Global smartwatch shipments slip 7% in 2024; China leads for first time: Counterpoint

The global smartwatch shipments declined 7% year-on-year in 2024, dragged by a fall in Apple’s shipments and a slump in the basic smartwatch segment – which is dominant in India, according to the latest report released by Counterpoint Research on Monday.

As per Counterpoint, the weakness in the basic smartwatch market originated in India, where consumer demand waned due to a slow replacement cycle, a lack of innovation, and unsatisfactory user experiences among first-time buyers. By contrast, neighbour China captured the biggest shipment share for the first time, driven by the strong performance of its domestic brands.

“In terms of regions, China, for the first time, recorded the highest ever shipments, surpassing NAM and India in 2024. Huawei, Imoo and Xiaomi were the front runners in the China market,” said senior research analyst Anshika Jain.

The Chinese vendors’ diverse portfolios, which include basic, advanced, and kids’ smartwatches, along with the Chinese consumer’s inclination toward these brands, drove the overall adoption, she added.

Apple took the pole position with a 22% market share, even though its shipments declined by 19% year-on-year, while second-ranked Huawei’s shipments grew by 34% year-on-year and it took a 13% share. Samsung, in the third position, registered a meagre 3% year-on-year growth and held a 9% share, Counterpoint data showed.

Xiaomi, in the fourth place, registered the highest growth of 135% year-on-year, while Imoo ranked fifth with a 22% year-on-year growth.

“Apple Watch witnessed a decline in momentum on its 10th anniversary, despite the launch of the S10 series. The biggest driver of the decline was North America, where the absence of the Ultra 3 and minimal feature upgrades in the S10 lineup led consumers to hold back purchases,” Jain said.

She added that patent disputes in the first half of 2024 impacted Apple’s shipments, while the slowdown of the Apple Watch SE lineup and lack of new SE models also contributed to its decline.

“With the decline of basic smartwatches, other brands such as Noise, boAt and Google’s Fitbit have started diversifying their portfolio to include kids’ smartwatches. This is a good sign for the market’s diversification and indicates further growth in the future,” according to research analyst Balbir Singh.