In this quarter's market rankings, although millet declined compared to the same period of last year, it still achieved 37.4% quarterly growth driven by year-end promotional activities; Huawei and its brand glory ranked second in the list, including cost-effective sports. Bracelet series has provided strong guarantee for its stable shipment volume; the growth rate of the small genius of Bubugao and the market is basically the same. While stabilizing its market share, the product line is gradually transitioning from the 2G market to the 4G market; Qihoo 360 and Sogou were strongly promoted by online promotions at the end of the year, ranking fourth and fifth respectively.
IDC pointed out that 4G smart watches are the focus of market attention. Since the launch of the second generation of smart watches in China (2017), 4G smart watches have grown steadily quarter by quarter; the fourth quarter of last year was driven by Apple's third-generation smart watches. The growth is significant, and it is expected to maintain high growth in the future. There are three main reasons. The innovation of the business model of the operator will help the rapid growth of 4G smart watches. The pipeline sinking will provide more market opportunities for the growth of 4G smart watches. Will promote 4G smart watch to produce more application scenes.
The business model innovation of the operator will help the rapid growth of 4G smart watches. IDC pointed out that 4G smart watches are subject to volume restrictions. Some of them use eSIM card solutions to replace physical SIM cards. The promotion of this solution is inseparable from operators' experience in user management and use. On the optimization, Recently, China Unicom launched the 'One Card Dual Terminal' service in some pilot cities. By binding eSIM cards to mobile phone numbers and sharing tariff packages, Apple’s third-generation watch can support independent communication functions in some areas. Major measures will not only promote the sales of Apple Watch, but also provide more space for the development of other brands of smart watches such as Huawei in the 4G field.
Pipeline sinking will provide more market opportunities for the growth of 4G smart watches. IDC pointed out that retail sales of smart watches accounted for 44.3% in the fourth quarter of 2017, an increase of 9.4% year-on-year, of which 4G smart watches not only have an advantage in profit margins. In the experiential purchase process, it is also easier for consumers to become attractive. With the rapid increase in purchasing power in the 3rd and 4th cities in the mainland and even in rural areas, the pipeline sinks deeper and 4G smart watches will be used by consumers outside large and medium-sized cities. , To open up broader market opportunities.
Diversification of consumer demand will prompt 4G smart watches to generate more application scenarios. IDC pointed out that the current 4G smart watches mainly meet the needs of consumers in communications and some multimedia functions; With more and more collaborative software development and data connections Into, 4G smart watches will play a more independent role in the application of sports, health and services.
IDC China market analyst Pan Xuefei believes that 4G will become one of the important development directions of smartwatches. The training of this market requires the support of operators' business policies and flexible and comprehensive pipeline strategies to expand the commercial space; The diversified consumer demand generated by the mobile internet will also stimulate the use of 4G smart watches for deeper use.