[Editor’s Note: This post, by COO of 2014 Brandery graduate Strap, Patrick Henshaw, originally appeared on Strap’s blog on September 22, 2014.]
With over 10 million wearable devices sold in 2014 alone, should brands start paying more attention to the wearables space?
Based on a recent Forrester report, 25% of American adults plan on buying a wearable within the next year. If Forrester’s data holds true, that would be an estimated 79 million wearables sold within the next year. To put that in perspective, only 64 million smartphones were sold in 2006. This was a year shy of the first iPhone Apple produced and sold beginning June 29th, 2007. (For a cool side story take a look at Time’s interactive timeline of the iPhone.)
We all know that Apple changed the smartphone landscape from being something clunky and difficult to use into something that a 3-year-old can pick up— and find out how to watch Barney on. Will the same hold true for the wearable industry? Will Apple maintain their ability to lead thought and change in the wearable market as they have for years now in the mobile space?
Insiders report that Apple is readying supplies to sell 50 million Apple Watches in 2015. According to another report, Bank of America and Merril Lynch predict Apple will sell 20 million watches. Personally, I think Apple Watch sales are going to be closer to the 10 million unit mark. If Forrester is correct and 25% of the 300 million iPhones users on the market today were to purchase the Apple Watch, they would sell 75 million of these wearables in 2015. Now my prediction that Apple sells 10 million Apple Watches in 2015 doesn’t seem like too daunting of a task.
Inevitably, wearable technology will provide brands an unseen ability to provide content that is of value to their potential (or current) customer.
So why do brands care about this? Or should they? While there has been no clear leader or front runner as a singular wearable device, marketers and brands should still start paying attention to these devices. Inevitably, wearable technology will provide brands an unseen ability to provide content that is of value to their potential (or current) customer. The Content Marketing Association even put out an article with four key opportunities for content marketers to really show true value to their intended consumers. The short version of the article portrays these points: 1) Changing methods of reading, 2) Re-inventing push notifications, 3) Augmented reality, and 4) More content and data creation.
There are a few challenges for marketers who want to start using this new medium for content: adoption, value, and privacy. Providing value is a must in marketing today. Long gone are the days of the one-sided consumer-to-brand relationship. Brands must provide value— and provide it continually— to gain traction and maintain customers while trying to minimize churn. At the forefront, though, privacy will still remain. It is going to be key for the players in the industry to have privacy at the utmost of importance – this will also, in turn, drive adoption.
The Bottom Line
Brands need to pay attention to wearables— because their customers are. If brands and marketers truly want to understand their customers, where to reach them, and how to provide better value to the content they are providing, then wearables and wearable trends are something that need to be at the forefront of their thoughts and decisions.
Read more of Patrick and the rest of the Strap team’s thought leadership on their blog.