Apple Watch takes lead in wearables market as smartwatch sales surge

Posted:
in Apple Watch edited June 2018
The inclusion of cellular connectivity in Apple Watch Series 3 helped propel Apple to the top of the wearables market in the first quarter of 2018, according to market research firm IDC, a move that ousted longtime frontrunner Xiaomi.

Apple Watch Series 3


Continuing a trend that emerged last year, smartwatch sales are outpacing those of basic wearables, or simple devices capable only of counting steps.

In its latest Worldwide Quarterly Wearable Device Tracker, IDC estimates wearables shipments grew 1.2 percent over the first quarter. Notably, the market for smart devices like Apple Watch and products from Fitbit grew 28.4 percent over the same period, while basic wearables suffered a 9.2 percent decline.

Leading the pack was Apple with 4 million Apple Watch units shipped, up 13.5 percent year-over-year. The performance was good enough to capture a 16.1 percent share of the market, putting the company ahead of Xiaomi's 3.7 million shipped units and 14.8 percent marketshare. The Chinese upstart's wearables business finished the quarter up 2.3 percent.

Market stalwart Fitbit was dealt a punishing blow in quarter one and managed to ship 2.2 million units, down 28.1 percent year-over-year. The poor showing landed the company far back in third place with an 8.7 percent share of the market, whereas last year the health tracking firm was just 2 points away from then-No. 2 Apple. Fitbit was the only top-five manufacturer to post negative growth during the quarter.

Coming in fourth and fifth were Huawei and Garmin, respectively. Huawei managed to boost shipments by 147 percent to 1.3 million units and 5.2 percent of the market, while Garmin finished the period with a similar showing of 1.3 million shipments for a 5 percent marketshare.

Pushing its advantage, Apple is expected to unveil a redesigned Apple Watch model with larger screen, enhanced battery life and improved health features later this year. Not much is known about the device, though rumblings suggest Apple will not stray far from the form factor it debuted when the device launched in 2015.

Comments

  • Reply 1 of 12
    nunzynunzy Posts: 662member
    Apple doesn't care about market share. Profit is what matters, and Apple is rolling in them.
  • Reply 2 of 12
    I think later this year is when ima gonna jump in for an Apple Watch... up until watching the WWDC keynote I didn’t think I needed one.
    watto_cobra
  • Reply 3 of 12
    claire1claire1 Posts: 510unconfirmed, member
    Not enough, I want this to be the new iPod with %70+ marketshare.

    nunzy said:
    Apple doesn't care about market share. Profit is what matters, and Apple is rolling in them.

    Then I would guess Apple would be fine selling 500 units a year?
    edited June 2018 nunzywatto_cobra
  • Reply 4 of 12
    Rayz2016Rayz2016 Posts: 6,957member
    claire1 said:
    Not enough, I want this to be the new iPod with %70+ marketshare.

    nunzy said:
    Apple doesn't care about market share. Profit is what matters, and Apple is rolling in them.

    Then I would guess Apple would be fine selling 500 units a year?

    Yes it would, if it was selling them for $10million each. And the support costs would be less too.

    Profit first. Always.
    edited June 2018 StrangeDaysnunzyclaire1
  • Reply 5 of 12
    maestro64maestro64 Posts: 5,043member
    More made up numbers by IDC. 
  • Reply 6 of 12
    GeorgeBMacGeorgeBMac Posts: 11,421member
    I think later this year is when ima gonna jump in for an Apple Watch... up until watching the WWDC keynote I didn’t think I needed one.
    My experience with Apple Watch is that you don't need it until you have it -- then you realize you can't live without it....  Insidious little devil...
    gutengelDon.Andersensocalbrianclaire1watto_cobra
  • Reply 7 of 12
    christopher126christopher126 Posts: 4,366member
    nunzy said:
    Apple doesn't care about market share. Profit is what matters, and Apple is rolling in them.
    Exactly, number 1 by revenue! :)
    nunzywatto_cobra
  • Reply 8 of 12
    christopher126christopher126 Posts: 4,366member
    I wear my AppleWatch every day. During the day it's just for Time and Temperature. But where it really Is a game changer for me is trail running.

    It's wonderful to track run statistics month after month. Very easy to note where improvements need to come. Distance per run, distance per month, minutes per mile and what I think is most important, is number of runs per month.

    If I can run 15-20 runs a month, I keep the momentum going and see great improvements in all all the other areas!

    With the momentum, all the running stats seem to just fall into place.

    The added benefits are better sleep, better eating habits, better mood, more energy and weight loss! :)

    Best
    watto_cobra
  • Reply 9 of 12
    brucemcbrucemc Posts: 1,541member
    claire1 said:
    Not enough, I want this to be the new iPod with %70+ marketshare.
    nunzy said:
    Apple doesn't care about market share. Profit is what matters, and Apple is rolling in them.
    Then I would guess Apple would be fine selling 500 units a year?
    The "wearables" category that is referenced here goes from $20 step counters up to the $350+ (average) Apple Watches.  The category is so broad as to be almost meaningless - not unlike "tablets".  And who knows how they calculate the figures, as most companies don't reveal any details.

    If you look at the smart watch category - the only real "smart" part of wearables - then Apple Watch does have iPod-like marketshare.  Fitbit is a very distant 2nd.

    Similarly, in tablets in the western countries, Apple has something like 70%+ marketshare in devices over $200.  So take out the video viewers & e-readers, and in the true "tablet computing" market, Apple is really the only company.
    Don.Andersenclaire1watto_cobra
  • Reply 10 of 12
    nunzynunzy Posts: 662member
    claire1 said:
    Not enough, I want this to be the new iPod with %70+ marketshare.

    nunzy said:
    Apple doesn't care about market share. Profit is what matters, and Apple is rolling in them.

    Then I would guess Apple would be fine selling 500 units a year?
    If they could increase their total profits by doing so, then that is what they would do. But such a strategy is unlikely to be a good one in their industry.
  • Reply 11 of 12
    claire1claire1 Posts: 510unconfirmed, member
    Rayz2016 said:
    claire1 said:
    Not enough, I want this to be the new iPod with %70+ marketshare.

    nunzy said:
    Apple doesn't care about market share. Profit is what matters, and Apple is rolling in them.

    Then I would guess Apple would be fine selling 500 units a year?

    Yes it would, if it was selling them for $10million each. And the support costs would be less too.

    Profit first. Always.
    yeah, thats gonna happen...

    brucemc said:
    claire1 said:
    Not enough, I want this to be the new iPod with %70+ marketshare.
    nunzy said:
    Apple doesn't care about market share. Profit is what matters, and Apple is rolling in them.
    Then I would guess Apple would be fine selling 500 units a year?
    The "wearables" category that is referenced here goes from $20 step counters up to the $350+ (average) Apple Watches.  The category is so broad as to be almost meaningless - not unlike "tablets".  And who knows how they calculate the figures, as most companies don't reveal any details.

    If you look at the smart watch category - the only real "smart" part of wearables - then Apple Watch does have iPod-like marketshare.  Fitbit is a very distant 2nd.

    Similarly, in tablets in the western countries, Apple has something like 70%+ marketshare in devices over $200.  So take out the video viewers & e-readers, and in the true "tablet computing" market, Apple is really the only company.

    brucemc said:
    claire1 said:
    Not enough, I want this to be the new iPod with %70+ marketshare.
    nunzy said:
    Apple doesn't care about market share. Profit is what matters, and Apple is rolling in them.
    Then I would guess Apple would be fine selling 500 units a year?
    The "wearables" category that is referenced here goes from $20 step counters up to the $350+ (average) Apple Watches.  The category is so broad as to be almost meaningless - not unlike "tablets".  And who knows how they calculate the figures, as most companies don't reveal any details.

    If you look at the smart watch category - the only real "smart" part of wearables - then Apple Watch does have iPod-like marketshare.  Fitbit is a very distant 2nd.

    Similarly, in tablets in the western countries, Apple has something like 70%+ marketshare in devices over $200.  So take out the video viewers & e-readers, and in the true "tablet computing" market, Apple is really the only company.
    very insightful. With iPad you have all these rules to get to 70%, a little less with Watch. With iPod, people were buying $200 iPods instead of the $20 junk.
    watto_cobra
  • Reply 12 of 12
    brucemcbrucemc Posts: 1,541member
    claire1 said:
    Rayz2016 said:
    claire1 said:
    Not enough, I want this to be the new iPod with %70+ marketshare.

    nunzy said:
    Apple doesn't care about market share. Profit is what matters, and Apple is rolling in them.

    Then I would guess Apple would be fine selling 500 units a year?

    Yes it would, if it was selling them for $10million each. And the support costs would be less too.

    Profit first. Always.
    yeah, thats gonna happen...

    brucemc said:
    claire1 said:
    Not enough, I want this to be the new iPod with %70+ marketshare.
    nunzy said:
    Apple doesn't care about market share. Profit is what matters, and Apple is rolling in them.
    Then I would guess Apple would be fine selling 500 units a year?
    The "wearables" category that is referenced here goes from $20 step counters up to the $350+ (average) Apple Watches.  The category is so broad as to be almost meaningless - not unlike "tablets".  And who knows how they calculate the figures, as most companies don't reveal any details.

    If you look at the smart watch category - the only real "smart" part of wearables - then Apple Watch does have iPod-like marketshare.  Fitbit is a very distant 2nd.

    Similarly, in tablets in the western countries, Apple has something like 70%+ marketshare in devices over $200.  So take out the video viewers & e-readers, and in the true "tablet computing" market, Apple is really the only company.

    brucemc said:
    claire1 said:
    Not enough, I want this to be the new iPod with %70+ marketshare.
    nunzy said:
    Apple doesn't care about market share. Profit is what matters, and Apple is rolling in them.
    Then I would guess Apple would be fine selling 500 units a year?
    The "wearables" category that is referenced here goes from $20 step counters up to the $350+ (average) Apple Watches.  The category is so broad as to be almost meaningless - not unlike "tablets".  And who knows how they calculate the figures, as most companies don't reveal any details.

    If you look at the smart watch category - the only real "smart" part of wearables - then Apple Watch does have iPod-like marketshare.  Fitbit is a very distant 2nd.

    Similarly, in tablets in the western countries, Apple has something like 70%+ marketshare in devices over $200.  So take out the video viewers & e-readers, and in the true "tablet computing" market, Apple is really the only company.
    very insightful. With iPad you have all these rules to get to 70%, a little less with Watch. With iPod, people were buying $200 iPods instead of the $20 junk.
    Thanks for all of YOUR insightful information.  Your bias is clear.
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