PM ESSAY
MM4772 – Product Management - Individual AssignmentName: Chan Chun KitStudent ID: 12120174d
“New Balance, new style” of running gears –
Bundling data recording Micro SD chips with running shoes
About new featured product
Developing healthy life style through regular running has been popular in Hong Kong, supported not only by government, but also Hong Kong Amateur Athletic Association and other organizations.
09525000
In 2014, the number of participants in Standard Chartered Hong Kong Marathon has boosted to 73000, 73 times more when compared with its start year 1997 (Hong Kong Marathon, 2014), which proved the increased popularity of running. Hence running shoes has its marketing in Hong Kong.
In fact, New Balance has its own running shoes market segment targeting on customers who runs, which mainly focus on technical features like cushioning, stability and lightweight. New Balance also has sports watch market segment in which the products has data recording functions. As not all of the customers can afford buying these two high-involvement products, introducing a data recording Micro SD chips with function of instant running data (distance, calories burnt, time speed and more) being transferred to mobile phones or pads for analysis, inserted in the existing sports shoes hence is possible to enter new market. Customers can enjoy both running data analysis functions after running and the existing physical features of the track shoes to improve their running performance, while New Balance can expand their sports market through this bundled product.
Category attractiveness of running shoes
Aggregated market factors can first be evaluated. For market size, as running is highly supported by government and events like Sport for All Day, setting up hundreds of running routes and organizing regular races, running shoes has large demand by all-level runners or athletics. Also, the combined new shoes can enlarge the product category which explores
“New Balance, new style” of running gears –
Bundling data recording Micro SD chips with running shoes
About new featured product
Developing healthy life style through regular running has been popular in Hong Kong, supported not only by government, but also Hong Kong Amateur Athletic Association and other organizations.
09525000
In 2014, the number of participants in Standard Chartered Hong Kong Marathon has boosted to 73000, 73 times more when compared with its start year 1997 (Hong Kong Marathon, 2014), which proved the increased popularity of running. Hence running shoes has its marketing in Hong Kong.
In fact, New Balance has its own running shoes market segment targeting on customers who runs, which mainly focus on technical features like cushioning, stability and lightweight. New Balance also has sports watch market segment in which the products has data recording functions. As not all of the customers can afford buying these two high-involvement products, introducing a data recording Micro SD chips with function of instant running data (distance, calories burnt, time speed and more) being transferred to mobile phones or pads for analysis, inserted in the existing sports shoes hence is possible to enter new market. Customers can enjoy both running data analysis functions after running and the existing physical features of the track shoes to improve their running performance, while New Balance can expand their sports market through this bundled product.
Category attractiveness of running shoes
Aggregated market factors can first be evaluated. For market size, as running is highly supported by government and events like Sport for All Day, setting up hundreds of running routes and organizing regular races, running shoes has large demand by all-level runners or athletics. Also, the combined new shoes can enlarge the product category which explores