Marketing Fundamentals Report: FitOn Smartwatch - Australian Market

This report provides a comprehensive analysis of the marketing fundamentals for the FitOn smartwatch, focusing on its launch in the Australian market. It begins with an introduction to the product and its objectives, highlighting its affordability and health-tracking capabilities. The report outlines key marketing objectives, including sales targets, customer retention, and brand management, and details how these objectives align with the Australian market. It then delves into market segmentation, targeting, and positioning strategies, examining demographic, geographic, psychographic, and behavioral segmentation. The report explores the application of the marketing mix, specifically product and promotion, and proposes an action plan with timelines and responsibilities. It concludes by summarizing the key findings and emphasizing the importance of effective marketing strategies for the smartwatch's success. The report references various marketing concepts and academic sources to support its analysis.

Running Head: Marketing Fundamentals
FitOn
Marketing Fundamentals

Marketing Fundamentals 1
Table of Contents
Introduction......................................................................................................................................2
Marketing Objectives.......................................................................................................................2
Market Segmentation, Targeting and Positioning...........................................................................3
Market Segmentation...................................................................................................................3
Targeting......................................................................................................................................3
Positioning...................................................................................................................................4
Marketing Strategy..........................................................................................................................4
Product.........................................................................................................................................4
Promotion.....................................................................................................................................4
Conclusion.......................................................................................................................................5
References........................................................................................................................................6

Marketing Fundamentals 2
Introduction
FitOn is a world’s first smartwatch which is affordable for all types of market segments as well
as it helps in blood oxygen saturation to its users. With the help of this, users could identify the
tracks of their wellness. This product was introduced in the market with the objective of uplifting
its performance in the international market along with providing the affordable smartwatch to the
consumers. This device is made up of various trending technologies, through which users could
track their fitness and along with this, the smartwatch will help the consumers in personal health
guide (Kickstarter, 2018).
Marketing Objectives
The product has been launched in the international markets and now company has planned to
expand their market share. To make this into reality, organizational management has chosen the
Australian market to gain their desired targets. Management has designed following objectives
accordance with the launching of the product in Australian market within the first six months:
 Sales Targets: In Australia, there are lot of brands which provides smartwatch, fitness
devices and other crucial devices which are helpful for the people to analyse their health
conditions. These brands are quite expensive, thus, these are not affordable for all
segments of users. Reviewing the demand of the smartwatch along with the fitness
tracker and health guide option, FitOn watch is introduced at affordable prices. For
setting the affordable rates for the product, organization has adopted unique pricing
strategy. Assuming all these points, organizational objective is to increase their revenues
by at least 20% from the Australian market only. To fulfil this objective, organization

Marketing Fundamentals 3
has planned to implement the trending promotional techniques in relation with increasing
the demand of their advanced smartwatch (Armstrong, et. al., 2015).
 Customer retention and satisfaction: This objective is developed with the view to
attain the success in the future market conditions also. This objective could be fulfilled
with the help of providing qualitative product along with the appropriate and useful
features. These features will help the organization to develop a positive image through
which the customer retention objective would easily be fulfilled. Along with this,
organization has adopted the product differentiation strategy through which their
smartwatch FitOn contains unique and advanced features which are not yet available
with other brands’ products. With the help of this, organization is being able to
differentiate its smartwatch from its competitors’ through which the customer
satisfaction and retention related objectives would easily be fulfilled (Madill & O'Reilly,
2010).
 Brand Management: This objective says that organization is required to develop an
effective image in order to compete with its competitors. For establishing the effective
brand image in the target market, it is required to provide unique features and products
from its competitors’. Along with this, it is required to provide the same sort of features
and services through which the same level of brand image could be maintained. In order
to improve the customer satisfaction and to attain the sustainable growth and
development in the long run, organization is required to invent certain new features and
add those elements into the product for increasing its effectiveness. This will help the
organization to develop its positive image in the current market conditions along with

Marketing Fundamentals 4
improving the goodwill in the future market conditions (Lee, Kozlenkova & Palmatier,
2015).
These are certain crucial objectives from the perceptive of the management of the organization
from the launching of the FitOn Smartwatch in the Australian market within the first six months.
For gaining those objectives, it is required to adopt and implement advanced and trending
promotional techniques which could help the organization to spread the awareness amongst the
target audience along with describing the uniqueness of their product in comparison with the
competitors’ products.
Market Segmentation, Targeting and Positioning
The combinations of these techniques together are useful for the organization in the situation of
expansion in the new target market. In this case, FitOn Smartwatch is going to be introduced in
the Australian market in 2018 with the objective to increase their sales, development of effective
brand image and to increase the customer satisfaction objective to the optimum level. Their
product is useful for gaining their desired objectives and for the same, STP techniques will be
implemented for analysing the market conditions, impact of external business factors, and the
like and effective promotional techniques will be used for setting up an effective position in the
target market with the objective of gaining competitive advantage (Ko, et. al., 2012).
Market Segmentation
This objective is useful for the organization to analyse the market conditions of the Australia.
With the help of outcomes originated, organization will be able to approach its suitable audience
with the objective to enhance the demand of products as well as to uplift their revenues.

Marketing Fundamentals 5
For analysing the appropriate market segment for the organization, segmentation techniques
could be used i.e.:
 Demographic: Under this type of segmentation technique, people are segregated on the
basis of income, age, gender, education, and the like elements.
 Geographic: This segmentation variable contains the people on the basis of their
locality, region, country, state and city. People under this category are targeted on the
basis of their locality such as urban and rural and on the basis of product’s suitability.
 Psychographics: This category contains the audience based on elements such as their
lifestyle, personality characteristics, etc. (Onaolapo, Salami & Oyedokun, 2011).
 Behavioural: People are segregated on the basis of requirement based, benefit-sought,
usage occasion, etc. People purchase or consume the products on the basis of their
behavioural patterns.
Targeting
From the above segmentation criteria, organization will focus over the all types of segmentation
variables in order to expand their market share. The price of their new launched product will act
as the important element in order to approach their target audience. Along with this, it will help
the organization to enhance the demand of their products. For approaching their selected
segmentation of market, appropriate marketing strategies will be used. These strategies will help
the organization to spread the information regarding the product, its features and the crucial
elements which are unique and makes their products different from other brands’ products
(Aizenman, Hutchison & Noy, 2011).

Marketing Fundamentals 6
Positioning
In order to set up an effective image in the target market along with developing crucial image in
the targeted audience’s mind-sets, it is required to implement the trending techniques. These
strategies could be spreading information about the products, showing the significance of the
product and highlighting the unique features which are not available in the other brand’s
products. Apart from this, organization could also utilise the positioning statement in order to
attract its target audience. “FitOn is The World's First and The Most Affordable Blood Oxygen
Saturation Smartwatch that well tracks your vital sign and wellness”. This statement will help
them to build an effective image in the global market along with the domestic market. Digital
communication and advertisement campaigns could also be utilised for spreading awareness
amongst the target audience along with showcasing the crucial elements of the smartwatch
(Hofmann-Wellenhof, Lichtenegger & Collins, 2012).
Marketing Strategy
This is the tool which could be used for developing an image in the target audience’s mind-sets.
In the scenarios, where consumers feel requirement of the product, organizational product should
come in their mind before any other product (Lovelock, 2011). The most effective marketing
strategy for this product and for the Australian market would be marketing mix technique:
Product
This is the first element of the marketing mix technique which could be used for spreading the
awareness amongst the target audience through showcasing the vital elements and unique
features of the product. Along with this, organization could also adopt the product differentiation
strategy in order to showcase the unique and special features of the organizational product

Marketing Fundamentals 7
(Gordon, 2012). This strategy would also help them to differentiate their products with their
competitors’ products which will lead to them to attain the adequate competitive advantage
(Huang & Sarigöllü, 2014).
Promotion
This technique is the vital element of the marketing strategy and for marketing plan. In order to
enhance the market presence of the organization and to uplift the organizational products in
comparison with their competitors’ products, this strategy could be utilised in an effective
manner. This strategy includes promoting the organizational products, services and other
elements with the help of promotional strategies, digital communication systems, print medium
and digital medium of advertisement (Leonidou, Katsikeas & Morgan, 2013).
Action Plan
Operations Start Date End Date Reporting
person
Department
Objectives 1/3/2018 31/3/2018 Top level
managers
Management
Segmentation,
targeting and
positioning
1/4/2018 30/6/2018 Marketing
manager
Marketing
department
Marketing
strategies
1/7/2018 31/8/2018 Marketing
managers and
team
Marketing
department

Marketing Fundamentals 8
Conclusion
From the aforesaid information, it can be concluded that the organization is going to launch its
advanced smartwatch which is capable enough to help the users in sports, fitness and wellness. It
is world’s first watch which is affordable for all segments of the consumers. In order to promote
their smartwatch in the target market, company has used various promotional and advertisement
methods. Along with this, this report includes several objectives of the management in relation
with the launching of the product. The next phase of the report includes the discussion regarding
the segmentation, targeting and positioning strategies used to develop the separate position in the
Australian market. The last part of the report includes the marketing strategy under which 2 P’s
amongst the 4 P’s of the marketing mix techniques are used to spread the awareness amongst the
market in relation with the product.

Marketing Fundamentals 9
References
Aizenman, J., Hutchison, M. and Noy, I., 2011. Inflation targeting and real exchange rates in
emerging markets. World Development, 39(5), pp.712-724.
Armstrong, G., Kotler, P., Harker, M. and Brennan, R., 2015. Marketing: an introduction.
Pearson Education.
Gordon, R., 2012. Re-thinking and re-tooling the social marketing mix. Australasian
Marketing Journal (AMJ), 20(2), pp.122-126.
Hofmann-Wellenhof, B., Lichtenegger, H. and Collins, J., 2012. Global positioning system:
theory and practice. Springer Science & Business Media.
Huang, R. and Sarigöllü, E., 2014. How brand awareness relates to market outcome, brand
equity, and the marketing mix. In Fashion Branding and Consumer Behaviors (pp. 113-132).
Springer, New York, NY.
Kickstarter, PBC. 2018. FitOn world’s 1st-blood oxygen saturation smartwatch. Accessed on
27th January 2018 from https://www.kickstarter.com/projects/567949755/fiton-worlds-1st-
blood-oxygen-saturation-smartwatc
Ko, E., Taylor, C.R., Sung, H., Lee, J., Wagner, U., Navarro, D.M.C. and Wang, F., 2012.
Global marketing segmentation usefulness in the sportswear industry. Journal of Business
Research, 65(11), pp.1565-1575.

Marketing Fundamentals 10
Lee, J.Y., Kozlenkova, I.V. and Palmatier, R.W., 2015. Structural marketing: Using
organizational structure to achieve marketing objectives. Journal of the Academy of
Marketing Science, 43(1), pp.73-99.
Leonidou, C.N., Katsikeas, C.S. and Morgan, N.A., 2013. “Greening” the marketing mix: do
firms do it and does it pay off?. Journal of the Academy of Marketing Science, 41(2), pp.151-
170.
Lovelock, C., 2011. Services marketing: People, technology, strategy. Pearson Education
India.
Madill, J. and O'Reilly, N., 2010. Investigating social marketing sponsorships: Terminology,
stakeholders, and objectives. Journal of Business Research, 63(2), pp.133-139.
Onaolapo, A.A., Salami, A.O. and Oyedokun, A.J., 2011. Marketing segmentation practices
and performance of Nigerian commercial banks. European Journal of Economics, Finance
and Administrative Sciences, 29(1), pp.35-48.