Headphone Market

The global headphone market is expected to experience steady growth over the next eight years, with consumption, production, imports, and exports all showing various trends and patterns. India emerges as a key player in headphone consumption, while China leads in production. The United States dominates in imported headphones, while China is the largest exporter. Prices and values fluctuate across different countries, with overall growth projected for the market as a whole.

Market Forecast

Driven by increasing demand for headphones worldwide, the market is expected to continue an upward consumption trend over the next eight-year period. Market performance is forecast to retain its current trend pattern, expanding with an anticipated CAGR of +2.0% for the period from 2022 to 2030, which is projected to bring the market volume to 6.1B units by the end of 2030.

In value terms, the market is forecast to increase with an anticipated CAGR of +4.1% for the period from 2022 to 2030, which is projected to bring the market value to $88.6B (in nominal prices) by the end of 2030.

Consumption

World Consumption of Headphones

In 2022, approx. 5.2B units of headphones were consumed worldwide; surging by 30% compared with the year before. In general, consumption saw a noticeable increase. Over the period under review, global consumption hit record highs in 2022 and is likely to see steady growth in the near future.

The global headphone market revenue stood at $64.2B in 2022, rising by 11% against the previous year. This figure reflects the total revenues of producers and importers (excluding logistics costs, retail marketing costs, and retailers' margins, which will be included in the final consumer price). Overall, consumption, however, recorded a relatively flat trend pattern. Global consumption peaked at $79.1B in 2014; however, from 2015 to 2022, consumption stood at a somewhat lower figure.

Consumption By Country

India (2.2B units) constituted the country with the largest volume of headphone consumption, comprising approx. 43% of total volume. Moreover, headphone consumption in India exceeded the figures recorded by the second-largest consumer, China (852M units), threefold. The United States (750M units) ranked third in terms of total consumption with a 14% share.

From 2012 to 2022, the average annual growth rate of volume in India totaled +22.1%. In the other countries, the average annual rates were as follows: China (-7.9% per year) and the United States (+8.7% per year).

In value terms, China ($22.3B) led the market, alone. The second position in the ranking was taken by the United States ($8.4B). It was followed by France.

In China, the headphone market declined by an average annual rate of -6.9% over the period from 2012-2022. In the other countries, the average annual rates were as follows: the United States (+16.2% per year) and France (+15.5% per year).

The countries with the highest levels of headphone per capita consumption in 2022 were the United States (2.2 units per person), India (1.6 units per person) and Mexico (1.3 units per person).

From 2012 to 2022, the biggest increases were recorded for India (with a CAGR of +20.8%), while consumption for the other global leaders experienced more modest paces of growth.

Production

World Production of Headphones

In 2022, after two years of decline, there was significant growth in production of headphones, when its volume increased by 11% to 1.6B units. Over the period under review, production, however, recorded a deep slump. The most prominent rate of growth was recorded in 2018 with an increase of 69%. Over the period under review, global production hit record highs at 3.3B units in 2014; however, from 2015 to 2022, production failed to regain momentum.

In value terms, headphone production soared to $61.2B in 2022 estimated in export price. Overall, production, however, showed a slight contraction. The most prominent rate of growth was recorded in 2018 with an increase of 70% against the previous year. Over the period under review, global production attained the peak level at $80.7B in 2014; however, from 2015 to 2022, production remained at a lower figure.

Production By Country

China (779M units) remains the largest headphone producing country worldwide, accounting for 49% of total volume. Moreover, headphone production in China exceeded the figures recorded by the second-largest producer, the United States (337M units), twofold. France (67M units) ranked third in terms of total production with a 4.2% share.

In China, headphone production decreased by an average annual rate of -10.5% over the period from 2012-2022. In the other countries, the average annual rates were as follows: the United States (+86.9% per year) and France (+8.6% per year).

Imports

World Imports of Headphones

In 2022, purchases abroad of headphones increased by 31% to 3.9B units, rising for the seventh consecutive year after three years of decline. Over the period under review, imports showed a strong expansion. As a result, imports reached the peak and are likely to continue growth in the immediate term.

In value terms, headphone imports fell modestly to $23.4B in 2022. Overall, imports saw a prominent increase. The growth pace was the most rapid in 2020 with an increase of 29% against the previous year. Global imports peaked at $23.9B in 2021, and then shrank in the following year.

Imports By Country

India was the key importer of headphones in the world, with the volume of imports accounting for 2.2B units, which was approx. 57% of total imports in 2022. It was distantly followed by the United States (431M units) and Mexico (181M units), together mixing up a 15% share of total imports. China (164M units), the UK (86M units) and Hong Kong SAR (64M units) took a little share of total imports.

India was also the fastest-growing in terms of the headphones imports, with a CAGR of +22.1% from 2012 to 2022. At the same time, Mexico (+9.7%) and the United States (+2.4%) displayed positive paces of growth. The UK experienced a relatively flat trend pattern. By contrast, China (-1.9%) and Hong Kong SAR (-18.9%) illustrated a downward trend over the same period. India (+43 p.p.) significantly strengthened its position in terms of the global imports, while the UK, the United States, China and Hong Kong SAR saw its share reduced by -1.6%, -4.8%, -5% and -22.7% from 2012 to 2022, respectively. The shares of the other countries remained relatively stable throughout the analyzed period.

In value terms, the United States ($6.6B) constitutes the largest market for imported headphones worldwide, comprising 28% of global imports. The second position in the ranking was taken by India ($621M), with a 2.7% share of global imports. It was followed by the UK, with a 2.6% share.

From 2012 to 2022, the average annual growth rate of value in the United States amounted to +15.0%. In the other countries, the average annual rates were as follows: India (+10.7% per year) and the UK (+4.7% per year).

Import Prices By Country

The average headphone import price stood at $5.9 per unit in 2022, with a decrease of -25.3% against the previous year. Overall, import price indicated a pronounced increase from 2012 to 2022: its price increased at an average annual rate of +3.7% over the last decade. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. The most prominent rate of growth was recorded in 2020 an increase of 17%. Over the period under review, average import prices hit record highs at $7.9 per unit in 2021, and then contracted remarkably in the following year.

Prices varied noticeably by country of destination: amid the top importers, the country with the highest price was the United States ($15 per unit), while India ($0.3 per unit) was amongst the lowest.

From 2012 to 2022, the most notable rate of growth in terms of prices was attained by the United States (+12.3%), while the other global leaders experienced more modest paces of growth.

Exports

World Exports of Headphones

In 2022, the amount of headphones exported worldwide dropped remarkably to 359M units, which is down by -19.6% against the year before. Overall, exports saw a deep downturn. The growth pace was the most rapid in 2017 when exports increased by 12% against the previous year. The global exports peaked at 1.2B units in 2012; however, from 2013 to 2022, the exports failed to regain momentum.

In value terms, headphone exports contracted to $15.1B in 2022. In general, exports, however, continue to indicate resilient growth. The pace of growth was the most pronounced in 2020 when exports increased by 17%. Over the period under review, the global exports hit record highs at $17.4B in 2021, and then contracted in the following year.

Exports By Country

In 2022, China (90M units) and Hong Kong SAR (73M units) represented the key exporters of headphonesacross the globe, together creating 46% of total exports. The Netherlands (38M units) held a 10% share (based on physical terms) of total exports, which put it in second place, followed by Vietnam (5.4%) and the United States (4.9%). The following exporters - Belgium (14M units), Germany (13M units), Singapore (10M units), Malaysia (9.8M units), Mexico (9.2M units), Thailand (6.3M units) and Poland (5.7M units) - together made up 19% of total exports.

From 2012 to 2022, the biggest increases were recorded for Poland (with a CAGR of +24.4%), while shipments for the other global leaders experienced more modest paces of growth.

In value terms, China ($4.1B) remains the largest headphone supplier worldwide, comprising 27% of global exports. The second position in the ranking was taken by the Netherlands ($1.5B), with a 9.8% share of global exports. It was followed by Germany, with an 8.4% share.

In China, headphone exports remained relatively stable over the period from 2012-2022. The remaining exporting countries recorded the following average annual rates of exports growth: the Netherlands (+24.8% per year) and Germany (+13.5% per year).

Export Prices By Country

The average headphone export price stood at $42 per unit in 2022, rising by 8.5% against the previous year. Overall, the export price saw strong growth. The growth pace was the most rapid in 2020 an increase of 39%. The global export price peaked in 2022 and is expected to retain growth in years to come.

Prices varied noticeably by country of origin: amid the top suppliers, the country with the highest price was Germany ($95 per unit), while Hong Kong SAR ($15 per unit) was amongst the lowest.

From 2012 to 2022, the most notable rate of growth in terms of prices was attained by China (+21.1%), while the other global leaders experienced more modest paces of growth.

Source: IndexBox Market Intelligence Platform