Client Brief Marketplace History of the marketplace: The Fitbit Flex, a glorified pedometer, falls under the Sporting

Goods Manufacturing Market. Dale Schmidt (2013a), a researcher for IBISWorld simply states that the Sporting Goods Manufacturing Market has operators in this industry buying raw materials and transforming them into a range of sporting/athletic goods, then marketing the finished products to wholesalers and retailers. Affirmingly, Hoovers research (2013a) states that sporting goods manufacturers sell products through sporting good retailers, department stores, mass merchandisers, and certain manufacturers sell directly to consumers via company websites. Schmidt has found that the relevant and key economic drivers for this industry are having consumers that participate in sports, having a demand from sporting good stores, and a demand from department stores. Due to the specialized nature of sporting good products, participation in healthy activities affects the industry (Schmidt, 2013a). Again, revenue usually depends on the consumer having time to participate in healthy activities and having the means to buy equipment that supports them. Schmidt explains that the recession decreased consumer demand for sporting and athletic equipment. Consequently, industry revenue declined at an annualized rate of 1.3% from 2008-2012, but saw 0.3% revenue increase from 2012-2013 (Schmidt, 2013a). As economic recovery builds, retail sales will improve, and as consumers become more health conscious they will be more driven to purchase said athletic equipment. Key Actors of Future Trends: Plunkett research (2013) on the Sports Industry Market suggests that the electronics applied to sporting goods are becoming much more advanced as sensors are being embedded that wirelessly gather information through accelerometers. Their research also suggests that sports participants will want to be connected to personal electronics that relate to their recreational activities just as much as they are connected to their smart phones, computers, and other electronic devices (Plunkett, 2013). Dale Schmidt (2013a), researcher for IBISWorld has concluded that clients in the Sporting Goods Manufacturing Market purchase sporting equipment based on their involvement in sports and recreational activities. IBISWorld research shows that competition in the manufacturing market is high and the trend is steady. Schmidt has found operators in manufacturing competing against other companies that manufacture identical goods (Schmidt, 2013a). Internally, competition between industry participants is based on quality, diversity of features, warranties, price, and customer service (Schmidt, 2013a). IBISWorld research concluded that external competition for manufacturing includes other industries that offer alternative ways for consumers to spend their leisure time, for example, video game wholesalers. Hoovers Database research supports Schmidts research by mentioning that the U.S. sporting goods industry competes for attention with electronic and entertainment leisure diversions like TV, movies, the Internet, and especially video games (Hoovers, 2013b). Future trends in the marketplace: According to Dale Schmidt (2013a), as the U.S. economy recovers from the 2008 recession, consumers per capita disposable income is on the rise. This increase of disposable income bodes well for the sporting goods,

equipment, and accessories wholesale and manufacturing markets because consumers are more likely to purchase equipment and accessories to aid their fitness goals. According to Schmidt, to save money during the recession, consumers found activities that were less costly and did not require significant purchases in order to participate. They turned to activities like Yoga, running, and Zumba, which do not necessarily require the purchase of a gym membership or sporting goods (Schmidt, 2013b). Because these trends are now well established, recovery in the marketplace should be relatively slow. Growth in the fitness equipment category is forecasted to grow annually at 1.0% through 2017, although a projected 2.2% increase in 2014 is reason to be cautiously optimistic (Schmidt, 2013a). While consumers may be less likely to participate in fitness activities that require substantial purchases, products that can supplement the less costly fitness activities could be promising in the coming years. In fact, a study by the International Handling Service (2013) predicts that the installation of mobile apps related to fitness (heart rate monitors, pedometers, calorie tracers, etc) should grow from 156 million downloads in 2012 to 248 million downloads by 2017. The IHS concludes that this represents a 63% growth over the five-year span. This increase in fitness app downloads predicts a flourishing future for wearable electronic fitness devices like the Fitbit Flex. The same IHS study found that 60% of consumers who download fitness apps are interested in purchasing a wearable electronic fitness tracker to supplement their app. A separate study by Markets and Markets (2013) found that the wearable fitness electronics market generated $2.7 billion in 2012, but sales are expected to reach as high as $8.3 billion by 2018, representing a compound annual growth rate of 17.71%. Essentially, a broad overview of the market tells us that while consumers may be wary of making extravagant fitness related purchases; it appears that they will be far more willing to purchase equipment that is heavily based on new technology. The ability for new devices, like the Fitbit Flex, to sync to users smart phone apps is very intriguing to consumers and appears to have a bright future. As the technology continues to improve it is likely that these devices will be increasingly integrated into the everyday lives of consumers (Markets & Markets, 2013). Uncontrollable Factors: In the coming years, there are several uncontrollable factors that could possibly affect fitness electronics like the Fitbit Flex. John Hall (2012), a writer who reports on commodity markets, procurement, and supply management topics notes that a cataclysmic event like an earthquake or hurricane could drastically affect the price of electronic materials like semiconductors, a major component of electronic devices. He states that the majority of semiconductor producers are located in California; an earthquake could disrupt production and interrupt the steady return to normalcy that the semiconductor market has been working towards since the recession. He also reports that semiconductor prices have been volatile in recent years, putting a burden on both suppliers and buyers. However, upstream utilization rates indicates suppliers in the semiconductors and related device manufacturing market should have reliable access to required raw materials (Hall, 2012). Therefore, Hall says that while prices may be changing for the first time in several years there is no immediate risk of a lack of supply.

This is of course, barring any disastrous events like that of an earthquake or hurricane. If this were to occur there would be an immediate shortage of semiconductor material, which given its high demand would cause prices to skyrocket (Hall, 2012). Hall states that this would not bode well for any market, especially not the electronics and sporting goods accessories markets because they are so dependent on electronic technologies. The second uncontrollable factor is simply the U.S. economy. Glenn Somerville (2013), a writer for Kiplingers Finance Advice and Business Forecasts reports that while it has shown steady improvement in the past couple years, the recession of 2008 taught us that a market crash could really happen at any time, possibly for reasons we do not yet understand. The market right now is fairly fragile, according to Somerville, growth isnt booming but momentum is gaining, a hit to the market at this point would halt all momentum and possibly bring the market below 2008 levels. Peter Morici (2013), a writer for Fox News agrees that while the market has shown growth in areas like the GDP, the U.S. is not in the clear yet. Morici goes on to say that businesses of all sizes need to be wary of how policies like Obamacare will affect the fragile economy moving forward. He also says that any drastic changes in terms of policy could cause consumers to once again tighten their wallets in fear of economic backlash. This would prompt them to look for cheaper alternatives within the sporting goods equipment and accessories marketplace. A third uncontrollable factor that must be monitored closely in the coming years is the threat of information hacking and deprivatization of personal information collected using the Fitbit and similar devices. In July of 2011 Fitbit came under criticism due to allegations that users physical location and activity were available for public viewing without their permission (Park, 2011). According to Park substantial changes were made in Fitbits online profile system to ensure that unwanted personal information would not be available to the public. However, problems have persisted. In April of 2013 hackers exposed that due to Fitbits use of plain HTTP coding, it is possible to capture user information when an oppurtunistic attacker is within 15 feet of a Fitbit user (Alvarez, 2013). While Fitbit cannot control the ill intentions of others, they will have to remain cognizant of this problem and develop a set of best practices moving forward. Lastly, there are several oversight groups that could prove to be problematic given the right circumstances. Since so many of the fitness accessories, like the Fitbit Flex, are based around electronics, the Environmental Protection Agencys fairly recent committal to combating electronic waste could prove costly down the road (Environmental Protection Agency [EPA], 2013). According to the EPA (2013) U.S. laws and regulations are limited in their ability to prevent harmful exports of used electronics to developing countries, the EPA and organizations like it are currently exploring new avenues for regulating the transport and disposal of electronic waste. While the EPAs exact next steps are unclear now, this will inevitably be a topic of discussion for any tech company moving forward. Client and Product or Service for this Campaign Client History and Corporate Philosophy: Fitbit Inc. is a health and fitness start-up

company, located in San Francisco, CA, that was founded in 2007 and was determined to create a wearable product that would change the way people move (Fitbit Inc., 2013). Fitbits mission is, To empower and inspire you to live a healthier, more active life. We design products and experiences that fit seamlessly into your life so you can achieve your health and fitness goals, whatever they may be (Fitbit Inc., 2013). According to CrunchBase (2013), a database for startup companies reports that Fitbit produced its first movement tracker, Fitbit Classic, in 2008, which tracked activity on several levels, and sleep. It was designed to be discrete and worn 24/7 (Crunch Base, 2013). Today, all Fitbit trackers collect activity data automatically all day while worn by the user (Fitbit Inc., 2013). CrunchBase research states that the collected data is wirelessly uploaded to a website where the user can see the data and track his or her progress toward personal goals. The website provides a motivational interface where users can share their progress, compare themselves against similar people, and work toward virtual goals with family, friends, and co-workers (CrunchBase, 2013). Fitbit makes it easier to achieve a healthy lifestyle by automating the collection of health data and providing a motivating and entertaining user interface (CrunchBase, 2013). Products and Services Offered Overall: Fitbit Inc. (2013) currently offers multiple products and online services to make people more aware of their everyday activity, fitness levels, and sleep activity. Fitbit offers four fitness trackers. The following product information was found on the Fitbit product website (Fitbit Inc., 2013): The Fitbit Zip is a glorified pedometer that tracks steps taken, calories burned, and distanced traveled. It, of course, syncs wirelessly and automatically to a personal online profile to track and meet fitness goals. Fitbit also offers the Fitbit One and the Fitbit Flex. These two trackers measure activity level; this includes steps, distance, calories burned, floors climbed, etc., as well as measure sleep activity. This includes hours of sleep, number of times woken, and sleep efficiency. These two trackers also wake the user with a silent alarm by vibrating on the wrist. They, too, automatically sync to an online profile. The Fitbit One and the Fitbit Flex can be worn 24/7 and they are water resistant. The newest Fitbit product, the Fitbit Force, was released in October 2013 and has all of the same functions as the previous mentioned trackers. The Force, however, this wristband has a display which shows the time and fitness statistics on the device. The Fitbit also offers a Wi-Fi Smart Scale, which tracks body weight, body fat percentage, BMI, and wirelessly syncs statistics with a personal online profile. Fitbits services, also found on the Fitbit website (Fitbit Inc., 2013), include mobile apps that will sync your tracker statistics, track daily goals and progress, log food to monitor calories, and complete or share with friends. Fitbit Inc. says that the mobile apps are only for select phones; however, these services can be used for free on the Fitbit website as well. Fitbit also offers Fitbit Premium, which includes a personal trainer, nutritionist, sleep consultant, and other added features to the online profile for $49.99 a year (Fitbit Inc., 2013). Fitbit also has an App Gallery, which allows users to connect

existing applications from other providers such as Lose It! and MyFitnessPal to have cumulative data in one location for a more complete, personal, health report (Fitbit Inc., 2013). Description of Product/Service For This Campaign: The Fitbit Flex is a wireless activity and sleep-tracking wristband. The following information was found on the Fitbit website (Fitbit Inc., 2013): The bracelet comes in a small and large size, and in two different colors: black or slate. The wristband is also water resistant, up to 10 meters. The Fitbit Flex not only tracks all activity, but it tracks number of steps taken, flights of stairs taken, calories burned, and quality of sleep. It tracks all of this information automatically, and wirelessly, to computers and mobile devices. The Flex has Bluetooth 4.0, making wireless connectivity of data to select iOS or Android-based smartphones easy. Once the free app is downloaded and your fitness goals are entered, the tracker syncs automatically when it is within 20 feet of your smartphone. All statistics are displayed in real time, meaning you can walk and hold your device, while seeing your steps being counted. The display on the Flex shows five LED lights, which represents your progress for the day according to the daily step goal you have set. Once all five lights are lit, the Fitbit Flex will vibrate on your wrist and all lights will flash. Ken Kwok (2013), a writer for the Los Angeles Times reports that the Fitbit Flex is also compatible with other applications, such as My Fitness Pal, and Run Keeper, so all of your information can be in one location. Unique Selling Proposition: The Fitbit Flex has many unique benefits, but it is unclear at the moment what the exact unique selling proposition should be until further research is conducted. While competitors may have one aspect of their products that stand out from the Fitbit Flex, the Fitbit Flex has a number of unique factors. These factors include automatic syncing to all personal electronic devices, significantly cheaper price than competitors, goal tracking on the product itself, as well as, on devices; scoring badges on devices when reaching goals, and keeping the user motivated (Fitbit Inc., 2013). The Flexs unique selling proposition could be focused around any one of these factors. Once further research has been conducted, the USP will be focused on the target audiences preferences. Current Place of Specific Product or Service in Market: The Fitbit can be purchased online through the product website as well as in large technology department stores such as Best Buy, Amazon, Dicks Sporting Goods, and Apple and their company websites (Fitbit Inc., 2013). The availability of the Fitbit Flex makes it easier for the interested target audience to purchase. Since the Fitbit Flex falls into the category of athletic electronic accessories, it will be found in popular athletic department stores as well as be paired up with electronic stores that want to emphasize health into their image or any one of their campaigns (Fitbit Inc., 2013).

Competitive Products or Services: According to Nike Incorporated (2013), Fitbits competitive market is continuing to grow. Nike+ was one of the first fitness apps to launch and is able to track distance while running by using location services on smartphones (Nike Incorporated, 2013). However, apps do not offer as much to an interested, health-conscious individual. Fitbit Inc. (2013) suggests that there needs to be an additional medium, such as the Fitbit Flex, which is able to calculate more accurate data of fitness records. The Fitbit Flex is one of these more complex versions of an app. It is able to count the number of steps that you take on a daily basis and go even further by measuring the number of calories that are burned during everyday activities (Fitbit Inc., 2013). Through a primary research method of direct observation of consumer blogs, Evolution has found that other products up against the Fitbit Flex are Amiigo (Amiigo, Inc., 2013), the Nike Fuel Band (Nike Incorporated, 2013), and UP by Jawbone (Jawbone, 2013). Evolution compared these brands to Fitbit and found that the Fitbit Flex is the least expensive out of all of the competing brands. Evolution also found that the Fitbit Flex has more benefits than any other competitor, which gives customers an incentive to choose it over its competitors. Problems and Opportunities for Client on Horizon: The threat that Fitbit Flex faces is the creation and advancements of other athletic bands. Since Fitbit is in such a new product line with its competitors, it is important for them to emphasize on the uniqueness of their brand. They need to be able to build a brand image with the consumer so they are able to stand out from their competition. With the economy the way it is today, Fitbit is trying to convince consumers to purchase this item by marketing the idea that it is necessary for an individuals everyday life. They explain this by including many pictures on their website relating to people doing different types of activities like hiking as well as daily activities such as walking the dog, talking on the phone, sleeping, etc., (Fitbit Inc., 2013). Compared to Fitbits competition, it is one of the cheapest fitness bands to purchase, which gives the product an advantage. With the Fitbit Flex priced at $99 (Fitbit Inc., 2013), it is cheaper than the Nike Fuel Band, which is priced at $149 (Nike Incorporated, 2013). UP by Jawbone is priced at $129.99 (Jawbone, 2013). The price of the Amiigo has not been released, considering the product is still being developed (Amiigo, Inc., 2013). Building a strong connection with the consumer by providing reasoning and comparisons will decrease the gap between like and need. Recommended Target Audience It is Evolutions recommendation for the Fitbit Flex to market the product and its uses to a target audience of health conscious adults, ages 18-54. Evolution defined health conscious adults to be people who worked out regularly for the past 12 months and found a balanced diet to be important. This information was found using Simmons OneView (2013). Additional data can be found in the Appendix. Demographics and Psychographics: According to Simmons OneView (2013), listed

below are the demographics of adults aged 25-34 who exercise regularly and maintain a healthy diet: 42.3% are male; 57.7% are female 38.5% graduated college 54.6% are married 59.5% are employed full-time 35.7% have a household income of $100,000+

33.6% reside in the south, while 25.6% reside in the west

According to Simmons OneView (2013), a majority of the target market uses their mobile phones for more than primary phone functions. Simmons research says that mobile phones are used for applications, social media, shopping, searching, etc. Also, this market is extremely active online, for example, 53% are shopping on the Internet more than ever before (Simmons OneView, 2013). Simmons research reports that this 7

market actively searches for information prior to making a purchase and that most of the time; the target audience seeks this information online. Simmons research states that 37.3% of the market is early adopters, and that the target reads magazines dealing with health, sports, music, and entertainment. Evolution will conduct further research to determine this target audiences thoughts, feelings, and usage of technology, social media, fitness blogging, and other existing fitness products and applications. This research will help Evolution better understand the psychographics of this audience and their correlation to the Fitbit Flex. Target Audience Product Use Rates: The fitness electronics market is still too new of a market to be able to attain reliable secondary data on usage rates within Evolutions recommended target audience. However, Evolution conducted a preliminary content analysis of 47 blog posts that appeared on sites whose discussions center on wearable fitness electronics like the Fitbit Flex, Jawbone, and Nike Fuelband. The analysis showed that 17 (14.89%) of the 47 posts were people who currently own a Fitbit product. 22 (61.70%) of the posts belonged to people who were interested in the product category or expressed an intention to buy a Fitbit product. Only 8 (17.02%) of the posts were by people who owned alternatives to a Fitbit product. Evolution believes that, given the circumstances, the results of this analysis are a good starting point for further research into product usage rates. Rationales for the Recommendation of this Specific Target Audience: The Fitbit Flex is meant to supplement traditional fitness programs and provide its users with added information about their daily activity and sleep patterns. Evolution recommends a health conscious target audience because these individuals already care about their health and are prone to supplement daily routines with emerging technology. This target audience uses mobile phones for more than just their traditional features, and the majority of the target audience finds other features on the phone, like applications, more important. The technological side of the Flex aligns with the audiences interests. This audience also has a relatively high disposable income, which allows them to buy products that are not necessities. Problems and Opportunities Associated with Target Audience: The recommended target audience is very inclined to research products online before purchase (Simmons OneView, 2013). When doing so, the target audience will research other products like the Fitbit Flex. An opportunity for this problem is to make sure the Fitbit Flexs unique selling proposition is truly unique from the competition, so the product will stand out to the consumer audience. The fitness electronics market is still an emerging market. Because the target audience is made up of early adopters, there is great opportunity to seize market control before there is another strong brand establishment for this type of product (Simmons OneView, 2013). Recommended Marketing Goal for this Campaign Because the Fitbit Flex is a new product, Evolutions recommended target audience

needs to be marketed at a high frequency. Once there is awareness, consumers will begin to be more open to purchasing the Fitbit. Since the product is priced at a competitive level, consumers will have to gain as much knowledge as possible in order to select the Fitbit over the other brands. Unfortunately, most sporting goods are known to have short life cycles on shelves. To avoid short market life, increasing knowledge of health and fitness in individuals on a consistent basis will ensure the fact that our number of consumers will have very little chance of diminishing. Fitbit has tremendous equity with their company. The potential growth of the Fitbit Flex compared to its competition needs to be able to correctly shape a brand image around the Fitbit Flex. Once an identity is created, Fitbit will be able to form a relationship and trust with consumers. A long-term relationship with the consumer is important so brand loyalty can be developed. Even though consumers may only purchase this product once, it is important for them to have a positive experience with Fitbit so they can recommend their experiences to their friends and expand awareness to more individuals. This will keep customers committed to, ...the brand regardless of price or any other factor, (Parente, 2006, p. 46). It is important to keep the brand up-to-date with todays industry so they are able to attract new customers as well as create loyal customers if they are to update the Fitbit Flex to a new product.

Works Cited: Alvarez, A. (2013, April 24). Keeping Fitbit safe from hackers and cheaters with FitLock . Retrieved from Gigaom: http://gigaom.com/2013/04/24/keeping-fitbit-safe-fromhackers-and-cheaters-with-fitlock/ Amiigo, Inc. (2013). Amiigo. Retrieved from Amiigo, Inc.: http://www.amiigo.co/ Apple Incorporated (2013). iPhone Accessories. [ONLINE] Available at: http://www.apple.com. [Last Accessed 17 September 2013]. CrunchBase. (2013, September 3). Retrieved from CrunchBase: http://www.crunchbase.com/company/fitbit Environmental Protection Agency. (2013, April). Cleaning Up Electronic Waste (EWaste). Retrieved from EPA: http://www.epa.gov/international/toxics/ewaste/index.html Fitbit Inc. (2013). Fitbit. Retrieved from Fitbit Inc.: http://www.fitbit.com/home Hall, J. (2012, March 12). Costs Drive Semiconductor Prices. Retrieved from My Purchasing Center: http://www.mypurchasingcenter.com/electronics/articles/2011-continues-to-drivesemiconductor-prices/ Hoovers Inc. (2013a). Sporting Goods Manufacturing: Retrieved from Hoovers Inc. Hoovers Inc. (2013b). Sporting Goods Stores: Retrieved from Hoovers Inc. Jawbone (2013). Jawbone UP. Retrieved from Jawbone: https://jawbone.com/up?r=awup11&gclid=CKbP2KrQproCFdKf4AodwHcAHw Kwok, K. (2013, September 6). Fitbit Flex Wireless Activity and Sleep Wristband. Retrieved from Los Angeles Times: http://www.latimes.com/health/la-he-10ksteps-fitbit-20130907,0,2705271.story Markets and Markets. (2013, May). Markets and Markets. Retrieved from Wearable Electronics Market and Technology Analysis (2013 2018): By Components (Sensors, Battery, Display, Networking); Applications (Consumer, Healthcare, Enterprise); Products (Smart -Textiles, Glasses, Watches);e-Materials & Geography: http://www.marketsandmarkets.com/Market-Reports/wearableelectronics-market-983.html Morici, P. (2013, August 29). Yes, GDP grew more than expected but US economic outlook remains treacherous. Retrieved from Fox News: http://www.foxnews.com/opinion/2013/08/29/yes-gdp-grew-more-than-expected-

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but-us-economic-outlook-remains-treacherous/ Nike Incorporated (2013). Nike+ Fuelband. [ONLINE] Available at: http://nikeplus.nike.com/plus/. [Last Accessed 3 September 2013]. Parente, D. E. (2006). Advertising Campaign Strategy: A Guide to Marketing Communication Plans. Mason, OH: Thomson Higher Education. Park, J. (2011, July 11). Changes to Your Personal Profile. Retrieved from Fitbit Blog: http://blog.fitbit.com/?p=463 Plunkett Research, Ltd. (2013). Sports Industry Market Research: Retrieved from Plunkett Research, Ltd. Schmidt, D. (2013a). IBISWorld Industry Report 3392a: Athletic and Sporting Good Manufacturing in the US. Melbourne: Retrieved from IBISWorld. Schmidt, D. (2013b). IBISWorld Industry Report 42391: Sporting Goods Wholesaling in the US. Melbourne: Retrieved from IBISWorld. Services, Information Handling. (2013, July 11). Sports and Fitness App Market to Expand by More Than 60 Percent in Five Years. Retrieved from iSuppli: http://www.isuppli.com/Home-and-Consumer-Electronics/News/Pages/Sportsand-Fitness-App-Market-to-Expand-by-More-Than-60-Percent-in-FiveYears.aspx Simmons OneView. (2013). Simmons OneView: 2013 data: Retrieved from Experian Marketing Services. Somerville, G. (2013, August 30). Kiplinger's Economic Outlooks. Retrieved from Kiplinger's Finance: http://www.kiplinger.com/tool/business/T019-S000-kiplingers-economic-outlooks/index.php

11

Appendix: 18-54 health conscio us Weighted(0 225,862 48,857 00) Vertical % 100.0% 100.0% Horizontal 100.0% 21.6% % Index 100 100 Weighted(0 109,347 20,677 00) Vertical % 48.4% 42.3% Horizontal 100.0% 18.9% % Index 100 87 Weighted(0 116,515 28,179 00) Vertical % 51.6% 57.7% Horizontal 100.0% 24.2% % Index 100 112 Weighted(0 28,954 3,809 00) Vertical % 12.8% 7.8% Horizontal 100.0% 13.2% % Index 100 61 Weighted(0 88,309 15,342 00) Vertical % 39.1% 31.4% Horizontal 100.0% 17.4% % Index 100 80 Weighted(0 61,370 18,816 00) Vertical % 27.2% 38.5% Horizontal 100.0% 30.7% % Index 100 142 Weighted(0 122,763 26,652 00) Vertical % 54.4% 54.6% 12 Total

Total

MALE

FEMALE

DID NOT GRADUATE HIGH SCHOOL

GRADUATED HIGH SCHOOL/<1 YEAR COLLEGE

GRADUATED COLLEGE OR MORE

PRESENTLY MARRIED

NOT MARRIED

EMPLOYED FULL TIME (30+ HOURS)

EMPLOYED PART TIME (<30 HOURS)

NOT EMPLOYED

LESS THAN $24,999

$25,000 - $49,999

$50,000 - $99,999

Horizontal % Index Weighted(0 00) Vertical % Horizontal % Index Weighted(0 00) Vertical % Horizontal % Index Weighted(0 00) Vertical % Horizontal % Index Weighted(0 00) Vertical % Horizontal % Index Weighted(0 00) Vertical % Horizontal % Index Weighted(0 00) Vertical % Horizontal % Index Weighted(0 00) Vertical % Horizontal %

100.0% 100 103,099 45.6% 100.0% 100 108,572 48.1% 100.0% 100 25,873 11.5% 100.0% 100 91,417 40.5% 100.0% 100 44,069 19.5% 100.0% 100 53,994 23.9% 100.0% 100 73,556 32.6% 100.0%

21.7% 100 22,204 45.4% 21.5% 100 29,059 59.5% 26.8% 124 6,816 14.0% 26.3% 122 12,982 26.6% 14.2% 66 6,088 12.5% 13.8% 64 8,473 17.3% 15.7% 73 16,832 34.5% 22.9%

13

$100,000 OR MORE

NORTHEAST

MIDWEST

SOUTH

WEST

IM ALWAYS THE FIRST AMONG MY FRIENDS TO HAVE THE LATEST IN ELECTRONIC EQUIPMENT

Index Weighted(0 00) Vertical % Horizontal % Index Weighted(0 00) Vertical % Horizontal % Index Weighted(0 00) Vertical % Horizontal % Index Weighted(0 00) Vertical % Horizontal % Index Weighted(0 00) Vertical % Horizontal % Index Weighted(0 00)

100 54,243 24.0% 100.0% 100 41,328 18.3% 100.0% 100 50,441 22.3% 100.0% 100 81,355 36.0% 100.0% 100 52,738 23.3% 100.0% 100 20,689

106 17,464 35.7% 32.2% 149 10,175 20.8% 24.6% 114 9,715 19.9% 19.3% 89 16,437 33.6% 20.2% 93 12,529 25.6% 23.8% 110 7,328

Vertical % 9.2% Horizontal 100.0% % Index 100 SHOPPING:GATHERED Weighted(0 33,976 INFORMTION FOR SHOPPNG 00) Vertical % 15.0% Horizontal 100.0% %

15.0% 35.4% 164 10,139 20.8% 29.8%

14

SHOPPING: MADE A PURCHASE

Index 100 Weighted(0 30,893 00) Vertical % 13.7% Horizontal 100.0% % Index 100

138 9,429 19.3% 30.5% 141

15