Market research firm Tractica remains bullish on the wearables market.
In a new report, the firm asserts that the overall wearables market saw 17 million shipments in 2013, and will see 187.2 million shipments this year. That represents a considerable annual growth rate of 34 percent (CAGR). Moreover, Tractica predicts that by 2020 the market will see 750 million shipments.
The numbers appear to be a kind of summary of Tractica’s previous, more segmented research. In a recent report, the firm looked more specifically, for example, at smart clothing shipments, predicting they would rise from 140,000 units in 2013 to 10.2 million units by 2020. Of course, there’s much more to the wearables market than just smart clothing, hence the higher numbers predicted for overall shipments in Tractica’s new report.
Tractica’s enthusiasm for the wearables market is also shared by other market research firms. Mordor Intelligence, for example, recently predicted a similar growth rate for the wearables market, at 45.08 percent CAGR between 2014 and 2020, and said that it would be worth $299.46 million by the year 2018.
In terms of what’s driving the market, Tractica points to fitness trackers as the main factor at the moment, but suggests that smartwatches will soon overtake those devices as comprising the greatest shipment volumes by the end of this year. Going forward through the forecast period, smartwatches will make up 45 percent of all device shipments, with fitness trackers taking 30 percent, wearable cameras taking 15 percent, and smart clothing, body sensors, and other wearables taking the rest.