Global smartwatch shipments grow 20 percent to 14 million in Q1 2020 but are expected „to slow sharply in the second quarter”. Apple Watch owns more than half of the worldwide smartwatch market.

In the context of Covid-19, owning a smartwatch is less determined by the desire to make contactless payments. The need to rather have a virtual health assistant on the wrist is much more important.

„Smartwatches can monitor vital health signs, such as oxygen levels, and consumers may find comfort in having a virtual health assistant strapped to their wrist.”, says Strategy Analytics.

According to the latest research from Strategy Analytics, global smartwatch shipments grew 20 percent annually to reach 14 million units in the first quarter of 2020. Apple Watch maintained first position with 55 percent global smartwatch marketshare, while Samsung held second place, and Garmin rose to third.

Global smartwatch shipments grew 20 percent annually from 11.4 million units in Q1 2019 to 13.7 million in Q1 2020. Despite considerable headwinds from the Covid-19 scare, global demand for smartwatches continued to grow. Smartwatches are selling well through online retail channels, while many consumers have been using smartwatches to monitor their health and fitness during virus lockdown.

Apple Watch shipped 7.6 million units worldwide in Q1 2020, rising an above-average 23 percent from 6.2 million in Q1 2019. Apple’s global smartwatch marketshare has grown from 54 percent to 55 percent, its highest level for two years. Apple Watch continues to fend off strong competition from hungry rivals like Garmin and Samsung. Apple Watch owns half the worldwide smartwatch market and remains the clear industry leader.

Samsung shipped 1.9 million smartwatches worldwide in Q1 2020, inching up slightly from 1.7 million a year ago. Samsung’s global smartwatch marketshare has dipped from 15 percent to 14 percent during the past year. Samsung remains the world’s number two smartwatch vendor, but its growth was slowed by the coronavirus lockdown at home in South Korea and renewed competition from hungry competitors like Garmin.

Garmin returned to third position for the first time in two years and shipped 1.1 million smartwatches worldwide in Q1 2020, leaping an impressive 38 percent annually from 0.8 million in Q1 2019. Garmin has grown from 7 percent to 8 percent global smartwatch marketshare in the past year. Enhanced new models, such as the Venu with OLED color touchscreen, are proving popular with sports and fitness fans across North America and elsewhere who like to track their daily activity.

„We expect global smartwatch shipments to slow sharply in the second quarter of 2020, due to the ongoing Covid-19 pandemic. Sales in Europe and the US have inevitably been hit by virus lockdown in recent months. However, the second half of this year and beyond will see a decent rebound, as consumers worldwide steadily regain confidence and more retail stores reopen.”, according to the press release.

Analysts projection is that smartwatches will continue to have excellent long-term prospects, „as younger and older people will become more health-conscious in a post-virus world”.