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If you don't have the time to read a full study on competitive dynamics on the Watch segment on Amazon.com for the last 90 days, download the complete analysis here
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We did our Amazon fba product research on the segment “Watches” using the top related queries on Amazon US.
We leveraged DataHawk's Amazon keyword rank tracker to analyze the competitive dynamics around the keywords, “women watches, fitness tracker for women, heart rate tracker, fitness trackers, watches, fitness watch, smartwatch, sports watch" on Amazon US by looking at products that appeared the most on the first page of search results over the past 30 days in the US.
Find more statistics at Statista
According to a recent study by Statista, revenue in the SmartWatch segment alone is estimated to be over 22 million. The market is expected to grow annually by 3.9% (CAGR 2020-2025). (STATISTA) While digital wristwatches have been around for decades, true smartwatches are a relatively new phenomenon in the consumer electronics industry.
These modern devices typically include features like touchscreens, biometric monitoring, and internet connections. Consumer electronics giants Apple and Samsung are the biggest names in the industry, controlling a combined market share of over 60 percent. Estimates suggest that over 90 million of these devices will be shipped around the world in 2019 with this figure rising to over 130 million by 2023.
Smartwatches are often classified under the overarching consumer wearables market which also includes products like smart wristbands, smart clothing, and head-mounted displays. The internet connections present in many of these devices allow them to share statistics and information with other smart devices, forming a network that is often referred to as the Internet of Things (IoT).
Timex & Casio are found to be the top two brands with 55 & 33 products each with a total share of voice of 19.3% on page 1 on Amazon US. LETSCOM is in the third position and YAMAY is in the fourth position. The top 4 labels in this segment capture a 31.9% share of voice in the Watches segment on Amazon US
1. Share of Voice Organic Ranking Leaderboard
In our Share Of Voice Research, we analyze the number of days during which products belonging to each brand have ranked organically in our desired ranking range, for our analyzed period and for our desired set of search queries. The result is used to compute the Share of Voice and efficiency by product.
Here is an overview of the brands that had products spending the most time in the top rankings organically for the segment "Watches." Timex is found to be the top brand amongst the top 30 brands on page 1.
Casio and LETSCOM are found to be the top two brands with 55 & 33 products each with a total share of voice of 19.3%. Timex, priced at an average $42 has a share of voice of 11.8%. Casio is the nearest competitor to Timex in terms of their share of voice, 7.5%. The top 4 labels in this segment capture a 31.9% share of voice in the SmartWatch segment on Amazon US.
The 29$ average priced brand, LETSCOM is on the third rank in terms of Share Of Voice on the digital shelf with only 21 products. It is also ranked the third-best on average. The best average rank #4 is won by CakCity.
There are a number of other factors that impact this. One of them is the average price, a great indication of how pricing is impacting the organic ranking results on Amazon. The brands with the highest average price - Fitbit, Garmin, Apple & Samsung Electronics priced at $142, $182, $277 & $227 have a total share of voice of 13.1% (4.4%, 3.8%, 2.6% & 1.8% respectively) on page one.
However, in this segment, the highest-priced brands are not the ones capturing most of the space on the shelf. In fact, the top 5 labels capturing 36.6% of the share of voice on the shelf are all priced below the average price of the category, that is, $66. The overall share of voice of brands that are priced lower than or equal to the average price of the segment is 63.3%
The other brands left with a share of Voice of 26.9% are priced at an average of $179. Marathon by Timex is the lowest-priced brand in the watch segment. Priced at $17, Marathon by Timex is ranking at #29 in the Watch segment for Timex Marathon mid-size running watch & Timex Marathon Men’s Strap Watch.
Growing demand, usage of fitness devices, increasing awareness, High R&D investments bt the top companies are primarily driving the market growth of smartwatches. In fact, the US is the first country to implement and integrate virtual SIM cards in smartwatch technology. This has made the US a hub for manufacturers to use standalone smartwatch technology and is a boom for market developers.
It is also interesting to see that most of the brands in the top 30 are ranking around the average ranking of the segment, #20. This is a clear indication of the extremely competitive environment in this niche. Priced at $49 on an average, Michael Kors has the highest number of products on the first page after Timex. It is interesting to note that the Brands with more number of products do not necessarily have higher Share Of Voice on the digital shelf, as can be seen in this niche.
We found that the top 10 brands in the niche are capturing a 57.4% Organic Share of Voice out of a total of 30 brands that had at least one product that made it to page1.
2. Share of Voice Sponsored Ranking Leaderboard
Here is an overview of the brands that had Amazon sponsored products spending the most time in the top rankings for the analyzed for the keywords “women watches, fitness tracker for women, heart rate tracker, fitness trackers, watches, fitness watch, smartwatch, sports watch”
It is significant that all of the brands in the sponsored list in the top 30 in the watch segment have an average rank #1. 19 out of 30 products in the list have sponsored products ranking on page1. Rest 11 brands from the top 30 are only ranking organically on page 1. Products from the top 5 brands are capturing the shelf in the sponsored section, having an overall share of voice of 10.9%
CKE, ranking with the highest number of products, 7 in the sponsored section has only 1 product ranking organically on page 1. LETSCOM has the highest share of voice, 7.4% with 6 products as sponsored on page 1. 64 products out of a total of 823 are sponsored on page 1 in this segment. The rest of the sponsored brands have a Share Of Voice of only 63.4% and are placed on the later pages.
The brand with the highest average price, Fossil is on page 1 with 1 products as sponsored. It is priced at $295, much higher than the average price of the segment in the sponsored section, $72; At DataHawk, we also compute Amazon product competition scores that reflect, to what extent the product is deemed to be competitive on Amazon, and it’s based on a set of parameters such as the Pricing, Reviews, and Ratings of the competing products that are ranking for a given keyword.
Here are our scorecards for the top brands in this segment.
It can be inferred that the competition in this segment is super high, among the top 30.
It can be seen that either the brands that have a great brand reputation, for instance, Timex, Casio, Apple, Samsung & LETSCOM, or brands with competitive pricing and more variations in the type of products offered are ranking higher in this segment. Star ratings and number of reviews have a definite role to play in this segment. We also analyzed the competitiveness of the queries for which the above-listed brands are ranking on page 1. Here’s an example.
3. The Organic vs. Sponsored Products SoV Leaderboard
It can be seen here that the most sponsored products come from the brand - Timex. It is significant that Timex & Casio are ranking organically as the top 2 having no sponsored products. They have a combined 11.8% share of voice on the first page.
The competition for the keywords “watches, fitness tracker for women, heart rate tracker, fitness trackers, watches, fitness watch, smartwatch, sports watch” is seen to be tough but with the right insights and correlations, it is vincible.
33.33% of brands have no product ranking for these keywords as sponsored. If you are a brand in this niche, it is important to understand how using smart branding and carefully designed packaging, innovative brands are able to differentiate themselves from their competition.
The global watch market is currently highly competitive for vendors. The market remains a little concentrated at the top, with the leading vendors enjoying the majority of revenue shares. However, variations in customer demand across the globe and a consistent need for technological enhancement in product offerings are driving vendors to refine and modify their unique value propositions.
Moreover, the influx of new brands and tech startups venturing into the fitness products is further putting pressure on the overall competitiveness of the market.
4. The Organic Share Of Voice vs. Average Selling Price
This graph is very helpful to identify the competition on the basis of Average Selling Price. The top 5 brands are strongly competing with each other but they also have their individual spots in this niche.
They have a significant difference in the number of products & share of voice on the shelf but 4 out of 5 are surely competing on the basis of pricing. However, the prices in this segment are quite varying. We could easily identify one or two brands in each of the price segments, as can be seen on the graph. This also means, while mapping your Amazon competitive landscape for this segment, you need to first filter by price range and then see who are your competitors in your desired price range along with the subcategories you have products in.
With the highest average star ratings and the highest share of voice in the segment, Timex is leading the tribe. Our study on this subcategory helped us identify Timex, Casio, LETSCOM, YAMAY, Lintelek as the most appearing brands in the watch market on Amazon.
DataHawk enables you to make such an analysis very quickly. Download the complete analysis here.
Our study helped us analyze the best and lowest-ranked products in the watch segment. Understanding why some products are best-sellers gives a blueprint to brands and sellers to follow. You can do a detailed analysis of DataHawk's Amazon seller software.