Sales of Apple Watch go very well, thank you. Although Apple does not inform in its financial results the numbers related to the clock for strategic reasons, we are still talking about a recent segment, after all, researches like those of Counterpoint show it is treading a path of success.
According to the research firm's latest report, the Apple Watch holds 41% of the market. A market, incidentally, that does not stop growing, as sales in the second quarter of 2018 rose 37% compared to the same period last year.
It is true that Apple's share fell from 48% to 41%, but it is worth mentioning that we are at the end of the Apple Watch Series 3 cycle and that, in a few weeks, the ?Apple Watch Series 4? will be presented to the world, probably causing the company again has a good commercial performance. Still, Ma's year-over-year sales grew 17%. The point that they were overshadowed by the spectacular performance of Fitbit (thanks to Versa?s success), which went from 8% market share to 21%.
Another that performed well was the Garmin, with a 35% year-on-year growth in sales, maintaining 3% of the market. J a Samsung saw its sales drop 43% from 2017 to 2018. The company, however, recently launched the Galaxy Watch and hopes to turn that game around with it.
According to Flora Tang, research analyst at Counterpoint, proprietary platforms continue to dominate the smartwatch market, driven mainly by watchOS (from Apple) and Fitbit OS. The hybrid watches, which are mostly touchscreen smartwatches and based on sensors, from proprietary platforms (most of their brands), dropped 22% in the period.
The move to Android Wear Wear OS has not yet happened as in the smartphone market and this, according to Tang, is due (in part) to the smaller focus, less intuitive user interface and partnerships made by Google in recent years. Google hopes to change that with the release of Wear OS 2.0, but it needs a complete overhaul of the user interface, powerful integrations with the main Android experiences and the creation of important partnerships.
The most surprising part of the Counterpoint report, however, has to do with the Apple Watch sales division. According to Neil Shah, director of research for the company, despite the initial enthusiasm for the Apple Watch Series 3 (in the first two quarters of sales of the product), consumers are really choosing Series 1 as the ultimate option without cellular connectivity. And that preference for Series 1 represented nine out of ten watches sold in the second quarter of 2018!
Although this is great for Apple (looking at everything from an ecosystem point of view), from an average selling price perspective (average selling price, or ASP) something bad, since the Series 1 smartwatch more affordable by Ma; comparatively, in the smartphone market, the most popular devices are precisely the company's most expensive products (iPhone X and 8 Plus).
let the ?Apple Watch Series 4? come!