Fitbit’s latest feature packed Versa 2 beats the majority of its competitor on the battery life feature alone since it can last upto 5 days against Apple’s smartwatch 2 days.
With Fitbit Inc launching the Versa 2, which features Amazon.com’s voice assistant Alexa, ability to make online payments and store music, its shares surged by 5.6% to $3.01.
Fitbit’s Versa 2 will compete with other smartwatches including Apple Inc’s smartwatch offerings.
Pre-orders for Versa 2, priced at $200, gas begun said Fitbit while adding the smartwatch would be available for in-stores purchase from September 15.
Fitbit’s smartwatches faces intense competition from companies such as Apple and Samsung, whose smartwatches have cornered a lion’s share of the smrtwatch market with their sophisticated devices. Its fitness tracking devices continues to be chipped away by cheap Chinese alternatives from Huawei and Xiaomi and others.
Last month, Fitbit cut its 2019 revenue forecast citing disappointing sales of Versa Lite smartwatches, which does not have the feature to store music.
“While Versa Lite received good present consumer reviews, we saw that consumers were willing to pay more for a smartwatch with additional features,” said James Park, Fitbit’s CEO during an earnings call with analysts.
Fitbit has also separately launched the Fitbit Premium, which provides customised coaching to users, which includes health reports, workouts and sleep features and costs $9.99 a month, beginning from September.
The Fitbit Premium and the Versa 2 are aimed at its existing 27 million users who are looking to upgrade, said Scott Searle from Roth Capital Partners.
Searle went on to add, “Fitbit Premium provides sleep guidance and insights enabled by 10.5 billion nights of sleep data gathered from its previous models that give it an edge over Apple’s watches”.
Furthermore, Fitbit’s battery life is 5 days, compared to Apple’s watches only 2 days; the Apple watch also looses out on sleep data since it is typically charged overnight, he added.
Last week, Fitbit said it has signed a contract with the Singapore government to provide fitness trackers and services in a health program which could reach up to 1 million users.