Amazon Takes Top Spot in Smart Speaker Sales in Q2 2018 Says Strategy Analytics, but Google Home Mini Was top Device
Strategy Analytics reports that Google Home Mini was the top selling smart speaker globally in Q2 2018, narrowly edging out Amazon Echo Dot by 100,000 units, 2.3 million to 2.2 million device sales respectively. Amazon Echo held the third spot with 1.4 million devices and Google Home and Alibaba’s Tmall Genie tied for fourth with 800,000 units each. Other manufacturers combined accounted for 4.3 million in smart speaker device sales in the quarter.
Amazon Edges Out Google in Total Smart Speaker Sales
If you parse the data, the real story is that Amazon was the top smart speaker seller worldwide in the quarter. Combining the product data show that Amazon sold 3.6 million units compared to Google’s 3.1 million and captured approximately 30% of global smart speaker sales in Q2 2018 to 26-27% for Google.
This news comes after two consecutive quarters where rival analyst firm Canalys reported that Google outsold Amazon in worldwide smart speaker sales. That report suggested Google’s total share of smart speaker sales in Q2 2108 was 32.3% compared to 24.5% for Amazon. So, these data points are in conflict.
The firms have different methodologies and contacts, but both primarily consult supply chain component sales data in their analysis. Strategy Analytics has told Voicebot in the past that it also consults consumer survey data as a check in the estimates so that may be creating a wider gulf in the competing analyses. In addition, Strategy Analytics reports only on a subset of countries, so it could be that Canalys is capturing additional data that is all going Google’s way. Indeed, Canalys data show 5 million more smart speakers sold in the quarter than Strategy Analytics . You will have to make your own decision on which numbers to follow. Both show growth. The key difference is how much growth, in which markets and for which manufacturers.
Apple Captures 6% Share and Most Revenue
Another interesting point made by Strategy Analytics is that Apple HomePod captured only 6% of global smart speaker sales in the quarter, but took in the most revenue due to the high price point. Voicebot earlier reported a similar estimate that Apple’s low market share was likely offset by large revenue share. David Watkins, director of Strategy Analytics’ Smart Speaker service commented:
“Unsurprisingly, Amazon and Google models dominated the best-selling list of smart speakers in Q2 2018. The Google Home Mini and Amazon Echo Dot accounted for a combined 38% of global shipments although they contributed just 17% towards the value of the market due to their low price. Apple on the other hand has focused its smart speaker efforts at the premium end of the market, promoting the HomePod’s audio prowess ahead of the device’s voice control capabilities. Apple took a 6% share of shipments in Q2 2018 but it is the market leader in terms of revenue with 16% share and holds a dominate 70% share of the small but growing $200+ premium price band”.
That means the revenue generated from all of the Echo Dots and Google Home Minis narrowly edged out the revenue of HomePod during the quarter despite capturing about three times more device sales. There are some benefits to being the leader in the premium smart speaker segment.