The global B2B enterprise industrial wearables market size was valued at USD 7.91 billion in 2022. It is projected to reach USD 70.42 billion by 2031, growing at a CAGR of 27.50% during the forecast period (2023-2031).
Commercial and industrial B2B wearable technology is a useful tool for enhancing worker productivity, safety, and quality in the manufacturing, logistics, healthcare, and lifestyle sectors. These gadgets are constructed from sophisticated electronic parts that gather information, keep track of actions, and offer tailored experiences to user requirements and preferences. The two main factors driving the market for enterprise wearables are an increase in smartphone adoption and healthcare awareness.
Additionally, benefits, including simplicity of use, adaptability, and convenience, drive the market ahead. The expensive cost of corporate wearables and the rising data protection and privacy concerns impede the market's growth. As production costs continue to decline and functionality advances due to consumer sector learning, industrial wearables are becoming increasingly widespread. Industrial wearables are being utilized to improve safety, speed up onboarding and training, decrease contact loops, increase performance, and allow remote specialists to consult on technical concerns.
With business-focused smartphone apps, flexible wearable technologies are creating a new opportunity. The enterprise sector's rapid adoption of IoT devices and BYOD trends has attracted wearable technology manufacturers to develop such products with a focus on business applications. Numerous firms will use technology by creating corporate apps since wearables are expected to satisfy their needs. These apps are broadening the application of analytics and predictive modeling, improving enterprise productivity and empowering them to drive the real-time decision-making process.
Some critical services offered by wearable app developers include wearable device app development, wearable device app integration, application development, app UI/UX designs, and app maintenance. These applications are also capable of real-time data collection and decision-making. Enterprise usage of tracing apps and wearable technology is exploding in developed nations. For instance, U.S.-based Pricewaterhouse Cooper (PwC) has marketed the system to more than 60 businesses since releasing its "Check In" contact tracing software.
The number of apps is growing, but as they do so, the study market's growth during the projection period may be constrained by the absence of an integration platform. Another issue in the industry under study is the high cost of these devices and the absence of standards. To improve their operations, smart manufacturing facilities are connecting different parts of their factories. However, due to the absence of a uniform platform, these manufacturers need help connecting all the data sources from the worker, the machinery, equipment, cars, and more. Although the range of wearable devices is constantly expanding, their adoption across industrial sectors needs to be improved by high costs and a lack of platform support. Businesses are also concerned about how easily the technology will fit into their current procedures.
Wearables play a crucial role in transforming traditional workers and machines into smart and connected ones thanks to smart factories and Industry 4.0, which enable the hyper-connected industrial area. Industrial Internet of Things (IIoT) solutions are typically implemented as wearables to increase the operational efficacy of linked machine-based industrial and manufacturing processes. Microsoft claims that IoT is becoming a necessity for the manufacturing sector. IoT has been accepted by 87% of industrial decision-makers, and the vast majority of them feel that the technology is essential to their business's growth and that they are happy with it.
In a smart factory, producers can monitor a turbine using strain gauges connected to a local decision-making edge board, warn a worker in real-time, build highly customized products on demand, and improve product quality testing. Siemens claims that wearables are improving processing sector quality and safety. Industrial smartwatches or wristbands that measure body temperature and blood pressure can be used to identify workplace hazards like infectious employees. Preventing food contamination and having products pulled off shelves saves the food processing industry millions of dollars while protecting the public's health.
Based on device type, the global B2B enterprise industrial wearables market is bifurcated into HMDs, wrist wears (smartwatches and fitness bands), enterprise smart glass, smart clothing and body sensors, wearable cameras, and other device types.
The wrist wears (smartwatches and fitness bands) segment is the highest contributor to the market and is estimated to grow at a CAGR of 27.4% during the forecast period. Wearable smart gadgets on the wrist to track bodily activity include fitness bands and smartwatches. A touchscreen display on a smartwatch lets users interact with the device by tapping or swiping on the screen. Smartwatches are wearable computer devices that mostly resemble wristwatches. Many apps are available for modern smartwatches comparable to those for smartphones and tablets. Smartwatches are an excellent tool for companies and their employees. These are used by businesses to keep track of employee data and observe staff behavior. They can assist employees in preserving their physical well-being and professional productivity. These provide simple smartphone app integration, enabling employers to manage their employee health initiatives more successfully. Major companies in the UK are considering projects of a similar nature, and this trend is anticipated to pick up during the projected period.
The development of new fascinating trends due to technology is assisting businesses in keeping track of their employees' activity. One hundred nine companies are making smart glasses worldwide, including North, Lenovo, Microsoft, Amazon, Epson, OrCam, Ellie Healthy, eSight, Bright Field of Vision, OXSIGHT, and others. From Google Glasses to cutting-edge binoculars, smart glasses have developed. Businesses are learning about use cases that best utilize the technology at hand. Present-day smart glasses significantly improve several business applications. Future improvements in optical performance, 3-D capabilities, authoring skills, novel interaction techniques, and more affordable and lightweight headsets could determine their marketability and success. Many businesses are currently using this cutting-edge technology to empower and unleash the productive potential of people. One of the top manufacturers of wearable computers and smart glasses that give employees hands-free access to pertinent information and data is Vuzix. The company's M100 smart glasses are the first wearable-like eyewear solutions commercially sold.
Based on the end-user industry, the global B2B enterprise industrial wearables market is bifurcated into IT and telecom, healthcare, retail, insurance, manufacturing, and other end-user verticals.
The healthcare segment owns the highest market and is estimated to grow at a CAGR of 27.6% during the forecast period. Given the growing interest in health, well-being, illness prevention, and fitness, as well as the paradigm shift toward healthcare that is individualized and controlled by individuals, wearable devices are becoming an increasingly important platform for healthcare services. Wearable technology will start to play a more significant role in the healthcare industry as it continues to gain popularity, with the information gathered finally ending up in the hands of a doctor. In-market gadgets that can track heart rate or spot head traumas instantly are already under development. Health authorities such as HIPPA, CE, and FDA, as well as local regulatory and health authorities, must certify or approve healthcare wearable devices before they may be utilized for sickness management. These gadgets, also known as regulated wearables, are usually used with professional guidance or a prescription. Microphones, electrodes, micropumps, sensors, and biochips are notable examples of components.
Retailers are discovering new opportunities to use the potential and engage customers creatively using wearable technology. Some merchants are using wearable technology to make online buying more similar to purchasing in a physical store. Human sales employees interact with online buyers wearing smart glasses and smart headsets made by companies like Epson and Go Instore. Additionally, walkie-talkies and smart headsets from businesses like Orion Labs are primarily utilized to enable store employees to interact with one another instead of taking time away from customers. At the same time, they look for a phone or enter back rooms to look for available products. Thanks to this wearable device, retail staff may find it simpler to rapidly respond to client inquiries without leaving the sales floor. With the help of smart glass, shops can turn their storefronts into transparent displays that will draw more customers in and boost sales. Through dynamic smart glass and projection advertising, in-store marketing is improved by showing high-definition images and videos with 180° viewing angles. These are a few of the advantages that retailers enjoy.
The global B2B enterprise industrial wearables market is divided into four regions: North America, Europe, Asia-Pacific, and LAMEA.
North America is the most significant revenue contributor and is expected to grow at a CAGR of 26.7% during the forecast period. The development of smart wearable technology for various uses is fueled by expanding internet usage and rising research spending by businesses and industries in the area. According to the National Safety Council, more than 1.2 billion dollars are paid out weekly in workers' compensation claims in only the United States, with the average award for a slip-and-fall incident coming in at 46,000 dollars. The region's sectors are anticipated to adopt wearable safety gadgets in the workplace to reduce injuries, and local businesses are developing new products to take advantage of this opportunity.
One of North America's most prominent life insurance companies, John Hancock, has already stopped offering coverage without digital fitness tracking. Only interactive insurance sold by John Hancock allows policyholders to receive discounts and benefits, such as gift cards, for achieving exercise goals. These policies collect health data from wearable gadgets like smartwatches. According to these trends, other insurance companies in the North American continent will use wearables more frequently. Additionally, several progressive American businesses have used wearable technology in their day-to-day operations. Additionally, the mining industry is the target market for one of the first SmartGlass applications developed by Vandrico Solutions Inc. in Canada, creating a head-mounted device similar to Google Glass.
Europe is expected to grow at a CAGR of 27.80% during the forecast period. The European Union's Erasmus+ program provided financing for the research. The project involves several businesses and colleges from throughout Europe. The government-funded project also offers organizations advice on how to implement cutting-edge technologies. The region's healthcare industry is becoming increasingly interested in smart fabrics. The UK-based company Pireta Ltd offers smart sensor clothing made with nanotechnology to assist hospitals and nursing homes with ongoing physiological monitoring and emergency care.
Additionally made to be cozy and robust are its smart textiles. Further, the area is seeing a lot of partnerships. For instance, the Swedish government partnered with the Aditya Birla Group to work on a smart textiles project. One of the biggest producers of viscose staple fiber (VSF), a synthetic, biodegradable fiber, is the Aditya Birla Group. The Aditya Birla Group is a natural fit because of its readily blendable cellulosic fiber. The alliance is anticipated to accelerate the development of smart textiles using cellulosic fiber, VSF, and pulp as an alternative to cotton. The expansion of 5G in the European region is anticipated to significantly increase the use of head-mounted displays in B2B businesses. With its 5G For Europe Action Plan, the European Union is driving the adoption of 5G. By 2020, it wants to have fully operational 5G services in Europe. By 2025, 5G coverage should be constant throughout all urban areas and significant terrestrial transport routes.
Asia-Pacific is expected to grow significantly over the forecast period. According to a Chinese government Think Tank survey, the port city and manufacturing center in the country's southeast is where almost 80% of the world's smart wearables are made. The largest R&D and production hub for smart wearables, including those used in B2B enterprises and industries, is located in Shenzhen, the home base of many Chinese tech titans, a report from the China Centre for Information Industry Development claims. Along with 5G/6G, artificial intelligence (AI), augmented reality (AR), big data, and other emerging technologies, the companies situated in the region aspire to create key software, hardware, and system technologies. This element is positioned to affect favorably how smart wearables are used in the area's B2B enterprise and industrial sectors. Chinese businesses are creating solutions for the rapidly growing industry of connected wearables like smartwatches and fitness bands. Device manufacturers like Xiaomi and Huawei are engaged in the market and collaborate with cell operators, other businesses, and online service providers like WeChat.
Latin America and the Middle East and Africa are part of the world's B2B enterprise and industrial wearable market. Large-scale investments in 5G rollouts will likely ease the deployment of smart wearables, increasing their adoption across many verticals. This is expected to impact the adoption of smart wearables in the B2B corporate and industrial sectors of the regions. Numerous partnership initiatives are taking place throughout Latin America. Braskem Idesa's factory in Veracruz, Mexico, has implemented a hands-free, wearable connected technology solution, according to a Honeywell announcement. Braskem Ideas will be able to increase productivity and process compliance thanks to Honeywell's Intelligent Wearables, capture the knowledge of seasoned workers, and efficiently communicate vital insights and information to field workers and trainees. Smartwatches and other wearables will soon transition from consumer electronics to useful business tools in the Middle East and Africa, predicts Samsung Enterprise Mobility. The surge of new enterprise technologies is expected to present considerable potential for suppliers over the forecast period, which will favorably affect the market's growth. South African CIOs are prepared to protect and manage it.
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