Furthermore, a separate report from Fortune claims that Jawbone is also looking to sell off its speaker business. The Jawbone Jambox was one of the first portable Bluetooth speakers and was generally well-recevied -- unlike its wearables, which have been hit-or-miss. The company hasn't produced a new one in well over a year, during which Fitbit has essentially dominated the fitness tracker market with little competition to speak of. Between speakers and wearables, the company wouldn't have much of anything left to sell to consumers.
One insight investors and entrepreneurs could take away from Jawbone is the risk of the direct to consumer wellness market. So many wearables businesses have added a b in the d2c model because the pockets are deeper, consumer fickleness with wearables and companies, especially tied to the healthcare industry, have longer term goals.
As well as the obvious benefit of tracking employee wellness, even basic trackers are offering efficiencies to business. For example, warehouse staff that do too much walking can highlight organisational improvements. Amazon are currently using wearables to assess the routes for finding products using GPS tags.
Sales of fitness monitoring devices marked a positive impact owing to the rise in COVID-19 cases. COVID-19 increased awareness regarding health, thus increasing sales of fitness monitoring products. Companies such as Apple and Garmin have witnessed an increase in revenue by 20% in 2020 compared to the previous fiscal year. While COVID-19 has impacted several businesses, and there remains uncertainty around the economy and customer demand, manufacturers are developing advanced products and services to help customers during this time. For Instance, Fitbit is investing in research and development activities by collaborating with health industry leaders like Apple, Stanford Medicine, and The Scripps Research Institute to study how data from wearables can identify, track, and have infectious diseases like COVID-19.
Wearable devices are evolving into much more than just fitness trackers as technology advances. Contactless payments are being added to an increasing number of wearables. Many large corporations are placing bets on the future of wearable payment technologies. The market for mobile and wearable contactless payments is a multibillion-dollar business with a double-digit CAGR projected in the future years. Contactless payments have already become a reality for smartphone users thanks to near field communications (NFC) technology. Here are the leading companies that are pioneering next-gen contactless wearable payment solutions.
Nevertheless, the PricewaterhouseCoopers study is a somewhat troubling example of how industry and consumer enthusiasm for the commercial devices may exceed the scientific evidence demonstrating their effectiveness. Few well-designed studies have shown that use of wearable fitness technologies leads to long-term, sustainable health and sustained healthy behavior in the general population. In fact, anecdotal evidence suggests that many consumer fitness devices may be abandoned not long after purchase, relegated to the same drawers as pedometers, home exercise videos, food portion measurement cups, and weights. There is a risk that the public and business community will become prematurely disgruntled with the promise of wearable fitness technology before the truly novel uses and benefits of the technology are discovered and definitively proven. As researchers, we have our work cut out for us. 2b1af7f3a8