Smartwatch valleys and peaks

Smartwatches are an important product category in their own right and also a barometer for a complete picture of the active breadth of technology ecosystems. Smartwatches, primarily from Apple or using the Android environment, form a sizable market share, in active use by one-ninth to one-fourth of online adults in the US, Germany, the UK, and Japan. Gen Z and millennial adults are leading their use. The Boomer/Silent generations have a small but quickly growing share. Looking ahead, purchase plans are not substantial, although they describe a reasonable replacement market.
This MetaFAQs reports on the market penetration of smartwatches, split by generational age group, Apple and Android, and country. Report [TUP_doc_2023_1218_wret] in TUP Lenses: Consumer Electronics; Technology Ecosystems; Wearables, Hearables, Listening, and Speaking

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Headcams – cultural precursor to VR headsets?

The growth potential for wearable video cameras, commonly termed “headcams” like GoPro, has been influenced by societal attitudes. Historically, there has been a hesitation to record others without consent, which could limit the broad adoption of such devices. However, cultural perspectives can and do evolve. Case in point: smartphone users’ widespread acceptance of taking photos and recording videos. Although cultural disapproval has been against wearables that are too obvious, such as on one’s head, that may change with time.

The rise of content creators on platforms like Instagram and TikTok suggests that the broader public might embrace headcams more. This trend could provide fresh opportunities for tech marketers to promote wearable video cameras of some kind to a new generation of users.

In virtual reality, there are considerations about the cultural reception of VR headset devices like Apple Vision Pro or Meta Quest 3. These devices’ positive reception could inform how headcams are perceived in the future.

Considering the media’s portrayal, a contemporary version of “The Truman Show” concept, where someone’s life is broadcasted in real-time, isn’t unthinkable, given past experiments with lifecasting in the 90s.

The metrics in this MetaFAQ provide a solid foundation for those analyzing tech trends: the number of adults across generations and countries using headcams versus smartphones for capturing videos and pictures. This data can provide insights into shifting user behaviors and preferences and help identify which generation may adopt headcams first and how far they have progressed.

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Lost phone? Tech solution finds niche and then plateaus.

Who hasn’t misplaced their phone or keys or wondered where their luggage was?

Using technology to help find items has reached a plateau. The percentage of online adults using a wireless item tracker such as Tile or Apple’s AirTag has remained flat between 2021 and 2023. Overall global active usage has subsided from one in six to one in eight online adults. Active penetration rates have dropped among groups such as Gen Z adults in the US, UK, Germany, and China.
This may have seemed like yet another device to help attract users into adopting or staying with technology ecosystems. It’s too early to see if it’s making a difference. The market penetration is too small.

This MetaFAQs reports on the percentage of online adults in the US, UK, Germany, Japan, and China who actively use a wireless item tracker such as from Tile or Apple’s AirTag. Report [TUP_doc_2023_1025_tile] in TUP Lenses: Consumer Electronics; Technology Ecosystems

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Peak smartwatch? Time for a strategy shift

Smartwatches have quickly gained popularity, gracing the wrists of millions. These devices offer more than just timekeeping and fitness monitoring; they’ve evolved into personal assistants. Users value their multi-functionality, utilizing them for calendars, health metrics, reminders, and more. In addition, they’ve become a symbol of modern luxury. However, the latest wave of TUP confirms that the smartwatch market penetration seems to have reached a peak or plateau. Now, it’s largely about replacing older models rather than attracting first-time users. Therefore, manufacturers need to adapt their strategies, focusing less on expanding their user base and more on meeting the needs of existing customers.

These TUP tables report on the number and percentage of online adults regularly using a smartwatch such as an Apple Watch. They also include the number who are planning to purchase one within the coming 12 months.

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Usage guidelines: This document may be freely shared within and outside your organization in its entirety and unaltered. It may not be used with a generative AI system without separate licensing and express written permission. To share or quote excerpts, please contact MetaFacts.

Headcams – cultural precursor to VR headsets?

The growth potential for wearable video cameras, commonly termed “headcams” like GoPro, has been influenced by societal attitudes. Historically, there has been a hesitation to record others without consent, which could limit the broad adoption of such devices. However, cultural perspectives can evolve. Case in point: the widespread acceptance of taking photos and recording videos with smartphones. Furthermore, there has been cultural disapproval against wearables that are too obvious, such as on one’s head.

The rise of content creators on platforms like Instagram and TikTok suggests that the broader public might embrace headcams more in the future. This trend could provide fresh opportunities for tech marketers to promote wearable video cameras to a new generation of users.

In the realm of virtual reality, there are considerations about the cultural reception of VR headset devices like Apple Vision Pro or Meta Quest 3. The positive reception of these devices could inform the way headcams are perceived in the future.

Considering the media’s portrayal, a contemporary version of “The Truman Show” concept, where someone’s life is broadcasted in real-time, isn’t unthinkable, given past experiments with lifecasting in the 90s.

For those analyzing tech trends, these metrics provide a solid foundation: the number of adults across generations and countries using headcams versus smartphones for capturing videos and pictures. This data can provide insights into shifting user behaviors and preferences, and help identify which generation may adopt headcams first and how far they have progressed to date.

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Replacement versus growth markets

The dynamics of replacement markets are very different from those dominated by 1st-time buyers or others that primarily include users holding onto their technology. Each technology product is in its unique phase of adoption, with very different positions for smartphones, computers, tablets, and smartwatches.

This TUPdate details consumers’ purchase intentions in the US, Germany, the UK, and Japan. The products analyzed include computers, tablets, smartwatches, printers, and others. For each product category, the analysis splits users into four categories: replacing or adding to what they have, 1st-time buyers, those actively using the technology without plans to update it, and the uninvolved.

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Gaming trends and user profile

Online adults are deeply engaged in various forms of entertainment, particularly gaming. Over half of American adults use their connected devices for playing games, watching videos, and listening to music, like online adults worldwide. Despite temporary disruption due to the pandemic, the game-playing rate bounced back and grew gradually, indicating its popularity as a staple pastime. This is based on our TUP/Technology User Profile 2022 survey of 13,641 online adults across the US, Germany, UK, Japan, and China, as well as similarly-sized waves from 2019.

Nevertheless, the usage of specialized gaming equipment like game consoles, gaming PCs, or VR headsets has remained limited. Sony, Nintendo, and Microsoft’s Xbox remain the global market leaders in consoles, each resonating with specific demographic groups and geographical locations. Gaming activities are part of the regular life of most online adults and span all age groups, with younger generations showing a particularly high adoption rate of newer technologies.

Despite a strong focus on gaming, more online adults use their devices for other entertainment activities like watching videos or streaming music. The global demand for gaming, whether casual or immersive, remains substantial, offering growth opportunities. With Apple recently entering the VR/AR/MR headset market, the industry is primed for potential expansion beyond its niche focus. Manufacturers may need to reconsider their current gaming-focused strategies to seize emerging opportunities effectively and broaden their market reach.

This TUPdate looks into the trend around game-playing with connected devices (smartphones, computers, tablets, game consoles), and the use of specialized game equipment (gaming PCs, game consoles). It profiles game-players by their age generation groups, household composition, and presence of children.

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Market potential for Apple Vision Pro and VR/AR/MR headsets

Apple has recently unveiled Vision Pro, a product with broader potential for applications well beyond the immersive-game orientation of many initial headsets. The presentation at the launch showcased Vision Pro’s versatility, demonstrating its potential ability to revolutionize a host of activities of many types: entertainment, communication, collaboration, productivity, creativity, and videography. Furthermore, the demo subtly highlighted the potential benefits of Apple’s ecosystem and tighter integration.

Interestingly, gaming and industrial applications, frequently highlighted in the launches of competing VR/AR/MR (Virtual Reality, Augmented Reality, Mixed Reality) headsets, were not included in the Vision Pro demo. This divergence indicates a strategic focus away from a unique niche segment of the market.

Analyzing consumer technology trends requires tracking behaviors, a practice underscored by years of TUP/Technology User Profile research. The mantra that ‘actions speak loudest’ remains as pertinent today as ever. The activities people engage in are the most reliable indicators of consumer technology adoption patterns. It is less about which devices or electronics consumers use; their behaviors are the most important.

An intriguing insight from TUP’s ongoing research is that people switch devices quickly and alter their behavior slowly. Consequently, it becomes crucial to explore the number of people who regularly engage in any given activity, which the research does in detail.

The research also sets out to identify the market size for each of these activities. It quantifies how many people participate in a broad range of these activities.

Furthermore, the report also highlights demographic details, Apple’s brand loyalty, and current VR headset penetration rates. By doing so, the study is expected to offer valuable insights into the potential future for VR/AR/MR headsets such as Apple’s Vision Pro.

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Usage guidelines: This document may be freely shared within and outside your organization in its entirety and unaltered. It may not be used with a generative AI system without separate licensing and express written permission. To share or quote excerpts, please contact MetaFacts.