The Increase in Awareness Towards Health and Fitness Spur the Global Wearable Healthcare Devices Market

Introduction

Although wearable devices are still relatively new, they have made a severe impact on healthcare globally with the growing ability to monitor chronic diseases such as diabetes, hypertension, and cardiac health. In 2018, a survey of 2,301 U.S. consumers was conducted on the use of digital health services by HIMSS18. It reported that the use of wearable devices by people living in the U.S. has almost quadrupled in the last four years, reaching 33% in 2018 from 9% in 2014. Approximately three-fourths of consumers view wearables:

• as beneficial to understanding their health condition (75%)
• health engagement (73%), and 
• health monitoring of loved ones (73%)

Additionally, wearable clinical trial experience for the participants can lower the duration and frequency of clinic visits. Overall, the use of wearables in clinical trials will improve the effectiveness of the trials and develop deeper insights.

Market Overview

Smartwatches Account for the Fastest Market Growth

Based on product type, the market is segmented into activity monitors/trackers, smartwatches, smart clothing, and hearables. 

The introduction of health measures to self-track COVID-19 symptoms in the wake of the pandemic and the ever-increasing interest of users in their general health and wellness presented a significant opportunity for the wearables market. Smartwatches and activity monitors/trackers are seeing robust growth as consumers rely on these devices for remote work, health tracking, fitness activities, and more.

The smartwatch segment witnessed the highest growth with the highest CAGR, partly driven by new consumers entering the market. It will continue in the forthcoming years due to new processor technologies.

The Surge in Demand for AI and 5G Drives the Market

5G and artificial intelligence (AI) technologies can be used to establish the potential diagnostic and treatment platform for a patient. In addition, AI can aid in the prediction of patients who are more likely to have postoperative complications, thus allowing healthcare systems to provide early intervention. Real-time learning along with a high volume of data needs high-bandwidth and reliable networks. Healthcare organizations can use AI tools with the help of 5G networks to offer the best care possible in real-time to the patient and the general public, wherever they are. Thus, the use of up-and-coming advanced tools and technologies such as AI and 5G can be anticipated to provide high-growth opportunities in the wearable healthcare devices market.

Impact of COVID-19

The COVID-19 pandemic has drastically affected the global wearable healthcare devices market. COVID-19 has accelerated health and fitness app integration into traditional healthcare approaches combined with wearable technology. Wearable devices have multifunctional capabilities, thus are easily configurable for the desired end-use. 

Multi sensors of wearable devices cover diverse physiological and contact tracing parameters, creating digital databases and providing access to medical practitioners. For instance, Apple recently updated its Cardiogram app with a new sleeping beat per minute (BPM) feature. This measures users’ heart rate to monitor fluctuations in a patient with COVID-19.

Regional Insights

North America dominates the market and is expected to continue this trend over the forecasted period. The regional market was fueled by rising government financing, prominent reimbursement policies, and the increased focus on developing advanced wearable devices in North America. 

The market is expected to grow swiftly due to highly developed economies and enhanced technologies. Also, the growth of this region can be attributed to the rise in demand for advanced wearable healthcare and mhealth for diagnosis, treatment, care, rehabilitation, and overall healthcare improvement. For instance, as per data provided by the ASHP National Survey, in 2018, over 20.3% of American adults wore wearable technology at least once a month.

Asia-Pacific is projected to register the highest growth rate during the forecasted period. It is due to the rise in prevalence of chronic diseases coupled with a high geriatric population base. Further, the wearable healthcare devices market is fueled by the increased penetrance of players in this region.

Key Highlights

• The global wearable healthcare devices market was valued at USD 32,620.58 million in 2017, and it is predicted to increase at a CAGR of 8.60% from 2019 to 2029.
• The market is driven by the growing consumer use of wearable healthcare devices for general health and fitness and the rising technological advancements and innovations.
• The diagnostic device sub-segment is expected to be the most profitable during the projected period. The use of vital signs monitoring devices for home care settings and the demand for wearable monitoring devices have increased the importance of patient-provider safety. Over time, wearables have evolved from individual devices measuring blood pressure, temperature, and pulse to a combined all-in-one device. Thus, driving the segmental growth.
• The e-commerce sub-segment is predicted to be the most profitable by distribution channel. The dominance is attributed to the high disposable income propelling the sales of innovative wearable medical devices to monitor health and fitness.
• North America is expected to dominate the market due to prominent players and growth in investments and funding. APAC is predicted to register a high growth rate in the forecasted period.
• The market is saturated by many key players such as Apple Inc. (the U.S.), Alphabet Inc. (Fitbit Inc., the U.S.), Xiaomi (China), Sony Corporation (Japan), Samsung Electronics Cp., Ltd. (South Korea), Garmin Ltd. (the U.S.), Huawei Technologies Co., Ltd (the U.S.), Omron Healthcare, Inc. (Kyoto, Japan) AiQ Smart Clothing (Taipei, Taiwan) Koninklijke Philips N.V. (Amsterdam, Netherlands), Amazon (the U.S.), Withings (France), Medtronic PLC (the U.S.), among others.

Competitive Players

Recent Developments

Recent Developments

• January 2024 - Sennheiser collaborated with Polar Electro to launch the Momentum Sport earbuds, marking the first time Polar's bio-sensing capabilities extend beyond its products. These German-engineered earbuds deliver high-quality sound and integrate Polar's fitness technology, incorporating features such as a body temperature sensor and a Photoplethysmography (PPG) heart rate sensor for monitoring hydration levels during workouts.
• January 2024 - Garmin unveiled the Lily 2 series, representing the next evolution of its petite and stylish smartwatches and introducing enhanced health, wellness, and connectivity features. The Lily 2 and Lily 2 Classic models boast an advanced redesign, featuring metal watch cases, concealed displays with distinctive patterned lenses, and a range of fashionable color options.

Segmentation