Marketing Mix Analysis: Garmin's Finix 6 Smartwatch - Report

This report provides a comprehensive marketing mix analysis of Garmin's Finix 6 smartwatch. The analysis begins with an introduction to Garmin, its competitive landscape, and the rationale for choosing the Finix 6. The report then delves into the product strategy, examining its features, life cycle stage, branding, service components, and differentiation from competitors. The pricing strategy is analyzed, focusing on the value-based approach and its alignment with Garmin's objectives. The distribution strategy explores the online and offline channels, including the application of Omni-channel distribution. The promotion strategy highlights Garmin's use of social media and traditional marketing tools. Finally, the report offers recommendations for enhancing Garmin's marketing mix strategy and concludes with references.

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Table of Contents
Introduction......................................................................................................................................2
Product strategy...............................................................................................................................2
Pricing strategy................................................................................................................................3
Distribution strategy........................................................................................................................4
Promotion strategy...........................................................................................................................5
Recommendation.............................................................................................................................6
Reference.........................................................................................................................................7

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Introduction
Garmin Ltd. is considered to be one of the reputed American multinational technology
based company operated since 1989 (Garmin.com, 2020). The company is popular for
manufacturing GPS technologies and more specifically activity tracker and smart watches.
However, the market is highly competitive with banded smart watch makers like FitBit, Apple,
Samsung and Fossil. The threat of substitution and the threat of entry into the smart watch
market is very high as the market is still growing and providing enough exposure to different
watch making companies. Therefore, it is pertinent for Garmin to create a unique brand value in
the market and gain competitive advantage. In this regard, this report is going to analyse the
marketing mix of the company by emphasising on the Finix 6 smart watch. A recommendation
will also delivered in order to foster better market position for Garmin and the success of the
product.
Product strategy
The Finix 6 smart watch is recently launched by Garmin with long term benefits and
goals. The watch features different accessibilities that are very unique in nature. As a matter of
fact, Garmin also works on the looks of the smart watch with making it more stylish and light
weight. The life cycle of the Finix 6 smart watch is in its growth stage as it is currently launched
by Garmin. There are lots of expectations that the company is willing to achieve by this
particular range of the smart watch. The best aspect of the Finix 6 smart watch is its dynamic
features and high technology. Griffith, O'Connell and Smith (2017) advocated that quality of the
product is also an important aspect to attract more customers. Therefore, Garmin also emphasises

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on the quality of the Finix 6 smart watch. The use of Corning Gorilla Glass as a protective shield
for the lens is definitely a great move by the manufacturers (Garmin.com. 2020). Moreover the
weight of the watch is only 80 grams that can also a unique feature of the watch.
As far as the service delivery of the product is concerned, Garmin emphasises on the 4 I’s
of services to provide quality service to the customers. For instance, the company invests more
on the training and quality control over its new products. Apart from that Garmin intends to use
its good reputation of service delivery so that the brand image will remain intact. In fact, a wide
range of inventory is also used where the company can show casing its Finix 6 smart watches of
different colours.
Pricing strategy
The organisational mission and vision of Garmin is also reflected in its pricing strategy
where the company is interested in becoming the global leader and the effective pricing strategy
will help the organisation to achieve its goals effectively. In response to this, the price of the
Finix 6 smart watch is fixed on US$ 599.99. It can be argued that the price of the Finix 6 smart
watch is basically relied on the value based pricing strategy where it is important for the
organisation to make the customers convince about the worth of the product. According to the
research of Töytäri, Keränen, and Rajala (2017) it can be argued that the value based pricing
strategy is based on the perception of customers. In other words, the customers can feel the
significance and uniqueness of the product and then evaluate the value of the product.
Nadanyiova, Gajanova and Moravcikova (2018) pointed out that the value based pricing strategy
is also identified as the cost plus pricing strategy as customers can automatically think about the
price of the product with a proper rationale. One of the major factor for using the value based

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pricing is that it will help to garner a connection between the price of the product and the
affordability to the customers (Dost & Geiger 2017). Therefore, the customers can easily
understand the value of the product and subsequently show interest in purchasing the product. It
will definitely product a competitive edge for Garmin because it provides a challenge to the rival
watch makers who offers product in the same price of Finix 6 smart watch.
Distribution strategy
The distribution strategy for Finix 6 smart watch is focused on both the online and offline
distribution. It means Garmin focuses on the direct selling to the customers through the online
selling to its official website and in offline distribution, the company is relied on the distributors
and wholesalers. Due to the focus on the intensive marketing strategy, Garmin tries to contact
with many retailers as possible. As per the research of Ailawadi and Farris (2017) it can be
argued that both the online and offline distribution practice is highly effective for he business
companies to maintain its profitability in the competitive market. Through the online
distribution, it will be effective to attract the international customers along with the domestic
customers (Bernon, Cullen & Gorst, 2016). However, the offline distribution practice through
wholesalers will help the organisation to sale product in the local or domestic market (Mena et
al. 2016). The same perception has been followed by Garmin in order to maximise and develop
its customer base for the Finix 6 smart watch. The online and offline distribution channels are the
intricate part of Omni-channel distribution strategy. The Omni-channel distribution strategy is
very relevant in competitive market where the business organisation can get access to three level
of distribution opportunity such as through online, brick and mortar store and the wholesalers
(Prabhuram et al., 2020). For Garmin, it will be an effective model of distribution that can help

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the organisation to continue an intensive marketing and grab the attention of the potential
customers as well.
Promotion strategy
For the success of the Finix 6 smart watch, Garmin puts focus on the multiple media
channels. It is important to note that the company is highly active in social media marketing
practice. There are two important reason for Garmin to use the social media as the major
promotional channel. Chhabra (2020) advocated that the social media marketing practice is very
effective for the business companies due to its cost effective nature. It means the social media
promotional tools are cheaper in compare to other promotional tools. Moreover, Sowers et al.
(2019) argued that the social media promotion is very important and significant in modern day
business as most of the people are connected through social media. Therefore, it is the best place
for the business companies to exploit through social media promotions and create a customer
base Izquierdo & Blanco, 2020). In addition to this, Garmin also emphasises on the traditional
marketing tools like trade exhibitions and event management. It is a public relationship and
awareness effort for Garmin to influence the customers in purchasing the Finix 6 smart watch.
The company focuses on the awareness and desire stage of the AIDA model. Therefore, it will be
proper and effective to use those various marketing channels in order to get a positive response
from the customers. The overall budget for the marketing and promotion for Finix 6 smart watch
is estimated at approximately US$40,000.

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Recommendation
There are some important recommendations that Garmin must follow in course of
establishing an effective marketing mix strategy for the Finix 6 smart watch. The
recommendations are as follows,
 The product description has to be clear and attractive so that the potential target
customers can understand the value of the product and show interest in purchase it.
 The organisation must stick to its budget because it is very important for a healthy and
effective marketing plan.
 Emphasising on the Omni-channel distribution practice requires good relation with the
wholesalers and distributors. Therefore, Garmin must take necessary steps to manage a
good relationship with the distributors.

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Reference
Ailawadi, K. L., & Farris, P. W. (2017). Managing multi-and omni-channel distribution: metrics
and research directions. Journal of retailing, 93(1), 120-135.
Bernon, M., Cullen, J., & Gorst, J. (2016). Online retail returns management: Integration within
an omni-channel distribution context. International Journal of Physical Distribution &
Logistics Management, 46(6/7).
Chhabra, S. (2020). Mutual Fund: Marketing Mix and Promotional Strategies. In Foreign Direct
Investments: Concepts, Methodologies, Tools, and Applications (pp. 210-224). IGI
Global.
Dost, F., & Geiger, I. (2017). Value-based pricing in competitive situations with the help of
multi-product price response maps. Journal of Business Research, 76, 219-236.
Garmin.com. (2020). About Garmin. Retrieved 16 April 2020, from https://www.garmin.com/en-
US/company/about-garmin/
Griffith, R., O'Connell, M., & Smith, K. (2017). The importance of product reformulation versus
consumer choice in improving diet quality. Economica, 84(333), 34-53.
Izquierdo, M., & Blanco, M. P. (2020). A multi-level contrastive analysis of promotional
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Mena, C., Bourlakis, M., Ishfaq, R., Defee, C. C., Gibson, B. J., & Raja, U. (2016). Realignment
of the physical distribution process in omni-channel fulfillment. International Journal of
Physical Distribution & Logistics Management.

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Nadanyiova, M., Gajanova, L., & Moravcikova, D. (2018). The impact of personal branding on
the customer value-based pricing strategy. New Trends in Management: Regional and
Cross-border Perspectives, London: London Scientific, 163-177.
Prabhuram, T., Rajmohan, M., Tan, Y., & Johnson, R. R. (2020). Performance evaluation of
Omni channel distribution network configurations using multi criteria decision making
techniques. Annals of Operations Research, 1-22.
Sowers, M. F., Colby, S., Kavanagh, K., & Zhou, W. (2019). Testing product, pricing, and
promotional strategies for vending machine interventions with a college
population. Journal of Foodservice Business Research, 22(4), 303-325.
Töytäri, P., Keränen, J., & Rajala, R. (2017). Barriers to implementing value-based pricing in
industrial markets: A micro-foundations perspective. Journal of Business Research, 76,
237-246.