Apple’s AirPods held sway over all competitors in the TWS Bluetooth Headset market
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According to research firm Strategy Analytics, Apple’s AirPods dominated the market for True Wireless Stereo (TWS) Bluetooth headsets in 2020. Overall, the accessory remains one of the hottest products in tech as the category saw sales soar 90% last year. Even after last year’s growth, there is room for more.
Ville-Petteri Ukonaho, Strategy Analytics’ Associate Director, notes that globally, only one in 10 people own a Bluetooth headset. Ukonaho says that with companies like Apple and Samsung no longer including wired earphones in the box with new handsets, Strategy Analytics sees “huge potential” for Bluetooth headset sales.
Ken Hyers, Director at Strategy Analytics, said, “TWS headsets drove global sales volumes in the Bluetooth headset segment. While the pandemic slowed demand briefly during the first half of the year, sales rebounded strongly during the second half. The Work From Home shift benefited the entire Bluetooth headset category in terms of sales volume growth.”
Hyers also touched on Apple’s current domination of the TWS Bluetooth headset market while also pointing out that the tech giant’s share is shrinking thanks to competition this year from Samsung, Huawei, and Xiaomi. Hyers said, “Apple maintained a commanding lead in the TWS segment in 2020, but its commanding share is shrinking as competition intensifies. Strong competition is expected from Xiaomi, Samsung, and Huawei in 2021. The TWS headset market is already hugely overcrowded and despite a strong sales outlook, there will inevitably be consolidation in the years ahead.”
Apple is expected to unveil two new AirPods versions this year, the third-generation AirPods and the second generation AirPods Pro. The new models could see the light of day this March. The first generation AirPods were released on December 13th, 2016 with the second-generation model launched last March. On October 30th, 2019, the AirPods Pro hit the market with new features including Active Noise Cancellation to remove ambient noise, and the Transparency mode to allow outside noises to be heard.
Questions & Answers
Q.Did the pandemic negatively impact sales of Bluetooth headsets overall?
Did the pandemic negatively impact sales of Bluetooth headsets overall?
While the pandemic briefly slowed demand in the first half of the year, sales rebounded strongly in the second half. The shift to working from home particularly benefited the entire Bluetooth headset category.
Q.Why does Strategy Analytics see huge potential for future Bluetooth headset sales?
Why does Strategy Analytics see huge potential for future Bluetooth headset sales?
Only one in ten people globally own a Bluetooth headset, and companies like Apple and Samsung are no longer including wired earphones with new phones. This creates significant opportunity for growth.
Q.Which companies are expected to challenge Apple's market dominance in 2021?
Which companies are expected to challenge Apple's market dominance in 2021?
Strong competition is anticipated from Xiaomi, Samsung, and Huawei. Their increasing presence is contributing to Apple's market share in the TWS segment shrinking.
Q.What new features did the AirPods Pro introduce when they were released?
What new features did the AirPods Pro introduce when they were released?
The AirPods Pro, released in October 2019, included new features such as Active Noise Cancellation to block ambient noise. They also offered a Transparency mode to allow users to hear outside sounds.
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