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Drone Market Competition

Shanghai, China - October 30, 2015 - According to a new market research report entitled "The World Market for Drones - 2015 Edition" recently published by Innova Research, 57.0% of the world drone market revenue was taken by the top three drone players in 2014. DJI was ranked the no.1 drone supplier, took an estimated 45.0% of the global drone market revenue in 2014. It was followed by Parrot and 3D Robots, estimated to take 8.0% and 4.0% revenue shares, respectively, in the same year.


Currently, most of the revenues of the top three drone suppliers were from the consumer drone segment, in which they already built completed supply chains, strong R&D capabilities, and brand awareness. However, the dominance of the top three will face strong challenges from hundreds of new entrants. These new entrants include big names such as Google, Amazon, and Alibaba, as well as a large number of smaller drone technology developers. Generally speaking, many of the IT and Internet giants develop their drones as the future data entrances, and therefore most of them focus on commercial drone segment. On the other hand, smaller companies tend to develop consumer drone models as the technology barrier for developing consumer drone models is relatively low.


The fierce competition from hundreds of new entrants will drive down the average selling prices rapidly in the next few years, and consumer drone will soon become a commodity. Richard Jun Li, Vice President of Innova Research commented:" Although consumer drone segment is larger than the commercial drone segment at present in terms of market revenue, investors and industry players seeking opportunities to enter the drone industry should aware the increasingly fierce competition in the consumer drone segment. They are suggested to seek investment targets or technology partners at the commercial drone segment, which has higher technology barrier. Moreover, the commercial drone segment is forecast to overtake the consumer drone segment in terms of market revenue in 2019".


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