Amid a decline in wearable device sales, companies like Noise and Boult are shifting strategies to target repeat customers and premium upgrades. The market slowdown, characterized by sluggish smartwatch and earphone sales, has pushed brands to innovate and deepen their existing product offerings.

Noise Focuses on Premiumisation

Noise, the market leader in smartwatches with a 27.4% share, reported a net loss of ₹20 crore in FY24, as competition eroded profitability. Co-founder Amit Khatri emphasized the need to increase average selling prices (ASPs) by catering to advanced users and launching premium products.

“We’re focusing on specific user cohorts like health, fitness, and productivity to drive growth,” Khatri said. Noise also aims to enhance sensor accuracy and application capabilities for targeted use cases.

Boult Sees Upgrade Trends

Boult observed a strong upgrade trend, with consumers transitioning from wired earphones to neckbands and True Wireless Stereo (TWS) devices. Despite revenue growth of 40% to ₹697 crore in FY24, Boult’s profits declined to ₹2.4 crore.

Co-founder Varun Gupta highlighted an 81% customer retention rate, showcasing a loyal customer base driving the upgrade cycle.

Market Challenges and Future Outlook

The wearable market has seen its second consecutive quarterly decline, especially in smartwatches, due to extended replacement cycles and rising inventory. Brands like Noise and Boult remain optimistic, focusing on innovation and deeper customer engagement.

With competition easing, Noise anticipates growth through premium, health-focused products tailored to evolving user needs.