After suffering from an almost-stagnant 2020 due to the COVID-19 pandemic, the smartwatch market recovered with a significant market growth in 2021 led by Apple Watch shipments.
According to the latest Counterpoint Global Smartwatch Model Tracker report, the Apple Watch again proved its dominance in the smartwatch market with a 30 percent market share in the global market, even after falling by 3 percent year-over-year due to stronger competition.
Samsung had a particularly good year as well, with quarter-over-quarter growth of over 200 percent in Q3, while Huawei saw year-over-year shipments decline as US sanctions continued.
“The global smartwatch market’s good growth in 2021 is meaningful in itself, but it is more meaningful in that it makes us look forward to future growth,” said Counterpoint associate director Sujeong Lim.
“With their ability to monitor important health parameters like blood pressure, ECG and SPO2, these devices are becoming popular. Further, the attractiveness of smartwatches as independent wearable devices will increase if more of them start supporting cellular connectivity.”
Interestingly enough, the average selling price of the Apple Watch rose by 3 percent since Apple did not release a newer model of the cheaper Apple Watch SE in 2021. As such, Apple took half of the total smartwatch market revenue during the year, the report said.
One of the reasons the smartwatch market grew in 2021 is thought to be an expansion of the Indian market. While India accounted for just 3 percent of the market in 2020, it now has close to a 10 percent share overall. Strong demand for sub-$100 USD smartwatches is also cited as a growth factor.
