Fitbit branding campaign

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Final Branding Campaign Madde Jordan, Addison Wolf, Brianna Beitzel, Tara Davis and Carly Harshbarger Journalism 355

Transcript of Fitbit branding campaign

Page 1: Fitbit branding campaign

Final Branding Campaign Madde Jordan, Addison Wolf, Brianna Beitzel,

Tara Davis and Carly Harshbarger Journalism 355

Page 2: Fitbit branding campaign

Table of Contents

Table of Contents 2 Introduction 3 Situation Analysis 3

Company Analysis 3 Product Analysis 4 Market Analysis 4 Consumer Analysis 5 Competitor Analysis 6

SWOT Analysis 7 Issue Identification 9 Campaign Objectives 9 Target Audience Segmentation 10

Demographic Segmentation 10 Psychographic Segmentation 10 Geographic Segmentation 10 Behavioristic Segmentation 11

Justification of Selected Target Audience 11 Research on Target Audience 11 Campaign Tactics 12

Strategies 12 Creative Brief 14

Objectives 14 Benefits of Product 14 Target Audience 14 Brand Personality 15 Brand Perception 15 Brand Positioning 15 Tone 15 Message 16

Media Planning 16 Media Objective and Strategy 16 Media Schedule 17

Advertising Examples Conclusion 19

Works Cited 20

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Introduction Fitbit, an American company known for its activity trackers, has become a well

recognized brand to consumers. The Fitbit products share the company name and include

different activity trackers that measure steps, calories burned, and deep sleep cycles. We have

selected the Fitbit brand because of the current popularity surrounding activity trackers and the

ability to improve their consumer perception and increase overall sales.

Situation Analysis

Company Analysis

Fitbit was built around the idea that fitness is not just gym time, it’s all of the time. This

philosophy tells consumers that every step they take is improving their fitness inside and outside

of the gym. Fitbit’s mission statement is, “To empower and inspire you to live a healthier, more

active life. We design products and experiences that fit seamlessly into your life so you can

achieve your healthy and fitness goals, whatever they may be” (Fitbit.com, 2016) This gives the

fitness tracker customer base a sense that they are buying a product from a company whose main

goal is not to make money, but to help achieve a healthier and more active life. While Fitbit has

historically been a consumer brand, in February of 2016, they rolled out their digital healthcare

strategy (Brohan, 2016). This healthcare strategy would make Fitbit a digital and mobile

healthcare platform within the corporate world. Essentially, for a subscription fee companies

would gain access to their employee’s health information through data provided by Fitbit.

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Product Analysis

The brand is passionate about health and fitness, which is the sole reason for their many

Fitbit products. The first Fitbit product was launched in 2009 as a wearable tracker device you

could clip onto your clothes. Their first product was successful, but they knew in order to reach a

larger market, they needed to pair with larger partners such as Best Buy to gain more customers.

In a feature on Fitbit on the website Wearables, Gary Marshall said, “One of the reasons

for Fitbit’s ongoing success is its investment in new models.” Fitbit has continued to release new

models, which has increased their product line. Fitbit has seven different products that fit into

three different categories: everyday fitness, active fitness and performance fitness. The everyday

fitness line focuses on steps throughout the day and it also tracks your sleep. The active fitness

line focuses on steps, sleep, tracking heart rate, different fitness modes, breathing and GPS.

Lastly, the performance fitness line includes all of the above in a more fashionable way. The

performance fitness line is very similar to the Apple Watch, however Fitbit seems to have more

success in the market.

Market Analysis

The wearable technology market is on the rise, especially when it comes to fitness

tracking. Due to the fact that Americans want to live healthier lifestyles, wearable technology

makes it easier for us to live healthier and track our progress without having to carry around a

phone while being active. According to the 2015 Mintel Report, Wearable Technology , “Sales of

fitness trackers are estimated to be reaching nearly $4 billion, thrusting forward based on higher

volumes of sales, the ability of segment leader Fitbit to make gains, and products that are

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continually being provided with new features such as stress monitoring and social media

notifications.” In other words, the market growth and potential is increasing as wearables for

fitness are becoming more innovative. As stated in the 2015 Mintel report, sales will continue to

quickly rise into the year 2016 to exceed $7 million. This growth will apply to other technology

such as smartwatches and wearable cameras. Additionally, Fitbit holds a 25% market share

making them leaders in the fitness tracker wearable market.

Due to the quick rise in sales, fitness trackers are now hitting the maturity phase in the

market, but will still see growth with new innovations to the technology. Music streaming is

likely to be a development in this technology, since it would make the technology more

convenient while being active. Additionally, possibilities for different styles and more brands

will enhance the competitive environment of the wearable and fitness tracker market. Overall,

the wearable technology is an emerging trend that is not going away, but developing at a fast

pace.

Consumer Analysis

Fitbit has maintained a healthy and active appeal to consumers. Fitbit’s current

consumers include women and men ages 18-34. Fitbit consumers are active, or trying to become

healthier. However, the average consumer is between 18-34 years old. According to a study done

by Mintel, “Young adults from households with household incomes above $75K show elevated

adoption.” The study also claims, “those age 18-34 from mid- to higher-income households are

three times as likely as all respondents to own a smartwatch or GPS watch, as well as heavy

levels of over indexing on fitness bands, the Apple Watch, the Samsung Gear smartwatch, GPS

watches, and wearable cameras.”

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These individuals are young professionals and have a disposable income. The consumers

are middle class and are trying to live a healthy and happy lifestyle and the average consumer is

female. According to Mintel, “ When it comes to fitness tech ownership, women are already

ahead of men, with 14% of women owning a tracking device, as compared to 10% of men”

(2016). Consumers living in Suburban areas are targeted consumers. According to the Fitbit

Website 70% of consumers walk for fitness (2016). Fitbit consumers lead busy lives and are

typically on the go and are looking to improve their health or maintain their health. With that

being said, they look for simpler solutions,like a fitness tracker, to help them stay updated

throughout their busy days.

Competitor Analysis

Despite having the largest market share in the industry, Fitbit faces many competitors in

the wearable technology market and even more specifically, the fitness tracker market.

According to the 2015 Mintel Report, Fitbit’s competitors in the wearable technology market

include Apple, Xaomi, Samsung, and GoPro. In the fitness tracker market, their competitors

include Garmin, Misfit, and Jawbone. Altogether, Fitbit’s top competitors are Apple, Garmin,

and Samsung (Hulkower, 2015). Below is a breakdown of their strengths, weaknesses, and

market share.

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Strengths Weaknesses Market Share

Apple ● Is a part of the apple ecosystem

● Continuously updates bands to keep the product relevant

● Includes GPS and is water resistant

● Extremely high price at $350

● Smartwatch is completely dependant on iPhone

7%

Garmin ● Known for strength of wristbands

● Appeals to golfers and runners

● Generally inexpensive (price can be as low as $60)

● Low price implies low quality

● Overshadowed by brand name of FitBit

● Has not found a way to make themselves unique

6.9%

Samsung ● Easy to remove band ● Excellent battery life ● Made to look like an

actual watch

● Low market share ● Awkward way of charging

device ● Expensive price for

appearance of product

1%

SWOT Analysis

Strengths

Fitbit launched its first product in 2009 and has rapidly grown to become one of the top

competitors in the US fitness trackers market. Fitbit was ranked on top in Time Magazine’s

article, “26 Fitness Trackers Ranked From Worst to First” (Taylor, 2014). Fitbit has a strong

brand presence in the United States and on social media. In 2015, Fitbit ranked among older

brands such as Nike in the article, “9 Brands with Brilliant Facebook Marketing”, where Fitbit

was praised for less of their products and focused on actually promoting healthy lifestyle tips

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(Speier, 2015). Fitbit trackers measure are able to measure steps, heart rate, stairs climbed,

calories burned and even deep sleep.

Additionally, Fitbit is paired with well known designer Tory Burch, creating fashionable

bracelets that conceal the fitness tracker (wareable.com, 2016).

Weaknesses

Fitbits weakness is their lack of fitness/health credibility. According to the article,

“Fitness Trackers are Long on Hype, Short on Credibility”, the author suggests that has not been

scientific exploration of whether fitness trackers work like they should (Hernandez, 2013).

Additionally, a majority of the Fitbit trackers are not waterproof, a feature that is a deciding

factor for many athletes.

Additionally, the look of a Fitbit is not as fashionable as some wearers may like. The

bracelets can be rather bulky. Further, consumers are unaware that Fitbit is paired with Tory

Burch, a fashion designer, to create bracelets to conceal the fitness tracker. This could be

important information to take into consideration for the brand if they want to change this

unnattractive image

Opportunities

As mentioned before, Fitbit is partnered with Tory Burch, however this is not well known

among consumers. An opportunity for FitBit would be to highlight this in their advertising. By

pairing with a fashion conglomerate, consumers will always have a need for Fitbit due to its

up-to-date style.

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Threats

There is criticism regarding the accuracy of the information provided by Fitbit fitness

trackers. They have had to encounter the law due to inaccurate reading for the heart monitors.

Additionally, the competitors in the fitness wearable market include Nike+, Jawbone, and

Garmin. These fitness tracker could potentially be more accurate, making consumers consider

these other competitors.This could potentially be an issue because consumers will be less

inclined to purchase fitbit with this negative image.

Issue Identification

After conducting our situation and SWOT analysis, a major issue for Fitbit is that they

are not known for being partnered with designers. They are also not known for being an

attractive accessory to wear all of the time. Knowing this issue, we need to brand ourselves as

one of the the fitness trackers that is trendy and fashion forward. This can potentially put us

ahead of our other competitors with this trendy image. Consumers will be more inclined to

purchase fitbit if it is has a more fashionable image and associated with other trendy brands.

Campaign Objectives

In this year-long campaign we hope to change consumer’s perception of Fitbit. We want

them to realize how trendy and fashionable the wearable technology can be. We hope to increase

sales by 7% over one year. By pairing with Tory Burch, this should be able to attract a larger

audience and create a demand. With that being said, we hope to have Fitbit in 100 of the 180

Tory Burch stores nationwide by the end of the year-long campaign. Given the location of our

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target audience, there needs to be locations near large cities in order to purchase the Tory Burch

Fitbit bracelets and accessories. Additionally, we hope to increase our social media followings

by 10% within the first 8 months. Our target consumer is up-to-date on social media and we hope

to attract them through the social platforms that they already use (i.e instagram, pinterest, etc.).

Target Audience Segmentation

Demographic Segmentation

Demographically, the target audience of our campaign is women ages 25-44 with

upper-mid income levels, college degrees, and management/professional employment levels.

These women currently are in the young and single, newlyweds or new family stages of the

family life cycle.

Psychographic Segmentation

The campaign will target two Nielsen PRIZM segments: Up-and-Comers and Upward

Bound. Up-and-Comers are interested in travel, the latest technology, athletic lifestyles and late

night entertainment. Those in the Upward Bound segment are very similar in that they are

interested in yoga, technology, shopping online and international travel. Both of these segments

fit well into the Experiencer type of the VALS assessment. Experiencers are up on the latest

fashions, want everything, are the first in trends, are sociable and love physical activity.

Targeting Experiencers will fit the brand image of FitBit.

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Geographic Segmentation

Geographically, our campaign will be nationwide but specifically target those who are

residents of second cities and the suburban and metropolitan areas of larger cities.

Behavioristic Segmentation

In terms of benefits sought, Fitbit will target those who seek not just a healthy lifestyle,

but a trendy and fashionable one as well. More specifically, FitBit will target those who are tired

of the boring, clunky look of most fitness-tracking wearables. In terms of user status, FitBit will

target potential and regular users of fitness-tracking wearables. The potential users mentioned are

not yet users because they have not yet been exposed to a fitness-tracking wearable that would

meet their trend and fashion standards. Regular users will also be targeted because with the

added appeal of a trendy and fashionable product, those already loyal to FitBit may be interested

and those loyal to competitors may become switchers and switch to FitBit.

Justification of Selected Target Audience

FitBit should target women ages 25-44 with upper-mid income levels, college degrees,

and management/professional employment levels who are Experiencers and interested in

technology, fashion, trends, and athletic lifestyles. Targeting this group will be key because it

will help in positioning FitBit as a quality, trendy, fashionable fitness-tracking wearable. Though

this, FitBit will meet the pre-existing needs of those selected.

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Research on Target Audience

Women ages 25-44 in Media:

● 25-34 use all social media sites, but Snapchat, Instagram and Pinterest rank the highest.

● 35-44 are highest in LinkedIn users. “Reaching women in this age group on Pinterest

would be beneficial for marketers.”

Women ages 25-44 Health:

● According to MetLife and research by the CDC, 68.6% of women are in “Excellent/Very

Good” health, 23.9% have “Good” health and 7.4% have “Fair/Poor” health.

Women ages 25-44 Physical Activity:

● In Women’s Health 2010, women 18-24 and 25-44 were more likely to engage in

adequate physical activity

● White women were more likely to report adequate physical activity than non-Hispanic

Black or Hispanic women

Campaign Tactics

Strategies

Our strategies will be used in a way to attract our target consumer. One tactic is to use

billboards. Our target audience leads a busy life and are traveling to and from work. That being

said, a billboard will be noticed on their commutes. Additionally, social media platforms such as

Pinterest, Instagram and Snapchat will be used. Our consumer is aware of current trends and

social media will be observed. Additionally, social media will be at the audience’s fingertips

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since they have computers and cell phones on themselves at all times of the day. These methods

will help us with our objective to increase sales by 7% because consumers will be exposed to the

product daily.

On top of these tactics, we will also use influencer marketing strategies. Kayla Itsines is

famous for her “Sweat with Kayla” workout events as well as her “Bikini Beach Body Guide.”

Kayla has over 1 million Instagram followers, which makes her a great choice for a social media

influencer due to the fact she has a wide reach. Kayla Itsines’ target market coincides with our

target market, which is why we believe this is an effective tactic for our branding campaign.

Kayla is a fitness guru and influencer who travels to major cities around the world and hosts

workout events with women, called “Sweat with Kayla.” Fitbit will also sponsor these events

because the workouts are targeted to the women in our target audience.

At the event, we will give free Tori Burch Fitbit apparel to the first 10 people in line. We

will also have posters and information on the wearable technology at the workout event.The

women in our target audience are active and trendy and they are likely to follow Kayla on social

media and attend her workout events. This will also help with our objective to increase Fitbit

social media following by 10%. We will use Kayla Itsines as an influencer to Fitbit through our

social media platforms where she will promote FitBit. On her social media, she will be featured

wearing the Tory Burch Fitbit apparel and it will influence customers because they will see that a

popular workout figure is using the products.

By pairing with Tory Burch, Fitbit consumers will always feel the need to be trendy and

up-to-date with their fashion accessories. Tory Burch is a name brand fashion company with 180

stores nationwide. The Tory Burch Logo is easily identifiable and the premium brand is worn by

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our target audience. With that being said, consumers will always want to be wearing the latest

Tory Burch accessories and they will be able to stay up-to-date. Pairing with Tory Burch will

allow our consumers to feel trendy while being active.

Additionally, we will advertise in magazines such as Shape and Vogue. Shape and Vogue

have an average audience age of 18-49, which correlates with our specified target audience.

Shape was chosen in order to attract our physically active consumers, whereas Vogue will attract

the consumers who are looking for fashion forward accessories. Vogue is a high end fashion

magazine and Shape gives workout tips, workout fashion ideas, and health ideas. Due to the fact

that these magazines are different, they will attract consumers who like the style of Tory Burch

or the health aspect of Fitbit. The magazines promote health and fashion which will attract

readers to the product.

Finally, Fitbit will sponsor Color Runs. Our target audience attends Color-Run events and

the races promote a healthy lifestyle which is why Fitbit would be a great fit for these

sponsorships. Color-Run events are attended by groups of women who fall into our target

audience. At the color runs, we will have posters featuring fitbit and a booth to order the Tory

Burch Fitbit apparel. Finally, we will give a free Tory Burch Fitbit to the top 10 finishers of the

Color Run race. This will be a great opportunity for Fitbit to reach the specified target audience

and help change the perception of our brand.

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Creative Brief

Objectives

We want to make consumers understand that Fitbit is not only a reliable watch, but it is a

wearable fitness tracker accessory that is trendy and fashionable enough to wear on daily basis or

on any occasion. We hope to change the perception of our target audience, which sees fitbit as a

watch that is not very fashionable and tired of the boring, clunky look of most fitness tracking

wearables. With this in mind, we want the Fitbit to uphold an image that their product is trendy,

but still a reliable fitness tracker for anyone to use.

Benefits of Product

● Better battery life

● Prestigious, modern image

● Fashionable and trendy product aesthetic that can be seen as very high end

● Aids in motivation for a healthier lifestyle

● Reliable fitness tracker

Target Audience

Our target audience are women ages 25-44 with upper-mid income levels, college

degrees, and management/professional employment levels. These women are in the young and

single, newlyweds or new family stages of the family life cycle. Typically, they are residents of

second cities and the suburban and metropolitan areas of larger cities. More specifically, our

target are those who seek not just a healthy lifestyle, but a trendy and fashionable one as well.

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Brand Personality

Fitbit fitness trackers have a brand personality that is trendy, fashionable, high-end,

sophisticated, and modern.

Brand Perception

High quality, unique and popular fitness tracker that can be used by anyone to maintain

and promote a healthier lifestyle while still upholding the image of a trendy, fashion statement

for everyday wear.

Brand Positioning

Fitbit is positioned as one of the leading every day fitness tracker brands with a more

modern, fashionable, attractive and high quality image compared to its competitors.

Tone

The tone of this message will appeal to the target audience's self esteem needs. This will

play on the fact that women want to uphold a confident, trendy and fashionable image.

Additionally, we want our consumers to feel like this product is a signal of quality. In other

words, you want to wear this product because it will make you look cool, fashionable and

modern.

Message

Fitbit is not only a reliable fitness tracker, but a more trendy and fashionable wearable

compared to its competitors. We want to convey the message that we are more fashionable and

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can be worn on a daily basis or on any occasion, with any outfit.

Media Planning

Media Objective and Strategy Target Audience

The objective concerning target audience is to reach the target market (women ages

25-44 with upper-mid income levels and athletic and trendy lifestyles) in the most effective

manner. This will be accomplished by the strategy of purchasing a mix media that includes social

media, influencer marketing, print, out of home and sponsorships.

Geographic Considerations

Keeping geographics in mind, an objective of the campaign is to target top areas in the

United States where high concentrations of the target market are living. The strategy to fulfill

this will be to target the DMAs of second cities and the suburban and metropolitan areas of

larger cities.

Seasonality

In terms of seasonality, the campaign will strive to increase media reach and exposure at

the time of year when (1) consumers are striving to be more physically active and (2) when

consumption increases as a result of the holiday season. This objective will be possible through a

media strategy that involves heavy-up advertising January through February, May through

August and then again in November and December.

Scheduling

The scheduling objective of the campaign is to maintain constant advertising with

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heavy-up in select months as detailed above. The strategy for this will make use of a pulsing

scheduling method.

Creative Implications

Creatively the objective of this campaign is to emphasize a trendy and fashionable yet

athletic brand image. The media strategy to accomplish this will require the purchase of media

and vehicles that have the potential to possess both a sense fashion and a sense of athleticism.

Media Schedule

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Advertising Examples Magazine

Billboard

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Conclusion

Overall, we feel that this campaign can increase the sales for Fitbit and also increase their

image as a trendy and fashionable wearable. We believe that our strategies will be able to meet

our objectives and improve the overall branding sales. These strategies will aid Fitbit both now,

and in the future. Be fit, stay fab.

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Works Cited

Ben Taylor. (2014, January 9). 26 Fitness Trackers Ranked from Worst to First. Retrieved from

http://time.com/516/26-fitness-trackers-ranked-from-worst-to-first/ Daniela Hernandez. (2013, January 22). Fitness Trackers Are Long On Hype, Short On

Credibility.Retreived from https://www.wired.com/2013/01/fitness-trackers-data/ Fitbit. (2016, November 29). Retrieved from http://www.fitbit.com/home Fitbit Health & Activity Index. (2016, November 29). Retrieved from

https://www.fitbit.com/activity-index Gufstofson,Krystina. (2015, January 7). Smartwatch or Fitness Tracker?. Retreived from

http://www.cnbc.com/2015/01/07/smartwatch-or-fitness-tracker-why-age-sex-matter.html Hulkower, Billy. (2015 December). Wearable Technology - US. Retrieved from Mintel database Kim Speier. (2015, January 27). 9 Brands with Brilliant Facebook Marketing. Retrieved from

http://blog.hubspot.com/marketing/facebook-marketing-examples#sm.001ptyzcb14ucd o8u0m1dhd3915j2

Marshall, Gary. (2016, September 9). The story of Fitbit. Retrieved from

http://www.wareable.com/fitbit/youre-fitbit-and-you-know-it-how-a-wooden-box-became-a-dollar-4-billion-company

MetLife Demographic Profile. Retrieved from

https://www.metlife.com/assets/cao/mmi/publications/Profiles/mmi-gen-y-demographic-profile.pdf

Nielsen My Best Segments. Retrieved from

https://segmentationsolutions.nielsen.com/mybestsegments/Default.jsp?ID=30&menuOption=segmentdetails&id1=CLA.PZP&prevSegID=CLA.PNE&filterstate=&sortby=segment_code

Noble, Olivia. (2016, June 18). Social Network Demographics: Know Your Audience. Retrieved from http://slicecommunications.com/social-network-demographics-know-your-audience/

Women’s Health Magazine. (2010). Retrieved from http://mchb.hrsa.gov/whusa10/pdfs/w08hshb.pdf