Wireless Earbuds Sell Better When More Expensive... Market Share Rises from 25% to 34% in One Year

Last Year's Sales Increased by 24% to 300 Million Units
Strong Performance of High-End Products Priced at $150

[Asia Economy Reporter Lim Hye-seon] Riding on the popularity of Apple's EarPods, audio specialist companies such as Sony, Sennheiser, and Bang & Olufsen have launched premium wireless earphones, resulting in a larger share of high-end products in the market.

According to a recent wireless earphone market report by global market research firm Counterpoint Research on the 13th, wireless earphone sales reached 300 million units last year, a 24% increase compared to the previous year. The strong performance of products priced above $150 stood out, rising from 25% in the first quarter of last year to 34% in the first quarter of this year. Apple has maintained high sales this year following the launch of the AirPods series in the fourth quarter of last year after two years. The increase in wireless earphone sales by audio specialists such as Sony, Sennheiser, and Bang & Olufsen (B&O) also contributed to the higher market share of premium products.

On the other hand, the share of affordable wireless earphones priced below $50 shrank from 42% to 34%. The low-priced market under $50 contracted due to the lockdown in the Chinese market caused by the COVID-19 pandemic, and major brands such as Xiaomi, Motorola, and Oppo releasing products in the $50 to $100 price range, which led to a decrease in market share. Consequently, the share of wireless earphones priced between $50 and $100 expanded from 13% to 17%.

Apple maintained its top position with a 25.6% market share last year, although this was a 4.6 percentage point decrease compared to the previous year. Xiaomi's market share remained steady in the 9% range, while Samsung Electronics expanded its share to 7.2% from 6.7% the previous year.

The wireless earphone market is expected to continue steady growth. Market research firm Strategy Analytics forecasts that wireless earphone shipments will reach 1.2 billion units in two years. High-end products equipped with sound quality and noise cancellation features are also continuously being released.

Sony has launched the high-quality wireless earphones ‘LinkBuds S’. Apple will introduce the ‘AirPods Pro 2’ in the second half of the year. Samsung Electronics will soon unveil the ‘Galaxy Buds Pro 2’. Google is also set to launch its first wireless earphones, the ‘Pixel Buds Pro’.

A Counterpoint Research official stated, "As the wireless earphone market matures, consumers' diverse preferences influence product purchases, and product selection is increasingly based on product advantages or brand recognition rather than simply low prices," adding, "High-end products will lead market growth."