International Data Corporation (IDC) expects the Canadian wearable device market to ship 1.4 million units by the end of 2015 with a projected compound annual growth rate (CAGR) of 32% over the next five years, according to a new report released today. The Canadian Wearable Device Forecast, 2015-2019 (IDC Doc# CA3MS15), examines wearable device shipments in Canada and addresses the current and future state of this emerging market.
The study, the first of its kind by IDC Canada, focuses on two categories of wearables: smart wearables and basic wearables, and analyzes the size of the market from 2015 to 2019 while also assessing the forces that will influence growth.
Key findings from the research include:
- IDC Canada expects the Canadian wearable device market (including both basic and smart wearable devices) to reach a total of 1.4 million units shipped in 2015, up from the 905,000 units in 2014. By 2019, the market is expected to reach 3.6 million units shipped, resulting in a five-year CAGR of 32%.
- Smart wrist-worn devices will be an important part of the market over the next five years, with these shipments dominating the total share. Eyewear is also expected to show considerable growth as more smart glasses are launched in the market and adopted into Canadian enterprises.
- Basic wearable device shipments will dominate in the first few years of the forecast period, but smart wearable device shipments will lead in shipment share by 2019.
- Through the forecast period IDC Canada expects there will still be some demand for basic wrist-worn devices that have limited but well performing functionality. Connected clothing is expected to show significant growth, but the shipments are coming off a very small base.
- IDC Canada also expects smart eyewear and quantified self-data (or "people analytics") for employee information to be important areas to watch through the forecast period. Overall, IDC Canada expects key areas of interest in the enterprise to be hands-free applications, remote viewing, and body and ambient awareness.
IDC Canada expects to see fluctuations in the early stages of the market throughout the forecast period.
"The shipment changes for the consumer wearable device forecast in Canada are driven by evolution and innovations in form factors, the expanding functionalities of devices within the Internet of Things, the curation of apps for smart wearables, and new product launches and announcements" says author Emily Taylor, Senior Analyst for Consumer Services and Mobility at IDC.
"Innovation is important to grow the wearables market in Canada to its fullest potential and to show the real value wearable devices can bring. Disruption and even risk will be part of this growth. It will be very exciting to see how the market evolves over the next five years."
IDC defines a wearable device as an item that is worn on the body and that can be readily removed at any time, and which includes a microprocessor, logic, and the ability to connect wirelessly to a network, either directly, or through a smart compute device such as a PC or tablet. There are two types of wearables, "basic wearables" (such as the Fitbit Flex or OMsignal's smart clothing) which do not run third-party applications and only perform functions that the device was designed to do; and "smart wearables" which run third-party applications (such as the Apple Watch or Epson's Moverio smartglasses).
For more information about the report or to arrange a one-on-one interview with the author Emily Taylor, please contact Andrea Loziuk at firstname.lastname@example.org.
IDC Canada & Emily Taylor will continue the discussion about wearable devices in the enterprise at an upcoming event in partnership with ITAC on Wednesday October 28th at 20 Toronto Street.
Trend or Transformation? The IoT of Wearable Devices in Business is a morning breakfast session where IDC will provide an update on the different components of the wearables market and specifically the Canadian opportunity as we see it unfolding over the next few years. For more information or to register, click here.
About The IDC Research
The Canadian Wearable Device Forecast, 2015-2019 report data is leveraged from the 2015Q2 version of IDC Canada's Canadian Quarterly Wearable Device Tracker
. This tracker measures and analyzes the size and growth of wearable devices in Canada including clothing, earwear, eyewear, wristwear, modular devices and others as part of the "smart" and "basic" wearable categories, while also offering shipment and revenue data for this fast growing market. The data is updated quarterly and includes historical data from 2013Q1, two years of quarterly forecasts, and three years of annual market projections. Clients will benefit from an independent perspective on vendors, technology, market opportunity and trend analysis. Users ranging from product planners, device manufacturers, app developers, and communications service providers may use this service
to inform overall corporate strategy and specific product planning initiatives. Click here to find out more about IDC's Canadian Quarterly Wearable Device Tracker and how it can benefit your organization's enterprise and consumer strategic mobility objectives.
International Data Corporation (IDC) is the premier global provider of market intelligence, advisory services, and events for the information technology, telecommunications, and consumer technology markets. IDC helps IT professionals, business executives, and the investment community to make fact-based decisions on technology purchases and business strategy. More than 1,100 IDC analysts provide global, regional, and local expertise on technology and industry opportunities and trends in over 110 countries. For more than 50 years, IDC has provided strategic insights to help our clients achieve their key business objectives. IDC is a subsidiary of IDG, the world's leading technology media,
research, and events company. You can learn more about IDC by visiting www.idc.com.
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