Apple Watch and Fitbit: A Marketing Mix Analysis and Comparison

This report provides a comprehensive analysis of the marketing mix strategies employed by Apple Watch Series 4 and Fitbit2. It begins with an introduction to marketing and the marketing mix, defining product, price, place, and promotion. The main body delves into a comparative analysis of the two brands, examining their target markets, product offerings, pricing strategies, distribution channels (place), and promotional activities. The analysis highlights differences in target audience, with Apple targeting a premium market and Fitbit catering to a broader consumer base. The report explores product differentiation, pricing models, and distribution strategies, including the limited distribution of Apple products versus Fitbit's wider availability. Furthermore, the report examines promotional efforts, concluding with an overview of the marketing mix and the importance of adapting the marketing mix to a wider consumer base to generate more sales and revenue. The report utilizes academic references to support its findings.

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Table of Contents
INTRODUCTION...........................................................................................................................1
MAIN BODY...................................................................................................................................1
Marketing Mix........................................................................................................................1
Targets Markets.............................................................................................................1
Product..........................................................................................................................2
Price..............................................................................................................................3
Place..............................................................................................................................3
Promotion......................................................................................................................4
CONCLUSION................................................................................................................................5
References:.......................................................................................................................................6

INTRODUCTION
Marketing is defined as the promoting and selling activities of the products and services
of the firm. Marketing mix refers to the elements which relates to the whole marketing strategies
that are product, price, place and promotion of a brand. Two organizations chosen here is, one is
Apple watch series 4, it is one of the leading international technology company. It was founded
in 1976 in United States. It offers various products like mobile phones, laptops, smart watches
and a vast range of products. It's market share includes 55 percent and market size is increases
from the range of 23 percent. Another organization chosen is, Fitbit2, it is one of the leading
international consumer electronic company. It was founded in 2007 in US. It offers products like
variety of types of smart watches with different features and functions. It's market share includes
40 percent and market size is increases from the range of 18 percent (Abedi and Abedini, 2017).
The following discussion is based on the marketing mix of both the organizations including
target market and conclusion.
MAIN BODY
Marketing Mix
Targets Markets
It is defined as the market which are specifically promoted to the target customers.
Companies choose target market because it is difficult for the firm to promote and advertise each
and every market as it takes the huge cost, time and energy of the firm. Therefore, it is important
to choose the target market and specific customers so that company can only focus on those
people who are interestingly can buy their product at high prices also. This is done by analysing
the market structure and observing their merits and demerits. Interpreting such market research
can help the companies in getting the target markets (Dadzie, Amponsah, Dadzie and Winston,
2017).
Apple watch series 4
Target market or specific customers targeting of Apple watch series 4 is the youngsters
mainly of rich society. Because Apple is a premium product and not everyone can afford such
product at a very high prices. Those people who want to maintain it's status and image in a
society are ready to buy such products. Two filters are available in this, first is the mainly young
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generation because such items are mostly desired by the young people rather than adults or
children and the second filter is the rich society because middle class young people can also not
afford these premium pricing items so the target market of the Apple is the young generation of
rich society.
Fitbit2
Target market or specific customers targeting of Fitbit2 is the young generations of rich
society as well as middle class people also but not the low income people group. Reason behind
such differentiation in targeting is that Fitbit is not much costly as Apple and also do not provide
low cost watches. That is why they target the either the rich society people on premium pricing
or middle class people on standard pricing so that it could be afforded by both the class people
hence more range of customers are available with the company (Datta, Ailawadi and Van
Heerde, 2017).
Product
It is defined as the item which a company manufactures and sells it to produce the desired
profit and revenues. It is important to decide the product or service that the company is going to
offer. Because it totally depends on the customer needs, requirements, demands and current
trends. This analysis can be attained by the adopting some methods of customer or market
surveys, questionnaires, online forums and many other things which are interactive with the
customers because it helps the firm to know about the highly demanded product in current times.
With the help of this, company can start producing the desired product and services for the
customers.
Apple watch series 4
It has limited range of Apple watches because they providing the all the normal and
special features in those ranges only. Product ranges includes Apple watch edition edition, Apple
watch sport, Apple watch Hermes and normal smart watches. These types of ranges includes the
variety of series with more additional features one by one in all of them. That means they are
updating the technology in their watches very frequently in order to attract their loyal customers.
These all are wireless and technology based products with premium features.
Fitbit2
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Products of Fitbit includes the variety of ranges of the smart watches including their
versions and updated series. They ensure that their product must be of good technical quality,
user friendly and customer must get the benefits of health and satisfaction by using those
products. Comparatively it has more variety product ranges than Apple so as to give more and
more choices to their customers (HR and Aithal, 2020).
Price
It is defined as the value of the product or service which is offered by the company. Price
is set for the product according to the manufacturing and operating cost. Price is always more
than the cost because it is necessary to keep the profit margin so as to gain the revenues by the
company. There are various price strategies adopted by the firm in order to lower the cost to
lower the prices so that more and more customers can attract towards the firm. It totally depends
on the competition in the market, prices are generally set by analysing the competitors prices and
also it is known as the competitive prices.
Apple watch series 4
Prices of Apple watch series 4 are mostly premium because they use the advanced
technology which are itself very costly so if they think to reduce the prices also then too they
won't be able to because they will get the revenues in a very low amount. Their prices are not at
all based on the competition and not create any competitive advantage as well. Prices are based
on the cost of manufacturing, raw materials, technology use, operating cost and brand goodwill
pricing.
Fitbit2
Price of Fitbit2 is also of variety of ranges according to the people, places and quality of
the products. They also ensures the prices must of competitive advantage so that they generate
more and more sales through that. They provide the products of premium pricing, psychological
pricing, geographical pricing and bundle pricing. So that rich people as well as middle class
people can also afford the products of Fitbit (Lahtinen, Dietrich and Rundle-Thiele, 2020).
Place
It is defined as the location where the products are placed to sell them to the customers. It
is necessary to analyse the place that where to place the products because some places do not
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have any crowd and some places are known for the market locations. That is why to increase the
sales of a product it is essential to locate the items on a correct place according to the target
customers specified for the particular product. There are some companies who pay premium
prices for the places from where the income generations are good, these places are like malls,
crowded areas and many more where people mostly visits.
Apple watch series 4
Places of Apple watch series 4 are limited and distribution centres are also limited. It has
a wide reason behind this concept. That is, the technology use the company is very high tech that
means other brand is not knowing that what they are exactly using in their products. Just because
no one can steal such new idea and innovation of the Apple, they try to distribute their products
in limited stores or either Apple showrooms mainly on those who have good trust that the store
people cannot steal their technology and part they are using their product.
Fitbit2
Place of Fitbit2 has no limitations as their product does not consist high tech technology
so it cannot be stole by anyone but then too it provides the good quality products. It's places
includes specific stores of the company, stores which are licensed, E-commerce, supermarkets,
hypermarkets and agents of partnered people. So that the customer can find it's products nearby
as well (Pomering, 2017).
Promotion
It is defined as the marketing strategy adopted by the company to advertise it's products
and services . It is considered as the most important function of the business operations because
without promotional activities, it can be difficult for the firm to create awareness of their
products and won't be able to sell them according to the target set. There are two basic types to
perform promotional activities and those are traditional marketing and online marketing. Both
are equally important to execute as per the product and situation requirement. Therefore,
promotional strategies are mandatory to execute the products or services representation in front
of the market so that it can create the brand image and loyalty.
Apple watch series 4
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Promotion of Apple watch series 4 is totally based upon the target market. Otherwise
they also promote their products on television, radios, newspapers, apps, social media, internet
and many other channels including traditional and online marketing.
Fitbit2
Promotional strategies of Fitbit2 are digital marketing, programs mainly for rewarding,
conventional marketing and many other common channels of traditional marketing as well
similar to the Apple strategies (Thabit and Raewf, 2018).
CONCLUSION
It is concluded that marketing mix of both the brand are remarkable but 4 P's of Fitbit is
more attractive than Apple because Fitbit is providing it's products in standard prices to the
middle class people also but Apple is providing only premium pricing products to rich people.
Moreover, range of products and places are more of Fitbit than apple. Reason behind all this is
that the Apple is using the more quality technology which everyone cannot uses that is why it's
product range and target market is low as compared to the the Fitbit. It is important to improve
the product, price and place range for the Apple so that they can target more customers, this can
help the firm in more generation of sales and revenues.
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References:
Books and Journals
Abedi, G. and Abedini, E., 2017. Prioritizing of marketing mix elements effects on patients’
tendency to the hospital using analytic hierarchy process. International Journal of
Healthcare Management. 10(1). pp.34-41.
Dadzie, K.Q., Amponsah, D.K., Dadzie, C.A. and Winston, E.M., 2017. How firms implement
marketing strategies in emerging markets: An empirical assessment of the 4A marketing
mix framework. Journal of Marketing Theory and Practice. 25(3). pp.234-256.
Datta, H., Ailawadi, K.L. and Van Heerde, H.J., 2017. How well does consumer-based brand
equity align with sales-based brand equity and marketing-mix response?. Journal of
Marketing. 81(3). pp.1-20.
HR, G. and Aithal, P.S., 2020. Integrated Marketing Mix Framework for Baby Care Retailing in
India. International Journal of Applied Engineering and Management Letters
(IJAEML). 4(1). pp.191-218.
Lahtinen, V., Dietrich, T. and Rundle-Thiele, S., 2020. Long live the marketing mix. Testing the
effectiveness of the commercial marketing mix in a social marketing context. Journal of
Social Marketing.
Pomering, A., 2017. Marketing for sustainability: Extending the conceptualisation of the
marketing mix to drive value for individuals and society at large. Australasian
Marketing Journal (AMJ). 25(2). pp.157-165.
Thabit, T. and Raewf, M., 2018. The evaluation of marketing mix elements: A case
study. International Journal of Social Sciences & Educational Studies, 4(4).
Wu, Y.L. and Li, E.Y., 2018. Marketing mix, customer value, and customer loyalty in social
commerce. Internet Research.
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