Smart Watch Usage in 2020 : A study of usage behaviours and the development of the market for smart watches

University essay from KTH/Medieteknik och interaktionsdesign, MID

Author: Cecilia Engelbert; [2016]

Keywords: ;

Abstract: The technology development during the last few years have led to increased use of wearable technology devices. Studies show a growing interest for the smart watch functionality and projections are that wearable devices will become mainstream during the next years. This imply that the smart watch functionality will most likely have an impact on both companies and consumers, since new technologies and devices can affect and change current consumer behaviours. Exactly how smart watches will affect consumer usage behaviours is still an uncertainty since the technology is relatively new, and this study aims to research this area in order to predict how the market for smart watches will appear in 2020. A literature study was conducted to provide a theoretical basis for the thesis, including a description of the current smart watch market and models on consumer acceptance related to technology. A qualitative study in form of expert interviews was conducted with the aim to gain insights regarding trends and development factors influencing the market. The study identifies personal identity, monitoring and comfort as the three main motivations to why consumers use smart watches. The three main situations are using smart watches as extensions of the smart phone, in health purposes and for personal advantages. Technology and consumer behaviour related trends are also identified, as well as a series of challenges for future market development. The main conclusions from this research are that the value proposition of smart watches lies within sensor performance and that smart watches will be used primarily for monitoring and professional use. The development pace of the market is also affected by social norms and consumer habits, and in order for smart watches to become mainstream, a functioning ecosystem consisting of network operators, device manufacturers and application developers is needed.

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