Survey: What’s driving wearable growth?

Consumer interest in wearables is booming for reasons that retailers should find encouraging.

 

New research from Mintel reveals that the U.S. wearable technology market is experiencing unprecedented growth, with estimated sales increasing 186% from 2014-2015, reaching $7 billion in 2015.

 

And despite just one in 10 consumers owning a fitness tracker (12%) or smartwatch (7%), 16% of consumers said they planned to purchase a fitness tracker or smartwatch in the final three months of 2015.

 

Mintel research also indicates one in five consumers report interest in wearables that include smartwatch features (19%), including 10% who agree it would be convenient to use a watch as a credit card and another 10% who like the idea of using a watch as a remote control. This suggests that smartwatches will appeal to consumers beyond use as a second screen for their smartphones.

 

While a sizable minority of consumers report that they will never buy a smartwatch (25%), ownership is poised for growth. One in five consumers said that they are likely to buy the latest technology (19%), peaking among consumers age 18-34 (28%). What’s more, one quarter of 18-34-year-olds say that they planned to purchase a smartwatch within the final three months of 2015 (25%).

 

Retailers need to start developing omnichannel marketing and sales offerings that include seamlessly integrated features specifically designed for the smartwatch and fitness tracker channels. Especially for retailers targeting a younger demographic, these devices offer the most personalized consumer touch-point yet.