Fitbit has a lot to prove in the second half of this year.
The wearables brand has come under fire recently as sales of their products have rapidly declined. During this week's quarterly earnings call, the company confirmed sales have dropped by 40% year-over-year compared to the second quarter of 2016. While this isn't as big of a drop as previously predicted, it doesn't bode well for the company.
Thankfully, Fitbit has an ace up its sleeve.
“Our smartwatch, which we believe will deliver the best health and fitness experience in the category, is on track for delivery ahead of the holiday season and will drive a strong second half of the year," Fitbit co-founder and CEO James Park said in a press release. "In the long term, we are confident in our vision for the future and are uniquely positioned to succeed by leveraging our brand, community, and data to drive positive health outcomes.”
Fitbit's yet-to-be-named smartwatch has been rumored for months to be the company's new flagship device. In contrast to the Fitbit Blaze—which has limited features in comparison to other heavy-hitting smartwatches on the market—the new device is said to be a direct competitor to the Apple Watch (currently dominating the market) and Android Wear 2.0 watches.
Surprisingly, the press release makes no mention of successors to last year's successful fitness bands like the Charge 2 and Flex 2. As a result, it appears Fitbit is banking entirely on the new smartwatch to pull them out of their sales slump.
Time will tell if the bet pays off.
But if you're not interested in waiting, Fitbit's Alta HR makes for an excellent fitness tracker, albeit without the bells and whistles of a smartwatch.