Smartwatches are dipping their fingers deeply into the fitness trackers' cake, and Apple's leading the charge.
According to the latest report by BI Intelligence, consumers are ditching their fitness trackers for the added functionality of smartwatches, and as the latter become easier to use and more affordable, they will grab an even bigger share of the market, at the expense of fitness wearables.
"The fitness-band category will make up 42 per cent of total wearables shipments in 2020, down from an estimated 48 per cent share this year, and a 53 per cent share in 2014,“ the BI report says.
Apple has the advantage among potential buyers interested in notifications and health and fitness apps, as for every person interested in an Android-powered watch, come three interested in a smartwatch from Apple.
Twenty-seven per cent of respondents interested in the Apple Watch said they already have a watch, but they're interested in what the new technology has to offer.
On the other hand, fitness trackers believe offering designer brand versions of their devices will widen their reach. "For example, Nordstrom carries a Tory Burch-design version of a Fitbit fitness tracker for the more fashion-conscious consumer,“ the BI report says.
The Apple Watch has gotten a small upgrade during the recently finished Apple Event. Starting September 16, the second version of its operating system, Watch OS 2 will be available. Fashion house Hermès is also teaming up with Apple to launch an Apple Watch, which has a custom strap and some new watch faces. That'll set you back £1,000 or more.
The full BI Intelligence report can be found on this link, but it requires the user to register first.