An increasing number of young. Tech-aware consumers in China are turning to smart wearable devices that now come with longer battery life. More features, and enhanced capabilities after overcoming a host of issues in the early years. China is currently the largest wearable device market in the world.
Wearable smart devices range from fitness trackers with dozens of health-tracking and monitoring functions. To smart bands, and smartwatches that can connect with and control smartphone functions and applications. Such as making and receiving calls to checking messages and notifications.
The use of wearable smart devices spans all ages and professions. Take Ma Lee, for instance, the 38 years old is a network engineer at a bank in Shandong province. He spent about CNY 1388 to purchase The Watch GT 2 smartwatch from Huawei. The smartwatch can access and control many applications and make phone calls. Even more impressive is the battery that can last for days on a single charge. And now the increase in sales is attributed to consumers like Ma Lee. Young, tech-savvy, and with money to spend.
Smart Device Sales
Smart wearable devices witnessed an upsurge in sales in Q3 2019. With more than 14.5 million units sold within China alone. Uptake of devices that support 3rd party applications increased by 74% in China. According to the market research company ICD Corp. This is compared to 32 million units in global shipments meaning that China accounted for 1/12 of the total global sales. China now commands a smart device market that’s twice that of the United States. Attributed to strong investment in R&D, efficient manufacturing, and a wealthier population with disposable income and an insatiable hunger for technology devices.
The trend is not about to change. That’s according to research company Gartner who predicts that the global shipments of smart wearable devices will top 225 million by end of 2020. That’s an increase of about 25.8% from 2019 with China in the pole position. This also means consumer spending on wearable devices will reach $42 billion, $16.2 of that being on the sales of smartwatches. Chinese smart wearable technology players such as Xiaomi linked Huami Corp, Huawei and others. Are already positioning themselves and stand to gain significantly from the developments in the sector.
Huami Beats Apple
Huami, in particular, demands attention because it’s grown to be such a formidable player in the wearable bands sector that it helped Xiaomi leapfrog Apple Inc to become the Biggest wearable technology manufacturer by shipment in Q3, 2019. Xiaomi accounted for 21.5% of global wearable device shipments with 6.9 million units in the year ending September 2019. That’s 90% YoY growth according to the ICD report.
Popularity of the Mi Band series of devices continues to drive Xiaomi growth and the company seeks to expand its market share by targetting new regions in Europe, Middle East, Africa, and India. Nearly 40% of Xiaomi Corp shipments were exported from China, this is about 20% compared to the previous year. Children’s smartwatch segment, in particular, is witnessing very strong growth.