According to Motley Fool, 2015, Fitbit is undoubtedly the frontrunner in the wearable fitness tracker marketplace, with approximately 70% of the device market share and 85% of the market by dollar value as of Q1 2015. Fitbit declares that its principal strength is that its name has become synonymous with the connected fitness market; in its IPO prospectus, the corporation reported products were a gigantic 85% of the total dollar spent on activity trackers in the initial quarter of 2015, upward from 70% in 2014 and 59% in 2013. (Motley Fool, 2015)
Broad range of connected health and fitness devices. The diverse categories and expense assortments of Fitbit’s products is the corporation's subsequent competitive advantage; although several businesses...
Since Fitbit is easily the marketplace commanding device manufacturer, its devices work on various platforms, such as, Under Armour's Record connected fitness app. Furthermore, Fitbit's open API makes it effortless for other groups to utilize the platform with their own service for still more connectivity and for impending Fitbit sales progression as those software users convert to Fitbit hardware users. (Motley Fool, 2015)
Broad and differentiated go-to-market strategy. Contrasting numerous of their competitors, Fitbit is broadly obtainable not simply in sports attire and fitness retailers but likewise in many other trade stores. Actually, Fitbit products can be located in over 45,000 merchandizing stores and in beyond 50 countries via stores, online sales, and corporate wellness partnerships. (Motley Fool, 2015)
Large and growing community and powerful network effects. The quantity of Fitbit users has increased from just above a million by the conclusion of 2012 to 19 million by the completion of Q1 2015. This momentum supports for sales, and assists in the development of more information for Fitbit to employ as it tracks its user base and determines which characteristics make the most sense for upcoming devices through supplementary comprehensive insights and analysis. (Motley Fool,...
Fitbit strive to exploit the accumulation of data it collects, together with, relationship with its’ operators, to enhanced identification its users' health and fitness objectives, and to subsequently convert those objectives into characteristics and content to assist users in reaching their objectives; such a sizable user foundation is much more effective than other smaller brands. (Motley Fool, 2015)
Although there will undoubtedly be competition, the market appears to be increasing precipitously, analysts from Juniper Research forecast the fitness tracker marketplace will triple in the following three years. Consequently, even though Fitbit may lose a few of its market share to these competitors, it will make substantial profits throughout the subsequent years. From that standpoint, so long as Fitbit maintain these competitive strengths, it will still have adequate opportunity to operate. (Motley Fool, 2015)
6. Identify the target clientele of the competing...
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