Fitbit’s Key Issues with ValueMags: Turning it Around

Here are some of the key selling points ValueMags, magazine research, distribution, and marketing company has realized with Fitbit:

  • Products

Fitbit is Catering to serve users with different needs with 4 types of wristband watches like :

1.The basic (Fitbit Flex): simple needs such as tracking only steps, calories, sleeping patterns.

2. The high-end (Fitbit Surge): broader range of functions and included music and notifications.

  • Grouped into 3 categories of “smartness” based on available functions
  • Price ranges from $99.95-$249.95
  • The Fitbit scale (Aria) is priced at $129.95
  • Synched wirelessly with your Fitbit tracker to keep records and show progress
  • Have an app to make accessing progress data easier with an online community: social network
  • Premium option available for a $49.99 annually: digital training and health consulting services
  • SmartTracker

Despite their key selling pints, ValueMags also has a handful of observations that should be of concern to Fitbit. ValueMags is a highly qualified marketing business that has conducted their own analysis of businesses for over the past 20 years.

  • Some view the product as a “fad” with no read opportunity for future development
  • Low gross margins: Just over 40%
  • The technology comes with limited use: You use it for its use and not for anything else. People do not rely on their Fitbit’s like they do their cell phones, once they get over the product there is nothing else to it.
  • 50% of users have become inactive. After six months of receiving the fitbit, half of fitness tracker owners quit using them. Fitbit does not only want to sell their products, but wants them to stay in use.
  • Since 50% of users become inactive, potential investors become concerned and can stop investing.

If you would like ValueMags to do an analysis of your company, visit the link above to contact them today.


Post Author: Michael Crafts'