Global smartwatch sales decline in 2024, Xiaomi sees record growth: report
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For the first time, global smartwatch sales have witnessed a decline, dropping by 7% year-on-year (YoY) in 2024, according to a new report by market research firm Counterpoint.
Despite this slowdown, Chinese brands, particularly Xiaomi, experienced significant growth, reshaping the competitive landscape of the smartwatch industry.
Apple remained the leading smartwatch brand globally, but its shipments fell by 19% YoY. The decline was attributed to slowing sales of the Apple Watch SE lineup and the absence of new SE models. While Apple retained its dominance, the overall market contraction was driven largely by this drop in shipments.
While the global market faced challenges, Chinese brands such as Xiaomi, Huawei, and Imoo experienced notable growth. Xiaomi emerged as the fastest-growing smartwatch brand, with an impressive 135% YoY increase, securing a spot in the top five global rankings for the first time. The success of its Watch S1 and Redmi Watch series fueled this expansion.
Huawei also saw substantial growth, ranking second in the global market with a 35% YoY increase in shipments. Meanwhile, Samsung secured third place, reporting a 3% YoY growth due to the success of its Galaxy Watch 7, Galaxy Watch Ultra, and Galaxy Watch FE series. Imoo, another Chinese brand, recorded a 22% YoY growth.
One of the key findings of the report is China's rise as the leading smartwatch market, surpassing both India and North America in shipments for the first time. Huawei, Xiaomi, and Imoo played a major role in this shift. The report also highlighted a growing demand for smartwatches designed for children.
Conversely, India's smartwatch market saw a decline, with its share dropping from 30% in 2023 to 23% in 2024. The slowdown in India was linked to longer replacement cycles, a lack of innovation in budget smartwatches, and unsatisfactory experiences among first-time users.
Despite the 2024 slump, Counterpoint analysts predict a gradual recovery in the smartwatch industry. The market is expected to witness single-digit growth in 2025, with brands focusing on AI integration and advanced health-tracking sensors.
According to David Naranjo, Associate Director at Counterpoint Research, upcoming smartwatches will likely feature enhanced health monitoring capabilities, including atrial fibrillation detection, sleep apnea analysis, hypertension tracking, and diabetes management. Brands will also prioritise regulatory approvals for these advanced health features to maintain their market position.