Ever since Apple Watch was unveiled in March, retail industry players have pondered how the hardware will impact customer engagement tactics and marketing investments. And more broadly speaking, how will Apple Watch impact the wearables market, which could be considered volatile at best?
Below, the RTP editors share their thoughts:
Debbie Hauss, Editor-in-Chief: Anything Apple does impacts consumer behavior in some way. As Apple Pay got consumers’ attention in regards to mobile payment, the Apple Watch will pique interest in wearable technology. For the general population, though, I think the price point is a bit high for the purpose the watch will serve. One of my friends who is always the first to reserve the newest iPhone is not interested in this Apple product because he says, he already has a fitness device and a phone. I also understand that the device is not yet up-to-speed on location-based capabilities. I think the Apple Watch will be relevant, but I’m not yet sure how and when.
Alicia Fiorletta, Senior Editor: Yes, Apple has a way of generating consumer buzz, and it seems like more and more people are sipping the company’s Kool-Aid. But beyond laptops and desktops, this is by far the most expensive product Apple has released. And while the company definitely help raise awareness of mobile payment with Apple Pay, there is one key difference: That service is free. I’m sure there will be many consumers willing to pay the $300-plus price tag (depending on the model they get). Heck, I’m even considering buying one myself. But I think it’s all about whether consumers find it valuable to their everyday lives, especially if they’re already so connected to their smartphones. The story may not be the same for everyone. While one person may find the Apple Watch to be the answer to their wearables prayers, another may be perfectly happy with their FitBit.
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Rob Fee, Managing Editor: I see many parallels between Apple’s entry into the wearable market and its mobile wallet offering. In both cases, it wasn’t the first product on the market, but the company was able to create a buzz that others were not — lifting the entire market. Although I expect a similar effect once Apple Watch launches, I still see problems. For example, I already own an Android-enabled watch and find that it’s more of a novelty than a game changer. It’s really nothing more than an extension of my smartphone. For now, wearables remain luxury items that have not yet found a killer feature. I don’t expect the market for wearables to fully take off until it can find this feature.
Kim Zimmermann, Senior Managing Editor: I’m not an Apple fan, but it seems hard to justify spending $500-plus for another device that doesn’t do anything all that different from a phone. That said, it is Apple, so I’m sure it will have some impact on the wearables market.
Glenn Taylor, Associate Editor: I think it can only help the awareness of wearable technology as a whole. Although tech types and those constantly around the industry are well aware of the items presently available, a lot of people don’t have much prior knowledge of these products aside from some of the health/fitness trackers. Retailers, while assuredly promoting the Apple Watch, will also likely have more affordable options to promote alongside it. We’ve seen Staples market their wearables within the past year at a limited degree, and I expect many retailers to take that route until a major product proves to be affordable (and valuable) to the masses.
Brian Anderson, Associate Editor: I’m honestly not sure how the Apple Watch will impact wearable technology, primarily due to how much it costs. It’s a hard sell for someone to spend roughly $500 on a watch when there are alternatives, like FitBit and the smartphones they currently own, that are already on the market that have similar functionality at a cheaper price point? Only time will tell if retailers will start incorporating wearable tech into their current marketing strategies due to the launch of Apple Watch. Then again, it is Apple we’re talking about, so it’ll most likely be a hit.
What are your thoughts? Will your business be investing in Apple Watch apps or engagement tactics? Share your thoughts in the comments section below!
