High ASPs drive wearable demand down in MEA but Samsung wins in Q2
Demand for wearable products has declined in the Middle East and Africa (MEA) market in Q2 2020 but Samsung has had a healthy quarter in the region and ranked second after Apple. In Q2, shipments of wearable devices in the MEA declined 2.7% year-on-year to a total of 2 million, down 1 million units from the first quarter of the year. However, Samsung placed second with 33% market share and 25.2% value share.
According to IDC, Samsung recorded a significant year-on-year increase in shipments throughout the April-June period. The Galaxy Buds+ were reportedly very successful as Samsung managed to ship roughly 98,000 units in the region in the second quarter of the year. Although wrist devices remain the driving force behind the wearable market in the MEA region – accounting for 46.6% of all wearable shipments in Q2 – the smart earware category was a close second with 33.3% market share.
In fact, IDC expects earwear shipments to increase in the coming quarters. The increase in demand is attributed to the COVID-19 pandemic, or specifically the fact that more people are learning and working from home. The market research firm states that consumers are driving the high demand as they’re using smart earbuds not only for entertainment but also to increase their productivity.
Samsung introduced the new Galaxy Buds Live and the Galaxy Watch 3 at Galaxy Unpacked last month but IDC data shows that the high average selling price of high-end solutions was the cause of fall in demand in Q2. Nevertheless, customers who may not be inclined to pay the full launch price for the latest Galaxy wearables might be able to take advantage of new discounts on older models including the Galaxy Buds+ and the Galaxy Watch Active 2. All in all, the company should have the necessary tools and resources to maintain its momentum as demand for wearables increases in the MEA.Join the Discussion