Market Trends of India Wireless Audio Industry
This section covers the major market trends shaping the India Wireless Audio Market according to our research experts:
Growing E-Commerce Industry Will Boost Market Growth
- The growth of the Indian e-commerce industry has significantly impacted the growth of the wireless audio industry, as consumers can now check the specifications and even the feedback of other users about any specific device before making a purchasing decision. Additionally, factors such as home delivery and flexible payment options also expand the reach of these devices to new customers.
- Considering the potential, all the leading wireless earphones/audio device manufacturers are now offering these products via an online marketplace. These manufacturers also give steep discounts on product sales, resulting in profitable transactions for purchasers and growth in the unit sales of these devices.
- One of the primary drivers propelling the industry is India's rising internet user base due to telecom operators' low data costs. According to IBEF, the number of internet subscriptions was anticipated to reach 830 million in 2021 due to various initiatives such as the "Digital India" campaign. Furthermore, according to IBEF, 55% of all internet connections in the country were in metropolitan areas, with 97% of those connections being wireless.
Such trends significantly drive the growth of the e-commerce industry in India. According to the IEBF and Invest India, the country's e-commerce business is predicted to develop rapidly in the following years, owing to high-speed internet adoption and smartphone use. For instance, according to the IBEF, the gross value added by the e-commerce sector is expected to reach USD 74.80 billion in 2022. This creates several opportunities for firms across the globe to expand their footprint in India, which in turn is expected to contribute to market growth over the forecast period.
Understand The Key Trends Shaping This Market
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Growing Smartphone Adoption to Boost Market's Growth
- The growing acceptance and use of smartphones and other mobile devices is also expected to drive market growth due to their high compatibility features.According to India Cellular & Electronics Association (ICEA) estimates, smartphone usage in India will reach 82-83 crore by 2022 and 100 crore by 2025-26.
- According to India's Ministry of Electronics and Information Technology (MEITY), the value of mobile phone production in India is expected to increase from INR 2,140 billion (USD 25.85 billion) in 2020 to INR 2,226.75 billion (USD 26.90 billion) in 2022. With India's smartphone market witnessing rapid growth, wireless audio device providers are focusing on launching new products with higher compatibility features with smartphones.
- The easy integration and connectivity of wireless audio devices with smartphones create a favorable market scenario for the growth of the studied market as well. Furthermore, technological improvements such as active noise cancellation (ANC) and the availability of trendy and appealing designs are expected to boost segment growth during the forecast period.
- Furthermore, ongoing semiconductor advancements have enabled OEMs to produce tiny, feature-loaded devices. The demand for fewer assemblies in certain electronics, including intelligent earbuds, significantly reduces the requirement for raw materials, helping the vendors reduce the cost of these devices. These variables are expected to influence the demand for truly wireless earbuds positively.
- Increased product releases with multiple innovative features, such as gesture recognition, by leading companies operating in the nation will likely boost market growth throughout the forecast period. For instance, in October 2022, Logitech announced their Zone True Wireless Earbuds in India. TWS earbuds feature active noise cancellation (ANC), an IP68 certification, and touch controls. According to the company, Zone True Wireless Earbuds provide the most adaptable corporate conferencing headphone experiences. It is designed for business video chats and meetings.
