Fitbit Inc (NYSE:FIT) has been ranked on top of the competition in the wearables market according to the International Data Corporation (IDC) report released by James Park and Co. The win for the company means it has retained the crown.
The fitness tracker manufacturer managed to take the lead despite heavy competition from other firms including Apple Inc. (NASDAQ:AAPL). The wearables market boomed towards the end of 2015 due to the increasing popularity of wearable gadgets especially smart watches. The IDC report indicates that wearables shipments reached 27.4 million in the fourth quarter of 2015, thus recording a 126.9% increase from the fourth quarter of 2014.
Fitbit managed to take advantage of the growing market by shipping about 21 million wearable devices in 2015, thus making up a large percentage of the shipped wearables. It also managed to double the numbers compared to the 10.9 million units that were shipped in 2014.
Fitbit emerged on top of the competition in a quarterly analysis provided by the report with a shipment of 8.1 million devices in the fourth quarter. This gave the company the largest piece of the market share at 29.5% while Xiaomi came in second with 15.4%. Xiaomi took the third place with 14.9% while Garmin Ltd. (NASDAQ:GRMN) was ranked at number four with 4.1%. Samsung held on to the fifth position with a market share of 4.0%.
Fitbit’s success is attributed to the fact that its gadgets offer a lot of value especially in the fitness industry which is the company’s primary market. Xiaomi is, however, putting up a strong challenge. Its market share increased from 4% in 2014 to the current 15.4% in 2015, thus proving to be a worthy contender that Fitbit should watch out for. Despite the dominant market share held by Fitbit, it declined from 37.9% in 2014.
Apple’s performance has also been quite impressive considering that 2015 was the same year that it ventured into the wearables market with its Apple Watch.