Samsung trounced Fitbit Inc. (NYSE:FIT) to become the second largest player in the wearable market in the first quarter of the year. According to fresh data by Strategic Analytics, the South Korean hardware juggernaut grabbed 12.8% market share in the first quarter to Fitbit’s 12.2%. Apple Inc. (NASDAQ:AAPL) remains the market leader with a 53% market share, far ahead the rest of the competition.
Gear S3 Factor
Samsung’s resurgence in the wearable business according to the analytics firm was due to impressive sales of its Gear S3 Smartwatch. Launched in November, the device has enjoyed immense success thanks to its long life battery as well as extra functionality compared to other products in the market.
Gear S3 Smartwatch is currently available in two versions Classic and Frontier models. Both models feature a 2.3 inch super AMOLED display with a rotating bezel. The models also boast of ip68 rating for water and dust resistance. Latest additions includes ability to add date and music details on the watch faces as well as the setting up of reminders using S voice.
Samsung has experienced double digit s growth on wearable’s since the third quarter of last year. The growth has helped the company surpass Fitbit for the first time when it come it wearable sales.
Fitbit Woes
Fitbit continues to struggle against the two giants having struggled to come up with new exciting products to trigger the upgrade cycle. Its reputation in the space has also taken a hit on reports that its heart rate monitor as well as calorie counting devices don’t work as described.
Apple continues to dominate the space thanks to robust sales helped by lower prices of its offerings. Apple Watch sales doubled in the March quarter, affirming talk that the company’s products remain firm favorite for customers.
Smartwatch market should continue to grow as tech giants come up with devices with expanded functionalities. The International Data Corporation expects 125.5 million devices to be shipped this year, representing a 20.4% increase from last year.
Fitbit stock was up by 5.43% in Monday’s trading session to end the day at $5.44 a share.