Neckband Archives - Counterpoint

India Neckband Shipments Declined 9% YoY in 2022

boAt led the market with a 27% share, while OnePlus and realme took the second and third spots respectively.
Indian brands took a 62% share in 2022, grabbing seven spots in the top-10 list.
The entry-level price band (<INR 1,000 or around <$13) is becoming a sweet spot, taking almost one-third share in 2022.
OnePlus took the top spot in Q4 2022 for the very first time with a 20.2% share.
OnePlus’ Bullets Wireless Z2 Edition was the best-selling device in 2022 with a 14% share in the overall neckband market.
Sony led the mid-segment (INR 3,000-INR 5,000) in 2022 with a 37% share.

New Delhi, Beijing, Hong Kong, Seoul, London, San Jose, Buenos Aires – March 22, 2023

India’s neckband market shipments declined 9%YoY in 2022, according to the latest research from Counterpoint’s IoT Service. This decline was primarily due to seasonality and rising competition between hearable types. Indian consumers have started preferring Truly Wireless Stereo (TWS) devices over neckbands, especially due to their sleek design, newly added features and affordable prices. However, the demand for neckbands is still strong in the Indian market as many consumers use neckbands as a secondary device that is affordable, ideal for longer usage and suitable for applications like running, workout and travelling.

Commenting on the market trends, Senior Research Analyst Anshika Jain said, “Indian neckbands are expanding towards the low-price tier of <INR 1,000 (or around <$13), which reached its highest ever share of 32% in 2022, up from 20% in 2021. Many brands are focusing on this tier to acquire the wired earphone user base. Over 80 brands entered the neckband market in 2022, reflecting the growth potential of this market. In terms of distribution, online channels contributed nearly three-fourths of total shipments with Flipkart taking the lead followed by Amazon. boAt, OnePlus and Boult Audio were the top-selling brands in the online segment.”

Jain added, “In 2022, the homegrown brands captured seven spots in the list of top 10 brands with boAt taking the top spot. However, the contribution of local brands remained at 62% (showing a slight dip compared to 2021) as Chinese brand OnePlus started gaining prominence with its Bullets Wireless Z2 model. In fact, in Q4 2022, OnePlus became the top player in India’s neckband market for the very first time. Global brands took only a 3% share led by Sony, Samsung and JBL. Sony led the mid-segment (INR 3,000-INR 5,000) in 2022 with a 37% share.”

Talking about the local manufacturing scenario, Research Analyst Akshay RS said, “In 2022, domestic manufacturing contributed 13% of total shipments, up from just 2% in 2021. With boAt, Mivi and Boult Audio ramping up their local manufacturing capabilities, these brands together accounted for over 75% of the total domestic shipment volume in 2022. Noise, Gizmore, Portronics, Aroma, pTron and Wings also started offering locally produced neckbands in 2022.”

Source: India Hearables (Neckband) Shipments, Model Tracker, Q4 2022

Note: boAt’s share includes Tagg and Defy shares

Market summary for 2022

boAt maintained its lead with a 27% market share driven by its wide range of products in the budget segment, multiple celebrity endorsements and aggressive festive season promotions. The boAt Rockerz 255 Pro Plus was the second most popular neckband in the market and captured a 17% share in the brand’s portfolio. boAt took five spots in the top 10 best-selling neckbands.
OnePlus maintained its second spot with an 18% market share driven by the growing popularity of the Bullet Wireless Z2 model. Also, the Bullets Wireless Z2 model was the best-selling device in the market and contributed 14% share of the total neckband volume.
realme took the third spot in the top five neckband brands’ rankings with a 7% market share. The Buds Wireless 2 Neo drove the majority of its shipments followed by the Buds Wireless 2S. Strong channel presence, installed smartphone base and value-for-money offerings were the major factors that pushed its growth.
Boult Audio grabbed the fourth spot with a 5% share driven by its wider portfolio across price bands. The brand is picking up in the domestic manufacturing space. The Boult Audio Curve model was the brand’s bestseller, capturing a 31% share.
Ubon rose to the fifth spot with a 3% share. The brand focused on launching more devices in the affordable segment. Almost two-thirds of its volume was driven by online channels.

Source: India Hearables (Neckband) Shipments, Model Tracker, Q4 2022

Note: boAt’s share includes Tagg and Defy shares

Market summary for Q4 2022

India’s neckband shipments saw a 36% YoY decline in Q4 2022 due to the high volumes of inventory that were moved to the channels during the festive season and changing customer preferences.
OnePlus led India’s neckband market for the first time with a 20.2% share, while boAt captured the second spot with a 16% share. OnePlus’ Bullets Wireless Z2 was the best-selling neckband for the third consecutive quarter with a share of 20% in Q4 2022.
Boult Audio, Mivi and Aroma were the fastest-growing brands in Q4 2022. Domestic production and budget offerings took the brands to the top-five list.
The shipment volume of the <INR 1,000 price band (or around $13) grew 15% YoY in Q4 2022. Boult Audio drove the volume for this price band with an 18% share, followed by Aroma, Signature and boAt.
In Q4 2022, domestic manufacturing saw rapid growth, contributing one-fourth of the total shipments.
Noise, Zebronics, pTron and Signature were the other emerging brands in Q4 2022 that made a mark in the top-10 list.

According to a recent consumer study by Counterpoint, 15% of TWS users prefer to plan for other forms of wireless earphones, like neckbands, as their next purchase. India’s neckband market is approximately 1.3x of its TWS market. Going forward, competition can be expected between the neckband and TWS segments as some users prefer neckbands due to convenience during workouts. However, we will continue to see more innovation happening in the TWS category.

Background

Counterpoint Technology Market Research is a global research firm specializing in products in the TMT (technology, media and telecom) industry. It services major technology and financial firms with a mix of monthly reports, customized projects and detailed analyses of the mobile and technology markets. Its key analysts are seasoned experts in the high-tech industry.

‘Made in India’ Smartphone Shipments Grew 16% YoY in Q2 2022; Domestic Manufacturing Push in Wearables Continues to Grow

OPPO led the ‘Made in India’ smartphone shipments with a 24% share, followed by Samsung.
Lava led the ‘Made in India’ feature phone shipments with a 21% share.
In the wearable segment, TWS led in terms of domestic manufacturing with a 16% contribution, followed by neckbands and smartwatches.

New Delhi, Hong Kong, Seoul, London, Beijing, San Diego, Buenos Aires – Sept 16, 2022

‘Made in India’ smartphone shipments grew 16% YoY in Q2 2022 (April-June) to reach over 44 million units, according to the latest research from Counterpoint’s Made in India service. This was the first quarter of the new financial year and the companies pushed for higher output to meet the criteria for PLI incentives.

Commenting on the local manufacturing ecosystem, Senior Research Analyst Prachir Singh said, “The Made in India smartphone shipments grew as compared to last year. During the quarter, we witnessed increasing investments in the Indian manufacturing ecosystem with new plants being set up as well as existing ones being expanded. Recently, OPPO announced the Vihaan initiative under which it plans to invest $60 million in the next five years to empower the local supply chain. Samsung also increased its manufacturing with the premium segment smartphones, especially the Galaxy S series. Going forward, the upcoming festive season will further drive the Made in India shipments due to the expected increase in local demand.”

On the manufacturing landscape and strategies, Singh said, “In the smartphone segment, in-house manufacturing contributed to almost 66% of the total Made in India shipments in Q2 2022, while the rest of the 34% shipments came from third-party EMS players. OPPO led the Made in India shipments with a 24% share, followed by Samsung and vivo. Among the third-party EMS players, Bharat FIH, Dixon and DBG were the leading players during the quarter. Padget Electronics (396% YoY), Wistron (137% YoY) and Lava (110% YoY) were the fastest growing smartphone manufacturers during the quarter in terms of shipments. Also, we may see disbursement of PLI incentives during Q3 2022, which will further boost the local manufacturing sentiments. In the feature phone segment, Lava led the Made in India shipments, capturing more than 21% share. Lava is also the leading mobile phone player among the Indian brands in terms of shipments. It is the only company that is designing its products in India. Going forward, Lava is expected to expand its product portfolio as well as manufacturing capabilities.”

Source: Counterpoint Made in India Research, Q2 2022
Note: Figures may not add up to 100% due to rounding

The local manufacturing push is now impacting other product segments as well, particularly the CIoT segments. The Indian government’s push with multiple PLI schemes has been showing a positive impact and we saw increased local manufacturing share in product segments like smartwatch, TWS, neckband and tablet. Optiemus leads the Made in India shipments for smartwatches with more than 75% share. In TWS, Optiemus, Bharat FIH and Padget are the top three manufacturers. In the neckband category, VVDN and Mivi have a 90% share in the Made in India shipments. In the tablet category, Wingtech, Samsung and Dixon are the top players while in the TV category, Dixon, Radiant, Samsung and LG have a 50% share in the Made in India shipments.

Source: Counterpoint Made in India Research, Q2 2022

On the Indian government’s focus, Research Analyst Priya Joseph said, “The government aims to make India an electronics manufacturing hub in the next four to five years. In its vision document released earlier, the government considers consumer electronics segments like smartphones, laptops, tablets, TVs, TWS and electric components as among the most promising for India’s transformation as an electronics hub. To help drive more initiatives under the themes of Make in India and Digital India, the government, in its last budget, pushed the total allocation to $936.2 million. This step not only aims to incentivize India-based manufacturing but also catalyse investments in the sector to support job creation, ease of doing business, import reduction and export promotion.”

Going forward, with the Indian government’s additional focus on building an overall ecosystem for semiconductors in the country, the country will witness a rapidly expanding electronics manufacturing and innovation ecosystem. By doing so, it does not only aim to become an important destination for manufacturers and investors but also ensure its strategic position in the global value chain.

Notes:

OPPO manufactures smartphones for OPPO, realme and OnePlus.
Bharat FIH manufactures smartphones for Xiaomi.
Dixon Technologies manufactures smartphones for Samsung.
Dixon Technologies’ share does not include Padget Electronics.

Background

Analyst Contacts:

Prachir Singh

Priya Joseph

Tarun Pathak

Follow Counterpoint Research

India Neckband Shipments Grow 71% YoY in Q2 2022; boAt Continues to Lead

boAt led the market with a 36.4% share, while OnePlus and realme took the second and third spots respectively.
OPPO entered the top five for the first time.
The INR 1,000-INR 2,000 price band captured over two-thirds of the total market in Q2 2022.
OnePlus’ Bullets Wireless Z2 Edition was the best-selling device, followed by the boAt Rockerz 255 series and boAt Rockerz 235 v2.
More than three-fourths of the total neckband models were sold online with Flipkart capturing 52% share.

New Delhi, Beijing, Hong Kong, Seoul, London, San Jose, Buenos Aires – September 12, 2022

India’s neckband market shipments grew 71% YoY and 52% QoQ in Q2 2022, according to the latest research from Counterpoint’s IoT Service. This growth was driven by a greater preference for these devices due to their look and comfort, and the availability of improved features at an affordable price.

Commenting on the overall market, Senior Research Analyst Anshika Jain said, “India’s neckband market witnessed remarkable growth in Q2 2022 with most of the new launches coming from the affordable price segment (less than ₹2,000 or $25). Many of the top OEMs are focusing on the ₹1,000-₹2,000 (or $13-$25) price band by adding features like voice assistance, low latency for gaming, noise cancellation, and music control through gestures.”

Source: India Hearables (Neckband) Shipments, Model Tracker, Q2 2022

“In Q2 2022, the local production increased over 2.5x QoQ with an 8% share in the total shipment volume, compared to 5% in Q1 2022. boAt manufactured more than two-thirds of the domestic volume in Q2 2022 followed by homegrown brands Mivi and Noise. In the second half of 2022, we expect more brands to introduce ‘Make in India’ devices,” Jain said.

Talking about product features, Research Director Tarun Pathak said, “The brands are pushing neckbands with long battery life. This feature is also attracting consumers as other wireless hearables have limited operating hours. The shipment share of the neckbands with 30+ hours of playtime increased to 40% in Q2 2022 from 17% in Q1 2022. In addition, some of the most demanded features like active noise cancellation, insta-charge and dual pairing technology are moving into lower price bands to attract cost-conscious customers.”

Market Summary

boAt topped the charts for the ninth consecutive quarter with a 36.4% shipment share driven by its value-for-money offerings like the Rockerz 255 series, Rockerz 235V2 and Rockerz 245V2.
OnePlus and realme were among the top five brands due to their new launches in the affordable segment and support from their smartphone user base. The OnePlus Bullets wireless Z2 was the best-selling neckband in Q2 2022, capturing more than 10% of the Indian neckband market. realme focused on offering popular features like ANC at an affordable price.
Ubon entered the top-five club for the first time in the Indian neckband market driven by multiple affordable neckbands.
OPPO grew 74% QoQ due to the popularity of its newly launched Enco M32 in the budget segment. Strong online and offline presence helped the brand enter the top five in Q2 2022.
Noise grew 50% QoQ with its popular models Nerve and Flair capturing half of its total portfolio.
Xiaomi maintained a position in the top 10 list with the Redmi SonicBass being its major volume driver.
Other emerging brands in the market included TECNO, Mivi, Ptron and Dizo.

Background

Analyst Contacts:

Anshika Jain

Tarun Pathak

Counterpoint Research

press(at)counterpointresearch.com

Q1 2022: boAt Leads India Neckband Market Followed by OnePlus

boAt led the market with a 25.7% share, while OnePlus and realme took the second and third spots respectively.
The INR 1,000-INR 2,000 price band captured 70% share.
OnePlus’ Bullets Wireless Z Bass Edition was the best-selling device in Q1 2022, followed by the boAt Rokerz 255 series and realme Buds Wireless 2 Neo.
More than three-fourths of the total neckband models were sold online with Flipkart dominating the channels.

New Delhi, Beijing, Hong Kong, Seoul, London, San Jose, Buenos Aires – May 27, 2022

India’s neckband market shipments declined 13% YoY in Q1 2022 but grew 34% YoY in 2021, according to the latest research from Counterpoint’s IoT Service. The market showed tremendous growth in 2021 primarily due to the user preference for neckbands over headphones for their stylish look, wireless design and long-duration usage. Consumers are also opting for neckbands as an alternative audio device. The decline in Q1 2022 is primarily due to the high inventory which was pushed into the channel in Q4 2021 ahead of the festive season.

Commenting on the competition, Senior Research Analyst Anshika Jain said, “Half of the total neckband market was taken over by the top three brands in Q1 2022. boAt captured the first position due to its significant presence in the lower price segment (INR 1,000-INR 2,000). The primary factor that has helped boAt to maintain its leadership position is its wide range of products in hearables, along with strong marketing efforts. OnePlus and realme captured the second and third positions with 14.9% and 9.6% market shares, respectively.

Source: India Hearables (Neckband) Shipments, Model Tracker, Q1 2022

Talking about the overall market, Jain said, “The popularity of neckband devices is increasing as users are upgrading from a wired ecosystem and also want an alternative hearable device. Like TWS, the India neckband market is dominated by local players, which captured around 58% share in Q1 2022. These players have focused on providing the emerging features at affordable prices, like voice assistance, gaming mode for low latency, gesture music controls and insta-charge technology. Besides, next-gen neckbands from top brands are coming up with increased total playback time, primarily focusing on the budget segment (INR 1,000-INR 2,000).”

Looking at the forecast, Research Director Tarun Pathak said, “India’s neckband market holds tremendous potential. We estimate that this market will continue to grow in double digits in the coming period. We have also seen the entry of new players in this segment, which is expected to drive volumes in the second half of 2022. Domestic manufacturing is also likely to pick up due to the increase in the customs duty for wireless hearable products. The current penetration of domestically made products stands at 5%.”

Market Summary

boAt shipments grew 4% YoY in Q1 2022. The brand had a wide range of products for the budget segment. The boAt Rockerz 255 Pro Plus was the best-selling model for the brand.
OnePlus maintained its second position driven by the success of the Bullets Wireless Z Bass Edition. The brand also introduced the Bullets Wireless Z2 model in the lower price tier in Q1 2022.
realme captured the third position with ~10% market share. The Buds Wireless 2 Neo was its best-selling model in Q1 2022.
Zebronics entered the Top 5 list for the first time thanks to its multiple budget-friendly neckband devices launched in the market. More than half of the total shipments for the brand were driven by just two models – Zeb-Lark and Zeb-Symphony.
Boult Audio registered 6x growth YoY in Q1 2022 with the Curve being the best-selling device for the brand. The brand has launched several affordable models on online as well as offline platforms.
Xiaomi maintained a position in the Top 10 list with the Redmi SonicBass being the major volume driver. Around 67% of its shipments came from the online channel.
Noise grew 8x QoQ due to the popularity of its Nerve and Flair models in the budget segment. The brand also launched the Noise Combat model in Q1 2022. It has a gaming mode.
Other emerging brands in the market include OPPO, Ptron, Hitage, Ubon and Dizo.

According to a recent consumer study by Counterpoint, 15% of TWS users prefer to plan for other forms of wireless earphones, like neckbands, as their next purchase. India’s neckband market is approximately 1.3x of TWS market. Going forward, competition can be expected between the neckband and TWS segments as some users are preferring neckbands because of convenience during workouts. However, we will continue to see more innovation happening in the TWS category.

Background:

Analyst Contacts:

Anshika Jain

anshika@counterpointresearch.com

Tarun Pathak

tarun@counterpointresearch.com

Counterpoint Research

press(at)counterpointresearch.com

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Insights Tag: Neckband