Walmart-owned Flipkart's fashion e-commerce brands Myntra and Jabong are staring for a share in India's wearables market that will be worth $1.4 billion revenue this year, has 61 million users (as per Statista) and is currently dominated by brands including Xiaomi, GOQii, Titan, Samsung and Apple.
Walmart-owned Flipkart’s fashion e-commerce brands Myntra and Jabong are staring for a share in India’s wearables market that will be worth $1.4 billion revenue this year, has 61 million users (as per Statista) and is currently dominated by brands including Xiaomi, GOQii, Titan, Samsung and Apple. After last year when it launched its in-house wearable fitness band Blink Go, the two companies today announced another device — Blink Play. However, there’s a catch.
Wearable or smart wearable market in India hasn’t been able to explode. Smart watches, smart glasses, smart bands etc., haven’t been able to get catch hold of user attention perhaps largely due to the way they have been positioned — as a fashion accessory rather than a necessity much like smartphones. The category has so far remained as just nice to have products instead of becoming need to have products. That’s one of the challenges for Myntra and Jabong to scale in the market.
“It will be a challenge for them as it is more of a fashion accessory. In the market, there has been no clear cut differentiation by such wearables. Some wants to position it as a fashion accessory or as a healthcare device or simply as a wearable tracker. Most of such things can already be done by smartphones. Hence, the growth has been very modest because users don’t find great need to have another gadget that needs to be charged,” Couterpoint Research Associate Director, Tarun Pathak told Financial Express Online.
The positioning for the new wearable Blink Play by Myntra and Jabong are on two ends — smart earphones and fitness tracking device. Nonetheless, it is a first-of-its-kind product that the two companies calls it as smart hearable fitness device.
Comments from Myntra and Jabong are awaited for this story.
So far, the combination has been of a watch and fitness device by companies like Xiaomi, GOQii, Fitbit, Apple, Samsung etc., even as there have been smart watches and smart bands separately but pricing of these products have remained a critical filter for their mass adoption.
“Since most customers in India are price sensitive, pricing of the wearables would be critical. Also, Myntra and Jabong would have to ensure there is a critical mass of users using their device in order to build services on top of it,” said Pathak.
Priced at Rs 2,250, Myntra and Jabong have ensured that aspect. The affordability hence might help the company to get on a good scale. The price points are also competitive as GOQii, Xiaomi and other Indian brands such as Intex, Titan have priced the products around Rs 2,000-3,000 or lesser bracket.
Despite that Myntra and Jabong might also have to position itself as a fitness brand instead of just a fashion destinatinon and that’s the mindset that customers browse the two portals versus browsing on horizontal marketplaces such as Flipkart and Amazon that houses multiple product categories or respective portals of fitness trackers.
“You have to justify that you have entered the category as someone unique instead of just becoming another choice for customers,” said Pathak.