Introduction
- Fitbit produces smartwatches, fitness trackers, and accessories (Fitbit, 2018).
- The market is characterized by:
- high competition;
- fast development (Statista, 2016);
- social influences.
- The presentation will seek to:
- explain the marketing environment;
- apply the Buyer Behavior Model to explain buyer behavior;
- propose a marketing promotion mix to improve the success of Fitbit products.
Marketing Environmental Factor 1: Competitive Landscape
- Main competitors include Garmin, Apple, Huawei, and Xiaomi.
- Expedited development of new products.
- Increased bargaining power of buyers.
- Competition influences pricing strategies (Chaudhuri, 2002).
- Fitbit should apply a successful branding strategy and develop competitive advantages.
Marketing Environmental Factor 2: Social Media
- Social media affects the cultural environment.
- Impacts customer needs and expectations regarding product features.
- Creates new marketing opportunities for lifestyle and fitness products:
- Social media advertisement is highly effective in attracting new customers (Akhlagh, Akbari, & Kasani, 2016).
- Advertising with popular social media personas can foster brand awareness (Okazaki & Taylor, 2013).
Marketing Environmental Factor 3: Health and Lifestyle
- Body image ideals are transmitted in the popular media.
- Changes to people’s health and fitness goals.
- Health and lifestyle products gained increased attention and popularity.
- People can also use health and fitness devices for enhancing their social image (Asimakopoulos, Asimakopoulos, & Spillers, 2017).
- Health and lifestyle trends create a positive marketing environment for Fitbit.
Buyer Behavior Model: Situational Influences
- Situational influences are market offerings, demographics, and the complexity of the buying task (Burnett, 2011).
- A lot of market offerings from competitors.
- Moderate complexity of the buying task.
- Fitbit is most popular among people aged 25-40, educated and with medium income.
- Target audience is likely to buy the product with minor hesitation.
Buyer Behavior Model: External Influences
- External influences include culture, social class, and reference groups.
- Cultural environment promotes fitness and health.
- Reference group is rather large and includes young people interested in health and fitness.
- Fitbit is aimed at the upper-middle class, which is shrinking (Schwartz, 2017).
- The company would benefit from a broad marketing campaign that would attract more people from the reference group.
Buyer Behavior Model: Internal Influences and Processes
- Socialization leads people to lead healthy lifestyle and try to become more fit (Eadicicco, 2018).
- Lifestyle and motivation are also internal influences that positively impact purchase decisions.
- External, internal, and situational influence cause people to become interested in the product (Perner, n.d.b).
- A comprehensive marketing strategy could increase brand awareness, leading to purchase.
Communications Channel 1: Digital Marketing
- A promising communications channel for Fitbit.
- Social media are particularly popular among the target audience.
- Digital marketing can target people with specific interests, and is thus cost-effective (Hruska & Maresova, 2018).
- Difficult to choose a suitable platform (Klie, 2011).
- Digital marketing strategy could include SMI ads, direct online ads, and the use of corporate social media profiles (Roy, Datta, & Basu, 2017).
Communications Channel 2: Broadcast Advertising (TV, radio)
- Broadcast advertising is effective as it targets various audiences.
- Choosing a particular time of day or channel can make broadcast advertising more targeted (Sandberg, 1999).
- Negative aspects include high cost and lower cost-effectiveness.
- Viewers tend to switch channels to avoid advertisements (Sandberg, 1999).
- Placing short, visually appealing ads could be useful for Fitbit.
Communications Channel 3: Sales Promotion
- Sales promotions can predict purchase decisions and attract new customers (Genchev & Todorova, 2017).
- Appeal to existing customers thus increasing brand loyalty.
- Not all types of sales promotions are equally effective.
- Only a short-term strategy, no long-term effects.
- Fitbit could use discounts and promo codes to encourage customers to buy its products.
Traditional Media Ad 1: Broadcast Advertising (TV)
- Gaudet (2014) says TV ads should address distinctive product features.
- Tagline: “Your Life. Your Style. Your Move.”.
- No voice-over except for the tagline, upbeat music.
- Small clips of different people with different lifestyles using Fitbit products.
- Portrays versatility of products and appeals to most audiences.
Traditional Media Ad 2: Direct Mail
- Use direct mail to deliver promotional offers to existing customers (Perner, n.d.a).
- Tagline “Like Your Life with Fitbit?”, followed by a promo offer.
- Offer discounts for second purchase, friend referral promo code, etc.
- The back of the flyer could be used to promote new product releases.
- Flyers should feature images of people using Fitbit, a calm background, and a readable font.
Electronic Media
- Fitbit should place advertisements with social media influencers (Khamis, Ang, & Welling, 2016).
- Fitness and lifestyle bloggers are popular among the target audience.
- Tagline: “Life Is Better with Fitbit”.
- A blogger could promote Fitbit in their own words.
- The picture and text should be chosen by the SMI to encourage trust.
Conclusion
- Competition is the main threat to Fitbit’s success.
- Social and cultural influences create a favorable environment for marketing.
- Building brand awareness through advertising would attract more customers.
- Fitbit should use TV, social media, and direct mail ads.
- The proposed promotional mix would help the company to earn a larger market share.
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