Although Xiaomi and Apple know that their strength lies in smartphones, both companies continuously drive different sectors of the market. But it is no secret to anyone that the smart wearable market does not generate as much profit as the sale of smartphones. However, Apple and Xiaomi have achieved numerous profits thanks to technological participation. Therefore, IDC confirms that Apple, Xiaomi, Fitbit, and many other fashion brands, have led market growth to 28.4% during the first quarter of 2018 (1Q18).
According to a recent study published by IDC, it is known that Apple leads the list of portable shipments year after year with 13.5%, while Xiaomi, Fitbit, Huawei, and Garmin are among the top 5.
Recently, with the new releases, Xiaomi reached a high demand for its products. Since the Mi band 3 was announced to the market only a few days ago, Xiaomi got the second place with a growth of 2.3% compared to previous years. While Amazfit, sub-brand of Xiaomi, launches a pair of smartwatches from time to time, Xiaomi creates a new Mi Band every two years. At least until now, it has been maintained in this way.
In addition, we know that the anticipated orders of Xiaomi Mi Band 3 to date exceed 600,000. An amount that guarantees that it will surely have a positive impact on its wearable business for the subsequent quarters.
In this sense, Fitbit, who has a high price like Apple, managed to maintain the third position. In turn, it was followed by another Chinese manufacturer, Huawei, who secured the fourth position. This brand knows that its market share has been increasing by 100% compared to last year.
Also, Garmin, a lesser-known brand, ranked fifth. But IDC believes that this company can stay in the game with current trends in clothing. In relation to its growth, they recently launched the Garmin Pay and also music reproduction had a considerable impact on his business. For what is expected to have a better development so far this year.
|Top 5 Wearable Companies by Shipment Volume, Market Share, and Year-Over-Year Growth, Q1 2018 (shipments in millions)|
|Company||1Q18 Shipment Volume||1Q18 Market Share||1Q17 Shipment Volume||1Q17 Market Share||Year-Over-Year Change|
|Source: IDC Worldwide Quarterly Wearables Tracker, June 4, 2018|
Why are these brands successful in the Smart Wearable Market?
Through this report, IDC analysts indicate that consumer preferences seem to be moving towards smarter devices in recent years. The reason is evidently in the improvements and different tools that can be of greater utility for users.
For example, Fitbit and Apple have programmed their devices with improved algorithms to identify diseases. In addition, among the various additional sensors and sports features, connectivity with other devices such as smartphones has been the trend for many brands and the choice of consumers.
“While health and fitness remain the key value proposition behind many of these devices, a closer look reveals elements that include coaching, audio modification, and language translation, other wrist-worn devices focused on personal safety and connected watches for children, “said Ramón T. Llamas, director of research at IDC’s Wearables team.
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