Case Study Analysis: Fitbit, Inc., in 2017

Running Head: MANAGEMENT 1
Case Study Analysis: Fitbit, Inc., in 2017
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University Name-
06 February 2019

MANAGEMENT 2
Introduction
Fitbit, Inc., was started in 2007, and it’s the largest provider of fitness devices. The
company comes in the health and fitness category, and design its products, which track the
day to day fitness and health.
Discussion 1- PESTEL
Political factors- For Fitbit, there is a stable political environment, as the product is suitable
for health and fitness; a healthy lifestyle can be attained by using Fitbit products.
Economic- this product is economical as people are interested in spending money on fitness.
This product is valuable for sports and health conscious people.
Social- People are getting conscious about their health and want to use products that are good
for their health.
Technological- there are no technological problems, and Fitbit makes use of innovative
technology (Marshall, 2015).
Environmental- Fitbit explore the new sustainable business environment for profitability and
productivity.
Legal- Fitbit follows safety regulations for consumer protection.
Fitbit Business model
The fundamental value proposition behind the Fitbit is that it provides the latest
technologies, which inspire customers to live better, be active and meet their physical goals.
The devices have easy usability and are a disruption for health market, which means two
things are happening all over the world, one is increasing rate of obesity and people are
interested in collecting information to analyse their health (Selke, 2016).

MANAGEMENT 3
Fitbit Generic strategies and how it’s working
Fitbit applies differentiation strategy in three categories; strategic target, which means
everyone is health conscious and fitness enthusiasts. In 2015 and 2016, for six months the
primary metrics of Fitbit was to evaluate the performance, business, create a financial
forecast and take strategic decisions (Brunson & Reed, 2017).
30th June 2015 2nd July 2016
Revenue earned $ 737166 $ 1091884
Net income of Fitbit $ 65678 $ 17376
Adjusted EBITDA $ 179628 $ 93433
Products Sold Out $8234 $ 10515
Fitbit marketing mix as per the case study
Product and Price
 Long battery life of devices
 Convenient brand
 User-friendly devices
Promotion
 Applied only social media advertising
 Depend on word of mouth referral
Place
 Offer staff with Fitbit
 Partner with fitness/gyms/nutritional stores