Principles of Marketing: Apple iWatch and Fitbit Analysis

This report provides a comprehensive evaluation of the marketing strategies employed by Apple iWatch and Fitbit, focusing on the application of the four Ps of the marketing mix: product, price, place, and promotion. The analysis begins with an introduction to marketing principles and the competitive landscape of the smartwatch market, highlighting the key features and target markets of both companies. The main body of the report delves into a detailed comparison of Apple iWatch and Fitbit, examining their target customer profiles based on the Mintel Report, product design using Levitt's Model, Aaker's Brand Personality, pricing strategies, distribution channels, and promotional activities. The report concludes by summarizing the key findings and offering insights into the effectiveness of each company's marketing approach, considering their strengths, weaknesses, and competitive advantages. The report utilizes secondary data from various sources, including industry reports, academic journals, and online resources to support its analysis.

Principles
of
Marketing

Executive Summary
This report is provides the evaluation and different source of analysis for related with
marketing factor on the basis of four Ps of marketing mix and effective outcomes. To determine
secondary analysis in which required of data is collected and interpreted from selective sources.
Overall findings are evaluated through marketing mix there are certain advantages optimised for
company, as comparison between their product with other competitive brand. The disadvantages
related with product reliability related are stronger from different brands.

Table of Contents
INTRODUCTION...........................................................................................................................1
MAIN BODY...................................................................................................................................1
Comparison between two companies in related to marketing mix by selective company..........1
CONCLUSION................................................................................................................................6
REFERENCES................................................................................................................................8
.........................................................................................................................................................8

INTRODUCTION
Marketing is a procedure of selling, manufacturing, buying and promoting the product
and services. Principles of marketing derives about the strategical approach where leader or
manager utilise to create path in which products can be promoted and gaining of competitive
advantages (Dajun and Xuanyi., 2017.). According to the four Ps of marketing mix helps to
analyse about scope and challenges of company's specification on basis product and services.
In this report the organisation consider Apple iWatch, it is an American multinational
technology company from which the headquarter in Cupertino, California. Other venture Fitbit
watches an American based consumer oriented electronic and fitness company headquarter in
San Francisco, California. As in report the topic covers the marketing mix with Four Ps of
selected companies (Dodson,, 2016).
MAIN BODY.
Comparison between two companies in related to marketing mix by selective company.
The concept of marketing mix refers combination of action or effective strategies by
company company which assorted for advertising a brand in market. Further more, the
framework of Four Ps such as product, price, place and promotion helps to gain competitive
advantages. Apart from it, marketing mix assort with a motive for accomplish marketing
objectives.
Four Ps of Marketing elaborates below: Product: It refers to goods and services which offers by the company to consumer. Price : The value of product which is payable by consumer. Place: Within perspective of company for product distribution in various location.
 Promotion: By approaching the medium to promoting product and generating
awareness of specific product.
Target Market: It defines about a group of customers within the business available to aims by
putting its market efforts and resources (Foxall,, 2015). Target Market is subset of total market
towards product and services. By making further explanation of two companies Apple iWatch
and Fitbit watches which describes the nature of product as well as behaviour to targeted
consumer. In following there is description related to the target market through Mintel Report.
1

Mintel Report: In this concept the report which provides different interpretation of
consumer market with related industry. As an example, Apple iWatch and Fitbit watches are
both multinational electronic branded products. Differentiate between Apple iWatch and Fitbit
watches on the basis of target market in given below:
Target Market Apple iWatch Fitbit watches
Customer The targeted customer of Apple
iWatch to their premium
customers or those customer who
have high buying power
As the target customer of Fitbit
watches is also high class
customer but quite affordable.
Income basis Income range of customer must be
higher for buying Apple iWatch,
where they only focuses on
customer buying capacity (French.
and Russell-Bennett., 2015).
To determine the income range is
middle class range but some of
the product of Fitbit carriers is
costly to buy by consumer.
Medium of Promotion Promotion process of Apple
iWatch they have own their
websites as well as in digital
platform like Television and social
media such as Facebook, You
Tube and Twitter.
Fitbit approaches the promotion
style by posting advertisement in
E-business platform. As Fitbit
having their own website in
which many consumer are
engage explore and Amazon.com
keeps to promote Fitbit products
on their portals.
Product: To design the framework of Levitt's Model for assess and compare products through
overall shape, packaging, colour and other specification with related Apple iWatch and Fitbit
watches.
Levitt's Model Apple iWatch Fitbit watches
Design Design of Apple products are in well
structured and attractive. Apple
iWatches is design as excellence
Fitbit watches are very light
weighted and design of every
2

customisation of internal and external
features
model is quite attarctive.
Packaging Apple focuses their labelling as more
decorative and authentic logo of
Apple marked in every product (Lee.
and Kotler., 2015).
As Fitbit Watches packages are
well covered and having simple
label product.
Quality level There is no match of Apple product
quality in terms of durability,
accessibility and mobility. The
iWatches are invented with all
specification is available that ensures
by Apple's manufacture.
The Quality of Fitbit product is
quite impressive but some of
the model in watches is not
appropriate in terms of Battery
backup. This is why company
have to faces more competition
in the market.
Functional Level: For both the brands their functional level are high competitive in terms of
design, quality and accuracy. Apple iWatches produces through Apple production house in
which manufacturer focuses towards the excellence quality must implement as customer trust
building with Apple for its brands (Moravcikova and et. al., 2017). Customer are like
businessman and those having high purchasing power are desire to buy iWatches because many
unique features installed in it, such as artificial intelligence, high GPS power, easily connect with
iPhone and many other. In other hand, Fitbit watches functional level are quite reliable and
similar features are installed as in Apple iWatches but it is not much captured or not well
promoted in competitive market.
Aaker's Brand Personality for Apple iWatch and Fitbit Watches are:
 Sincerity: The brand value of Apple iWatch and Fitbit watches are authentic and
provide systematic services to their customers
 Excitement: Level of Excitement for Apple iWatches is more higher rather than Fitbit
Watches as because Apple is branded and excellence product (Ryu and Lee., 2017).
But there are many customers their buying power are moderate and there is quite buzz
for Fitbit watches.
3

 Competence: The most high competitors companies in electronic digital watch are
Apple and Fitbit where Apple having more market and customer retention in
comparison to Fitbit.
 Sophistication: As per the branding personality in terms of luxurious and brand
which increase standard of living is Apple products. They have captured half of
market in digitalisation sector which is Fitbit has to face high competition in
competitive market.
Price:
Many companies having their own pricing strategy that influence to used and selling
product in the marketplace through company claims profit. Differentiate between Apple iWatch
and Fitbit watches of their price strategy.
Basic Apple iWatch Fitbit watches
Pricing strategy Apple iWatches is having
premium pricing strategy to
sell their product with product
differentiation. The price of
Apple products are very high
level.
Fitbit having opted for
Penetration pricing strategy
which is quite affordable by
the customer. Company are
tend to produce their product
in high quality but provide in
lower cost.
Conclusion The reason for Apple approach
for Premium Pricing Strategy
where their target customer
from high class customer
whose buying power is more
influencing where only
premium customer buy the
product.
By enhancing of Penetration
Pricing Strategy which is quite
affordable by middle class
range customer (Sahaf., 2019).
The objective of Fitbit is to
overtakes the premium market
price.
Place: As the product distribution of Apple iWatch or Apple products are placed internationally
where the mass market of their product is stores which owns by Apple company. Marketing team
4

of Apple focuses to place their product in near electronic stores, Gadgets Malls or Online E-
commerce business platform such as Amazon, Flipkart etc. As customer are highly active in
online business portals.
The places in which Fitbit product distribution has placed super malls, online marketing,
e-business platform like Amazon and Manytra. Fitbit has also approach for near by local gadget
stores because they have motive to making high customer engagement (Thorpe. and Roper.,
2019). The availability of Fitbit product is internationally such as New York, UK, Germany and
other region.
5
Illustration 1: Apple iWatch in Apple Store, 2019.
Source: Apple iWatch in Apple Store, 2019

Promotion: The promotional strategy of Apple iWatches they opted for online websites,
television, Digital banners and social media platform like You Tube and Facebook. Apple
promotional team organised Webinar and Seminar for launching as well as promoting where
they presents the product of Apple in digital presentation. Apple iWatches get promotes in digital
media where many customer comes under in high buying power (Toriman, 2017).
Promotional Strategy for Fitbit has promotes their watches through digital marketing,
Television, Radio and You tube (Roper, 2019). Their strategy is simply executed through their
promotional team as they selected local stores to promote their low range of product, but Fitbit
has also owns expensive trait product which they usually promotes in wide range market.
CONCLUSION
By discussing of above report Principles of Marketing as it come to conclude as it
explains about overall marketing mix of two companies along with their targets markets. To
provides the detailed information such as nature and behaviour of product is elaborated by
Mintel Report it further derives about design, income and quality level of company product.
After that Four Ps is described on the basis of various model like Levitt's model which shows
6
Illustration 2: Fitbit Watches in Gadget Mall , 2020.
Source: Fitbit Watches in Gadget Mall , 2020

quality of product. To elaborate the Aaker's Brand personality model which explains about
overall product distribution, promotional activities, perception of capable product where they
compete with their competitors.
7

REFERENCES
Books and Journals
Dajun, T. and Xuanyi, F., 2017. Analysis and Enlightenment of the “Marketing Excellence
Award” by the Chartered Institute of Library and Information Professionals. Library and
Information Service. 10. p.17.
Dodson, I., 2016. The art of digital marketing: the definitive guide to creating strategic,
targeted, and measurable online campaigns. John Wiley & Sons.
Foxall, G.R., 2015. Consumer behavior analysis and the marketing firm: bilateral contingency in
the context of environmental concern. Journal of Organizational Behavior Management.
35(1-2). pp.44-69.
French, J. and Russell-Bennett, R., 2015. A hierarchical model of social marketing. Journal of
Social Marketing.
Lee, N.R. and Kotler, P., 2015. Social marketing: Changing behaviors for good. Sage
Publications.
Moravcikova and et. al., 2017. Green Marketing as the Source of the Competitive Advantage of
the Business. Sustainability. 9(12). p.2218.
Ryu, K. and Lee, J.S., 2017. Examination of restaurant quality, relationship benefits, and
customer reciprocity from the perspective of relationship marketing investments. Journal
of Hospitality & Tourism Research. 41(1). pp.66-92.
Sahaf, M.A., 2019. Strategic marketing: making decisions for strategic advantage. PHI Learning
Pvt. Ltd..
Thorpe, A.S. and Roper, S., 2019. The ethics of gamification in a marketing context. Journal of
business ethics. 155(2). pp.597-609.
Toriman, M., 2017. Pengaruh relationship marketing terhadap kepuasan konsumen. Jurnal
Manajemen. 8(1). pp.66-79.
Online
Apple’s Premium Pricing Strategy, Product Differentiation. 2019 [Online] Available Through:
<https://marketrealist.com/2014/02/apples-premium-pricing-strategy-product-differentiation//>./
8