What is wearable technology? Simply put, it’s technology that you incorporate into things you wear on a day-to-day basis, and it could be anything from a smart watch, augmented reality glasses, or even a personal health monitor in the form of a bracelet. The idea is that technology will increasingly become more part of our daily lives, and it will become less intrusive, as it will be part of our clothing, and sometimes even part of our bodies! Wearable tech presents a fascinating field to study. I have conducted some researches and hope you can also learn more about this high growth market.

1. Wearable Devices Market & Technology
Prepared by Kevin Huang
Nov 1, 2015
Everything You Need to Know

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• What Is Wearable Tech?
• Wearable Tech Timeline
• Wearable Tech Market Scope
• Key Attributes of Wearable Tech
• Wearable Tech Evolution
• Why Wearables? Why Now?
• About the Consumer WT Market
- WW Sales Forecast/Market Leaders
- Wearables Vendor Landscape
- Key Driving Forces
- Barriers to WT Adoption
• About the WT Consumers
- U.S. Wearable Ownership by Demographics
- Know Their Wants & Needs
- Common Questions Asked
- Users’ Expectations & Product Experience
• Define Your WT Strategy
• Ways to Differentiate WT Products
• Wearable Devices Shift from Accessories
to Ad Platforms
• The Future of Wearable Tech
What Can You Learn Here

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What is Wearable Technology?
The Rise of Wearable Tech
Simply put, it’s technology that you incorporate
into things you wear on a day-to-day basis, and
it could be anything from a smart watch,
augmented reality glasses, or even a personal
health monitor in the form of a bracelet.
The idea is that technology will increasingly
become more part of our daily lives, and it will
become less intrusive, as it will be part of our
clothing, and sometimes even part of our bodies!

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WEARABLE TECHNOLOGY IS NOT A NEW CONCEPT
Byte Magazine Volume 06 Number 04, 1981 - Future Computers

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Wearable Tech Timeline (1975 ~ 2014)
1975
1987
1999
The Digital
Hearing Aid
Bluetooth
Headset
2000
2008
2012
2013
2014
2014
Fitbit
Nike
FuelBand
Samsung
Galaxy
Wear
1994
Apple
Newton
PDA
2001
2004
Microsoft
SPOT
Smartwatch
First
Apple
iPod
2012
2013
The Oculus
Rift
Pebble
Smartwatch
• Specialized Visual
Aids
• Medical grade
Monitors (on wrist)
• Smart Safety
Glasses
• Augmented Reality
Pulsar
Calculator
Watch
1984
Casio
Databank
CD-40
First
Blackberry
2003
Viatron
C series
Pacemaker
Motorola
Razr
GoPro
2006
Nike +
iPod
Kit
2007
First
Apple
iPhone
2011
Jawbone
Up
Nissan
Nismo
Smartwatch
MISFit
Shine
Google Glass
“Year of the Wearable”

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Wearable Technology Market Scope
The following table shows an overview of the five applications for wearable
technology and the products included within each of those applications.
Applications
Healthcare & Medical
Fitness & Wellness
Infotainment
Industrial
Military
Blood Pressure Monitors
Continuous Glucose Monitoring
Defibrillators
Drug Delivery Products
ECG Monitors
Hearing Aids
Insulin Pumps
Smart Glasses
Patches
PERS
Pulse Oximetry
Activity Monitors
Emotional Measurement
Fitness & Heart Rate Monitors
Foot Pods & Pedometers
Heads-up Displays
Sleep Sensors
Smart Glasses
Smart Clothing
Smart Watches
Other, Audio Earbuds
Bluetooth Headsets
Head-up Displays
Imaging Products
Smart Glasses
Smart Watches
Hand-worn Terminals
Heads-up Displays
Smart Clothing
Smart Glasses
Hand-worn Terminals
Heads-up Displays
Smart Clothing
Product Categories
Exoskeleton
Exoskeleton

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Wearable Tech In Industrial & Military

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Key Attributes of Wearable Tech
6 Key
Attributes
that Make
a BIG
Difference
Voice/Gesture
Recognition
3rd party apps
API partners
Accessories
Less distracting
with notifications
Short interaction
Low power
consumption
Instant wake
Background
working/sensing
Accelerometer
Gyroscope
IMU
Compass
Camera
Microphone
Environmental
sensor
Wi-Fi
Cellular
Bluetooth
NFC
Always-On
Environment
-Aware
Connected
Attention
-Getting
Development
Platform
Hands
-Free

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Wearable Technology Evolution
The Device Is Considered Wearable If It:
 Can be Worn for extended period of Time
 Provides User Inputs, enabling User Control
 Enhances of User Experience

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Wearable tech is part of
the wider internet of
things (IOTs) movement
where everyday
objects become
“smart” thanks
in part to
sensors

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We Could Say the Modern-day
Wearables Market Started with
the Humble Activity Tracker

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Now The Activity Tracker Market Is Saturated
The Attention Is Moving to the Smartwatch

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Smartwatches and other
wearables are still in the
“first generation” phase.
As time goes on and as
the tech develops
previous generations are
far inferior in hindsight
Norwich City Council takes delivery of the first computer
for its treasury department in 1957.
Remember a computer once looked like this?

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The Apple Watch is very personal – “personal” and “intimate”
were words that Apple CEO Time Cook and his colleagues used
over and over again when presenting it to the public for the first
time. That’s where the watch is likely to change things, because it
does something computers aren’t generally supposed to: It lives
on your body

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Wearable Tech Isn’t
Just for Grown Adults
It Isn’t Just for the Wrist (or
Humans for that Matter) Either

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Of Course There Is Google’s Head-mounted Display, Glass

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Despite a 12 Page Spread in Vogue
Glass Is yet to Go Mainstream
Even integrating it into regular glasses hasn’t made it take off

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While the jury’s out on whether Glass will be successful
in a consumer setting, it’s currently being put to use in
various business applications

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Google Smart Contact Lenses Mean Better Health

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Hexoskin is a Bluetooth vest that tracks the body’s vital signs
Smart Clothes to Smart Objects

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Athos is connected workout clothing with a range of sensors

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Ralph Lauren has launched the Polo Tech Shirt
The first premium brand to do so. A growing trend?

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Jewelry Meets Wearable Technology
Technology integrated in to jewelry so
far has been about filtering the “always
on” experience smartphones provide

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Personal data is
becoming increasingly
valuable as it allows
brands to sell the
consumer in real time
Thanks to wearables and other
technological and biological
innovations the human body is
becoming a data machine
As wearable tech develops
marketing will use consumer’s
personal biometric to sell
products and services

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And Apple is ahead
of the competition –
Apple launched a
wearable device, a
personal data
collecting app and a
payment mechanism
at the same time

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Why Wearables? Why Now?
Document
Our Lives
Augment
Ourselves
To Create
New Realities
Express
Ourselves
In New Ways
Quantity
Ourselves
The Time is Right
And It’s Happening Now

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About the Consumer WT Market

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Expected Market Development:
Too Early In the Adoption Cycle to Build Reliable Forecasts
Source: IHS Inc. September 2013Source: Wearable Tech; Wearable Technology Market: Trends & Outlook
• Berg Insight: 64 million devices shipped in 2017
• ABI Research: 485 million devices in 2018
• Cisco pointed to a total of 177 million devices in the market by 2018
• Juniper Research: 130 million devices by 2018
• IMS research forecasted the market size under three scenarios (based on adoption
rate) that vary from 40mn to 171 million devices shipped
 Forecasts for the wearable tech industry varies widely

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http://goo.gl/naKqGP
Wearable Device Market Value
from 2010 to 2018
Wearable technology in the future is expected to
include products such as Google Glass and the
Apple Watch as well as other medical technology.
By 2018, it is estimated that this market will be
worth some 12.6 billion U.S. dollars.
Source:

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Global Wearable Device Unit Shipments Forecast
https://goo.gl/AgK0LaSource:

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Global Wearable Technology Sales by Category
from 2014 to 2018
http://goo.gl/ifSj4T
Source:

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Wearables Regional Market Share
Source: CISCO 2015

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Just 6.8M Smartwatches Sold In 2014
at An Average Price of $189
http://goo.gl/x73A5pSource:
• Independent research company
Smartwatch Group estimated that
just 6.8 million smartwatches were
sold in 2014. Those devices had an
average price of $189, which is
down 16 percent from the selling
price of $225 seen in 2013.
• Total market volume in 2014
was $1.29 billion, up from $711
million in 2013. Overall unit
sales increased 82 percent year
over year.
Starting
Price $349 $549 $10,000

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38. Page  38 Source:
Apple Watch Shipment Forecast: 2015
http://goo.gl/Fouuh5

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Players Across ALL Verticals are hungry to Get
a Piece of the WT Pie
Wearable Technology
For a Connected Lifestyle

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Wearables Vendor Landscape
Source: IHS

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Forces Driving the Growth of Wearable Tech
Faster, Smaller
Cheaper
Hardware
Cloud
Storage
Location
Data
• Computing technology is
becoming 100 times
smaller each decade
• Capabilities can be
condensed into one
device
• Smaller and lighter parts
allow for easy portability
• By 2020, batteries are
expected to be 2.2x more
powerful (Yahoo Finance)
• Internet of things, Big Data, SDN
• Factors: consumerization of
enterprise IT, multiple device
ownership, improvement of
camera technologies
• Active accounts associated with
personal cloud storage services
has exceeded 1 billion in 2014
(API Research)
• Cloud computing reduces overall
IT expenses
• Implicit location information,
internet traffic information,
device-based location services
(GPS)
• iOS, Android Blackberry OS,
Windows Mobile, Symbian S60
Visual,
Gesture and
Voice
Technology
Quantified
Self
Movement
Gaming
Industry
& UX
Real Use
Cases

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Major Behavioral & Social Trends
Likely to Provide Major Tailwinds for the Wearable Market
Families will monitor their collective activities
• Remote monitoring of oldest family members to ensure safety
• Stress or fitness goal monitoring for parents
• Entertainment experiences and safety monitoring of the
youngest
Pro athletes track their metrics to gain a
competitive edge
• Pro teams awareness of tracking body’s stats with WT.
• Consumers will gain comfort seeing pro athlete WT
data integrated on multimedia (like ESPN).
• Consumer products will follow as they want to mimic
their athlete “heroes”
Wearables in the workforce
• Medical professionals: Documenting surgeries, getting a
second opinion from remote specialists
• Public safety workers: Obtain just-in-time critical
information, monitor safety of peers in the field
• Field workers: Improve productivity, gain specialist second
opinion in the field

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By 2018, the infotainment segment is expected to surpass the
fitness and wellness segment, driven primarily by anticipated
robust growth of smart watches and smart glasses.

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The increasing adoption of wearables among millennials, coupled
with greatly increasing demand for real time and actionable data will
also fuel the growth of the wearable technology market.

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The Overlapping Market of
Fitness Devices & Smartwatches
• Fitness devices track distance traveled, how long you have been
inactive, sleep time and sometimes heart rate. Certain devices
such as Nike and Basis bracelets also display time.
• This suggests the smartwatch market has the
potential to encompass the fitness devices market
as well. How this play out in the industry, remains
to be seen.
• These functions can also be performed by a
smartwatch loaded with sensors, while being
paired to a smartphone to receive and make
calls. Through an app ecosystem, a smartwatch is
capable of acting as a fitness device and more.

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Wearable Tech Data Interpreted
On-the-Go with Smartphones
United States 2015 Projections:
• 92% have a cell phone, 68% have
a smartphone
Worldwide 2016 Projections:
• The number of smartphone users
worldwide will surpass 2 billion in
2016
We are addicted to checking our phones
Smartphones are essential
to our lives:

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Barriers to Wearables Adoption
1. The lack of a persuasive use case
Among the biggest barriers that could limit
smartwatch adoption – and wearables
adoption overall – is people still don’t see the
point of these devices.
2. The lack of a killer app
There aren’t enough apps out there
that are really compelling on the wrist-
worn devices. Fragmentation is one of
the biggest reasons for lack of a robust
wearable app ecosystem.
3. Limited functionality
Basic fitness bands are limited to
primarily tracking health- and fitness-
related data and spitting this
aggregated data back out onto a
smartphone or tablet.
4. Style
Many of the wearable devices mimic
ubiquitous fashion accessories
(watches, bracelets, glasses), one of
the biggest concerns from consumers
is the look and style of the devices.
5. Price
With more players in the market and
lower priced products, the adoption
of wearable devices as a mainstream
consumer product is expected to
increase

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Gaps In Users’ Expectations
vs. Actual Product Experience

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It Will Take Time for Society
to Get Used to Wearables

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About the WT Consumers

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70% of Consumers are Aware of Wearables
Nielsen’s survey of nearly 4,000 respondents reveals
that popularity of wearables is rapidly increasing and
15% of people who heard the term ‘wearables’
currently use one but high prices remain a barrier.
Among the wearable technology devices, fitness bands are the most
popular product category with 61% of respondents using them
followed by smart watches (45%) and mobile health devices (17%).
Source: Nielsen Connected Life Report 2014
• 72% of the users say that they wish
wearables were less expensive.
• 62% said they wish wearables
came in forms other than the usual
wrist bands and watches.
• 53% wanted wearable technology devices
to look more fashionable like jewelry.

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Wearables Market Has A Lot to Grow
Just one in five US consumers say they own a wearable devices.
http://goo.gl/q4zBlRSource:

53. Page  53 Source: Accenture Digital Consumer Tech Survey 2014
• Health and Fitness becoming a focus - consumers were widely interested in health or fitness
monitoring functionalities, either from dedicated devices or apps on multifunctional devices.
“Appification” was a strong trend for other categories as well.
Consumers Growing Interest In Wearable Tech

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Fitness Bands Remain US Consumers’ Top
Wearable Pick
Almost half of US consumers said they were very likely or somewhat likely to purchase a
fitness band in the next 12 months. One in three said they were considering a smartwatch.
http://goo.gl/q4zBlRSource:

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U.S. Wearable Ownership by Demographics
Source: NPD https://goo.gl/EUw6S2
36 percent of fitness tracker owners
in the US are 35-54 years old, 41
percent had an average income of
more than $100,000, and 54 percent
were women. One-in-ten U.S. adults
now own a fitness tracker.
Smartwatches haven’t caught on as quickly, with
only two percent penetration, and appeal to a
much different segment of the market. More than
two-thirds (69 percent) of smartwatch owners are
18-34 years old, skew mostly towards the male
population (71 percent) and nearly half (48
percent) had an income below $45,000.

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What Consumers Expect from Wearable Devices
Source: Cognizant report 2014

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Health Tops List of Information US Consumers
Want from Wearables
Consumers want wearables to help them exercise smarter, pull together
their medical information and eat better.
http://goo.gl/q4zBlRSource:

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Frequently Asked Questions
Before Buying a WT Product
Source: Rithmio: Wearable Tech Market Trends - Q2 2014
General considerations Product considerations
What benefit
does it provide
to me?
Would I
actually wear
it? Daily? Am I willing to
pay that much
for it?
Does it
actually work?
Are the
insights it
provides
meaningful?
Is it accurate?
Will I want to
continue
wearing it?
What will
others think?
Will it break?
Is it reliable?
Will the battery
last?
Is it cool? Will
others like it?
Is it easy to put
on?
Can it get wet?
Is it easy to set up?
Comfortable to
wear?
Easy to transfer data
to your phone?
Look dumb
wearing it?
Is it accurate?
Is it fashionable?

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Most US Consumers Are Interested in
Lower-priced or Free Wearables
While about one in 10 consumers are willing to pay a premium price for a wearable, most
would rather receive one for free from their employers or insurers.
http://goo.gl/q4zBlRSource:

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Demand Is Growing and Online Marketplaces
for WT Are Emerging

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Wearables: The Impact on Retail
• Improving the Customer Experience
1. In-Store Shopping Experience - RFID and mobile payments
2. Personalization and Real-time Marketing – visual messaging or targeted offers
• Transforming Retail Operations
1. Streamlining Communication and In-store Collaboration
2. Store Layout and Backend Efficiency
As with any disruptive technology, the key
to success is to fail fast, learn quickly, and
continue to optimize. Investing in pilot
programs and proof of concepts to test
specific use-cases for the customer.
Retailers who start thinking about wearable
technology now could capture market share
from their competitors and drive large
operational efficiencies in the near future.
What Retailers Can Do Now
3. Retail store personnel can also be outfitted with wearable devices - they can
be more responsive — and in more consistent dialog — with in-store shoppers.

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Define Your WT Strategy

66. Page  66 http://goo.gl/x73A5pSource:

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“One Size Does NOT Fit All”
- Focus on a Target Audience
Oversight
Bodies are different. Tastes are different. So why
are a lot of WT products “for everyone”?
Who is your target audience?
Once the fad of putting on a wearable because it
is new has worn off, for users to continue wearing
a product they’ll have to be passionate about the
benefits it provides to them as an individual.
How to adapt?
• Have focus. Target a particular audience.
• Understand their pain points and needs.
• Involve them in your product design process.
• Market the solution to them.
• It’s iterative. Gather feedback, refine, repeat.

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Go After A Target Audience & Address Their Needs

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Activity Trackers – Fitness / Wellness
What do they do?
• Activity Tracking
• Sleep Monitoring
• Heart Rate Monitoring
• Augmenting Nutrition Plans
• Coaching
Who are they for?
• Professional & D1 Collegiate
Athletes
• Team Training
• Individuals
• Families
• Weight Loss Market
What are the biggest markets?
• Professional / Collegiate Athlete
From Nike to Adidas, sporting equipment
manufacturers are seeking ways to help
athletes improve their performance. Also
sports analytics firms like Catapult are
popping up to bring “Nate Silver” stats to all
playing fields.
• Corporate Wellness Programs /
Insurance
FitLinxx helps large corporations roll out
wearables with wellness programs to
decrease their insurance premiums while
helping their workforce get healthier.
• Weight Loss Market
It will be no time before Jenny Craig or
Biggest Loser are releasing their own
branded versions of Fitbit to appeal to their
user base.

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Insight: Integration of WT + Calorie Tracking
MapMyFitness was acquired by Under Armour in 2013. Get ready for calorie-
tracking for fitness sites to integrate with WT data to give users a full picture
of what they intake and burn.

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Activity Trackers – Fitness / Wellness
Segmentation by Age
• Infant
Mimo, onesie that measures the baby’s
breath while it sleeps.
• Children
Disney Magic Bands’ ecosystem deliver
once-in-a-lifetime experiences. Tile helps
you protect things you fear losing. FiLip is
a wrist wearable to keep your kids safe.
• Youth – Teen
NEX Band, modular wrist wearable
targeted at Tweens to Teens.
• Aging
CarePredict helps sensors maintain their
independence, GE / Intel several years ago
launched Care Innovations to trackle
similar problems. See article on Wearables
for Boomers.

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Activity Trackers – Fitness / Wellness
Segmentation by Sports Type
• Weight Training
The PUSH Strength
Kiwi Move
• Swimming
Instabeat
• Running
Adidas miCoach System
• Soccer
Adidas Smart Ball
• Snowboarding
Recon Snow 2
• Biking
Recon Jet
Turn Signal Gloves
• Tennis
Babolat Racquet
The PUSH Strength system

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Wearables In the Workforce
Examples: Heads-up Displays
• Medical Professionals (see http://pristine.io)
Documenting surgeries, getting a second opinion from
remote specialists, disaster relief situation with specialist
support from afar.
• Entertainment & Sports
First-person storytelling to enrich the fan’s experience and
unlock advertising opportunities. (see The Pacers)
• Field Workers
See Vuzix & SAP example. Work nearly hands-free to improve
productivity, gain specialist second opinion in the field.
• Public Safety Workers / Civil Servants
Obtain just-in-time critical information that can make a big
difference in a life or death situation, monitor safety of peers
in the field (oxygen levels of firemen)
• Customer Service
Personalized and premium customer service experiences to
differentiate the brand and add value. Think retail with luxury
brands.

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Wearables Helping People with Different Abilities

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Ways to Differentiate WT Products

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Color Preference

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Ability to Transform

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Ability to Personalize

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Materials
Look to jewelry industry for inspiration. Fashion designers will seek
a variety of materials to make wearable products nearly “hidden”
within jewelry.

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Co-Branding
The time will come when you don’t need to create your own
wearable from scratch to have a product in the market. You’ll just
need to license the technology and co-brand it.

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Go Luxury

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Software Makes the WT Meaningful
Otherwise you’re just wearing a goofy bracelet.
A Wearable Tech Product Is Actually
Two Products in One:
• The physical product worn with technology inside.
• The accompanying software to make the data
generated by the wearable meaningful to the user.
Both combined, have to work well for a user to be HAPPY.

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Wearable Technology Has to Work Well……

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Wearable Devices Shift
from Accessories to Ad Platforms
Wearable devices are always
attached to the user. This opens
door for further possibilities. The
rate at which one would happen
to glance at their smart watches
would be much higher.
Marketers and promoters would
get a more targeted approach and
also would get better ROI on
advertisements. These devices are
contextually aware. There is a lot
of information on the location of
the user, their habits, the
notifications that they receive,
climate, travel, locality, work etc.

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Between 2013 and 2018, wearable device
connections to jump more than 704.5%
http://goo.gl/qvvFPqSource:
“Advertisers aren’t the only ones looking to jump on the smart device bandwagon. In January
2014 polling by Accenture, 39% of senior executives worldwide cited wearable technology,
such as smartwatches and exercise devices, as an emerging technology they would likely
consider as part of their future digital/IT agenda. This was the second-highest response,
trailing low-energy components and connectivity standards by 2 percentage points.”
Wearable Devices Shift
from Accessories to Ad Platforms

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The first brand to use Glass in its marketing was Kenneth Cole and its “Man Up for Mankind Challenge”
which required men using a special Glass app to perform a gentlemanly deed each day for three weeks

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Topshop used Oculus Rift to let customers at
the London store experience a fashion show
from the front row. Users could sit next to A-list
celebrities and experience the show like a VIP

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Do you dream of wandering virtual
supermarkets? U.K. supermarket Tesco is the
surprise star of a new demo for the Oculus
Rift virtual-reality headset.

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The Future of Wearable Tech

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Wearable technologies are adding new layers to our personal
relationships by extending the reach and power of how we
communicate and share details about ourselves regardless of
distance. The constant connectivity of these devices builds a
unique portrait of their wearers and creates a continuous link
between people, simulating closeness, changing the way we
understand one another and enabling new forms of attention
and care.
CONNECTED INTIMACY
Long Distance Togetherness
Data Streamed Care
Emotional Mirror
TAILORED ECOSYSTEM
User-centric technologies are beginning to adapt their form
and functionality to align with our unique set of needs. Whether
customizing their design to fit the unique contours of a
wearer’s body or responding to a user’s emotional state to
offer highly personalized feedback, this new breed of devices
allows people to better define their interactions with
technology, while at the same time enabling more meaningful
experiences.
Biometrically Attuned
Responsive Coaching
Bespoke Biotech
CO-EVOLVED POSSIBILITIES
Technology features and designs are evolving alongside our behaviors
to take on a more essential role in our daily lives. Whether augmenting
people’s existing abilities or adapting their interfaces to enable more
natural levels of interactions, these devices point to the increasingly
sophisticated relationship people have with their technologies.
Augmented Sensory Perception
Authenticated Self
On-Board Interface
Cloud Memory
The Future of Wearable Tech
CONNECTED
INTIMACY
PERSON TO PERSON
THE FUTURE OF
WEARABLE
TECH
TAILORED
ECOSYSTEM
PERSON TO COMPUTER
CO-EVOLVED
POSSIBILITIES
PERSON AS COMPUTER
http://goo.gl/FjH6jdSource:

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Function of Wearables Forecast
From wristbands and glasses to clothing and even embedded devices, technologies are
undergoing a rapid evolution. In this chart, PSFK forecasts the wearable form factors and
corresponding functions that consumers can begin to expect over the next five years.
http://goo.gl/FjH6jdSource: PSFK

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Many people found the first wave of wearables
came up short. Entry-level price points were high, form
factors were clodgy and accuracy left a lot to be desired. It’s
no wonder there was a 30% return rate and high product
abandonment after six months.
Companies found getting wearables “right” is a tall order. To
be truly useful, usable and desirable for people, we’ll see the
following future improvements in wearable tech products to
come in 2015 and beyond.

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1. Invisible. Moore’s Law contends
that as components get smaller, products gain
efficiency and become more powerful. In other
words, you can think of current wearables as a
boombox on your wrist. Between conductive fabrics
or sensor-clad smart garments, wearables will
intertwine so closely with fashion we won’t be able
to distinguish them apart.
Companies like AiQ, Hexoskin and OMsignal are
already paving the way with biometric garments
that measure body vitals. Future wearables could
be more hidden by adding a thin film inside your
favorite jewelry to measure biometric data, activity
levels and even let you know when you’ve been
typing at a keyboard too long.

94. Page  94
2. Personalized. From
wedding rings to Invisalign, objects worn on
the body 24-7 are a personal thing. Unless the
product addresses a critical medical need like a
hearing aid, it is unlikely for a single wearable
to be desirable enough to be worn all of the
time.
Take a note from companies
like Cuff or Misfit that employ a personalized
approach to wearable tech. Their technology
nests inside a system of jewelry that a person
can select from and wear that day. Wearables
are a part of the jewelry legacy, and they
should be thought of as both parts tech
gadget and a fashion statement.

95. Page  95
3. Efficient. Alternative forms of energy to power wearables
are on the rise. In December 2014 Tommy Hilfiger launched clothing with solar
cells to charge devices. We’ve seen kinetic energy-powered gadgets from
Chicago-based AMPY (power your devices from your motion) to Darla
Hollander of Everywhere Energy. Another example is the Peltier Ring by Sean
Hodgins that leverages body heat to power small LED lights on a ring. While
energy advancements require more polish to achieve commercial viability,
they’ll be on your wrist sooner than you think.

96. Page  96
4. Accurate. From your kids’
GPA to your own body’s BMI, our culture is
getting more numbers oriented across many
aspects of life. Approximations of how many
steps you walked will no longer suffice as
people demand accurate data from their
devices – including wearables.
We have yet to see industry standards emerge
to set manufacturer guidelines and advocate
on consumers’ behalf. I anticipate advocacy
boards to be formed to evaluate devices and
require brands to deliver accuracy percentage
guarantees. Can you picture a label on
Jawbone packaging with a ‘99.5%
accurate gesture tracking’ guarantee?

97. Page  97
5. Permissions-based. Marketers
are salivating at the prospect of pushing wearables advertising to
you around the clock. As ad revenues dwindle on TV and newspaper
formats, next generation devices offer a new opportunity for brands
to target people like we’ve never seen before.
Savvy consumers will demand the ability to set specific
permission settings on their device to structure who,
what, where and when they can be disturbed.
Founded in 1894 and more commonly known for
certifying appliances for electrical safety, UL is
developing draft requirements for security and privacy
for data associated with Internet of Things devices,
including wearables. A pilot program is underway, and
UL plans to launch the program early in 2016.

98. Page  98
6. Sentient. Even Furbies in 1998 could learn new things, so
why is it that $150 activity trackers can’t learn additional activities like
jumping rope, swinging a kettlebell or salsa dancing? Peoples’ interests
evolve. Their wearables need to be able to evolve too and learn new things.
The single feature, fancy pedometers of today’s activity tracking market won’t
sustain for much longer.

99. Page  99
7. Multi point. The
wearable tech conversation will quickly shift
from discussion of your wearable (singular) to
the system of sensors on your body at any
point in time. Already people are wearing an
activity tracker and have a smartphone in their
purse; both of which are gathering motion-
sensing data through the accelerometer and
gyroscope inside. Technologists are working on
ways to derive meaning from multiple sensors
on the body at one time, to give a person a
holistic view of how her body is moving or
performing across multiple devices and
sensors.

100. Page  100
8. Seamless.It will be excited
to see what happens when wearables converge
with connected homes to drive efficiencies
without having to tap a button on a screen.
Imagine approaching your home’s door with
groceries in hand, and the heartbeat signature
via your wearable signals the door’s
smartlock to unlock. While crossing your living
room, a sensor on your wrist wearable notices
your core body temperature is above average
and automatically interacts with Nest
thermostat to trigger the air conditioning. Your
wearable also includes a sensor to detect
hydration levels, and it triggers your smart
refrigerator to automatically pour a glass of
water for you as you enter the kitchen to
unload your groceries.

101. Page  101
While it is premature to predict specific features or
form factors that will prevail in the future, wearable
tech presents a fascinating field to study. With innovations on the
horizon, we’re moving closer to making possible products that are
useful, usable and desirable for people.

102. Page  102
Appendix I
WT Brands & Products

103. Page  103
Brand ranking: Wearable Lifestyle and Fitness
• Based on number of Google
searches since October 2014 in the
US only
• Fitbit is clearly the most searched
wearables brand with most stable
popularity over the course of the
period
• Apple Watch has the highest search
levels, but only at times of Apple
keynote events.
• The list is not exhaustive
** Basis & Misfit web searches often refer to other companies/ brands/
products and events, not related to the brands in the research
Rank Product
1 Fitbit
2 Apple Watch
3 Samsung Gear
4 Jawbone Up
5 Pebble Watch
6= LG G Watch
6= Microsoft Band
8 Garmin Forerunner
9 Sony Smartwatch
** Misfit
** Basis

104. Page  104
Apple Watch is most often searched around Apple
keynote events; Fitbit and Samsung Gear demonstrate stable popularity
0
5
10
15
20
25
30
35
40
45
50
55
60
65
70
75
80
85
90
95
100
Brand popularity online*
Sep 2014 & March
2015 Apple Special
Events
Fitbit Charge and
Surge released
Source: Google trends. Popularity based on the number of Google searches. 100 = highest weekly search number on the chart.
20142013 April
2015
2015
LG G watch
Pebble watchGarmin Forerunner
Samsung GearFitbit
Microsoft Band
Apple watch Jawbone Up
Sony smartwatch

105. Page  105
Apple, Samsung and Nike are yet to establish an
association with product features in consumer minds
 Web-search word clouds: what topics are the brands associated with
Web Search Word Cloud Web Search Word Cloud
Web Search Word Cloud Web Search Word Cloud Web Search Word Cloud
Source: Google trends

106. Page  106
Fitbit: A top-of-mind brand in the wrist-worn fitness trackers
• Founded: 2007; HQ: San Francisco, USA; Employees: 288
• Main production line: Activity trackers, wireless-enabled wearable devices that measure data
such as the number of steps walked, quality of sleep, and other personal metrics
• In March 2015 it acquired FitStar, a fitness training app maker
• Distribution channels:
• USA: AT&T, Best Buy, Brookstone, Dick's Sporting Goods, Radio Shack, REI, Sports Authority,
Target etc. Apple recently dropped Fitbit from its stores after the company refused to integrate
with the Apple Health Kit tool
• Online: Amazon.com, Fitbit.com, minineed.com
• Europe: UFP International S.A., Decathlon
• Tracks steps, distance, calories burned and active minutes.
• LED lights show progress against goal.
• Water and dust proof
• Directly Sync with mobile device, PC and MAC
• Monitors your sleep and wakes you with a silent alarm.
Flex™ Wireless Activity + Sleep Wristband
• Tracks steps, distance, calories burned and active minutes.
• OLED display with daily stats and watch
• Call notifications and Wireless Sync with compatible devices
• Battery life of 7-10 days
• Monitors your sleep and wakes you with a silent alarm.
• HR – heart rate tracking
• GPS tracking
• PurePulse™ heart rate
• Multi-sport activity tracking
• Call and text notifications and music controls
Charge/Charge HR™ Wireless Activity + Sleep Wristband
Surge™ Fitness Super Watch
• Tracks steps, distance, calories burned and stairs climbed.
• Monitors your sleep and wakes you with a silent alarm.
• Sweat, rain, and splash proof
• Wirelessly syncs to computers and select smartphones
• Attaches easily to clothes, belts, sacks etc.
One™ Wireless Activity + Sleep Tracker
• Tracks steps, distance and calories burned.
• Sweat, rain, and splash proof
• Wirelessly syncs to computers and select smartphones
• Replaceable battery, lasts 4-6-months.
Zip™ Wireless Activity Tracker
• Scale measures weight, BMI and % body fat.
• Uses Wi-Fi to upload stats automatically to Fitbit.com.
• Set weight goals and chart your progress with free online
graphs and tools.
Fitbit Aria Wi-Fi Smart Scale
$95
$130
$250
$100
$60
$130

107. Page  107
Jawbone: Fitness trackers & other consumer products
• “…world-leader in consumer technology and wearable devices, building hardware products and
software platforms powered by data science”
• Acquired BodyMedia in 2014
• $3 bln. valuation (H2 2014); rumored $600 mln. revenue run rate for 2014
• In early 2015 - allegations that Google would make a ‘strategic investment’ in Jawbone
• Bulk of sales - Jambox wireless speakers
• HQ: San Francisco; products available in 40 counties
• Dedicated online store Marketplace, selling third-party products as well
• Retail partners: Amazon, Best Buy
• Jawbone UP4 announced in April 2015: partnership with American Express for a payment
system; heart rate and hydration levels tracking;
Fitness Trackers
• Activity, steps, distance, calories, sleep tracking
• UP3: heart monitoring, advanced sleep tracking
• Jawbone communities at city level
• Dedicated app with Coach functionality
• Connectivity with external apps and hardware
• Wireless syncing
• Mini and large version
• Wireless Bluetooth speaker
• Connect calls from phone to speaker
• Wireless Bluetooth headset
• NoiseAssasin technology to eliminate surrounding
noise
• Separate charging case
• Dedicated mobile app
Jambox Headsets
$50 $130 $180
$130-
$300
$130

108. Page  108
Basis: A single fitness & sleep tracking device
• Acquired by Intel in March 2014
• Basis Peak announced in September 2014
• Dedicated web store, Amazon, Best Buy, etc.
• Intel to integrate Basis tech into other form factors
• Intel plans to launch biometric-sensing earbuds
Basis Peak
• Sleep tracking, trends, sleep patterns
• Accelerometer, heart rate
• Fitness tracking, goals, notifications, calories tracking
• Smartphone connectivity (Bluetooth), notifications
• Water resistant
• 4-day battery life
$199

109. Page  109
Pebble Smartwatch, the most successful Kickstarter project ever
• Founded: 2009; HQ: Palo Alto, CA, USA
• Over 6,500 Pebble apps and watch faces available
• Pebble is the first smartwatch capable of connecting with Apple’s iPhone, a feature that’s
helped it reach a mainstream market.
• Pebble Time has reached $14 million in Kickstarter pre-orders, making it the most-
financed project in Kickstarter history.
• Pebble Time will come with customizable module straps, offering additional features
(radio, extra battery, heart rate monitor, etc)
• The new Pebble Time aims to be directly competing with Apple Watch
Pebble Time
• Call and text notifications
• Up to 7 days of battery life
• Color screen
• Microphone
• Currently in development
Pebble Smart Watch
• Call and text notifications
• Up to 7 days of battery life
• Water resistant up to 50 meters
• Fitness tracking – run, walk, bike, swim, sleep
• Various apps
Pebble Steel
• Aims for traditional timepiece owners
• Built with stainless steel; both in the watch
face as well as the new link-style bracelet
with traditional watch clasp.
• Pebble also added a small LED light for
charging status under a corner of the
Corning Gorilla Glass watchface
$99 $199$249

110. Page  110
Misfit: Bluetooth synced fitness & sleep monitors
• “Invent and manufacture great wearable computing products.”
• Founded in 2011; $15 mln series B financing in Dec 2013
• In Dec. 2014 landed $40 million in funding from various investors, incl. Chinese Xiaomi to develop
operations in Asia
• Manufactures sleep and fitness monitors, but also sport socks & t-shirts, notebooks, wrist bands for
Shine & Flash
• Added a host of smart home features, such as Nest, Logitech, and Spotify connectivity
• Operations:
• San Francisco (Industrial & UX design; hardware engineering)
• Seoul (Sensor dev and manufacturing)
• Ho Chi Minh (Data science, software, graphic design, operations)
Bolt Smart Bulb
• Wirelessly connected
• Over a million colors controlled by
mobile app (iOS and Android)
• Alarm sunrise simulation
• LED technology
• Waterproof
• No charging, 6-month battery
• Watch Function
• Measures & tracks steps, calories, distance,
sleep
• Smartphone compatibility
• Since March available as Swarovski Shine Set
Shine Fitness + Sleep monitor
• Waterproof
• No charging, 6-month battery
• Watch Function
• Measures & tracks steps, calories,
distance, sleep
• Smartphone compatibility
Flash Fitness + Sleep monitor
• Tracks sleep time, cycles, light sleep
duration
• Heart rate
• Ambient sound, snoring
• Sleep graphs & stats
• Alarm, soothening sounds
• Placed between mattress & sheets
Beddit Sleep monitor
$50
$99
$169
$49
$150

111. Page  111
Garmin: Wide range of wearable devices for various sports
• “To be an enduring company by creating superior products for automotive, aviation,
marine, outdoor, and sports that are an essential part of our customers’ lives. We will be
the global leader in every market we serve, and our products will be sought after for their
compelling design, superior quality, and best value.”
• Founded 1989, Kansas, USA
• $2.6 bln 2013 revenue; 21% of revenue comes from Fitness segment (~$365 mln)
• Announced three more smart watches in 2015: Fenix 3, Epix, Vivoactive
• Dedicated wearable watches and products for: running, swimming, golf, cycling, hiking,
dog tracking and training; multisport wearables, and action cams
vivoactive
• GPS smartwatch
• Specialized running, biking and golfing
features, as well as activity tracking
• Call, text, and calendar notifications
• 1-year battery life, waterproof
• Customizable interface
Forerunner Series
• Sleep tracking, steps, calories, sleep patterns,
heart rate monitor
• 1-year battery life, waterproof
• Wireless sync with Garmin Connect
• Bluetooth Sync with smartphone, notifications
• Cadence, vertical oscillation and
ground contact time
• VO2 max estimate², race predictor
and recovery advisor
• swim distance, pace, stroke type
identification, stroke count, drill
logging and rest timers
• Smartphone sync, rechargeable
• Garmin Connect™, live tracking,
social media sharing
vivo Series
$330
$140 -
$190
$130 -
$450

112. Page  112
Apple Watch: Initial impressions from observers were varied
• Apple Watch announced in Sept 2014; scheduled for release on April 24, 2015
• Financial analysts offered early sales estimates from a few million to as many as 40 million in the first year;
currently preorders are estimated at the amount of 957,000 watches on the first day of release
• In November 2014, Apple Watch was listed by Time as one of the 25 Best Inventions of 2014.
• Apple has partnered with IBM to develop the technology to analyze patient data collected from millions of
wearable Apple devices to help healthcare companies. Apple’s Research Kit and Health Kit help developers
create apps to gather and share medical information about the device’s users. Partnership with prominent
healthcare institutions, such as the Mayo Clinic, promise to extend the preventive applications of the watch, of
Apple’s devices, such as receiving warnings when a user’s health indicators get too high.
• WebMD, CareEvolution and other healthcare companies have announced new apps for the Apple Watch,
which can issue medication reminders and sharing electronic records.
• Tracks movement through a built-in accelerometer
and heart rate through
• Measures not only the quantity of movement (e.g.
number of steps) but also the quality and frequency
of movement
• The three rings of the Activity App show progress at
a glance
• Separate Workout App for Cardio sessions
• Learns user habits over time and suggests
personalized daily fitness goals
$349
- $17 000

113. Page  113
Samsung Gear Series: bridging wearables with smartphones
• “Designed in a purely idealistic way”
• Shipped 500,000 Gear smartwatches in Q1 2014, 1 mln for FY`13
• ~71% smartwatch market share Q1 2014
• Smartwatches represent 11% of all wearables (YTD 2014, GfK)
• Used with several Samsung smartphone
models
• Super AMOLED display and Oculus-driven
software
• 360 degrees view
• Still an ‘Innovator’ Edition
Gear VR
• Calls, emails & directions
• Curved 2-inch Super AMOLED display
• Internet radio service
• Exercise tracking, heart rate, barometer
• Various apps available
• Calls, emails & directions
• 1.63-inch Super AMOLED display
• Voice control and response
• Stand-alone music player
• 2MP built-incamera
• Calls, text messages, music
• Splash resistant
• Gear manager mobile app to control
notifications, settings, SoundAlive equalizer
• 9 hours music play time / 11 talk time
• Compatibility with all Bluetooth enabled
devices
Gear Circle Headset
Gear smartwatch series
$199
$99
Gear S - $299
(no carrier
contract)
Gear 2 -
$299

114. Page  114
LG Smartwatch: The first smartwatch with the look and feel
of a real watch
• G Watch R: “The world’s first watch-style wearable to feature a full circle
display that utilizes 100 percent of the watch face”
• LG Watch Urbane/ Urbane LTE will be launched in 2015; both models are
already available for pre-order and are competing with the Apple watch
• LG has been on the rise in global smartphone sales
• Water and dust resistant
• Android wear OS, voice control
• 1.2GHz Qualcomm Snapdragon™ 400
• 4GB eMMC / 512MB RAM
• 410mAh Battery life
• 1.3-inch P-OLED display
• Weather, notifications, navigation, stock
information, Google search, fitness
tracking apps
G Watch R G Watch Lifeband Touch Activity Tracker
• Water and dust resistant
• Android wear OS
• 1.2GHz Qualcomm Snapdragon™ 400
• 4GB eMMC / 512MB RAM
• 400mAh Battery life
• 1.3-inch P-OLED display
• Weather, notifications, navigation, stock
information, Google search, fitness
tracking apps
• 2 sizes
• OLED Touch screen
• Wireless syncing with LG Fitness app
• Music control
• Measures and tracks timing, calories,
speed, heart rate
• Integrates with smartphone to display
calls and notifications
$359 $259 $199

115. Page  115
Sony SmartWear: Newly announced voice capabilities in
SmartWatch 3 and SmartBand Talk
• “Lets you stay on top of things that matter.”
• All Sony wearable devices are synced with the Android Lifelog life-tracker app:
bookmarking moments and analyzing patterns of any activity (reading, music
listening, walking), social interaction, and sleep
• Fitness tracking SmartBand introduced in Jan 2014; voice recognition and control
added later in the year
• Voice capability (vibration, mic and
loudspeaker integrated)
• Curved E-ink display
• Up to 3 days battery life
• Waterproof
• Measures & tracks activity
• Alarm and notifications
• Android smartphone compatibility
SmartBand Talk SWR30
• Voice control and recognition
• Up to 2 days battery life
• Notifications, contextual search, reminder,
travel and weather apps Measures and
tracks activity
• Stores audio files
• Android smartphone compatibility
• Waterproof
• Removable core
• Vibration notifications about
smartphone activity
• Measures and tracks activity and sleep
• Smart alarm
• Android smartphone compatibility
SmartWatch 3 SWR50 SmartBand SWR10
$170 $249 $100

116. Page  116
Microsoft Band: Open platform focused on data gathering
• Microsoft has been late to the wearables space, launching its Band in Oct 2014
• Feb 2015 sees a major update of the wearable and its accompanying Health app,
including voice control and keyboard
• Focus on the data gathered; compatibility with third party provides allows for
convenient syncing with various health analysis apps
• Starbucks has signed up as a partner for the Band to accept mobile payments
• Water-resistant
• Heart Rate monitor
• UV monitor
• Integrated with smartphone to show notifications
• Measuring and tracking health and fitness indicators
• Voice controls
• Mobile payment feature
• 48h battery life
• Works with Microsoft Health app
Microsoft Band
$199

117. Page  117
Nike+: online fitness community ‘fueled‘ by fitness accomplishments
• Significant global online presence through the Nike+ online community and smartphone
apps – 28 million Nike+ members as of 5/2014
• Proprietary Fuel points system tracking performance and movement
• Nike+ running range started in 2006 with the Nike running sensor, connecting wirelessly
to iPod
• In 2014 discontinued FuelBand bracelet and teamed up with Apple to produce a new
wearable
• Continued focus on software, goal to expand the community to 100 million members
from all over the world
• Android and iOS based self-tracking apps
• Water-resistant
• 8h battery life
• Tracks distance, pace, duration of runs
• Captures run laps
• Maps GPS location
• Works with Nike running sensor
• Monitors heart rate
Nike+ SportWatch GPS Nike+ Kinect Training
• Requires Kinect sensor and Xbox 360
(sold separately)
• Tracks workouts
• Smartphone compatibility
• Integrates personal music
• Creates personalized programs and
tracks progress
$149 $39

118. Page  118
Appendix II
Media Reviews

119. Page  119 Source: http://goo.gl/rJn2jp

120. Page  120 Source: http://goo.gl/Ni6Oi

121. Page  121 Source: http://goo.gl/BxQmWs

122. Page  122 Source: http://goo.gl/Y0H92e

123. Page  123
Source: http://goo.gl/RLfQ1q

124. Page  124
Appendix III
Marketing & Advertising

125. Page  125
Samsung
2015 Smartwatch Commercials
Apple
(Click on each video to play)

126. Page  126
Huawei
LG
2015 Wearables Commercials
Fitbit
(Click on each video to play)
Jawbone
Moto
Garmin

127. Page  127
Sony
2015 Wearables Commercials
Pebble
(Click on each video to play)
Microsoft Band ASUS
Misfit
Moov

128. Page  128
Apple Watch Print Ads in Vogue
The Apple Watch made its first magazine
appearance last October (2014) in Vogue China.
The Apple Watch made its U.S. magazine cover debut earlier
this month in the March 2015 issue of Self, and it's also being
featured in a multi-page spread in the March issue of Vogue.

129. Page  129
Google Glass Print Ads in Vogue
In the September 2014 issue, Vogue dedicated all those 12 pages
featuring models wearing Google Glass of various colors.

130. Page  130
Moto Smartwatch Print Ads