International Data Corporation (IDC) data shows that while the Indian wearable market grew 34% in 2023, the average selling price of wearables dropped around 15% over 2022. The margins in the segment are thin and it takes major design differentiation and brand building to scale up. Noise, which has ranked among the top 3 wearables brands in India consistently, is banking on its strategy of “innovation at aspirational prices” to keep the ball rolling. Co-founder Gaurav Khatri spoke to Alokananda Chakraborty about what it will take to keep competition at bay. Edited excerpts:
How has AI impacted wearable tech?
AI is revolutionising wearable tech by transitioning it from mere data trackers to a proactive lifestyle companion. Take smartwatches. They not only use AI as voice assistants but also use algorithms to understand sleep patterns and recommend adjustments. This AI-driven personalisation extends beyond sleep tracking and delves into analysing data for tailored experiences, predicting health risks, and providing real-time coaching. AI today is integral to elevate users’ experience and the way they interact with devices. AI will soon emerge as a companion giving real-time personalised suggestions to smartwatch users. Each smartwatch can function as a conversational device through chatbots and elevate the connected lifestyle of today’s users.
What is the biggest draw for Noise as a brand — design, after-service, pricing?
It is a powerful combination of all three. However, a consumer-centric approach, product excellence, and industry-leading innovation remain the key focus areas for us. We prioritise designing meaningful, premium-quality products that seamlessly blend into the users’ lifestyles. Our true differentiator lies in reinventing at every step. We empower consumers with best-in-class innovation at aspirational prices.
Have wearables crossed the hurdle of being seen as a fashion accessory or are consumers able to use them to their full potential?
It is no longer a matter of either/or when it comes to wearables. Today, they serve as sleek accessories while offering features that significantly enhance consumers’ lives. Our devices aim to provide premium aesthetics with innovative features. For instance, we introduced India’s first gesture-controlled TWS, Intellibuds, and India’s first OWS, Pure Pods, amalgamating superior audio experiences in an aspirational form factor. The growing consumer demand for new designs in the smart wearables industry led to the inception of Luna Ring. It exemplifies a minimal yet meaningful form factor, enhancing users’ style quotient while prioritising their well-being.
How has the rapid utilisation of natural language interfaces impacted wearable devices?
The rapid utilisation of natural language interfaces has significantly enhanced the user experience of wearable devices. Wearables have become more intuitive and accessible through enabling seamless voice commands and interactions. This advancement has expanded the scope of innovation in wearables, enabling users to engage in a multitude of tasks seamlessly. Be it accessing personalised health insights or managing schedules, a lot more can be done with utmost ease with AI integration.
What are the key trends that would impact the growth of the sector over the next 12 to 24 months?The wearables industry is thriving, especially with Indian brands spearheading its growth. The market grew 34% in 2023 and is set to register a CAGR of 23.91% over 2022-27. Several key trends are expected to shape the growth of the wearables industry. The integration of advanced health monitoring features beyond basic tracking will drive adoption among lifestyle-conscious consumers. The future certainly holds more transformative possibilities, particularly in the realm of contactless payments. We brought the power of tap-and-pay to smartwatches in our recent collaboration with Airtel Payments Bank. Additionally, the convergence of wearable technology with augmented reality and virtual reality will unlock new applications in fitness, and enterprise use cases.
Will wearables replace PCs and smartphones anytime soon?
Be it remotely controlling your smartphone camera, making calls and payments directly from your smartwatch, accessing contact details, viewing notifications or playing games, smart wearables are emerging to play an integral role in the IoT ecosystem. With the pace of innovation, we are not far away from a point where smart wearables will provide more convenience to our lives by managing daily tasks like controlling smart homes and unlocking vehicles as the future of innovation with the role of AI is strong.
Whether it will replace other existing products is tough to predict because their IoT ecosystem as a whole is revamping significantly. Ecosystem devices need to exist and innovate together to offer a holistic experience rather than replacing each other. So we would say wearables indeed have the potential and will continue to complement these devices by providing seamless integration and specialised functionalities. We believe in the coexistence of these technologies, where each of them caters to different needs of users in their daily lives.