Fitbit sees India as one of its top five markets globally

New Delhi: Fitness-tracking device maker Fitbit Inc. expects India to be among its top five markets in the next 12-24 months on back of a strong demand for health monitoring devices in the country.

San Francisco-based Fitbit, which was valued at about $6.5 billion in its public market debut in June on the New York Stock Exchange, launched on Tuesday its fitness wristbands in India across 300 towns as part of a strategy to grow beyond the home market.

“The US is currently three quarters of our total revenues but the international segment is growing much faster,” Fitbit’s chief revenue officer Woody Scal said on Tuesday. He did not say what his expectations of Indian revenues are. “The market here is still in its infancy,” he said.

Important markets for Fitbit include western Europe, Canada, Hong Kong and Japan, among the 50 countries it is present in.

Fitbit, which was made available online in India through Amazon India in June, will now be available progressively through September at offline stores, such as Reliance Digital, Croma and Helios.

According to Scal, lifestyle changes and increase in chronic diseases are making health and fitness trackers more relevant around the world.

“There are trends in India that are very global from the demand side,” he added.

The company is betting big on India and plans to set up a local team. It has appointed ex-Microsoft executive Manisha Sood as the country head. Scal did not specify how big a team India would need going forward.

Fitbit is expected to launch its media campaign across social media, digital, print and television over the next six months, having signed up with Bollywood actors Shraddha Kapoor, Tiger Shroff and badminton player Saina Nehwal as brand ambassadors.

Fitbit did not disclose its marketing budget for India.

The company plans to tie-up with local content partners to offer a more customized experience to Indian consumers by next year. “Right now what we are offering is a global experience…however localization will happen on the content side. We will develop more of capability to provide Indians with specific advice and content that is more relevant to them—for instance Indian food,” said Scal.

According to Scal, Fitbit might look at bundling some of its products with smartphone makers, like it does globally.

“We have bundled our bands with other devices, such as Microsoft phones, in the past. It will depend on the strategy of partners,” he added. Fitbit will be importing its products from China and has no immediate plans of sourcing them locally.

While Fitbit faces stiff competition from other fitness device makers, such as the Misfit and Xiaomi Inc.’s Mi band, it also is seen as a competitor to smartwatches with fitness trackers.

“Lines are blurring between smartwatches and fitness bands. While fitness bands are getting smarter, consumers are still trying to figure out why they need to buy smartwatches,” said Scal, adding that fitness trackers are the largest part of the wearable category today.

In August, Fitbit reported a net income of $17.7 million on $400.4 million revenue for the quarter ended 30 June, according to a Reuters report.

Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.