Channel uptake boosts wearable tech market

Wearable-band market rockets almost 700 per cent in first half of 2014

Channel interest in wearable technology has helped the wearable-band market grow eightfold in the first half of this year, according to Canalys.

The analyst said that in the first six months of 2014, the market for wearable bands – which is defined as body-worn devices that run third-party apps – grew a whopping 684 per cent compared with the same period a year ago.

Part of that growth was down to channel players jumping on board with the technology, its principal analyst Chris Jones said.

"Fitbit and Jawbone have very successfully grown and strengthened their relationships with channel partners internationally to grow global shipment volumes," he said. "They took first and second place respectively in the basic wearable-band market in the first half 2014."

Samsung is also enjoying success in wearable tech, taking the lead in the smart-wearable-band market, which Canalys claims involves devices which are multi-purpose and act as an accessory to other smart devices.

But the tech giant must up its game if it is going to retain its crown, Jones said.

"Samsung must improve device sell-through, otherwise it will again have to resort to heavy discounting through promotions to move inventory," he said.

Apple is widely expected to be one of the next big vendors to dip its toe into wearable tech with a device thought be named iWatch.

Canalys said the vendor will have to raise the bar with any wearable device it brings to market, adding that wireless charging and waterproofing should be included.

"Most technology companies are waiting to see what Apple will do first," Canalys said. "The market will see dramatic change in the coming months and vendors with early-mover advantages will come under pressure."