Consumers' increasing focus on healthier lifestyles and demand for advanced functions are pushing to global watch market to become a $105 billion industry by 2021.
Robust demand for sports watches, creative marketing initiatives and innovations in the digital segment are contributing greatly to the growth of the global watch market, a recent report by business intelligence firm Technavio revealed. The industry is expected to top $105.14 billion in 2021, representing a CAGR of almost 8 percent. During the period, the Asia-Pacific region is predicted to be the leading geographical segment, generating the highest revenue and incremental growth.
"There is an increasing focus on leading healthier lives, which has resulted in increased participation in sporting activities. This has propelled the demand for sports watches, which are ideal for use during running, biking, hiking, and other outdoor activities," says Brijesh Kumar Choubey, one of the lead analysts for retail goods and services research at the company.
Fitness tracking function, which allows users to monitor distance, pace and burnt calories, is most popular feature. Several watches incorporate altitude, barometric pressure and ambient temperature trackers as well.
The global watch market is witnessing intense competition among a few key players. To establish a strong foothold, these vendors are investing heavily in marketing and promotion. These are done for the players to create a unique brand image and reach a wider consumer base. Large labels often hire prominent actors, models or athletes with considerable influence on consumers as endorsers. These strategies attract huge investments, contributing greatly to market growth.
Fierce rivalry is also prompting manufacturers to innovate continually to stay competitive. "Offering innovative products periodically will accelerate market growth and generate high revenue, thereby driving the market," Choubey added.
Tech-savvy consumers demand advanced features. Voice alerts, electroluminescence and connectivity to personal devices are among the popular function watch makers integrate.
A sample report of Technavio's Global Watch Market 2017-2021 can be requested for free via this link.