Why, when some wearable technology companies nearly die out from rival predation, do these same companies recover and flourish in the long run, despite intensifying competition in the marketplace?
Deep in the core of the successes and failures within the wearable technology industry lies the answer-and the new CEO of Fitbug, Anna Gudmundson, has a passion to discover that solution.
To date, Gudmundson says one reason for the increase in M&A activity in the technology space and demise of certain organizations is a changing awareness of how wearable technology is truly impacting people worldwide.
"The early adopters of wearable tech plateaued, and margins are very small. As much as I think wearable devices will be a natural part of our lives going forward, I think that the current form factor and use cases are not as compelling as they could be."
To keep Fitbug moving forward, Gudmundson shifted the mission of the company from a business-to-consumer model, to business-to-business as a result of the end of the initial consumer hype.
"I'm incredibly proud of what we have achieved as a team. It was certainly ambitious to restructure the entire organization, recruit a new board, create a new sales and marketing strategy and bring a tailored corporate wellness proposition to market in such a short period. But, we're on a mission to help people create healthier habits, one employee at a time."
So far, according to Gudmundson, their transition has transformed the tech organization to a company with purpose and grit.
"You have to be very, very clear on what you're trying to solve or achieve," Gudmundson, who has been at the helm of Fitbug since August 2015, explained; noting the corporate wellness market is in an exciting time of rapid development. "The fundamental needs are the same in most organizations, although there are some nuances in different markets.
All businesses see the value in decreasing absenteeism and retaining talent as a result of a positive workplace culture, but in the United States we also see a stronger focus on reducing health insurance costs, for instance."
Focusing on exercise is a key ingredient not only to Fitbug's corporate clients, but a requirement for Gudmundson, too. Yoga is her cornerstone activity; she said she "has to fit it into the schedule, even if it's only 20 minutes." She also meditates every morning without fail, to stay in a healthy frame of mind to make good decisions.
When she accepted the CEO position at Fitbug, a friend gave her a book to read: The Hard Thing About Hard Things: Building a Business When There are No Easy Answers, by Ben Horowitz.
"It helped," she said, laughing. "But honestly I love this challenge - I'm incredibly passionate about wellness and technology, and I find it inspiring to read about the stories and lessons learned from other business leaders."
For more information about how Fitbug can help you, visit their website here.