BoAt, India’s leading audio and wearable brand, has surpassed the 50 million mark for ‘Made in India’ products. This achievement comes amid a challenging environment marked by declining sales and limited product innovation in the wearable sector.

Despite a 9.8% year-over-year (Y-o-Y) decline in shipments, BoAt remains the market leader with a 26.7% market share, according to IDC data. The brand manufactures 70-75% of its audio and smart wearable products within India, through a joint venture with Dixon Technologies.

Local Manufacturing and Innovation

BoAt’s collaboration with Dixon Technologies has enabled the company to optimize its supply chain, reduce lead times, and enhance product quality. This focus on local manufacturing aligns with the ‘Make in India’ initiative and reduces dependency on foreign production.

Sameer Mehta, Co-founder and CEO of BoAt, highlighted the importance of this milestone. “Crossing the 5-crore mark in Made in India products is a momentous occasion for BoAt. It reflects our unwavering commitment to the ‘Make in India’ initiative and our confidence in the capabilities of Indian manufacturing,” Mehta said.

Market Challenges and Strategy Shifts

India’s wearable device market saw a 10% Y-o-Y decline in Q2 2024, with 29.5 million units shipped. The first half of 2024 recorded a 4.7% decline, shipping 55.1 million units. Analysts attribute this drop to limited innovation and vendors’ cautious approach to inventory management.

In response to these challenges, BoAt is investing in local research and development (R&D) through BoAt Labs. This innovation center has established partnerships with global technology leaders like Google, Qualcomm, and Dolby. By focusing on local design and engineering, BoAt aims to create products tailored to the Indian market’s unique needs.

Looking Forward

As the market faces low differentiation and innovation, BoAt is shifting its strategy to focus on higher-end devices. The brand is avoiding entry-level products and instead aims to deliver mature hardware and sophisticated algorithms.

While the wearable market struggles, BoAt’s continued investment in local manufacturing and R&D positions it well for future growth. As the festive season approaches, the industry anticipates new model launches that may help stabilize the market.

BoAt’s success in crossing the 50 million ‘Made in India’ milestone underscores its resilience and commitment to quality, even in a challenging market.