round watch, as alluded to by patent filings, will also help put the spotlight back on design as well, and keep pushing the innovation factor, over the fitness bands which seem to carry the bulk of the focus. And let's not forget Apple's health factor. The Trump presidency might well help Apple in that regulatory barriers to adding health features to the watch could be dropped, allowing them to bring truly useful features to the watch. I would generally trust Apple to thoroughly test their devices more than most vendors given the resulting lack of government regulation, and that will give Apple a leg up too in that area, since obviously Fitbit will benefit from the same deregulation.
    edited December 2016 caliwatto_cobra
  • Reply 6 of 56
    512ke512ke Posts: 782member
    Backpacker here. I'd love an Apple Watch if it fit my needs: long battery life, GPS and 100% independence from carrying an iPhone.

    Lower price would help. 








    cali
  • Reply 7 of 56
    NY1822NY1822 Posts: 593member
    is this the total from September 16 - September 24? (release date to end of quarter)
  • Reply 8 of 56
    Mike WuertheleMike Wuerthele Posts: 4,346administrator
    The IDC report spans the entire third quarter, inclusive of the retail Apple Watch sales Gen 1 and 2 release in limited quantities, yes.
  • Reply 9 of 56
    "Combined with a relatively high price compared to the fitness trackers most people seem to be opting for, and it becomes something of a luxury for the mass markets Apple needs to woo in order to make this thing as successful as their other product lines. " I agree that Apple Watch's price is far higher than fitness trackers. I also agree people see Apple Watch as a luxury but I think this is accessible/aspirational luxury pricing that has a good precedent for working in the mass-market: iPods. Mid-line iPods have typically been about $200 (for example, the third generation iPod Nano 8GB or the original iPod Mini 4GB at $250). Apple Watch starts at $269 (for 8GB). So Apple Watch seems to be in the right pricing zone for the "gift" segment of the Apple line up. It will simply take some time for people to realize the Edition was an aberration. The Apple Watch is Apple's replacement for the iPod. For more on watch pricing, see: http://q10a1.blogspot.com/2015/03/apple-watch-pricing.html
    macplusplusbrucemc
  • Reply 10 of 56
    mac_128 said:
    blastdoor said:
    I'm actually not too worried about this. 

    The first gen watch was a little off target, but I think they righted the ship with version 3 of the OS and the current hardware lineup. 

    If they can just keep pushing the product forward I think they'll do fine. 

    The problem is -- that's a big "if". It seems difficult for Apple to continuously push multiple product lines forward at once. Only the iPhone consistently gets annual updates. 
    While I agree, I do think it took too long to get a second model out. We've been looking at the exact same design since September 2014, which despite being a substantial improvement over Series 1, nevertheless lends to the perception it's an old model offering nothing new. And, I have believed since the beginning that the Apple Watch did too much, and things that most people are clearly not buying smart watches for, requiring a more complicated interface for some. Combined with a relatively high price compared to the fitness trackers most people seem to be opting for, and it becomes something of a luxury for the mass markets Apple needs to woo in order to make this thing as successful as their other product lines. But they are laying the groundwork for a big leap forward. If rumors are accurate, and the Apple Watch gains LTE and independence from the iPhone, it will likely take on a whole new life for some. A round watch, as alluded to by patent filings, will also help put the spotlight back on design as well, and keep pushing the innovation factor, over the fitness bands which seem to carry the bulk of the focus. And let's not forget Apple's health factor. The Trump presidency might well help Apple in that regulatory barriers to adding health features to the watch could be dropped, allowing them to bring truly useful features to the watch. I would generally trust Apple to thoroughly test their devices more than most vendors given the resulting lack of government regulation, and that will give Apple a leg up too in that area, since obviously Fitbit will benefit from the same deregulation.
    Oh lord. More people who think design is how something looks, rather than how it works.

    I give no shits about the second-gen watch having the same case as the first-gen. No more than I would care about new Vitamix blenders looking the same as models from two years ago. Or the latest DVD/BR players. Why on earth would that matter?! And making it round doesn't fix any design issues, again, because design is about how it works. And a rectangular display works better for information, which is why computer monitors, train/plane schedule displays, hell even just books, aren't round. Watches were round because of swinging arms, which, surprise, ain't dere no more.
    caliration alpscooter63ai46Rayz2016watto_cobra1983
  • Reply 11 of 56

    IDC claimed that Apple's downturn for the quarter was mostly attributable to an "aging lineup and an unintuitive user interface."
    Thanks for the laugh, IDC.

    Funny thing about all those fitbits -- sure they're cheaper, but after the novelty wears off folks I know stop wearing them because of their limited usefulness. 
    edited December 2016 ration alpscooter63macpluspluswatto_cobra
  • Reply 12 of 56
    Apple Watch is a wonderful product. The original Watch was a serious cut above in quality and far ahead of the other players offerings in complications and style. First gen will almost always disappoint a range of consumers. But, an honest evaluation of what was offered by Apple in the first gen Watch, considering the limitations in tech available, of Watch interior space and battery allotment would suggest that they have succeeded in differentiating themselves with this 1st Gen product. Regardless of the naysayers forceful market opinions. On the other hand, potential customers have the negative sentiment of the opposing brands watch and fitness constituencies, general Apple haters, and also a contingent of those who think that or are truly unable to take part in the Apple Watch user segment, to detract from their interest and consideration of this item.

    Apple Watch Series 2  is, as someone earlier pointed out,  not differentiated from the original Watch in its exterior look. But, so much has improved within. Faster, more intelligent complications, higher accuracy, additional use applications, better water resistance and battery life.

    Apple must continue to improve on this instrument, but importantly, patience with the public by Apple, is advised in this instance. Trends favor the low end players, but the individuals who are serious about, tech, fashion, health and fitness will ultimately gravitate to the quality/consistency end of the spectrum. Patience is advised. You can't force a horse to drink until they are thirsty. 

    Apple Watch has a great future in my opinion. 
    caliration almacpluspluspscooter63Rayz2016watto_cobra1983brucemc
  • Reply 13 of 56
    Apple has done pretty well...

    Did I see a chart in the last Keynote that after only 8 months on the market, as far as revenue, the Apple watch was only second to Rolex. That's impressive.

    My daughter is an MD at Arizona University Medical Center and she says her Apple Watch is indispensable for receiving texts from nurses and other MD's. She says it may sound like a little thing, but not having to pull your iPhone out of your pocket hundreds of times a day is wonderful.

    Best

    edited December 2016 Solistevehration almacplusplusmuppetrywatto_cobra
  • Reply 14 of 56
    gatorguygatorguy Posts: 20,291member
    mac_128 said:
    blastdoor said:
    I'm actually not too worried about this. 

    The first gen watch was a little off target, but I think they righted the ship with version 3 of the OS and the current hardware lineup. 

    If they can just keep pushing the product forward I think they'll do fine. 

    The problem is -- that's a big "if". It seems difficult for Apple to continuously push multiple product lines forward at once. Only the iPhone consistently gets annual updates. 
    While I agree, I do think it took too long to get a second model out. We've been looking at the exact same design since September 2014, which despite being a substantial improvement over Series 1, nevertheless lends to the perception it's an old model offering nothing new. And, I have believed since the beginning that the Apple Watch did too much, and things that most people are clearly not buying smart watches for, requiring a more complicated interface for some. Combined with a relatively high price compared to the fitness trackers most people seem to be opting for, and it becomes something of a luxury for the mass markets Apple needs to woo in order to make this thing as successful as their other product lines. But they are laying the groundwork for a big leap forward. If rumors are accurate, and the Apple Watch gains LTE and independence from the iPhone, it will likely take on a whole new life for some. A round watch, as alluded to by patent filings, will also help put the spotlight back on design as well, and keep pushing the innovation factor, over the fitness bands which seem to carry the bulk of the focus. And let's not forget Apple's health factor. The Trump presidency might well help Apple in that regulatory barriers to adding health features to the watch could be dropped, allowing them to bring truly useful features to the watch. I would generally trust Apple to thoroughly test their devices more than most vendors given the resulting lack of government regulation, and that will give Apple a leg up too in that area, since obviously Fitbit will benefit from the same deregulation.
    Oh lord. More people who think design is how something looks, rather than how it works. And a rectangular display works better for information, which is why computer monitors, train/plane schedule displays, hell even just books, aren't round. Watches were round because of swinging arms, which, surprise, ain't dere no more.
    People have expectations about what things should look like. I remember my mother making mashed potatoes and fresh bread for Easter, using food coloring to make the potatoes orange and the bread green. She had what she thought was a good reason too, celebrating spring and its colors. The taste probably didn't change at all but no one liked either of them. They didn't look like what they were expected to. No doubt there's a significant percentage of watch wearers that when they think of what a quality watch should look like one of the basics is that its round. A rectangular one doesn't look right to them.
    GeorgeBMac
  • Reply 15 of 56
    Apple Watch is a wonderful product. The original Watch was a serious cut above in quality and far ahead of the other players offerings in complications and style. First gen will almost always disappoint a range of consumers. But, an honest evaluation of what was offered by Apple in the first gen Watch, considering the limitations in tech available, of Watch interior space and battery allotment would suggest that they have succeeded in differentiating themselves with this 1st Gen product. Regardless of the naysayers forceful market opinions. On the other hand, potential customers have the negative sentiment of the opposing brands watch and fitness constituencies, general Apple haters, and also a contingent of those who think that or are truly unable to take part in the Apple Watch user segment, to detract from their interest and consideration of this item.

    Apple Watch Series 2  is, as someone earlier pointed out,  not differentiated from the original Watch in its exterior look. But, so much has improved within. Faster, more intelligent complications, higher accuracy, additional use applications, better water resistance and battery life.

    Apple must continue to improve on this instrument, but importantly, patience with the public by Apple, is advised in this instance. Trends favor the low end players, but the individuals who are serious about, tech, fashion, health and fitness will ultimately gravitate to the quality/consistency end of the spectrum. Patience is advised. You can't force a horse to drink until they are thirsty. 

    Apple Watch has a great future in my opinion. 
    I agree with you. I think Apple is trying to get off the merry-go-round of yearly hardware changes seen w/ the iPhone. I thought the Apple Watch was a little thick, but have gotten used to it and now regard it as truly useful and elegant device. Just like my iPhone, iPad Mini, etc. As you said the iOS changes were very good.

    I'm glad the second gen, is the same form factor. It's made it seem to have a little more longevity and I think more desirable in a way. Having said this...look for a thinner model, probably next year! :)
    caliration alwatto_cobra1983
  • Reply 16 of 56
    SoliSoli Posts: 8,690member
    Did I see a chart in the last Keynote that after only 8 months on the market, as far as revenue, the Apple watch was only second to Rolex. That's impressive.
    Yes. And Rolex SA offers a large range of brands. Despite being on top, their fiscal year revenue for the entire corporation was only "US$4.7 billion (2016)."
    ration al
  • Reply 17 of 56
    SoliSoli Posts: 8,690member
    I wouldn't mind having the latest Apple Watch but my original, Series 0 Watch works perfectly well, and I'd rather have other products from Apple right now so it's not a huge rush to update something that already works so well.

    If I fault Apple for anything it's releasing all their products right around the same time. If it were, say, a Spring release then I might be more inclined to drop $400+ on a new Watch every cycle.
    macplusplusbrucemc
  • Reply 18 of 56
    gatorguy said:
    mac_128 said:
    blastdoor said:
    I'm actually not too worried about this. 

    The first gen watch was a little off target, but I think they righted the ship with version 3 of the OS and the current hardware lineup. 

    If they can just keep pushing the product forward I think they'll do fine. 

    The problem is -- that's a big "if". It seems difficult for Apple to continuously push multiple product lines forward at once. Only the iPhone consistently gets annual updates. 
    While I agree, I do think it took too long to get a second model out. We've been looking at the exact same design since September 2014, which despite being a substantial improvement over Series 1, nevertheless lends to the perception it's an old model offering nothing new. And, I have believed since the beginning that the Apple Watch did too much, and things that most people are clearly not buying smart watches for, requiring a more complicated interface for some. Combined with a relatively high price compared to the fitness trackers most people seem to be opting for, and it becomes something of a luxury for the mass markets Apple needs to woo in order to make this thing as successful as their other product lines. But they are laying the groundwork for a big leap forward. If rumors are accurate, and the Apple Watch gains LTE and independence from the iPhone, it will likely take on a whole new life for some. A round watch, as alluded to by patent filings, will also help put the spotlight back on design as well, and keep pushing the innovation factor, over the fitness bands which seem to carry the bulk of the focus. And let's not forget Apple's health factor. The Trump presidency might well help Apple in that regulatory barriers to adding health features to the watch could be dropped, allowing them to bring truly useful features to the watch. I would generally trust Apple to thoroughly test their devices more than most vendors given the resulting lack of government regulation, and that will give Apple a leg up too in that area, since obviously Fitbit will benefit from the same deregulation.
    Oh lord. More people who think design is how something looks, rather than how it works. And a rectangular display works better for information, which is why computer monitors, train/plane schedule displays, hell even just books, aren't round. Watches were round because of swinging arms, which, surprise, ain't dere no more.
    People have expectations about what things should look like. I remember my mother making mashed potatoes and fresh bread for Easter, using food coloring to make the potatoes orange and the bread green. She had what she thought was a good reason too, celebrating spring and its colors. The taste probably didn't change at all but no one liked either of them. They didn't look like what they were expected to. No doubt there's a significant percentage of watch wearers that when they think of what a quality watch should look like one of the basics is that its round. A rectangular one doesn't look right to them.
    That's fine, because those people are into watches as ornaments. In other words, form. But when it comes to function over form, rectangular won. See: books. 

    People always bitch that apple is too into form over function, but here's proof that they aren't. And yet still the people bitch. Therein lies the lesson. 
    edited December 2016 ration alai46Rayz2016watto_cobra
  • Reply 19 of 56
    Soli said:
    Did I see a chart in the last Keynote that after only 8 months on the market, as far as revenue, the Apple watch was only second to Rolex. That's impressive.
    Yes. And Rolex SA offers a large range of brands. Despite being on top, their fiscal year revenue for the entire corporation was only "US$4.7 billion (2016)."
    Ah...good to know. Thx
  • Reply 20 of 56
    mac_128mac_128 Posts: 3,399member
    gatorguy said:
    mac_128 said:
    blastdoor said:
    I'm actually not too worried about this. 

    The first gen watch was a little off target, but I think they righted the ship with version 3 of the OS and the current hardware lineup. 

    If they can just keep pushing the product forward I think they'll do fine. 

    The problem is -- that's a big "if". It seems difficult for Apple to continuously push multiple product lines forward at once. Only the iPhone consistently gets annual updates. 
    While I agree, I do think it took too long to get a second model out. We've been looking at the exact same design since September 2014, which despite being a substantial improvement over Series 1, nevertheless lends to the perception it's an old model offering nothing new. And, I have believed since the beginning that the Apple Watch did too much, and things that most people are clearly not buying smart watches for, requiring a more complicated interface for some. Combined with a relatively high price compared to the fitness trackers most people seem to be opting for, and it becomes something of a luxury for the mass markets Apple needs to woo in order to make this thing as successful as their other product lines. But they are laying the groundwork for a big leap forward. If rumors are accurate, and the Apple Watch gains LTE and independence from the iPhone, it will likely take on a whole new life for some. A round watch, as alluded to by patent filings, will also help put the spotlight back on design as well, and keep pushing the innovation factor, over the fitness bands which seem to carry the bulk of the focus. And let's not forget Apple's health factor. The Trump presidency might well help Apple in that regulatory barriers to adding health features to the watch could be dropped, allowing them to bring truly useful features to the watch. I would generally trust Apple to thoroughly test their devices more than most vendors given the resulting lack of government regulation, and that will give Apple a leg up too in that area, since obviously Fitbit will benefit from the same deregulation.
    Oh lord. More people who think design is how something looks, rather than how it works. And a rectangular display works better for information, which is why computer monitors, train/plane schedule displays, hell even just books, aren't round. Watches were round because of swinging arms, which, surprise, ain't dere no more.
    People have expectations about what things should look like. I remember my mother making mashed potatoes and fresh bread for Easter, using food coloring to make the potatoes orange and the bread green. She had what she thought was a good reason too, celebrating spring and its colors. The taste probably didn't change at all but no one liked either of them. They didn't look like what they were expected to. No doubt there's a significant percentage of watch wearers that when they think of what a quality watch should look like one of the basics is that its round. A rectangular one doesn't look right to them.
    That's fine, because those people are into watches as ornaments. In other words, form. But when it comes to function over form, rectangular won. See: books. 

    People always bitch that apple is too into form over function, but here's proof that they aren't. And yet still the people bitch. Therein lies the lesson. 
    Right, because there's nothing like reading a good book on your wrist, or watching a movie, or analyzing a spreadsheet? 

    Jony Ive couldn't have been more clear -- the watch was designed for glances. Anything more and he suggests one pull out their iPhone. Round or square works just fine for such purposes. Something worn on a person's body is subject to the frivolities and whims of taste and style -- and most people are going to want what they want regardless of the ability to most efficiently display the contents of a document. If Apple doesn't address that need, then they will lose some market share. It's as simple as that. 
    stevehgatorguymacpluspluslarrya
Sign In or Register to comment.