Fitbit CEO James Park says that the company looks from the point of view of consumers when creating its health-minded products. He also touts the company's products as simple and single-mode devices.
Park went on to say that Apple Watch is a computing platform where a little of everything is crammed into the wearable. For this reason, Park said that Apple had a wrong way of approaching the wearables category even from the very start.
Fitbit's products focus on one thing, which is none other than tracking one's fitness. Functionality is limited to step counting, activity monitoring and other health-based tasks. This makes using Fitbit more straightforward than Apple's multi-functional Apple Watch.
According to Park, Fitbit uses a strategy wherein the wearable would first come equipped with basic activity tracking features. New functionality is then added one step at a time. The purpose of such a strategy is to add a more approachable appeal to wearables, while features are carefully layered over time. The first step to achieve using this strategy is to begin with simple devices.
Last year, Fitbit's sales record reached up to 21.3 million sold units, which is almost two times the 10.9 million units that were sold in 2014. Research firm IDC also described Fitbit as the world's largest maker of wearable devices in terms of market share.
While Apple does not reveal any sales performance record for its Apple Watch, the wearable seems to be enjoying a growing number of sales. An estimate from analysts shows that Apple has sold 12 million Apple Watch since its April 2015 debut.
Fitbit also went public in June, which has since then caused its stock to drop by 10 percent. Analyst Katy Huberty at Morgan Stanley expressed concerns such as the company's particular competition with Apple and the skepticism of its investors as the factors that triggered the drop.
Still, Park seemed unperturbed every time people would compare Fitbit's products to Apple's. Fitbit caters to the $60 to $250 market with its products, mostly focusing on health monitoring. The Apple Watch starts at $299 and caters to those who want both functionality and style in their wearables.
It remains to be seen how Fitbit can devise new ways to become more profitable and attract more customers. Fitbit products are usually opted by first time users and not by those who are into upgrading their wearable. If people learn what smartwatches are really good for, then they could better understand that a crammed wearable might not be the best option they can make.
