Canalys: Wearable Devices and TWS Headphones Will Be Strategic Market Winners in 2020
In November 2nd, the latest forecast released by Canalys shows that the sale of smart phone accessories, which are wearable devices and TWS headphones, will exceed more than 200 million and 350 million by 2021. With the exacerbation of the situation of coronavirus worldwide, consumers have turned their attention to accessories such as smart wearable devices and smart ear-worn devices.
Canalys believes that wearable devices and TWS headphones (true wireless) will be more resistant than smart phones in the epidemic. It is expected that the sale of them will increase quickly at a rate of 32% in 2020. In addition to the great China and North America, it is expected that the sale of smart accessories will surely increase sharply in Asian-Pacific region and Europe.
According to forecasts, a few kinds will become strategic market winners in 2020, wearable devices and TWS headphones are the two of them. The research analyst of Canalys, Cynthia Chen, said: “The situation of coronavirus will extend replacement cycle of smart phones. However, ‘lipstick effect’ will drive consumers to purchase small goods with low prices to meet their shopping needs during stagnant economic environment. Consumers pay much attention to health during the epidemic, which is a great opportunity for wearable devices, such as the wearable devices of Xiaomi, Garmin, Fitbit, Amazfit and other manufacturers.
In addition to outdoor sports and recreational activities, the enthusiasm of people for indoor activities are increasing, such as distance learning, work at home and home entertainment, which makes market growth unexpected, particularly for TWS headphones, such as TWS headphones of Apple, Samsung, JLab and QCY. The sale of TWS headphones is expected to increase by 39% by 2021 and reaches up to more than 350 million. The increase range of it is much more than that of wearable devices. The sale of wearable devices is expected to increase by 12% in 2021.
Smart phone manufacturers in China also aim at abroad so that the sale of wearable devices and TWS headphones will get the chance to increase in oversea markets. Chen added: “Although Southeast Asian countries may need more time to recover from the epidemic, their markets are still attractive because their population is large and they are adjacent to China.
Some Chinese manufacturers that have many channels are using cross-border e-commerce platforms to cover users and ship directly from China. Chinese manufacturers have prepared to offer more options, especially cheap and fine devices that resonate local users. It is expected that Asian-Pacific region will exceed North America and become the second region of market of wearable devices and TWS headphones in 2024 worldwide. Chinese manufacturers will play an important role.
At the same time, in the report of Canalys, it is believed that manufacturers still need to be highly alert to avoid that a subsequent infection surge could affect their IOT expansion plans. Chen added: “Although users are expected to decrease their spending, they still hope that devices can deal with more tasks and provide a great user experience.” The challenge is upgrading devices whose prices are getting cheaper and cheaper and ensuring seamless integration at the same time to provide valuable hardware functions and help users with health and smart phone entertainment.