Active Noise Cancelling (ANC) Headphones Market - Global Outlook and Forecast 2019-2024

INDUSTRY INSIGHTS

The growing awareness against NIHLis expected to increase the demand for active noise cancelling headphones among individual consumers

The ANC headphones market size will reach USD 9 billion by 2024, growing at a CAGR of 14% during 2018-2024. Noise cancellation and strong wireless connectivity in consumer and professional earphones and headphones have emerged as the two most prolific advancements in audio technology. The growing acceptance of smart wearables such as wireless headphones with active noise canceling augmented hearing, and increased control over ambient sounds is propelling the demand for active noise cancelling headphones. High-selling active noise cancelling headphones are equipped with advanced features such as biometric monitoring, augmented hearing, and ambient noise control capability.

The rise in Tinnitus, a common hearing disorder, which is caused due to continuous exposure to noise and hazardous sound levels in the professional setting, is increasing the adoption of active noise cancelling headphones. Noise-canceling headphones use electronic circuitry to mitigate external sounds, thereby enabling the user to consume audio at low levels. Hence, the rise in hearing disorders is increasing awareness against NIHL (Noise-induced hearing loss), which is expected to increase the demand for active noise cancelling headphones among individual consumers during the forecast period.

The growing market for fitness clubs is expected to drive the growth of the global wireless headphones market. The rising memberships at fitness clubs will undoubtedly drive the demand for earphones and headphones globally, especially for wireless active noise cancelling headphones as they allow the user to tune out from distractions while enjoying their audio and offering full control over sound allowance and ambient noises.

Further, the increasing number of smartphone and tech-savvy population, the transition to hearable in the connected environment, and the adoption of advanced sound and audio technology for product enhancement and technological innovations are expected to drive the ANC headphones market by 2024.

ANC HEADPHONES MARKET: SEGMENTATION

This market research report includes detailed market segmentation by

• Product Types
• Price Range
• Distribution Channel
• Geography

ANC HEADPHONES MARKET: PRODUCT TYPES 

Over-ear headphones are expected to witness steady growth due to advancements in the manufacturing process and audio technology

The ability of over-ear headphones to reduce the external noise, which helps to increase sound experience, is a major growth driver for the segment. Over-ear headphones come to high-fidelity sound and active noise cancellation feature, which is creating a lot of buzz in the global headphones market. Also, over-ear headphones are expected to witness steady growth during the forecast period due to advancements in their manufacturing process and audio technology.

In-ear active noise cancelling headphones, on the other hand, are likely to witness traction during the forecast period. These headphones are lightweight, portability, feature-rich and convenient, which is increasing their demand, particularly in emerging countries. However, a major reason for the high market penetration of these headphones is their cost-efficiency. Further, the increased adoption of in-ear sports headphones athletes and music enthusiasts is another factor for the high application of in-ear headphones.

ANC HEADPHONES MARKET: PRICE RANGE 

The increased adoption of low-range headphones in developing countries is likely to increase revenues of the low-range segment

As premium-range vendors are integrating hi-tech functionalities such as augmented hearing and speech amplification in their headphones, the market for these headphones is limited. The adoption of the latest innovations and technological advancements is driving the segment. North America is the largest market for premium-range ANC headphones.

Vendors are operating in the medium segment offer tap/touch controls and earbuds, which can be used to activate voice assistants such as Siri and Google. These headphones offer better voice quality and playback time than low-range models. However, the availability of counterfeit products is likely to decrease the share of this segment during the forecast period.

The market for low-range ANC headphones is witnessing a gradual decline and stagnation. However, the increased adoption of low-range headphones in developing countries is expected to drive the revenue of the segment. Further, the advent of smart ANC headphones will adversely affect the sale of low-range ANC headphones during the forecast period.

ANC HEADPHONES MARKET: DISTRIBUTION CHANNEL

The retail segment is likely to face intense competition from the online segment during the forecast period

The traditional retail segment has faced strong competition from the online segment due to the growing internet penetration. Conventional speaker manufacturers and other electronic device vendors in the market are likely to increase the visibility of their devices in-store shelves across the world. Many retail players such as Walmart, Costco, Sears, Home Depot, Best Buy, and Target have started to stock and showcase these products in their retail outlets. However, the online segment of the market is witnessing high traction from the US and other European countries, particularly Germany and the UK. The retail segment accounted for the highest market revenue to the global ANC headphones market in 2018.

ANC HEADPHONES MARKET: GEOGRAPHY 

Emerging economies are expected to witness promising demand for premium headphones during the forecast period

North America is leading the ANC headphones market. A high number of millennials with the growing inclination toward smartphones is positively affecting the market in the region. The European region is witnessing a surge in the use of true wireless and sports models. Several developed countries are adopting smart headphones with add-on functionalities such as active noise cancellation, augmented hearing, and higher control over ambient sounds. Emerging markets such as India, Nigeria, Kenya, and several other Asian countries have witnessed an unexpected growth in the demand for premium headphones, which can be attributed to the rising disposable income. Further, Latin America is witnessing the increasing popularity of online streaming services due to the increased number of smartphones and improved internet connectivity.

KEY VENDOR ANALYSIS

The increasing penetration of smartphones and connected mobile phones is driving the demand for active noise cancelling headphones worldwide. Vendors are incorporating several smart and intelligent features in their products, which is affecting the global sale of ANC headphones. There is a high demand for entry-level smart products in developing countries, which is currently fulfilled by local manufacturers. There is also significant demand for specialized, high-end, better sound quality active noise cancelling headphones, which is met by global brands such as Bose, Sony, Beats, JBL, AKG, and Sennheiser. The introduction of true wireless models is also a major trend witnessed in the ANC headphones market.

The ANC headphones market research report includes in-depth coverage of the industry analysis with revenue and forecast insights for the following segments: