Figures from Juniper Research suggest average smartwatch price will be around £125 by 2020
A report from Juniper Research has predicted that more than 100 million smart watches will be in use globally by 2019 as an array of new devices launch over the next 18 months.
But despite the increase in sales, Juniper expects the devices to continue to be sold at a premium, with the average cost of a smart watch expected to stay around $200 (around £125) until at least 2020. Juniper did not provide current market numbers.
A year ago Juniper said it expected the number of smartwatches shipped annually in 2018 to reach 36 million- crediting Apple, who announced its Apple Watch in September but not due to launch until next year, as well as Samsung for the rise.
A number of traditional handset manufacturers have now entered the smart watch space, including (in addition to Apple and Samsung), Sony, Motorola and LG. Prices are typically between £160 to £250.
The report by Juniper found that features like NFC and GPS will become standard in the devices and keep the price from falling significantly. Apple’s decision to include payments and on its Apple Watch, is expected to have a ripple affect on the market.
Despite the growing range of devices, Juniper predicts that the smart watch sector is unlikely to develop a “killer app” that will become the primary focus of the watches. Instead, the greater range of capabilities on smart watches means the sector will need to develop multiple form factors.
In the report, Juniper compares the smart watch market with the fitness sector and looks at Fitbit, which it claims grew to dominance in the fitness space by taking a “one size doesn’t fit all” approach.
The increasing smart watch sector will lead to the decline of notification based watches, like the Martian Notifier, but will also see other brands outside of the technology sector, such as watchmaker TAG Heuer, enter the market.
Smart Watches are one of the topics that will be discussed at Mobile New’s Wearable Tech: Hype or Hope conference? which will be held at 30 Euston Square, London, on October 21. Speakers include Exertis and Samsung. Have a look at the full agenda or to buy the last remaining tickets, click here.