Smart Shades
Augmented Reality Eyewear
Julia Heitkamp, Rodney Hunter, Kia Moore, Andrea Parra, and
Christopher Sims
Business Marketing
306-02 Fall 2013
Presented to Professor Davis
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TABLE OF CONTENTS
EXECUTIVE SUMMARY …………………………………………………………………... 3
MARKET ANALYSIS ……………………………………………………………….............. 4
Situation Analysis ……………………………………………………………... 4
Market Summary ………………………………………………………………4
TARGET MARKET……………………………………………………………………5
Geographics ……………………………………………………………………..5
Demographics …………………………………………………………………..6
Behavior Factors & Psychographics ………………………………………….8
THE MARKET …………………………………………………………………………8
Market Need …………………………………………………………………….8
Market Trends …………………………………………………………………12
Market Growth ………………………………………………………………...14
SWOT ANALYSIS ……………………………………………………………………………15
Strengths ………………………………………………………………………..16
Weaknesses ……………………………………………………………………..16
Opportunities …………………………………………………………………..18
Threats ………………………………………………………………………….18
COMPETITION ……………………………………………………………………….19
PRODUCT OFFERING ……………………………………………………………....20
KEYS TO SUCCESS ………………………………………………………………….21
CRITICAL ISSUES ……………………………………………………………………22
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Executive Summary
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Situation Analysis
The world today runs on technology, new devices and applications are invented every
day, and consumers want access to more information quickly and conveniently. Consumers are
busy and have little patience in this instant gratification obsessed world. Computing is a part of
daily life for most people; it usually involves using a laptop, pc, tablet, or other device and
physically scrolling through the information, which can be a hassle. Virtual computing eyewear,
such as SmartShades, could streamline the computing process by allowing consumers to
compute virtually using augmented reality (AR). Augmented reality is when virtual and actual
reality are combined by superimposing computer generated images on top of one’s actual
surroundings.There are few products in the current market that are using AR, Google Glass is a
great example of one; with that said there is a lot of potential and research being done to bring
augmented reality into mainstream. Smart devices are the gateway to a world in the future.
Market Summary
The market for virtual computing eyewear falls into two categories: fashion and
technology. The fashion market is constantly reinventing itself and cultivates creativity and
innovation; much like technology. The two markets are being combined more and more bringing
forth products that are both stylish and technologically wired. SmartShades encompasses style
and functionality through technology. The AR market is a hot bed for up and coming devices and
apps. It is a prime time to enter this niche market, because the technology is out there it is just a
matter of harnessing it to serve a purpose. According to an article in Business Wire the
augmented reality market will see revenues of over $3 billion in the next two years (2012). Also
revenue from mobile device based AR is expected to be $2.5 billion in 2015 (Business
Wire,2012).
Business-to-Consumer is the main focus for our product; SmartShades are for the fashion
and technology conscience consumer. Based on our survey roughly 60% of people polled ranked
computing as the most important function of a smart device (Heitkamp, Hunter, Moore, Parra,
Sims, survey, September 28,2103). SmartShades could be just the device to allow them to do
their daily computing. Consumers ages 18-34, Millennials and Gen Xers, are most interested in
this product; consumers ages 35-45 were also interested. We will specifically target those
consumers who are professionals in the Generation X market segment. Next we will target
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Millennials who are heading into the workforce and those who are looking for the next wave of
smart device technology with the purchasing power to match.
In the Business-to-Business market our product could allow the staff of an entire company to
compute and communicate with each other and with their clientele.
Target Market
Geographics:
Since the Smart Shades are a development of smartphones, there are many specific
geographic locations which will be targeted to achieve product success. There are however areas
we predict in which the eyewear will be most successful more quickly. First Smart Shades will
be marketed in the metropolitan cities of the United States, then extended to the rest of the
country, Europe and the Asian continent. In this section we will focus on the first target audience
from where Smart Shades will then expand from.
Business-to-Consumer:
The main focus of Smart Shades will be its involvement with the Business-to-Consumer
market. Today almost everyone in the western population is using a smartphone in their
everyday life. Since technology is so widely spread throughout the world, there is no
geographical restriction for a product such as Smart Shades. To start marketing the eye wear, we
will set a focus on areas that contain a high level of specific target consumers.
Geographical areas where many Upper Mid, Wealthy and Upscale households are located
are the best entry route to market Smart Shades existence. Due to their higher income and
interest in new technology they will be most likely to buy a product like Smart Shades. This
demographic group is most likely to use the eyewear to improve their business and private
lifestyles. Since they are most likely to be found in metropolitan, urban and suburban areas, those
will be the first geographical areas to start applying Smart Shades.
Business-to-Business:
The geographical characteristics of the Business-to-Business market goes hand in hand
with the characteristics of the Business-to-Consumer market. Many big companies who equip
their employees with the newest technology are located in the metropolitan cities of the East and
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West of the United States. New handless technology would make the life of business personnel
much easier and flexible.
Demographics:
Business-to-Consumer:
Smart Shades will address a wide range of target consumers which includes Americans
with disabilities, business professionals, customers with technological interest, and in general
everyone who wants to communicate through the latest fashionable accessory. Due to the
relatively high price of the eyewear, Smart Shades will target those in these groups with mid-tohigh income levels. Each of these groups will be further described through the Nielsen PRIZM.
Within the age group of 25 to 55, there are four specific groups which the Smart Shades will
target: the Young Digerati, the Bohemian Mix, the Money and Brains, and Brite Lights, Li'l
City´s.
Young Digerati are tech-savvy and live in fashionable neighborhoods on the urban fringe.
Affluent, highly educated, and ethnically mixed, Young Digerati communities are
typically filled with trendy apartments and condos, fitness clubs and clothing boutiques,
casual restaurants and all types of bars--from juice to coffee to microbrew. They belong
to the wealthy younger family mix and are between 25 and 44 years old (Nielsen PRIZM,
n.d.).
A collection of mobile urbanites, Bohemian Mix represents the nation's most liberal
lifestyles. Its residents are an ethnically diverse, progressive mix of young singles,
couples, and families ranging from students to professionals. In their funky row houses
and apartments, Bohemian Mixers are the early adopters who are quick to check out the
latest movie, nightclub, laptop, and microbrew. They belong to the upper mid middle age
family mix and are younger than 55 years old (Nielsen PRIZM, n.d.).
The residents of Money & Brains seem to have it all: high incomes, advanced degrees,
and sophisticated tastes to match their credentials. Many of these city dwellers are
married couples with few children who live in fashionable homes on small, manicured
lots. They belong to the Wealthy older family mix and are between 45 and 64 years old
(Nielsen PRIZM, n.d.).
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Not all of America's chic sophisticates live in major metros. Brite Lights, Li'l City is a
group of well-off, middle-aged couples settled in the nation's satellite cities. Residents of
these typical DINK (double income, no kids) households have college educations, wellpaying business and professional careers, and swank homes filled with the latest
technology. They belong to the Upscale Middle Age groups without kids and are under
55 years old (Nielsen PRIZM, n.d.).
Those groups are most likely to be found in the urban metropolitan areas as given in the
geographic features. Due to their sophisticated lifestyle and their good economic situation, those
groups are most likely the first target customers for the Smart Shades. They will appreciate the
mix out of functionality and fashion and set the trends for other demographic groups to follow
their example.
Since the Baby Boomer Generation is the wealthiest demographic group in the United
States, the Smart Shades need to approach them too. They will most likely value the
functionality of the lifestyle aspect of the eye wear. The Smart Shades project information like
grocery shopping lists or other notes in front of the user´s eyes. Additionally the ability of
handless communication is important for older generations.
In the same way the Smart Shades target the Baby Boomer Generation, they also can
serve as an extended (communication-) tool for people with disabilities. Communicating is
possible through using their eyes. Their everyday life would be easier by using the Shades. On
top of that, the eye wear do not look like a tool for disabled people. The Ray Ban eye wear let the
tool appear as a fashion object.
Business-to-Business:
The Smart Shades will most likely address large business companies, which wants to
equip their employees with the latest technology to work as efficient as possible. Since
communicating is a big part of their business, big companies want their employees work as
effective as possible. The Smart Shades are not only a perfect communication tool but they are
also a fashionable accessory which makes a good impression and complements a business look.
One possible target market are Wall Street broker in New York. Not only function but also the
fashion aspect of the eye wear is what makes the difference to common smartphones.
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Smaller companies will be not as likely to be addressed as the big national and global
players because due to the relatively high price, the costs and effect situation does not fit their
demands.
Behavior Factors/Psychographics:
Business-to-Consumer:
The two major consumer groups the Smart Shades will target are business people and
lifestyle orientated customers.
The first group which the Smart Shades will most likely address is people who use the
computing on-the-go technology for their business life. They will check their email on the way to
work, do telephone calls on their way from one meeting to the other by using a fashionable, new
product instead of common smartphones.
The second group the eyewear will address is people who use the Shades to improve their
lifestyle. If for using apps and social media, taking notes or making telephone calls on the go, the
Smart Shades can make that possible. Due to the easy use of the software and variety of different
eyewear styles, the Smart Shades fit the individual needs of every user. Older generations like
the Baby Boomers as well as people with disabilities can make advantage out of the new
technology and fashion combination.
Business-to-Business:
The new handless use of the communication technology would make the busy life of
businesspeople easier and flexible. Computing on the go is the keyword for an efficient day of
work – wherever one is. And since the companies want their employees to make efficient use out
of their time, the Smart Shades would be a perfect communication tool.
The Market
Market Needs:
The problem that our group decided to address is virtual computing on the go. Virtual
computing on the go is achieved with augmented reality (Definition- very close to being
something without actually being it; existing or occurring on computers or on the Internet. The
"on the go" fulfillment is achieved by an infrared camera that allows the user to interact with the
computer generated images without the need of a tool. This means the user will not need virtual
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reality gloves or a mouse to interact with the CGI. Computing is achieved by providing users
with as much computing features as any high powered computer or smartphone. This would
include, word processing, Internet, social media, music, movies, analysis of the world, and
gaming.
With a pair of smartphone compatible sunglasses, called Smart Shades, we will be able to
effectively execute this problem. Smart Shades will be the newest brand produced by partnering
companies Sony and Ray Ban. They will be the following items in Sony’s production line to join
android and their newest Smart watches. Smart Shades have photochromic lenses, this allows for
them to be lightened and darken when in contact with UV rays. Another feature of the Smart
Shades are bone conduction headphones built into the earpieces creating vibrations on the skull
in the back of the ears allowing the user to hear sounds, which can be used to hear music,
conversations, and responses to voice commands. Smart Shades are Bluetooth compatible, with
the ability to sync with the users smartphone. Ray Bans will provide for a number of styles and
colors making these sunglasses instantly iconic and fashionable.
Eric Tao, a Professor and Director of School of Information Technology and Communication
Design, as well as, Director of Institute for Innovation and Economic Development, gave his
opinion about the market needs in relation to the product Smartshades. In his expert opinion, he
believes there’s a need for Smartshades in the military (for combat training), security sector,
police force, the medical sector, and the education sector. He also believes that there is a desire
for our product in the computing industry, and in the gaming industry (E. Tao, personal
communication, Fall 2013).
The Vision:
The premise behind the needs and wants that Smartshades fulfills can be best
summarized by a quote from the film The Matrix:
“I’m going to show them a world without rules or boundaries, a world where anything is
possible, where we go from there is a choice I leave to you” The Wachowski Brothers
(Directors). (1999). The Matrix [Motion Picture]. United States: Warner Brothers.
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Imagine a world where there are no more bulky computers, no more computer or television
screens, no more controllers or key boards, no more signs or billboards. Imagine a world where
all marketing, computer, and media needs, are fulfilled in one compact devise. Imagine a world
where the unreal can seem real:
“What is real? If you are talking about what you can see, hear, taste or touch, than real is simply
electrical signals interpreted by your brain” The Wachowski Brothers (Directors). (1999). The
Matrix [Motion Picture]. United States: Warner Brothers.
Computing:
Computing like word processing and the internet would become immersive, interactive, threedimensional, and engaging like never before.
Social media:
Talk to a virtual three-dimensional representation of your friend or loved one. Show off digital
super natural powers and digital props. Experience travel to anywhere on or off earth by
projecting your digital self-image.
Music:
Be immersed in a music video or digital world.
Movies:
Feel as if you’re inside a movie and even interact with your favorite characters.
Real World Analysis:
Have super sight and hearing. Be able to scan and interpret with the world around you, using the
Internet in real time.
Gaming:
Don’t just play a game, live inside a game. Don’t play in the real world or in the digital world;
play in both at the same time.
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Practical uses:
-Computing needs for work or school
-Animations or digital modeling
-Digital assistance in activities (ex. Surgery)
-Combat training
-Digital reminders and warnings
Augmented Reality (AR) apps for use in smartphones are growing exponentially. This is
one of many examples that indicate there is a growing interest and need for AR in the
marketplace. “The appetite for these interactive digital applications is on the rise as smartphone
adoption accelerates” (“Are we there yet?; Mobile augmented reality apps taking it mainstream,”
2012).
AR is a new platform for technologies that offer convenient, compact, and mobile computing.
The demand for Smartphones, is and continues to be, on the rise. Smartshades can perform every
function that a smartphone can and so much more. “Informa reports that between 8.0% and 38%
of the world's population owns a smartphone, and believes the number could reach 60% by 2016
with the Asia-Pacific region experiencing the biggest rise” (“Are we there yet?; Mobile
augmented reality apps taking it mainstream,” 2012).
The success of smartphones and AR apps in the marketplace is proof there is a market for
Smartshades. “…a market that started out at a mere $21million in revenues in 2010 is expected
to reach $3-billion by 2016” (“Are we there yet?; Mobile augmented reality apps taking it
mainstream,” 2012). However, smartphones and the AR apps are very limited. They are only, at
best, as real as a movie one watches on a screen. They lack the reality and immersion that is
possible with Smartshades. “These combined market forces have the potential to transform the
interactive experience for the day-to-day consumer” (“Are we there yet?; Mobile augmented
reality apps taking it mainstream,” 2012).
Print interactive apps are an example of how AR can also be used for marketing and
advertisement. These apps have made magazines, newspapers, flyers and posters interactive.
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These apps are also linked up to social networks. “…early indicators show that interactive print
is proving its worth in triggering responses from consumers…When compared with digital
banners on websites, click-through rates for AR activated content is up to 100% higher” (“Are
we there yet?; Mobile augmented reality apps taking it mainstream,” 2012). The potential of AR
in the marketplace has not been realized; however, Smartshades will make that potential a reality
“…a strong business case, combined with rapid uptake in smartphone adoption, will soon
transform this niche technology into a marketing mainstay.” (“Are we there yet?; Mobile
augmented reality apps taking it mainstream,” 2012)
Market Trends:
The evolution of computer technology throughout the years has demonstrated certain trends.
Advances in computer technology continue to increase computing power, decrease in size,
increase variety of uses, and reflect current fashion. Such evolution has resulted in technology
such as the smartphone. The smartphone has revolutionized the way people live and work. With
the development of millions of apps the variety of uses is endless. Game consoles have followed
the same trend. They have become more compacted and have expanded into full entertainment
units, offering music, movies, games, social media, and even web browsers.
Eric Tao believes that one of the biggest trends in today’s market is that many people are
living in hard times and are cautious with their expenditures (E. Tao, personal communication,
Fall 2013).
The entertainment industry has been instrumental in the trends associated with new
technologies, and augmented reality is no exception. Filmmakers have been creating augmented
reality since the creation of compositing. Star Wars was one of the first films to introduce this
visual allusion to the mainstream public. With this visual allusion filmmakers are able to make
the impossible become possible. They are able to make imaginary worlds and characters come
alive, creating an immersive experience. 3D technology was introduced to the medium, creating
even more immersion. Filmmakers have introduced interactive and immersive technology
concepts through using science fiction elements in their plots. The specific elements used in a
film or games are not delivered at random. They reflect the current mainstream culture. The fact
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that augmented reality or similar technologies are expressed through films and videogames,
reveal trends in the entertainment culture that are then passed down to the general public.
Another example of the influence entertainment has over the market is the market’s response
to science fiction such as Star Trek. The desire for immersive technology was inspired in part by
the holodeck, a fictional room first introduced in the Star Trek television series (a safe room
where crew members can interact with computer generated images and objects). Like all other
fictional technologies in Star Trek, the demand for making the holodeck a reality became
prevalent. According to Hartley (2013),
“…the purpose of these kind of endeavours is to make life on Earth better for everyone in the
here and now. "We have to invent ways or relating to each other, of educating each other…” (p.
FP6).
Microsoft Corporation has discovered this science fiction inspired demand trend and has
committed itself to making Star Trek technologies a reality. One such endeavor is to make the
holodeck a reality. Hartley (2013) described many technologies Microsoft utilizes to attempt this
goal:
- Computational Photography: Video stitching and eye tracking technologies help give the user
the illusion of being situated in, and moving around, a virtual space.
- Natural User Interfaces: These inputs - including speech recognition and motion tracking - will
enable users to interact with their fictional surroundings.
- Directional Audio: 360-degree sound helps users situate themselves within a virtual
environment. Think of it as the next evolution of movie theatre surround sound.
- Tactile Feedback: New accelerators and transducers will be required to provide environments
that users can touch and feel in real time. (p. FP6)
Merissa King, a technician in the cinematic arts department at CSUMB and an avid gamer,
believes that the trend of immersive entertainment is on the rise. Based off of Internet sites, and
word of mouth, Merissa thinks that Virtual reality and products like Googleglass are gaining
popularity in today’s market. She thinks the appeal of such technologies comes from a desire for
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something new and engaging; however, feels that in order for this kind of product to be
successful it needs to serve a purpose. Like most gamers she desires the product to function as
advertised and without glitches. She feels that these kinds of technology products inspire great
expectations. She also feels that 3D technology is becoming a trend in today’s market. She feels
that the public wants “…to be part of the action rather than just watching it.” The desire for such
products to be comfortable and compact is another trend that she feels is true for most
consumers. For example she, like most consumers, complains that 3D glasses cause headaches.
She also believes that consumers are very interested in technologies that take away the need for
controllers or similar tools. For example, she believes products like Leap are viewed to be the
wave of the future (M. King, personal communication, Fall 2013).
Bethany Martin, a technician in the cinematic arts department and avid gamer, agrees with
Merissa’s assessment of interactive technology trends. Bethany believes that the trend of new
technologies being introduced and developed in the gaming industry first and then in the
computing industry second, is still prevalent in today’s market. She believes the gaming industry
is the sector of the market that provides the most demand for new technology and for
improvements on existing technologies (B. Martin, personal communication, Fall 2013).
Shwan N. Rashid, a sales associate of technology products, believes that the trend of
babyboomers being uncomfortable with new technologies is dying out in today’s market. He
believes that this is because younger family members are educating and encouraging
babyboomers to take advantage of new technologies. He also believes the trend of elderly and
disabled consumers needing assistance from new technologies is still prevalent in today’s
market. Shwan has observed that younger consumers are interested in the newest gadget and
want that gadget to be convenient, fast, and compact S. Rashid, personal communication, Fall
2013)
Market Growth:
Eric Tao predicts that 60% of the entire market will gravitate to Smart Shades (billion
dollar product); however, that growth will begin to taper off (E. Tao, personal communication,
Fall 2013). Sony currently operates under the Technology sector of of the consumer market and
shows an increase in 4.7 % revenue increase and a 9.9 % increase in profit since last years report,
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this shows a growth in the company (ADR, 2013). The market for technology is currently doing
well with an increase of .45% globally indicates that there is a stable market for our product to
thrive within (Finance, 2013). Our partner Ray Bans also has an increase in net sales and
accounts for 23.1 % of Luxottica’s net sales, which we can expect to only increase from its
current position (Highlights, 2013).
The technology market is already rising but with this new addition of innovative mobile
computing we anticipate a further increase. Since there is clearly a demand for this degree of
technology, this leaves a slim chance that our product, Smart Shades, won’t satisfy the
consumer’s needs. This this type of technology is new and rare to the market, it should increase
the amount of growth that the market should receive. Consumers will be engulfed with the
amount of capabilities that are allowed to explore with our product. In a survey conducted, 82.6
% (38/46) said that they currently use a smartphone and 84% (38/45) show that they would be
interested in a new product like Smart Shades (Team Members, “Technology Preference
Survey”, 2013). This shows a 1.4% increase within the technology industry which leaves a
positive impression on Smart Shades introduction thereof.
SWOT Analysis:
While analyzing our market potential our company Sony, considers all of the potential strengths,
weaknesses, opportunities, and threats of its newest product, Smart Shades, within the market.
Strengths:
Weaknesses:
·
·
Original Sony Design makes their
Current financial position in the
products unique in design.
market.
·
·
Prestigious technology shadowing over
Sluggish global economic recovery &
the competitions.
foreign exchange rates.
Opportunities:
Threats:
·
·
Top competing products.
·
Safety policies for device’s usage.
Alliance with Ray Ban Corp. for
designer glasses.
·
Transition to the cable market-4K.
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Strengths:
A few strengths that embody Sony are that it is one of original innovator companies of the
1950’s, and is still an admired factor within the electronic industry. Since then Sony has been
able to come up with groundbreaking inventions that have been reliable and innovative in design.
Its Sony Design department is a key aspect to Sony’s competitiveness in the marketplace today.
For years Sony Design has developed prestigious designs for Sony to satisfy its target market’s
technological preference (Limited, 2013).
With Sony’s new line of Smart Shades as a stand-alone product, its unique product
design and capabilities will allow for it to be able to reach globally and increase its market
growth. A few of Smart Shades’ strongest assets are its capabilities and design. These assets will
allow for it to catapult into an elite position within its market. Its capabilities will cover the same
functions as its top competitors, such as; recorded videos, taking pictures, showing messages,
research information, showing maps, live video sharing, voice activation system, and a
translation system (India, 2013).
However we plan on taking Smart Shades above and beyond the current competition with
adding additional features that will make Smart Shades the most sought after product in the
market of 2014. These features will consist of attractive attributes such as; water resistance,
expert 13MP camera shooter, an all access entertainment pass, along with a robust battery
packed stamina management system (Mobile, 2013).
Its strength in design stems from partnering with one of the biggest sunglass companies
in the United States, Ray Bans. To further expand its strengths Sony will make use of Ray Bans
prescription glasses, and top four-sunglass designs, the Aviators, Wayfarer, Clubmasters, and the
Jackie OHH’s (Bans, 2013). This will allow for not only the design to gain traction and attention
but it will also provide suitability for consumers who prescribe for better vision. By partnering
with Ray Bans, Sony will be more exposed to Ray Bans dynamic glassware styles and
demographics, which will prove beneficial for Smart Shades new technology. These strengths
are what will make Sony the bolder of its contenders and aid in its comeback for top market
position.
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Weaknesses:
Although Sony’s strengths with its new product, Smart Shades, make it a tough product
offer to beat; Sony still has weaknesses like any other that it must take into consideration in order
to prevent loss. The following are a few of Sony’s weaknesses it would like to either avoid as
best it can or turn into strengths:
Current financial position
The company’s current position in the financial market will make it difficult for
consumers to want to explore a new product with Sony (Sony, 2013). It’s been a long time for
Sony customers, who have been waiting to receive the satisfaction from a high tech quality Sony
product on the market. A lot of the once faithful consumers have now since left and joined with
other companies who have done a better job at delivering customer value.
The loss of consumers is currently great, which makes a product like the Smart Shades
that much promising for Sony’s come back. Although we have loss a significant amount of
customers, by producing the ‘next best thing’, we have faith that the customers we’ve once lost
will quickly regain confidence in our products and brand name once again. With this
determination we plan on making Smart Shades a customer’s “Dream” product and will present a
“Dream Campaign” in order to assist in a prudent financial position.
Global Economy & Foreign Exchange
Because of the U.S. government shutdown the global economy and foreign exchange
processes have become affected as well. Electronic companies such as Apple, Google, HTC, LG,
Samsung and others cannot pass along any new devices through the FCC because of the
government shutdown. The FCC (Federal Communication Commission) passes somewhat of
16,000 new technological devices annually and with the government coming to a standstill now
brings FCC’s operational output to a zero. The FCC furloughed 98 % of its employees since
October 1st and is expecting a back when the government resumes natural function (Burger,
2013).
For the Japanese the foreign exchange has been affected by the U.S. government
shutdown by causing the government to increase its sales tax from 5% to 8% in 2014
(Popplewell,2013).With this being the main issue for the U.S., the Japanese government are
making and setting plans for how this will impact them in the future. This affects Sony directly
because of its headquarters stationed in Tokyo, Japan.
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Opportunities:
Sony currently is in place to utilize great opportunities that will increase its market
position. By partnering with Ray Bans we will definitely have an advantage over our competitors
in a major new way. We can also look forward to great opportunities in cable networking and 4K
HD transitioning.
Alliance with Ray Ban
Ray Bans is a very well-known and prestigious sunglass company that has been around
since 1937. The first Ray Ban sunglasses were created for the U.S. Air force so that pilot’s vision
wouldn’t become affected by the glaze from the sun. These sunglasses are also very popular
amongst the entertainment community, and celebrities from the late Michael Jackson to Tom
Cruise would be seen wearing the newest Ray Ban designs.
This merger for this particular product will prove as a great opportunity for Sony because
of the demographic capabilities that both companies share. By choosing the top four styles of
shades Sony will be able to forecast the amount and type of consumers that would be interested
in the Smart Shades product.
Cable-4K HD transitioning
By transitioning into the cable industry Sony will be able to expand its brand awareness
in a more progressive fashion. This will allow for market growth and for effective
competitiveness with the company’s rivals. 4K HD is the newest form of technology definition
with pictures. It allows for the viewer to see a resolution of 4096 x 2160 that creates a highly
crisp vision for its viewers. These opportunities will help to create a new culture of demographic
consumers with a new product and new possible market growth for both companies (Rivington,
2013).
Threats:
A few of the Sony’s threats that pose as an opposition in its growth are the following:
·
Its top competition applies pressure with similar high quality products.
·
Safety policies for the device may oppose a challenge.
Top Competitors
An important threat for Sony’s to consider is attributed to its tough competitors. Although
Sony has a lot, its main rivals consist of Google Glass, Apple, Samsung and Microsoft. These
four companies have proven to be the most powerful and currently control most of the electronic
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industry (Davis, 2013). We will go further into details on why these four companies propose the
greatest threats to Sony.
Safety Policies
Creating and governing safety policies that will be administered into the use of the public
could also bring a halt in the production of Smart Shades. Since Smart Shades are not like
Google Glass in the sense that Google Glass hasn’t any lens, Smart Shades can be seen as a
danger to one’s health when driving, or doing other mechanical functions. Both lens of Smart
Shades will be occupied with workable screens so the user may become temporarily distracted
for a brief moment in time. This poses a health risk for consumers and a possible threat towards
the company if negative rapport were to ricochet back to Sony.
Competition:
Sony’s product Smart Shades top competitors as mentioned before are Google Glass, a
product very similar to Smart Shades and the first to be introduced to the market. This product
will propose the greatest competitive opponent because of its popularity and anticipation from
the market. Apple and Samsung are other competitors that we need to be aware of. Sony’s market
position was taken by Samsung, so it’s only necessary that the next product that we bring to the
market gain more resonation with market consumers. Microsoft is a competitor that’s in sort of a
similar situation as us, where its trying to generate power and position within the electronic
industry. However by no means should this competitor be underestimated by Sony because of its
recent increase in its high-high product software such as Windows 8 (Parker, 2013).
These four of Sony’s competition pose the greatest threats because of their already
proven market power in the electronic industry. The competition makes everything from
smartphones to kitchen appliances and even microchips that are within some of each other’s
devices (Davis, 2013). So as you can tell the competition is at its peak and very stiff for Sony to
compete with.
Our four most important competitors are Microsoft, Samsung, Apple’s iGlass and Google
Glass. We focus on these four competitors because of their position in the technological market
and based from their current more popular products. Samsung has currently been dominating the
market with the amount of innovative technologies that it’s been providing the market. It’s been
increasing its sales and has been bypassing the current top companies, Apple and Google with its
products (Davis, 2013). Both Apple and Google‘s “glasswear” play big components to the
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market because they are the most innovative and mimic the Sony Smart Shades product.
Microsoft is also a great competitor due to its market revenue and the type of products it invents.
Although Sony is faced with these market giants it still has a fighting chance at becoming
the champion brand it once was when it started and increase its market value. We plan on not
only satisfying the needs of our consumers but taking them above and beyond with Smart Shades
technological design and with capabilities that competition has failed to accommodate. With this
level of opportunities and challenges we are confident that they will only make our production
that much better, and place us once again at the head of the market as a consumer favorite.
Product Offering:
Smart Shades is offering the market a multi-dynamic creative design in technology. With
its dual partnership with Ray Ban it recreates the concept of what it means to “Look Smart”.
Smart Shades is the type of product that consumers will use when at work researching
information for their organization, as well as recording cool footage at a pool party on a nice hot
summer’s eve. Smart Shades utilizes various technologies to help it perform at its greatest all
with every use. UV ray transitional lenses that will allow the Smart Shades to become darker or
lighten depending on what light setting it is exposed to. Smart Shades are “Real” glasses that you
are able to activate and deactivate when you chose with a click of a button, and allows for total
user ability. This means that if a user is about to get in the car and drive somewhere they can
activate the glasses to get directions and deactivate the glasses so that they don’t become
distracted while operating their vehicle.
Smart Shades is a product that allows the user to activate more than just the glasses but to
gain total access to their own imaginations. This product is water proof, which can be taken
under water and enjoyed and also comes with a variety of additional features. The Smart Shades
feature pack consists of the following:
Sony covers the competitions features by making Smart Shades able to record videos,
take pictures, show messages, research information, show maps, perform live video sharing,
utilize voice activation, and a translation systems. Smart Shades blows away competition with its
additional added features in consisting of water resistance, expert 13 MP camera shooter
technologies, all access entertainment packages, and a battery packed stamina management
system that will allow for it to hold a charge for a longer amount of time.
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This product will not only greatly satisfy customers but will also satisfy the company’s
mission to bring new technologies, content and services together in an unprecedented way that
enables people to re-shape their perception of the world and enhances their life. Smart Shades is
a mobile computing product that allows consumers to perform all daily tasks at a higher level of
efficiency. Smart Shades’ design is assisted by Ray Ban to be applied to the various lifestyles of
the consumers. For these reason will make it a more durable, top of the line camera usage for
movies, live streaming and social media, that’ll also provide longer battery usage. This without a
shadow of doubt will make the make the Smart Shades and Sony the epitome of innovation.
Keys to success
In order to be successful in Sony’s select market, we are focusing on key factors that will
guide us to become a more profitable company and put Sony back on top of the of technology
industry. Smart Shades has all the appealing features that consumers are looking for in a social
device. Some of these features include: durability, waterproof, voice and touch command, latest
apps etc.
These are features that consumers want in their hands free device. People have busy
lives and are always on the go. The hands free device, Smart Shades, brings the factor of being
more convenient than recent phone devices. Consumers want a hands free device with latest
technical features. This is exactly what Smart Shades is going to do, but right in front of your
eyes. With the busy lives of consumers, the convenience of having access to technology right in
front of them would be very beneficial.
Another element that Smart Shades has will have the options of prescription, nonprescription and sunglasses will have the key to success of attracting more than one group of
consumers. A key to success is the fact that Sony’s Smart Shades will be partnering with the very
popular eye wear brand Ray Bands. Ray Bands has been successful due to the fact that they have
been loved and worn by consumers for many years. The consumer will be able to choose their
style of their favorite pair of Ray Bands of their choice. Smart Shades has the factor of being in
the latest fashion for consumers.
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Critical Issues
Along with these factors of success there are also influences that will hinder the success
of Sony’s Smart Shades. One of the many concerns for the company is their competitors
Google, Apple, and Samsung. These companies are always thinking and coming up with new
features and devices that will attract consumers for their needs and wants. Google is our main
competitor because they have produced a similar product. Consumers are crazy for the latest
features and device and coming up with this may be difficult for Sony’s market success.
One factor that would stop Smart Shades from being successful is driving by car with the
smart shades on and using features not for driving (Topolsky, 2013). The Public may find
this dangerous. Drivers will have their technology features in front of their eyes and this can be
distracting and may cause an accident .Smart Shades can actually be stopped from being put in
the market because of being a distraction to drivers.
These glasses wouldn’t be allowed to be worn in movie theaters Smart Shades has
the feature of recording videos (Topolsky, 2013). This is illegal and not allowed in the movie
theaters. Theaters don’t have the authority to tell a customer to take his or hers glass wear off.
Getting Smart Shades past these issues and to the market may be a little tough due to these show
stoppers.
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