Android Smartphone Accessories Driving Retail Growth

Shortly after the recent release of the Samsung Galaxy S3 Melbourne based iWorld released Speck branded covers with the Company set to release covers for both Windows and Android based tablets. 

According to analysts the constant release of new Android based smartphones will drive $20 billion in aftermarket accessory revenues in 2012, accounting for more than half of the $36 billion that all aftermarket handset accessories will produce, according to ABI Research.

Research shows that smartphone owners will also spend more on their accessories than those who own feature phones sililar to what Nokia and Sony are manufacturing.. Smartphone owners will spend an average of $56.18 to accessorise their device while feature phone owners will spend an average of $28.17.

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By 2017, smartphone accessories will grow to $38 billion in revenues, while feature phone accessory revenues decline to $12 billion, it added.

“The increasing penetration of smartphones is driving a shift in accessory design toward smart accessories that drive higher levels of consumer interaction, product value and brand recognition,” said Michael Morgan, devices, applications and content senior analyst.

“For new market entrants, developing brand recognition is paramount in capturing market share from the incumbents. This is best accomplished by the development of engaging, innovative accessories that extend the value proposition of today’s mass-market accessories.”

The difference in spending is driven by a combination of consumers spending more per accessory and purchasing more accessories for smartphones as compared to feature phone owners, said ABI. 

Smartphone accessories are also increasingly purchased to serve as service-delivery tools, whereas feature phone accessories tend to be commodity-type products.

 “As smartphones continue to expand the value of mobile handsets, accessories will need to equally deliver higher levels of product engagement, customization, and predict consumers’ shifting mobility use cases,” said Jeff Orr, practice director, devices, applications and content.