On December 13th, the foreign media said that Apple's Apple Watch and other smart watches are beautifully designed and powerful, and originally thought that it would have a serious impact on the single-function fitness bracelet. But the truth is that Fitbit is at the top of the wearables market, and Apple Watch shipments have fallen. Foreign media believes that Apple Watch is complex, too fancy, and expensive, and users only want to use the bracelet fitness, and do not want to spend extra money to buy unnecessary features. In contrast, Fitbit's devices have been the main fitness feature since the beginning, and the price is much lower than Apple Watch.
Just two years ago, it was also expected that smart watches, especially Apple Watch, would eliminate the simple fitness bracelet, which only monitors fitness activities. However, on the contrary, the fitness bracelet has not only grown, but also eroded the sales of smart watches. In fact, this can be understood: users do not want to spend more on unnecessary or repetitive functions.
Apple Watch shipments drop
Market research firm IDC released the wearable device market statistics report on December 5th. In the third quarter of this year, Apple Watch shipments fell to 4.9%, much lower than 17.5% in the same period last year. Apple Watch shipped 1.1 million units in the third quarter, down 71% from 3.9 million units in the same period last year. Samsung almost has to catch up with Apple, which sold 1 million smart watches in the third quarter. All other major wearable device manufacturers produce fitness bracelets, cheap smart watches, or both, but not the high-end watches of Apple or Samsung.
Apple objected to IDC's data, and the company's CEO, Tim Cook, said that in the first week of the holiday shopping season, the company's consumer-oriented Apple Watch sales reached record highs. This is contrary to the performance of IDC's Apple Watch shipment data. IDC announced Apple's Apple Watch shipments to retailers, not actual sales. This only shows that Apple shipped a large number of AppleWatch to retailers last year, and this year's supply has dropped significantly.
Apple Watch is the most expensive smart watch. Although Apple's share of revenue in the wearables market is much higher than its share of shipments, Apple Watch and other high-end smart watches are becoming niche products. Otherwise, Apple will release the actual sales of AppleWatch. But now, Apple has refused to do so.
Fitbit focuses on fitness
In terms of sales, Fitbit is the leader in the wearable device market. Fitbit currently sells 7 products, all of which are bracelets or clip-on fitness equipment. Fitbit is not optimistic about smart watches. Last week, Fitbit acquired smart watch maker Pebble. However, Fitbit is not interested in Pebble's products, just to get software and some developers.
Fitbit seems to be on the right track, and their products are focused on a special use – fitness. Fitbit's most expensive device currently costs $250, supports GPS positioning, music control, and message notification, but all other features are related to fitness. Most other Fitbit products are priced at about half or less of the most expensive bracelets.
Fitbit's products are clear at a glance, won't be seen as other products, and have hundreds of apps like the Apple Watch, with multiple cute dials. It does not require the user to learn because it is simple and intuitive. In contrast, Apple Watch requires user adaptation and learning some new operations. Moreover, the starting price of the Apple Watch is almost the highest price of the Fitbit device.
Perhaps, it is the intelligent machine that causes irreparable damage to high-quality traditional watches. Swiss watch sales have shown a free fall trend this year, and many may expect Apple Watch to produce this result, but it is not. Market factors such as the appreciation of the franc and the cooling of the European tourism industry have affected the sales of smart watches in Switzerland to a certain extent, but most likely, watches are no longer a necessity, even for those who wear suits. . It’s not uncommon to take out a smart phone from your pocket to check the time.
Apple Watch is too fancy
More and more people regard watches as a fine accessory. Even though Apple Watch has all the fitness tracking features of Fitbit devices, many buyers are still not buying out for its added features—beautiful design, beautiful straps, and rich applications. The smart phone does not have the function of a fitness bracelet, but it is a communication device, a portable computer, which is unmatched by smart watches.
In addition, many people buy a wearable device that they want to give as a gift to a friend, so price is an important reference factor. Some people prefer to buy a $120 wearable device for a friend instead of a $350 device.
Even in this day and age, people still pay attention to a certain function and low price. This humanized performance may form a serious impact on the technological products that have been hyped up in the near future. The so-called Internet of Things is most likely to be the most affected: for the average user, the functionality of smart faucets and light bulbs may not be as useful as manufacturers and marketers imagine.
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