Rumors of Jack-Free iPhone Driving Shift to Bluetooth Headphones, Says NPD

Bluetooth headphone revenue overtook non-Bluetooth for the first time in June, accounting for 54 percent of headphone dollar sales and 17 percent of unit sales in the U.S., said a Thursday NPD report. Revenue in the headphone category rose 7 percent in the first half of 2016, with Bluetooth headphones up 42 percent in dollars, NPD said. The trend is likely to continue as consumers embrace “a wireless future,” said analyst Ben Arnold. “If, as rumored, the headphone jack is removed from the next iPhone, we expect this will continue to drive market share of the Bluetooth category,” Arnold said. Market leaders Beats and LG got 65 percent of dollar sales in the first half, followed by Bose, Jaybird and Skullcandy, it said. Bluetooth headphone sales have gotten a boost from dropping average selling prices, coming in 5 percent below those of first half 2015, it said. Promotions have helped fuel sales, said Arnold, as nearly 30 percent of Bluetooth headphones sold from January through June came in at less than or equal to $50 vs.16 percent in first half 2015.