TechInsights (formerly Strategy Analytics) today released a report saying that global fitness bands’ revenue will decline 15% year-over-year in 2023. As a comparison, the global fitness bands’ earnings in 2022 fell 20% year-on-year, and in 2021 fell 29% year-on-year.
The report notes that the year-over-year revenue decline is due to lower sales, increased competitive price pressure in some regions, competition from low-cost feature watches and smartwatches, and overall economic uncertainty due to the global new crown epidemic, the Russia-Ukraine conflict and high inflation.
TechInsights said the average selling price of fitness bands is relatively flat in 2022 (-1%), while the average selling price will also decline to start in 2023, and unit sales of fitness bands are expected to recover after 2024, with revenues declining more slowly than the average selling price.
The report says that while global fitness bands revenue has continued to decline since 2020, there are still revenue growth opportunities in parts of the Middle East and Africa, Central and Latin America, and Central and Eastern Europe.
