According to a new report by Juniper Research that more than 100 million smart watches will be in use worldwide by 2019. The report says over the next 12-18 months premium brand launches will bring the category into mainstream consumer consciousness.
The report suggests that market is now shifting towards other features that allow new capabilities, such as GPS and NFC connectivity.
Juniper Research says that these functionalities are likely to become standard in the next few years, particularly as Apple has offered payment and NFC capability via the Apple Watch.
The report also claims that the range of functionality available means that it is unlikely that a ‘killer app’ for smartwatches would evolve.
The report brings up the example of Fitbit, which grew to dominance in the fitness space by stating ‘one size doesn’t fit all’, and varying device form factor.
According to the report if international vendors including Google, Apple, Sony, and LG roll out high-end products, the demand for notification-based watches like the Martian Notifier will be very less.
The report suggest that smaller players will need to respond to increasing consumer expectations or lose further market share.
Other key findings:
Smart watches will slowly gain more sales outlets as brands outside the technology sector, such as luxury watch maker TAG Heuer, enter the smart watch space.
High functionality and premium branding means that the average smart watch price will remain above $200 until 2020 at the earliest.