People have become conversant with their health status and physical fitness and the leading roles played by the development of technology. Modern marketing, assumed by the Fitbit company, has enabled its target customers to purchase beyond their limits. Advanced techniques such as digital tracking have enabled many users to measure their heartbeat rate, body temperature, location, and the number of steps made in a day. Such devices include wrist wear and those clipped on clothes. To understand how the company manages its competitive strategies, we first need to understand how Fitbit operates and the types of products it releases to the market. Fitbit is one of the best companies in the united states that deals with digital trackers used to predict the number of activities performed by the user. These devices include GPS, music storage, heartbeat rate, and sleeping trackers. The user is provided with an application interface where they can easily track the number of steps and activities performed in a day.
However, the users can examine their daily activities by checking the deviation of their activities from the usual standards, which are 10,000 steps. Furthermore, as the user tries to meet his or her daily target, they discharge the toxins in the body, thus balancing their metabolism. Besides, four leading strategies have enabled Fitbit to remain at the cutting age since 2014. The strategies are but not limited to the product offering, pricing, collaboration, and marketing. In this chapter, we are going to delve deep into the strategy that enabled Fitbit to shine over its competitors such as, Nike and Jawbone.
Pricing Strategies
When the company was created in the year 2007, it first focuses on the pricing of its market product. The first tracking devices for fitness by this company was released in the year 2008. However, the company set its price at $99, which was much lower than any other tracking device ever. The was friendly to the consumers. However, in 2011 Nike and Jawbone’s UP came up with their first tracking device whose price was set at $150 and $130, respectively. Compared to what Fitbit offered, the latter was exonerated. As a result, many customers bought fitness tracking devices from the Fitbit company. In 2013, the company introduced a new tool that changes the game completely. Fitbit launched Flex for $100. Flex had exceptional features compared to Fuel-band and Jawbone’s UP that absorb water. Furthermore, the company released new tracking devices such as Zip and Surge, thus enables their clients to enjoy a variety of choices at a relatively fair price.
Offering New Products
Since the company started, it has been consistently releasing new commodities to the market. Fitbit was the first company to develop wristwatches. The company had identified the gap that existed in the market and always moved faster to bridge it. Consequently, they meet their customer’s demands. Also, the company keeps upgrading their devices every two years. Every new product, Fitbit, offers additional features, thus retaining their customers who keep track of the company products. A better way to understand the additional features in every product of Fitbit is by studying the trend in company production. For instance, the company released the fitness tracking device in 2008. However, the device could not function in water. In 2013, the company introduced Flex with advanced features. The tracker was waterproof, thus guaranteed users with service even below the water surface. Later, the company introduced Zip which could
Marketing Strategies
The company planned to launch its first tracking device in the year 2008. However, due to inadequate support, the plan did not go as expected. Fitbit then restructured their schedule and released the tool a year after. According to the founder CEO Park, they had given a briefing in TechCrunch50 conference regards launching their first device. However, following the financial collapse in the first case, the company stakeholders had to sit down and strategized a new date for the release of the program. In 2014, the company launched its first campaign on the global market. I fact the company Park asserted that the company still plans to venture into the global market to expand its business. The figure below shows the NPD Group and BI intelligence estimates on the company market expansion from 2010 through 2014.