dissertation and bp

Investigation of the key factors that have accelerated the obesity epidemic within the UK and how the rise of wearable technology is aiding the pandemic.

heW and how the rise of wearable technology is aiding the pandemic.


Iportia colbert

Fashion Retail Management



Investigation of the key factors that have accelerated the obesity epidemic within the UK and how the rise of wearable technology is helping to ease the pandemic

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abstract

The purpose of this investigation is to thoroughly scrutinise the key drivers that have accelerated and instigated the obesity epidemic within the UK. The country finds itself in a state of catastrophe due to the rise in the number of overweight individuals. Western civilisation has fallen into a state of idolatry and glut tony and should no significant changes be the made, the younger generations will face severe consequences. More than a third of the British population have now been classed as overweight with future predications set to significantly surpass that of the current figures.

(7,642 words)


he UK and how the rise of wearable technology is aiding the pandemic.

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acknowledgements

Adele Thorley, Fasion Retail Management Lecturer, Birmingham City University

Gareth Jones, General Manager (Europe and Eastern Africa), Fitbit Inc

Julia South, Fashion Retail Management Lecturer, Birmingham City University

Kirill Filatov, 3D CAD Designer

Lily Cheng, Senior Business Development Manager, Cambridge Wireless

Nick Rimmer, Vice President, P2i

Paul Gough, Strategic Marketing Manager, u-blox UK Ltd

Sarah Walsh, Solicitor, Taylor Vinters

Siat Ceesay, MA of Finanace Birmingham City University

contents

List of Tables viiList of Figures ixList of Images xTerminonology xiIntroduction and Methodology 1Chapter 1 2Chapter 2 16Chapter 3 36Chapter 4 44References 64Bibliography 70Business Proposal 77Executive Summary 78Concept 81Market Analysis 84Key Drivers 88 Structure 90Product 92USP 99Consumer 100Competitors 104Marketing Strategy 106Operations 108Pricing Strategy 109Finances 110Key Issues 122



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LIST OF TABLES

Table 1.0 HSCIC. (2014) Statistics On Obesity

Table 1.2 Huffington Post. (2011) Facts About F

Table 1.4 Facts-pictures. (2013) A Frightening Look At Obesity Available at

Table 2.1 Channel 4. (2014) Dispatches Reveals Serious Concerns About Labelling of Fat In Foods

Table 3.0 Mintel. (2013) 1,147 People Who Bought Organic Food Infographic

Table 3.1 Keynote. (2013) Health Clubs & Leisure Centre Market Report. [pdf] 12 end. Teddington: Key Note Available

Table 4.0 Colbert, P. (2014) Wearable Technology Market Categorisation




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LIST OF FIGURES

Figure 1.1 Colbert, P. (2014) McDonald’s Prevalence Infographic

Figure 1.3 Colbert, P. (2014) Obesity related Complications

Figure 2.0 Colbert, P. (2014) The Societal Causes of Obesity

Figure 2.2 Colbert, P. (2014) Food Risk Hierarchy

Figure 2.3 Lucid Chart. (n.d.) Consumer Guilt Theory



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list of images



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terminologyATL - Above-the-lineBMI - Body Mass IndexBFP - Body Fat Percentage BTL - Below-the-lineCAGR - Compounded Annual Growth RateCDC - Centre For Disease Control and PreventionCT - Computerised Tomography (Scan)DEXA - Dual-energy X-ray Absorptiometry (Scan)GDP - Gross Domestic ProfitGMO - Genetically Modified Organisms GP - General Practitioner HSCIC - Health and Social Care Information CentreHMRC - Her Majesty’s Revenue and CustomsMRI - Magnetic Resonance Imaging (Scan)MSG - Monosodium GlutamateNHG - Nuffield Health GroupNHLBI - National Heart, Lung, and Blood InstituteNHS - National Health ServiceNICE - National Institute for Health and Clinical Excellence NOF - National Obesity ForumONS - Office for National StatisticsPAYE - Pay As You EarnPC - Personal ComputerRDA - Recommended Daily Allowance

introduction

This thesis will investigate the key factors that have accelerated the obesity epidemic within the UK and how the rise of the wearable technology market is aiding the problem. The prevalence of obesity within today’s society has more than doubled over the last decade. The relentless increase of the fast food industry has played catalyst to the problem and societal factors such as the media have further instigated the epidemic. This investigation aims to highlight the pivotal elements associated with the turmoil related to obesity and the successive damage to Great Britain’s economic climate.

The investigation will discuss the ef fect obesity is having on Great Britain as a whole as well as else where in the world, and will further discuss the theory of the BMI calculator and highlight the discrepancies within this theory. Scrutiny is also applied to how the government is helping to alleviate the situation and what can be done on an individual basis to assist the pandemic. Examination of societal factors is presented in order to gain a greater understanding as to why and how the epidemic has become more prevalent, and discussion will be given to the state of the health and fitness sector and the cost of a healthy lifestyle. Finally, the thesis discusses the increase of the wearable technology market and how technological evolution will not just be preferential but also essential.



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methodology

Findings for this investigation were collated through a variety of quantitive secondary resources including academic journals, market and statistical reports, varied websites, blogs and books. Qualitative primary research was also conducted to support and contrast the findings of the secondary. Primary methods included interviews with industry experts, consumer focus groups, observational research and market surveys.

“On a global scale, over one billion people are overweight and approximately 300 million are obese.”

(Roberts & Edwards, 2010:12)



Chapter 1

Britain’s Obesity Epidemic

Great Britain currently finds itself in an obesity pandemic, holding the title of the number one most overweight country in Europe (Mail Online, 2011). The country currently has a population of an approximated 63.23 million inhabitants (World Bank, 2012) with 64% of adults now classed as overweight (Mail Online, 2011). It has been predicted that by 2050, 50% of the population will be obese, which will require an estimated yearly cost of £50 billion from the public finance sector in order to treat the epidemic. (National Obesity Forum [NOF], 2013:National Health Service [NHS], 2014). The cost of motivating the obese population has been estimated at £360 million per year, a figure that could be greatly decreased if each person af fect by the disorder were to partake in an extra 12 minutes of physical activity each day (Nuffield Health Group [NHG], 2014).

Within the UK, those who do not partake in daily physical exercise have over 80,000 more General Practitioner (GP) and hospital visits per year, consequently at tributing to more than 161,000 residential deaths each year, 66% of which have been directly linked to obesity (NHS, 2010). If no significant changes are made, the previous estimations will undoubtedly come as a penalty for the public finance sector and the obesity related death toll will indefinitely increase.

1.0 The Current Obesity Trend

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Table 1.0 Source: HSCIC (2014) Statistics on Obesity, Physical Activity and Diet illustrates the obesity prevalence in men and women aged 16+ between the years 1993-2012 and highlights a substantial increase from 13.2% in 1993 to 26.2% in 2012. It also conveys a pervasive increase amongst women




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Statically, the North of the country has a higher obesity prevalence than that of the South, with some areas revealing that more than a fif th of residents are obese or overweight (Williams, 2014). The same study revealed that Cumbria has the highest reported frequency at 68.3%, which could have been excelled by the number of fast food chains within this region. The Daily Mail (n.d.) has demonstrated that this region homes the most Mcdonald’s outlets in the country with one for every 15,269 people.

Chelsea and Kensington report the lowest generality of obesity at 45.9%, which may correlate to the affluence of the Southern regions and the greater chance of larger disposable incomes; thus potentially indicating that this demographic could have more to spend on the components of a healthy lifestyle such as organic foods and fitness facility memberships.

Figure 1.1 Mcdonald’s Restaurant Prevelance within the North of the UK

The preceding findings collectively provide support for the hypothesis that should no sufficient changes be implemented, the disorder will not only continue to be accountable for many causes of death for a vast majority of the population, but will progressively cause excessive strain to the government and public finance sector.



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Despite the worrying findings of the obesity upsurge within the UK, the country is not alone in the epidemic. Correlating studies from the BBC (2013) have found that the disorder is accountable for an estimated 2.8 million deaths among adults worldwide, with the USA in a notably similar state of catastrophe. The country faces combined medical costs associated with treatment of the disorder being estimated to increase by $48-66 billion each year (The Lancet 2011).

The findings suggest how it is becoming ever more apparent that Western civilisation is continually falling into a state of excessive over indulgence and glut tony. Supplementary studies from the The Lancet (2011) support this theory and have referred to the pandemic as a “passive overconsumption of energy, driven by the predictable outcome of market economies on consumption-based growth.” For example, the fast food industry currently holds a value of $252,911.7 million (£151,981.54m) and by 2016, the industry has a predicted economic value of $331,842.1 million (£199,412.97m) (Research and Markets, 2012). The figures indicate a significant 31.2% increment, stipulating that the incline in obesity prevalence over the last 20 years appears to have been excelled by the growth of the global food system and correlating fast food industry, which relentlessly produces and ef fectively markets more processed and af fordable consumables than ever before.

6 Table 1.2 Source : Huffington Post (2011)



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1.1 The Ef fects Of Obesity and The Prevalence In Children

Obesity occurs when food and drink consumption is greater than physical activity expenditure, thus resulting in the accumulation of surfeit fat. The disorder can pose a plethora of ailments including joint pain, gout and arthritis, but can also lead more sinister and serious problems including potentially malignant cancers, sleep apnea, heart disease, diabetes and high blood pressure.

The profusion of complications associated with obesity should not be disregarded and it is becoming increasingly essential that the pandemic be eradicated in order to stabilise the future of the younger generation. The Office for National Statistics [ONS] (2014) has suggested that the proportion of overweight children within England is currently at 28% and additional research has observed that the pervasiveness of childhood obesity has more than doubled in children aged two to five and quadrupled in adolescents aged 12-16 in the past 30 years (Centre For Disease Control and Prevention [CDC], 2014).

Observations from Keynote (2013) revealed that many cases of obesity stem from poor eating habits acquired during childhood and correlating studies from the same report stated that the probability of a child developing healthy eating and physical activity habits is much greater if they are introduced to such ideas at a younger age, thus heightening their awareness and peaking an interest at the earlier stages of life. These findings indicate the similar obesity trends prevalent in children, thus demonstrating their inevitable fate should the situation not be reversed.

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Stroke/Mental Instability

Heart Disease/Heart Failure

Diabetes/Liver Disease

Figure 1.3 Obesity Related Complications

The social stigma that accompanies the physical detriments of the disorder can also pose an impact. Children suf fering with the disorder are at an increased risk of developing body dissatisfaction issues and a negative mental state including self esteem issues and depression (Healthy Children, n.d.). These findings reinforce the dire need to address and diminish the disorder sooner rather than later in order to protect the wellbeing of the successive generations.



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Heart Disease/Heart Failure

Diabetes/Liver Disease

Table 1.4 Source: Facts-pictures Woldwide Obesity Statistics



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1.2 Classifying Obesity

1.2.0 An Introduction To Body Mass Index

Medically speaking, the terms ‘obese’ and ‘morbidly obese’ mean that the classified individual has an increased risk of developing various health complications such as heart disease, diabetes, high blood pressure and various cancers due to their elevated body fat (Warren & Smalley, 2014). However, the term obese is of ten misconstrued with the term ‘overweight’ which conjointly refers to an individual being at risk of similar complications, but these complications may not be as serious due to the problem being linked to elevated body weight, which could potentially account for a larger percentage of muscle mass as opposed to actual body fat.

To date, various methods have been developed and introduced to measure the appropriateness of body weight, with the most common form being the Body Mass Index (BMI) calculator. BMI is the standard metric theory for determining what is deemed as ‘normal weight’ and was invented over 150 years ago by Belgium mathematician Adolphe Quetlet (Roberts & Edwards, 2010).



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1.2.1 The BMI Debate

Recent studies from Warren & Smalley (2014) have indicated that whilst its utility in describing groups of weight are well recognised, the BMI calculator is not a reliable method to be used as a measure of visceral and subcutaneous fats. Corroborating research conducted by Dr Rexford Ahima (2013) supports this statement, reiterating that BMI fails to measure a person’s physical body fat percentage (BFP) and cannot indicate where unnecessary fat might be distributed on the body.

Currently, adults with a BMI between 25-30 are classed overweight and anything exceeding 30 would be considered obese (Roberts & Edwards, 2010). (See Appendix A for BMI categorisation and risks figures). Fundamentally, BMI is calculated by an individual’s weight in pounds (lbs), divided twice by height in inches, then multiplied by 703 (703 is needed for converting pounds to kilograms and inches to meters). For example:

MaleWeight: 180 lbs

Height: 68”BMI: 27.4).

BMI Calculation:

180 ÷ 68 ÷ 68 x 703 = 27.4

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In accordance to Quetlet’s BMI theory, the previous example would be considered overweight but not obese. A person’s ‘ideal’ or ‘perfect weight’ is as individual to them as their fingerprint and dif ferentiating between when a person is obese from overweight is not as simple as manipulating numerical data. As previously mentioned, the biggest concern with Quetlet’s theory is that it is only able to generate a very generic categorisation number and cannot physically measure unnecessary excess body fat and how it may be harmful. Another factor which challenges the BMI method is the fluctuation of the cutof f figures between overweight and obese.

Correlating findings from the American National Heart, Lung, and Blood Institute [NHLBI] (1998) recommended that the cutof f levels be changed from 27.8 to 27.4, with an estimated 25 million Americans previously classed as what was considered a healthy weight, being reclassified as overweight. This fluctuation indicates a 0.4 decrease, which was suggested by the NHLBI due to concerns of rising obesity levels within the USA between 1990-1997. These findings demonstrate the instability and tangibility of the BMI figures, and shows how easily the theory can be manipulated to fit current trends, thus demonstrating its unspecified ability to measure individual and potentially detrimental internal health problems.



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1.2.2 The Fat Truths

Visceral fat is the malignant fat that lies deep inside the abdomen and adheres to vital organs such as the liver and spleen, and an over abundance can greatly increase the risk of serious debilities such as diabetes and heart disease. Subcutaneous fat is fat directly beneath the skin elsewhere in the body, i.e. the arms and legs and is deemed more innocuous. However, this finding must be interpreted with caution as subcutaneous fat isn’t completely benign, the added weight can put strain on joints, potentially causing painful mobility and succeeding internal complications.

Contrary to its criticism, generically speaking the BMI

calculator has served a useful medical tool for over a century and Quetlet’s theory has made it exceedingly easy for medical

professionals to develop understandable gauges of weight categorisation.

However, as earlier reviews have suggested, it is criticised

for its lack of specific information in terms of a

means of measuring internal and physical health and

the detriments of carrying surfeit fat. Corroborating

observations from Dr Ahima (2013) confirmed that the BMI measurement is also unable

to account for dif ferences such as race, gender, age, genetics, and fat in relation to the amount

of muscle, all of which can at tribute to the severity of an

individual’s problem.





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1.2.3 The Relevance of Body Fat Percentage

The measurement of body fat percentage (BFP) can play a pivotal role when determining the severity of an overweight or obese individual’s problem. The medically recommended healthy percentage of body fat for women is 20-25% and for men, 15-20%. Woman who surpass 32% and men who exceed 25% are at an increased risk of developing life-threatening chronic diseases (PennRec, 2012). Interestingly, the findings observed that the higher percentage is merited to women to accommodate factors such as child bearing and nurturing, as a certain mass of peripheral fat is crucial for child birth and development.

Accurate measurements of BFP include scanning systems such as Computerised Tomography (CT), Magnetic Resonance Imaging (MRI), and Dual-energy X-ray Absorptiometry (DEXA). All of which whilst very precise, can be somewhat invasive, very costly and not easily accessible, unless referred by a medical professional. A more accessible method is the body fat calliper, this device works by pulling the subcutaneous fat away from the muscle and physically ‘grasps’ the tissue for measurability. Concurrently, advanced technological devices such as digital scales and small-scale smart devices can now accurately calculate body fat percentage.

The earlier observations detail the BMI method as a means to measure body weight but as studies have highlighted, it is also essential to consider the measurement of actual body fat in accordance to the diagnostics of an individual’s internal health. The preceding findings also demonstrate that while the BMI calculator serves a characteristically useful purpose, the data collated must be anticipated with caution as the figures alone cannot determine the severity of an individual’s obesity dilemma. It is also important to consider that Quetlet’s theory is extremely archaic and with newer technology emerging, his thesis is very outdated making it somewhat obsolete.




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Chapter 2

The Causes: Influencing Key Factors

2.0 The Infleunce of The Media: The Instigator

Previous studies have noted the influence of external societal factors which may have contributed to the obesity epidemic. Figure 2.0 from Public Health England (2007) illustrates the key factors which allegedly provoke the issue. Today’s society is heavily media influenced with an influx of advertisements to entice the general public. Be those for food, fitness, clothing, and all other consumables; the media successfully taps into consumer desires, which as a result, has further instigated the problem. The advertising industry currently holds a value of £18.8bn and plays a vital enabler to the economy, which under pins at least £100 billion of UK Gross Domestic Profit [GDP] (Advertising Association & Warc, 2014).




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2.0 The Infleunce of The Media: The Instigator

Figure 2.0 Source: Foresight Systems Map (2007) Key Societal Obesity Drivers



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Considerable glorification of the notion of thin being the ideal and fat being the lesser have caused upheaval and such ideations have lead many to feel inadequate and of ten turn to ‘junk’ food as comfort. The vast majority of media advertisements only depict a certain type of image to be ‘beautiful’, that image being thin. However, it is no new truth that the fashion and beauty industry use at tractive, slender models to up sell products, more at tention is now being drawn to how official news publications have played catalyst to the problem. Recent studies have outlined the ef fect of the use of non stigmatising images in relation to articles relating to obesity, suggesting that when these types of images are used, it demotivates consumers to achieving a healthy bodyweight and ‘normalises’ the epidemic (Medscape, 2012). These findings reveal the importance of increasing awareness of existing biases in how the causes and solutions for obesity are framed and the ways that obese persons are visually stigmatised in the news media.



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To support the previous findings, a focus group (Appendix B) conducted with Slimming World participants revealed that at least two of them have used food as an emotional coping mechanism and indicated the pervasive insecurities in those coping with weight management issues. They also represented how food is sometimes used to fill insecure voids and depict a sad realisation that media portrayal has a very real and somewhat personally destructive ef fect on consumers. Other interesting comments outlined the dislike towards the way in which the media of ten seems to objectify those struggling with their weight and that weight is a very personal issue and that it should not be under constant scrutiny.



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The previous findings raise key points about the negative af fects of media propaganda on consumers and while the studies highlight issues regarding the psychological ef fects, the media cannot be solely to blame. The industry is pivotal to the growth and wealth of the economic climate and does not appear to be on the decline any time in the near future. However, certain advertisements and news and fashion publications are guilty of excessive post production and sensationalisation but with the earlier stated estimates in Chapter one, it is imperative that at tention be drawn to the subject in at tempt to stop the materialisation of the predictions.



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2.1 The Companies: The Feeders

The UK food industry currently holds a net worth of the £96.1bn (The Grocer, 2013) and with the prevalence of lower fat and reduced calorie convenience foods becoming greatly more significant, such foods have not efficiently aided the obesity epidemic. ‘Buzz words’ associated with such consumables including ‘low fat’, ‘reduced fat’, ‘lean’, ‘light’, and ‘skinny’ are nothing more than coined terms used as a facade and deceptive mechanism to mislead the unaware consumer into thinking that what they’re buying is a product with a healthier nutritional profile, when on the contrary, they’re quite literally being fed a complete mistruth. Officially, for a company to label their product as low fat, it must fall under the 3% fat threshold; additional ingredients can then be appended to enhance the nutritional index (Berberian, 2014).

Studies from behavioural scientist Professor Marteau (2014), found that people who consume foods labelled as low fat have the tendency to consume more of them because they feel less guilt and are unaware of the significant amount of calories from sugar disguised within these products. Unfortunately, what most of these consumers do not realise, is that low fat products have been known to actually contain more sugar than the full fat equivalent. For example, the leading brand of low fat rice pudding has two times more sugar than a jam donut and although this exemplifies two separate products, it highlights the issue of the lower fat foods not necessarily being more beneficial than well known ‘junk’ foods. Food labelling has important health implications and consumers need to be bet ter educated to the implicit low fat claims made on certain products. The prevalence of manufacturers breaching regulations by insufficiently labelling their products has become greater over the last decade (Marteau, 2014).

f



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The manufacturers are given a tolerated margin of error when labelling foods, unfortunately the frequency of mislabelling where manufacturers have surpassed this margin is becoming much greater. The investigative documentary, The Truth About Low Fat Food (2014) revealed upon an experiment of one person consuming only low fat foods for a week, resulted in them actually consuming the equivalent of 30 teaspoons of sugar in one day, which equates to 150g of sugar and astronomically surpasses the recommended daily allowance (RDA) of 50-70g.

Table 2.1 Source: Channel 4 (2014) depicts the top 10 of fenders who have breached food labelling regulations

Trading Standards have been policing the food industry, but consequent budget cuts have lef t them under sourced and up against a thriving and well-funded food industry. However, recent developments in consumer buying habits have accentuated the decrease in sales in the diet food segment, with one in five Britons significantly reducing the amount they consumed by 21% (Huffington Post, 2013) thus indicating the rise in consumer awareness towards the detriments of such products.



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2.2 The Food: The Problem

The previous findings outline the problems with the food industry and the companies producing consumables labelled low, reduced fat and diet, but investigation is also needed to scrutinise the specific variables of the ingredients and their imposing detriments.

The majority of commercially branded, pre packaged foods are of ten laden with refined, unnatural sugars and sweeteners, and various artificial additives including Genetically Modified Organisms (GMOs) and Monosodium Glutamates (MSGs). Prior research has caused speculation as to how attributable these are to the causes of obesity.

Research regarding GMO’s remain somewhat inconclusive as some argue (LeVaux, 2012) that the additive is extensively harmful, enabling damaging toxins to enter the body, ultimately leading to undesired weight gain.

2.2.0 Artificial Intelligence

On the contrary, Willingham (2013) challenged LeVaux’s findings by presenting new material which suggested that the there is no sufficient evidence to be linked to the ef fects on human beings, as most tests of the organisms are carried out on laboratory rats and mice. However, corroborating findings from Truthabout (2009) agree with those of LeVaux’s, indicating that certain foods which have undergone genetic modification have been proven to be harmful to humans, including GM corn which has been linked to liver and kidney damage and GM soya products containing carcinogens that have been associated with increasing the risk of cancer and excessive weight gain when consumed on a regular basis.

In addition to GMOs, there is evidence which outlines the risks of the consumption of foods that contain MSGs. MSGs are fundamentally chemically enhanced salts and studies from nutritionist Barbara Minton of Food Matters (n.d.), found the additive to cause weight gain by damaging the appetite regulation receptor within the brain; causing a consequential resistance to the satiety receptive hormone, Leptin. When MSGs are consumed, the Leptin hormone is unable to function, thus resulting in an insatiable urge to keep eating.




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More manufacturers and even countries are beginning to ban the use of GMOs and MSGs within their consumables due to the controversy. For example, a handful of countries including France and Russia have placed legislative bans of the farming of GMO crops such as maize, soy and corn. The countries Prime Ministers have both stated that their countries have enough resources to farm organic commodities (Active Post, 2014:RT.com, 2014).

Although the previous findings emphasise the potential risks associated with artificial additives, it is important to consider the bias behind some of these sources, in particular those from LeVaux and Minton therefore they should be interpreted with caution, as no official medical statements are available to reinforce them with statistical data with reference to those who have suf fered greatly from consuming such additives.




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In accordance with the earlier mentioned research from Berberian, many pre packaged foods contain an abundance of sugar. Glucose, also known as fructose is sugar in its most traditional, natural state and is present in fruits and grains. Glucose can be beneficial when added moderately to a healthy diet by regulating and boosting appetite and satiety. However, glucose/fructose has a synthetic counterpart, high fructose corn syrup (HFCS) which is essentially an artificial derivative with a similar compound makeup. HFCS is found largely in processed and pre packaged foods such as confectionary and studies have revealed the additive has no positive ef fect on appetite receptors. The brain requires a certain supply of glucose in order to function sufficiently but over consumption of the wrong kind can lead the pancreas to secrete unnecessary levels of insulin which consequently suppresses the immune system and promotes fat storage (Abuele, 2011:Bucklan, 2013).

2.2.1 Sugar Rush

HFCS and refined sugars are now said to be as dangerous as alcohol and tobacco (Telegraph, 2014) with one in 100 obesity-related deaths worldwide being at tributed to the excessive consumption of artificial sugar-filled food and drinks (Wade, 2013). The substance holds zero nutritional value and is merely used as an unnecessary, sweet flavour enhancement.

Studies from Oxford University (2013) suggested that a 12p tax increase on fizzy drinks could cut consumption by 15% and potentially mean 180,000 fewer obese adults. The experts have calculated that reducing sugar in processed foods by between 20 and 30% over the next three to five years could remove 100 calories a day from a consumer’s diet; enough to substantially halt and/or reverse the severity of the obesity epidemic.



30 Figure 2.2 Food Risk Hierarchy



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2.3 The Consumer: The Victim

The previous findings suggest the influence of persuasive propaganda and the perils of consuming processed foods. However, while agitating the problem, they are not solely to blame. It is very easy to rebuke external forces and whilst they can be criticised, medical studies have shown the indolence of some of the obese population.

The Nuffield Health Group (2013) conducted a survey of 3,000 obese adults with results suggesting that a fif th of them would rather remain overweight and continue to eat unhealthily than actively try to bet ter their potentially life threatening condition. The reasons given for this were due to lack of will power and healthy alternatives being too expensive. In addition, among 550 of the participants stated they were resigned to remaining obese and a further one in five stated they had never at tempted to lose weight.

2.3.1 Genetics Vs. Pyschology

In contrast to the preceding statistics, other findings suggest that it may not necessarily just be due to the individual’s indolent tendencies. The National Centre for Eating Disorders (2012) discovered that the obesity disorder could also be triggered by the consequential disorders of compulsive, binge and/or emotional eating. Approximately 12 million Britons are known to be af fected by the disorders, with one in two seeking professional help and proportionately, the affliction inhibits more people than anorexia and bulimia.

The previous research demonstrates the lack of motivation of a majority of consumers and hones in on psychological difficulties for many consumers, additional data from Keynote (2013) revealed that shocking 90.2% of the population spend their spare time watching television but an additional question arises of can obesity stem from a person’s genetics? Findings from the NHS (n.d.) outlined that most cases of obesity are caused by immoderate caloric intake and not enough physical output, however there are certain cases where genetics can play a significant role in the ability for a person to lose weight. For example, an under active thyroid gland and Cushing’s Syndrome can cause an over production of the steroid hormone which can accelerate weight gain.




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Additionally, the more uncommon condition Prader-Willi Syndrome (PWS) can cause obesity due to an elevated desire to constantly eat, however PWS is a rare condition and only af fects approximately one in every 15,000 child born in England (NHS, n.d.) but those af fected have been reported to have a much shorter life expectancy. An additional genetic factor that has been linked to hindering weight loss is slow metabolism and whilst it is possible for children to inherit this from parents, metabolism can be manipulated and significantly improved with regular exercise and a clean, healthy diet.

Figure 2.3 Source: Lucid Chart (2013) Consumer Guilt Theory



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2.4 The Help: GovernmentalAssistance

The paradox of modern Western healthcare aims to improve the wellbeing of citizens whilst reducing costs (Lancet 2011), but if a significant change is to be seen to alleviate the dilemma, alterations must be made collectively from the government, supply-side key drivers such as businesses and the media, as well as society as a whole. An interesting finding from the Lancet (2011) found that on a worldwide scale, there are currently no exemplar populations in which the obesity epidemic has been completely reversed by public health measures. These results therefore highlight the urgency for evidence needed to account for the absence.

Official government policy action is abundantly required, with a priority on reduction of the supply-side drivers. The UK currently syndicates official programmes to assist the problem, one example being Change4Life. The service is free and open to the general public and of fers advice on healthy diets and physical activity. The initiative has had great success with over one million followers and is affiliated with a plethora of national partners, including Asda, Tesco, The British Heart Foundation, and British Athletics. However, despite the support from corporate giants and its own good intentions, the programme alone has evidently not been sufficient enough to completely eliminate the issue.



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Concurrently to Change4Life, the Department of Health initiated the Reasonability Deal in March 2011 to further assist the dilemma. It was established to collate pledges and encourage businesses, retailers, and food and drink manufacturers to clearly label products to aid consumers in making healthier choices. The petition currently has over 700 signatories and is subsequently affiliated with Change4Life, yet over a third of the British population still find themselves struggling with weight management issues. NHS GPs currently of fer referrals to those suf fering from the disorder to weight loss groups and services such as ‘exercise on prescription’ where the individual is referred to a local public leisure centre for tailored fitness programmes of ten provided free of charge as an incentive for those in dire need (Keynote, 2013).

“Tackling obesity is a complex issue with no quick fix, current prevention strategies have achieved virtually nothing, while recognised treatment programmes continue to be slashed.” - (Deniszczyc, 2014)

The previous findings demonstrate how the UK government is visibly initiating the correct means to help ease the severity of the epidemic, but as Deniszczyc states, evident retrenchment of recognised treatment programmes display the government’s inconsistency. An example of one being the removal of the GP physical activity questionnaire; meaning doctors are no longer required to ask patients about their level of physical activity. This demonstrates the lack of consideration on a larger scale, since the importance of good cardiovascular health through sufficient physical activity should be considerably prioritised.

However, with further analysis of Denszcyc’s opinion, the statement proves somewhat unjust, as initiatives such as the Change4Life programme successfully promote the healthy lifestyle and of fer easily accessible, online information and advice which focuses on how changes can be made conjointly. Subsequently, the programme was originally a three year initiative which is now into its consecutive fif th year, proving its success and good response rate.

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Chapter 3

The Cost of Healthy Living

The precursory findings highlight the dangers of excessively consuming artificially filled foods, thus indicating the need for a diet inclusive of healthy produce such as fresh fruits and vegetables and regular physical activity. The European organic food market currently holds a value of $31,042.7m and is estimated to reach $40,104.5m by 2018 (MarketLine, 2014). Adopting a healthy lifestyle can of ten mean the need to buy bet ter quality, fresh produce labelled organic. Organic food are commodities that have been certified as grown under federal standards and free of chemical enhancements such as pesticides. Consumers are now becoming increasingly more aware of the dangers of consuming non-organic foods due to a plethora of media frenzy around the subject, with evidence outlining the dangers of consuming commodities treated with the chemical. Pesticides are used to deter insects and vermin from festering away at crops and while these prove helpful to the protection of the fruit and vegetables, it has been reported that pesticides can be stored in the colon and ultimately af fect the nervous, reproductive and endocrine systems; even af ter the treated produce has been thoroughly washed (Jakuboski, 2011).

3.0 Is Organic Best?




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Existing research has summarised the number of consumers willing to buy organic goods. Surveys conducted by Mintel (2013) as illustrated in figures 2.5 and 2.6 reported that 34% of consumers were willing to pay more for organic commodities if they knew that what they would be consuming would be free of pesticides. The same survey also reported results suggesting that 47% would buy organic if there were more money saving deals available. A corroborating primary observational investigation, conducted in a Tesco supermarket examined and compared the prices of organic and non organic produce (Appendix C). The results surprisingly found that buying organic fruit and vegetables was more inexpensive than buying non organic, making a saving of 50p of the overall cost.

Another primary observational experiment was then carried out to investigate and compare the dif ference in price between organic food and the increasingly popular ‘diet’ foods (Appendix C). The findings demonstrate a 96p dif ference in price with greater expense going on the selection of diet foods. If more consumers were aware of these savings, it could equate to a reduction in costs on monthly grocery shopping allowances, with an approximate saving of £3.84 per month and a total saving of approximately £46.08 per year. The observation reinforces the fact that it is more cost ef fective to buy organic, fresh produce than artificially encumbered pre packaged goods.



39

47% of consumers said they would more likely to buy organic produce if more deals were available

34% said they would like to know more about what it means for a product to be named organic

Table 3.0 Source: Mintel (2013) illustrates consumer responses to buying organic food and drink



40




41

3.1The Expense

The Nuffield Health Group (2013) reported that the suggested yearly household income to decrease the risk of obesity is £150,000. However, the study provided no supporting evidence to reinforce the reasoning behind his figure. The estimated figure could prove to be an unrealistic goal for a majority of the population as the average household income only equates to approximately £50,000, with only half of that dispensing as disposable income (ONS, 2014). Further studies from the NHG (2013) suggested that those who exercise regularly earn on average £6,500 more per year than those who don’t, amounting to £300,000 over a working lifetime. This figures demonstrates the potential financial benefits of those choosing to adopt a healthy lifestyle. However, it is important to consider that not everyone is able to meet this financial criteria.



42

When investigating pandemics such as obesity, it is important to also consider the state of the health and wellness market. The UK health and fitness sector currently dominates the market within Europe, holding a value of £3.8bn and increasing awareness of the epidemic has caused a surge within the private health club and public leisure centre sectors, with the overall expenditure on fitness participation increasing by 6.3% between 2008 and 2012. Despite the economic recession in 2009, the market remained largely unaf fected seeing 163 new facilities being built in 2012 from the previous 114 in 2009, conveying a record number of members (Keynote, 2013). The NHG (2013) suggested that if each person within the UK regardless of their current finances, lifestyle and state of health was able to participate in an additional 12 minutes of exercise each day, a total saving of over £6 billion NHS costs could be made.

3.2 The Health and Fitness Sector



43



Table 3.1 Source: Keynote (2013) illustrates consumer expenditure on sports and fitness participation in 2008-2012, highlighting a 5.1% change. A small decline was seen in 2010 due to the recession of the previous year.



44

Chapter 4

4.0 The Rise of Wearable Technology




45

“People look at their smartphones over 150 times a day.”

(Topol, 2013)

46

The wearable technology market is growing at an exponential rate with a current retail revenue of $1.4 billion (£878m) and an estimated revenue set to reach $19 billion (£11.9bn) by 2018 (Juniper Research, 2013). Wearable technology encompasses all varieties of small scale computing which combine and allow sensory electronics to connect directly to wireless plat forms such as wifi and bluetooth. There are now an abundance of wearables available on the market ranging from, but not limited to smart phones, fitness and activity tracking wristbands, heart rate monitors, and even medical technologies including glucose monitoring devices and drug delivering gadgets (Transparency Market Research, 2013). Technology, in all forms, now plays a significant role in helping human’s understand their world and enhance their lives. Studies from John Heggestuen of the Business Insider, 2013 discovered that worldwide, one in every five person owns a smartphone and by the end of 2013, global penetration of smartphones had exploded from 5% to 22% since 2009. These findings indicate a 1.3 billion increase of smartphone sales in the last four years, thus highlighting the demand and popularity of the handheld devices. Wearable technologies have now made it exceptionally easy for consumers to create their own virtual hub of existence. The technologies have revolutionised self actualisation, making self quantification a fundamental human need.



47

48Table 4.0 Wearable Technology Market

Categorisation



49

“Right now wearables are moving from a niche

market and are being adapted by the mass

market rapidly.” (Innovation World Cup, 2014).



51

Interactive fabrics and ‘smart’ materials are now readily available and fashion designers are now beginning to incorporate these smart materials into their collections. High end designers who specialise in wearable technology for fashion such as Cute Circuit, create and innovate cut ting-edge technology, while accommodating the mergence of fashion, thus changing retail in the fashion industry and integrating two completely dif ferent eco-systems. Clothing is now becoming computing and with an abundance of new technology being developed, the interface will soon be the human body. New innovations and developments include radiation proofing underwear, LED light up hoodies, electronically pat terned t-shirts and a bra which not only measures heart rate but also tells the wearer when stress levels rise, which may trigger the urge to indulge in emotional eating. (Gizmodo, 2013)

4.1 Technological Fashion



52




53



54

4.1.0 Smart Clothing and The Sports Apparel Market

Smart clothing has seen a substantial rise with well known sports brands such as Under Armour and Nike testing out the field. It is important to consider the sports apparel sector as these two segments begin to merge. The sports apparel market is concurrently growing at an impeccable rate, holding a market value of £4.71 billion, 7.5% of the total market share is at tributable to the sports clothing sector alone. An approximated growth of the market has been estimated at a value of £5.34 billion by 2016. Despite previous hindrances to the economic climate such as the 2009 recession and concurrent cot ton shortages, coupled with increased import and labour costs, the market has continued to remain extremely lucrative.




55

56

4.2.0 Fitbit Case Study

4.2 Existing Products



57

Fitbit Inc are the current market leaders in the wearable activity monitoring sector, operating a multimillion dollar business. Fitbit’s products are currently sold in 27 international countries and 30,000 worldwide retail stores. The company was founded in 2007 in San Francisco by James Park and Eric Freidman with the mission to converge trends of health, fitness and wellness. Fitbit syndicates three pillars for optimal health; be more active, sleep more and eat smart.

“Small Steps. Big Impact.” (Jones, 2014)

In an interview conducted with Fitbit General Manager Gareth Jones (2014) (Appendix D), questions were asked about the success level of the company and how they have successively gained a strong brand identity. Jones advised that Fitbit products aim to interact with the wearers daily life, creating a whole ecosystem to provide dynamic and realtime feedback which must imperatively be compatible with all plat forms (i.e. iPhone, Android, Blackberry). Moreover, Jones commented that the data must be relevant, important and appealing in order to keep the users engaged. Jones was responsible for the international expansion of Fitbit and currently manages operations for Europe and Eastern Africa, further advising that future developments of Fitbit hope to expand to other areas than just everyday fitness.

Fitbit’s Recipe For Success

Accessibility Tangibility

UsabilityWearability

The interview with Jones (2014) reinforced the

relevance of wearables and the importance of the transparency of the

transmit ted data.



58

4.2.1 SWOT Analysis

Although wearables have proved greatly beneficial in aiding the ‘quantified self’, some consumers have been known to struggle when trying to understand the relevance of the data, whilst others suggest the statistics are too basic and inaccurate but could be improved through additional technologic advancements.

A survey was conducted (Appendix E) to investigate consumer concerns regarding wearables. A SWOT analysis identifies the

key points

STRENGTHS1. Widely available and a good range of products2. Accurate and useful data (dependent on device and per technological advancement)3. Extremely lucrative and rapidly growing market

WEAKNESSES1. Wearability, sometimes impractical

2. Expensive3. Inaccurate data

4. Longevity of product5. Unreliable data




59

OPPORTUNITIES1. Technology is ever evolving and developing2. Wearability, the human body will soon be the primary interface3. Accessibility and knowledge-bet ter data

THREATS1. Competitors

2. Expense and price of product 3. Some consumers are concerned about the safety of the transmit ted technology (i.e.

radio waves interferences with the brain)



60

The previous findings demonstrate the thriving and lucrative niche market of wearable technology but these gadgets are not confined to just small scale computing, the world is witnessing rapid growth in the medical wearable technology sector, primarily because of increasing health consciousness. The developments and innovations within medical technology have enabled clinicians to work more efficiently by extending patient care outside of the hospital environment (Innovation World Cup, 2014). Development of wearables which aim to ease obesity and associated chronic diseases has been ongoing since the early 2000’s, but with the prevalence of the epidemic becoming more acute, more innovative and advanced devices are being created .

4.3 Medical & Future Innovations

Wearable technology is right at the start of a revolution. Google are currently in the midst of creating augmented reality eyewear named Google Glass, which brings the user back into the moment, simulating a virtual hub of existence. Concurrently, wearable experts have advised how fitness monitors could eventually become prescribed medical devices (Walker, 2014) and considering the current trends of obesity, these devices will soon become essential rather than preferential (Jones, 2014). The findings of this chapter have outlined some of the concerns in regards to the market of wearables with emphasis on future innovations and the influence that the current trend of obesity is posing.




61

ConclusionsThe investigation of this thesis highlighted the relevance and impact that the fastest growing disease of obesity has within the UK. It is obvious from the outlined findings that it is now imperative to educate the consumer to help reverse the trend. If no changes are foreseen, a vast majority of the country will be at risk of developing chronic and potentially fatal illnesses. Subsequently, those who are indirectly af fected could face consequences if taxes were to be raised in order to fund those suf fering. Key findings from this investigation have revealed that if no significant changes are implemetend, the future generations will undoubtedly face the same demise. The findings have also highlighted the discrepancies with the BMI measurement; this technique is useful as a generic measurement but fails to give enough scope to the internally damaging af fects of obesity. Food manufacturers have additionally played a huge catalyst to the problem by incorrectly labelling produce, whilst concurrently filling them with excessive amounts of sugar and additives and labelling them as ‘diet’.

External forces are not solely to blame. There is a clear correlation between the amount of overweight individuals and what majority of these are actively doing nothing to help their situation. Society as a whole needs to implement collective changes in order for this pandemic to be alleviated. The government are currently taking the necessary means but continually contradict themselves by abolishing certain medical practices. The health and fitness sector still witnesses a steady increase in its number of participants, despite the current state of the problem indicating the lucrative nature and popularity of this market. The wearable technology sector is exponentially rising and newer technology is continuously being developed. Industry experts such as Gareth Jones of Fitbit Inc made notable comments to the notion that wearables will soon be essential rather than preferential.



62

Recommendations

In relation to the findings of this thesis, it is my recommendation that the food manufacturers need to be much more coherent on the criteria used when establishing a low fat product. If the product has a lower fat percentage and this is clearly highlighted, then foods containing high amounts of sugar should also be declared to avoid confusion and consumer unawareness. As it appears, one of the biggest problems is that many ingredients which appear in low fat products pose great detriments and too many consumers are oblivious to this, hence the need for official government policy action to reduce some of the supply side drivers, or at the very least, ban some of the imposing ingredients that are added to so many pre packaged goods.

Everyone, regardless of their current state of health could benefit greatly from replacing artificial sugars with natural alternatives and everyone should be making their best ef forts to be physically active for at least 12 minutes a day.




63

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Appendices

Appendix A

Appendix B

Appendix C

Appendix D




77

Business Proposal

x

executive summary Digital technology is no longer determined

by the size of its constituent components.

Technological advances are becoming ever bet ter and smaller until all that remains is the functionality of the product and cruciality of the data.

Today, technology enables the quantified self, endeavouring to make mankind both omnipotent and omnipresent.

Technology is actualising the ability to be everywhere, to know everything and to do everything.



Mission StatementTO BE THE #1 PROVIDER OF PREMIUM TECHNOLOGICAL FITNESS APPAREL

SYNETIX IS SYNERGISTICALLY KINETIC - The amalgamation of seamless textile-technological integration and physical output SYNETIX is driven by innovation and

designed for creation; the creation of the optimised self. SYNETIX of fers a premium fitness apparel line that seamlessly integrates the most advanced wearable electronics with innovative conductive fabrics. The apparel will target the luxury and middle market, of fering the ultimate standard of cut ting edge technology and superior proprietary fibres. The SYNETIX apparel range rivals the average activity tracker, providing the epitome of innovative technology and sports performance. SYNETIX features the absolute standard of technology combined with a revolutionary protective nano-coating, SYNETIX allows the wearer to train bet ter. harder. faster. stronger.

x




81

concept

SYNETIX is a limited company operating within Oxfordshire in the United Kingdom. The company was founded by CEO Portia Colbert in 2014 and was inspired and created due to the extremities of the rising prevalence of obesity within the UK. SYNETIX prides itself on delivering a premium fitness experience to it’s targeted demographic. SYNETIX’ distribution channel will be through premier fitness facilities and privately owned CrossFit facilities throughout the UK. The company aims to become the number one choice for smart-wearable sports and fitness garments within the UK, with an estimated revewnue of £3,827,000 over the next five years.



Figure B1 SYNETIX Trifecta Business Model




83



Market analysis

SYNETIX will enter the robust and lucrative health and wellness market, penetrating the concurrent and highly fragmented sectors of wearable technology, sports and footwear apparel and health and fitness clubs.

Figure B2 Mergence of Markets




85

The Wearable Technology Sector

Key Facts:

1. Retail value of $1.4 billion (£878m)Estimated growth of $19 billion (£11.9bn)2. Estimated CAGR of 17.7% from 2013-2018

The wearable technology market is growing at an exponential rate with a current retail revenue of $1.4 billion (£878m) and an estimated revenue set to reach $19 billion (£11.9bn) by 2018 (Juniper Research, 2013). Wearable technology encompasses all varieties of small scale computing from smartphones to fitness trackers. Technology in all forms, now plays a significant role in helping human’s understand their world and enhance their lives (Business Insider, 2013:Markets and Markets, 2012). SYNETIX will primarily penetrate this market.

Sports Apparel and Footwear Sector

Key Facts:

1. Current market value of £4.71 billion2. Estimated market value of £5.34

billion by 20163. Impeccable growth rate of £63

million within the next two years4. 7.5% of the total market share is

at tributed to the sports clothing sector alone

The recession had great impact on the UK economy which induced a substantial market fall in 2009 and furthermore, global cot ton shortages led to an inflation of material prices. Labour and import costs also played a significant role, but despite the detriments of the previous economic climate, t.he market has remained extremely lucrative thus highlighting the relentless demand for fitness apparel. (Keynote, 2012)

Health and Fitness Sector

Key Facts:

1. Market value of £3.8 billion2. 4.5% rise in number of UK residents joining fitness facilities within the private sector since 2012

Increasing awareness of the obesity epidemic has caused a surge within the private health club and public leisure centre sectors with 12.6% of the total population joining a facility since last year. Despite the economic recession in 2009, the market remained largely unaf fected seeing 163 new facilities being built in 2012 from the previous 114 in 2009 (Keynote, 2013).

“Market growth is expected to be excelled by various factors; Growing fitness consciousness and rising income levels in developing countries.” (Forbes, 2013)

x

x



87

x

x

Table B3 Source: Juniper Research (2014) Retail Market Value of Smart Wearable Devices Bought in 2013



keydriversFactors collectively influencing these markets as well as the creation and innovation of the SYNETIX product range include the rise in health consciousness, which have ignited public interest in health and wellness at a time when the health of the nation is under threat.

Britain’s Obesity Epidemic Key Facts:

1. 50% of the British population will be overweight or obese by 20502. Motivating the obese population costs the NHS an average of £360 million per year to treat3. More than 161,000 die each year from excess weight problems, 66% being directly linked to obesity

The Rise of Wearable Technology

It is expected that the UK fitness industry will continue to grow as the markets

continuously adapt to consumer needs and economic trends and successive

technological improvements are expected to change the face of the

health and wellness market as a whole (Keynote, 2013). There are now an abundance of wearables available

ranging from smart phones, fitness and activity trackers, and heart rate monitors.

New medical technologies including glucose monitoring devices and drug

delivering gadgets are changing the face of medicine and enabling human’s

to enhance their lives. Clothing is now becoming computing and with the development of SYNETIX new and

innovative technology, the interface is now the human body, thus providing the ultimate plat form to the quantified

self.




89

Table B4 Source: IHS IMS Research (2012) Global Forecast of wearable technology units sold within the premium and value markets by 2016



the synetixteam




91

Corporate Social Responsibility

Part of the SYNETIX core value is to have a good Corporate Social Responsibility (CSR) Policy

Economical Responsibility-(be profitable) SYNETIX intends to be a profitable and viable business hence management and staf f would have revenue

budgets as targets which would yield returns for stakeholders

Legal Responsibilities -(obey the law) as a company, SYNETIX would obey all national, industrial and local rules and regulations governing its operations. The company will also formulate its own internal rules and regulations from

best practices to govern its staf f and operations.

Ethical Responsibilities (be ethical)- SYNETIX will endeavour to be ethically responsible to its staf f, environment and partners. The company will establish

an ethical code of conduct to guide its operations and dealings both internally and externally.

Philanthropic responsibilities (be a good corporate citizen)- SYNETIX will give back to its host community by aliening itself with partners, institutions or bodies that contribute towards the social-economic development of its

community. This will be done through sponsorships, awards and donations to worthy causes.



The SYNETIX product range consists of four pieces of fitness apparel for both men and women featuring the height of advanced wearable electronics rivalling that of its competitors .

Product Key Features

Shaped and structured to contour and flat ter the body and provide extreme

comfort

Specially blended materials to ensure a superior fit and second skin feel

Confident designs to compliment the physique

Innovative integrated technology woven into fabrics to provide accurate and

real time data for optimal analysis of performance and training




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product

SYNETICALLY BLENDED

SYNETIX introduces a patented proprietary blend of specially constructed materials to provide ultimate comfort and cut ting edge technology; SYNETIX².

SYNETIX² achieves a second skin illusion, which provides HYPER-SENSTIVE sensor fusion of materials and fibres for the most accurate muscular activity data in addition to superior comfort and wearability.



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SYNETIX² Blend:

Shape Memory Polymers:Provides functionally and ease of movability for supreme comfort and fit. These fibres are easily manipulated and expanded, ensuring the clothing moves with the wearer whilst always reverting back to its original state to provide extreme longevity

-Moisture wicking fibres:Ensures extreme breathability to absorb perspiration

-Lycra, Nylon, Polyester Blend:Achieves stretch and elasticity, proves tear and abrasion resistant. Resistant to temperature changes, ensuring heat retention and cooling innovation. High performance microfibres that move sweat away from the body and to the surface for evaporation

SYNETIX² operates on its brand core values of Layer, Protect, Recover. The specially constructed materials are marginally more expensive than regular sports garment fibres, at approximately 35% higher to produce due to their conductivity, sensory integration and the coveted SYNETIX competitive advantage of P2i’s nano-coating technology.




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Technological Integration

Biometric sensors woven into fibres monitor pulse, heart rate, body

temperature and muscular activity. These sensors are strategically placed

on integral areas of the garments to contact primary muscle groups

Synetix² wirelessly transmits real-time data via Bluetooth 4.0 to mySYNETIX,

the comprehensive data analysis component to SYNETIX². The new, low

energy Bluetooth 4.0 has improved rates of speed, to give the best experience

and fastest transmission to mySYNETIX

PROTECT AND RECOVER

In a holistic approach to training, garments are specifically designed to aid performance and recovery through the use of strategically positioned panels to protect against abrasion in high-stress areas.

BETTER FIT, BETTER FORM.



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BETTER FIT, BETTER FORM.



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mySYNETIX

mySYNETIX is the post exercise data analysis app that creates a virtual

network for the wearerProvides instant access to data

Wearers can view and manipulate data to optimise performance and

techniquesIllustrations of exercise and training

intensityDisplays detected problems to prevent

injuriesRecommendations for bet ter and

optimal training based on individual results

Compatible with all plat forms, i.e. IOS, Android, Blackberry

Smartphone acts as the data hub for continuos data capture

mySYNETIX engages wearers with SYNETIX.com

Creation of the SYNETIXself, the virtual illustration of the wearer



SYNETIX² combines the use of P2i technology. P2i is the pioneering hydrophilic nano-technology that provides the ultimate nano-coating protection to the SYNETIX² electronic components, providing an end-to-end solution of full protection from corrosive and liquid submersion.

USP

How Does It Do It?

The garments undergo a chemical vapour deposition process where the molecules of P2i’s formula bond to one another. Creating a robust barrier capable of safeguarding the SYNETIX² electronics from destructive elements such as sweat and water damage. The nanotechnology (nano-coating) repels liquids, encasing the apparel in a transparent film that has no negative af fect to the look or wearability of the apparel. The nano-coating shields the garment, thus conserving the longevity of the clothing and preservation of the integrated electronic sensors. Concurrently, the nano-coating provides anti microbial protection, keeping the wearer dry, stain and odour free, thus enabling it to be wearable for up to three workouts before washing. When necessary, the garments should be hand washed in cold water.



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COnsumer

SYNETIX will distribute to the end user via premium fitness centres and Crossfit facilities. Synetix has chosen these distribution channels due to the rising prevalence of private sector fitness facilities within the UK.

Synetix focus is to appeal to end users from a B2B plat form via deluxe fitness facilities and leading CrossFit facilities. Throughout product design and development, the business considers specific consumer groups which fall under the demographic classification of ABC1.There has been steady increase within this social grade and a subsequent incline in their spending power, despite the temperaments of the current economic climate. Research indicates that those who categorise within the higher social grades have a greater interest within sporting and fitness activities (Keynote, 2013). This demographic has therefore been highlighted as the Synetix primary consumer

Consumer Expectations

Global Operations General Manager of market leaders for fitness and activity monitors Fitbit Inc, Gareth Jones (2014) has outlined that consumers expect many components in order for a product to be vital. SYNETIX conducted a survey (Appendix A) in order to establish their needs and what might be missing within the health and wellness wearables sector. The trend of ‘life logging’ is driving transitional devices that monitor and record all day, every day since consumers are suf fering from device overload - they want one product that meets all requirements. Devices and gadgets require clear benefit and functionality, with less gimmicks as consumers develop ‘gadget fatigue’ hence the need for ‘smart’ clothing - greater functionality and accessibility

It is essential that SYNETIX meets the consumer expectations of wearables in order to thrive and deliver the best possible service.




101



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Distributor Expectations

Traffic - This is where SYNETIX hopes to entice a new customer base for it’s distributors

In store Theatre - SYNETIX will provide live demos within the facilities as part of the company marketing strategy

Staf f Training - SYNETIX will provide the distributors with sufficient and detailed information packages to ensure each member of staf f becomes a SYNETIX Ambassador expert

x




103

Customer Relationship Management

The consumer is of the utmost importance to SYNETIX and therefore essential to the success of the business. SYNETIX puts the consumer at the forefront of the brand to enable a greater understanding of the targeted demographic. SYNETIX highly values its chosen distribution channels of premium and CrossFit fitness facilities. A prominent relationship with these organisations is crucial in order to develop stronger brand awareness and total product satisfaction for the end user.

SYNETIX will demonstrate a good online presence in order to interact with its customers efficiently and ef fectively. SYNETIX hosts website and subsequent app in order to stay fully connected with the end user. The plat forms achieve personal and immediate access from business to consumer and vice versa allowing the business and it’s valued customers to interact. The business aims to of fer instance access to consumers, hence SYNETIX dedicated Sales and Marketing team are on hand to assist with potential queries and complaints.

SYNETIX makes it a priority to always ensure its sof tware and wireless interconnections are up to date to provide the end user with the best experience possible. SYNETIX syndicates Bluetooth 4.0 which couples low energy and improved rates of speed, to give the fastest transmission to MySYNETIX.

SYNETIX will only distribute to premier fitness facilities in its initial years in order to build a strong rapport with its chosen distribution channel and achieve greater customer retention. This also adds to the exclusivity of the brand and products.

x



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Competitors

The wearable technology market is heavily saturated with a plethora of new gadgets being produced and shipped every month.Global shipments of wearable devices is estimated to reach almost 112 million by 2018 (Juniper Research, 2013).

SYNETIX has one direct competitor, Finish brand, MBody. The brand specialises in a similar product to SYNETIX. MBody of fer the Mshorts which feature built in sensors that sit on the hamstrings and quadriceps to read muscular activity. The company was the first of it’s kind to establish new technology of this kind in wearable electronics, and subsequently won The Innovation World Cup in 2013.

Features which dif ferentiate SYNETIX and MBody are the forms in which the technologies are integrated. The Mshorts do not feature integral sensors woven directly in to the fabrics and the plat form in which the data is transmit ted is also not as advanced as SYNETIX. The Mshorts feature the MCell which is essential the data hub interface. This must be connected and removed before wearing and upon washing of the shorts, where as SYNETIX provides an easier solution. MBody retails at approximately £900. Although the SYNETIX range has a higher price point, this is justified by the newer technology and the competitive advantage of the P2i nano-coating .




105



106

MARKETING STRATGEY

SYNETIX cultivates strong marketing techniques by considering the the marketing mix in order to create wider awareness of the brand to consumers and potential new partners and investors.

SYNETIX will use forms of above-the-line (ATL) promotion in formats such as new papers, magazines, television, billboard and online advertisements. The businesses above-the-line strategies includes guerrilla marketing to aggressively entice and captivate it’s chosen demographic.

SYNETIX will additionally use forms of below-the-line (BTL) promotion such as promotional videos of the SYNETIX sponsored athlete, show casing young and fresh sports and athletic talent within the UK in order to create stronger brand awareness. (Rob Evans) This technique concurrently builds a powerful alliance with up and coming individuals within this field to create a greater rapport for further sponsorships. Other forms of BTL include the integration of social media plat forms as the number of social network users around the world is estimated to rise from the current 1.47 billion to 1.73 billion by 2017 (E Marketer, 2013).

SYNETIX endeavours to achieve the deepest engagement with its audience and customer base. SYNETIX will at tend various technology conventions such as The Wearable Tech Expo in London where the business will conduct product demonstrations. The business will concurrently hold live demonstrations within the fitness facilities for a greater brand experience.




107

MARKETING STRATGEY



108

operationsSYNETIX’ distribution channel will be through premier fitness facilities and privately owned CrossFit facilities throughout the UK. SYNETIX outsources its suppliers and manufacturers in China. All designs are created in-house by the SYNETIX team. SYNETIX monitors the manufacturing and shipping process to ensure complete quality control until the products reach distribution.




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operations pricing strategy

SYNETIX uses a premium pricing strategy in order to highlight the exclusivity and luxuriate essence of the brand. The strategy also factors in the high technology costs, integrated sensory fibres, and the USP of P2i nano-coating. Although this strategy is used, SYNETIX prices rival those of its competitors and of fers consumers greater advancements in technology. Within its first year, SYNETIX will distribute more menswear garments as research of the sportswear market has identified that males are the main consumers in the health and fitness industry (Keynote, 2013).



110

Financials




111

Financials

Synetix Sales Forecast Year 1

Retail Price April’15

Total May ’15

Total June ’15

Total July’15

Total Aug’15

Total Sept’15

Total Oct ’15

Total Nov’15

Total Dec'15

Total Jan ‘16

Total Feb ‘16

Total Mar’16

Total Number Sold Per Product P/A

Revenue per Product P/A

Men’s T Shirt (Luxury Gym)

£1500.00 20 £30000.00 0 £0.00 3 £4500.00 2 £3000.00 0 £0.00 2 £3000.00 0 £0.00 1 £1500.00 1 £1500.00 3 £4500.00 2 £3000.00 1 £1500.00 35 £52500.00

Men’s Leggings (Luxury Gym)

£1200.00 20 £24000.00 0 £0.00 3 £3600.00 2 £2400.00 0 £0.00 2 £2400.00 0 £0.00 1 £1200.00 1 £1200.00 3 £3600.00 2 £2400.00 1 £1200.00 35 £42000.00

Women’s T Shirt (Luxury Gym)

£1500.00 10 £15000.00 0 £0.00 2 £3000.00 1 £1500.00 0 £0.00 1 £1500.00 0 £0.00 1 £1500.00 1 £1500.00 2 £3000.00 1 £1500.00 1 £1500.00 20 £30000.00

Women’s Leggings (Luxury Gym)

£1200.00 10 £12000.00 0 £0.00 2 £2400.00 1 £1200.00 0 £0.00 1 £1200.00 0 £0.00 1 £1200.00 1 £1200.00 2 £2400.00 1 £1200.00 1 £1200.00 20 £24000.00

Men’s T Shirt (CrossFit Gym)

£1500.00 20 £30000.00 3 £4500.00 2 £3000.00 1 £1500.00 0 £0.00 2 £3000.00 0 £0.00 1 £1500.00 1 £1500.00 3 £4500.00 2 £3000.00 2 £3000.00 37 £55500.00

Men’s Leggings (CrossFit Gym)

£1200.00 20 £24000.00 3 £3600.00 2 £2400.00 1 £1200.00 0 £0.00 2 £2400.00 0 £0.00 1 £1200.00 1 £1200.00 3 £3600.00 2 £2400.00 2 £2400.00 37 £44400.00

Women’s T Shirt (CrossFit Gym)

£1500.00 15 £22500.00 2 £3000.00 2 £3000.00 1 £1500.00 0 £0.00 1 £1500.00 0 £0.00 1 £1500.00 1 £1500.00 2 £3000.00 1 £1500.00 2 £3000.00 28 £42000.00

Women’s Leggings (CrossFit Gym)

£1200.00 15 £18000.00 2 £2400.00 2 £2400.00 1 £1200.00 0 £0.00 1 £1200.00 0 £0.00 1 £1200.00 1 £1200.00 2 £2400.00 1 £1200.00 2 £2400.00 28 £33600.00

Total No. of Product Sold

130 10 18 10 0 12 0 8 8 20 12 12 240

Total Sales £175500.00 £13500.00 £24300.00 £13500.00 £0.00 £16200.00 £0.00 £10800.00 £10800.00 £27000.00 £16200.00 £16200.00 £324000.00

Cost Price

Men’s T Shirt (Luxury Gym)

£500.00 20 £10000.00 0 £0.00 3 £1500.00 2 £1000.00 0 £0.00 2 £1000.00 0 £0.00 1 £500.00 1 £500.00 3 £1500.00 2 £1000.00 1 £500.00 £17500.00

Men’s Leggings (Luxury Gym)

£400.00 20 £8000.00 0 £0.00 3 £1200.00 2 £800.00 0 £0.00 2 £800.00 0 £0.00 1 £400.00 1 £400.00 3 £1200.00 2 £800.00 1 £400.00 £14000.00

Women’s T Shirt (Luxury Gym)

£500.00 10 £5000.00 0 £0.00 2 £1000.00 1 £500.00 0 £0.00 1 £500.00 0 £0.00 1 £500.00 1 £500.00 2 £1000.00 1 £500.00 1 £500.00 £10000.00

Women’s Leggings (Luxury Gym)

£400.00 10 £4000.00 0 £0.00 2 £800.00 1 £400.00 0 £0.00 1 £400.00 0 £0.00 1 £400.00 1 £400.00 2 £800.00 1 £400.00 1 £400.00 £8000.00

Men’s T Shirt (CrossFit Gym)

£500.00 20 £10000.00 3 £1500.00 2 £1000.00 1 £500.00 0 £0.00 2 £1000.00 0 £0.00 1 £500.00 1 £500.00 3 £1500.00 2 £1000.00 2 £1000.00 £18500.00

Men’s Leggings (CrossFit Gym)

£400.00 20 £8000.00 3 £1200.00 2 £800.00 1 £400.00 0 £0.00 2 £800.00 0 £0.00 1 £400.00 1 £400.00 3 £1200.00 2 £800.00 2 £800.00 £14800.00

Women’s T Shirt (CrossFit Gym)

£500.00 15 £7500.00 2 £1000.00 2 £1000.00 1 £500.00 0 £0.00 1 £500.00 0 £0.00 1 £500.00 1 £500.00 2 £1000.00 1 £500.00 2 £1000.00 £14000.00

Women’s Leggings (CrossFit Gym)

£400.00 15 £6000.00 2 £800.00 2 £800.00 1 £400.00 0 £0.00 1 £400.00 0 £0.00 1 £400.00 1 £400.00 2 £800.00 1 £400.00 £0.00 £10400.00

Total No. of Product Sold

Total Cost Sales

£58500.00 £4500.00 £8100.00 £4500.00 £0.00 £5400.00 £0.00 £3600.00 £3600.00 £9000.00 £5400.00 £4600.00 £107200.00

Sales Forecast



112

Synetix Cash Flow Projection

Monthly Cash Flow Projection

Synetix

April ‘14 May ‘14 June ‘14 July ‘14 Aug’14 Sept ‘14 Oct ‘14 Nov ‘14 Dec ‘14 Jan ‘15 Feb ‘15 March’15

Pre-Startup Month 1 Month 2 Month 3 Month 4 Month 5 Month 6 Month 7 Month 8 Month 9 Month 10 Month 11 Month 12 TOTAL

1. CASH ON HAND [Beginning of month] 25,000 (62,430) (37,048) (3,976) 32,396 73,128 110,145 147,862 178,504 214,116 264,373 318,535 367,737

2. INCOME

(a) Cash Sales 175,500 191,700 205,200 213,300 205,200 207,900 191,700 202,500 221,400 243,000 232,200 221,400 2,511,000

(b) Collections from Credit Accounts -00

(c) Loan or Other Cash Injection 50,000 50,000

3. TOTAL CASH RECEIPTS [2a + 2b + 2c=3] 50,000 175,500 191,700 205,200 213,300 205,200 207,900 191,700 202,500 221,400 243,000 232,200 221,400 2,561,000

4. TOTAL CASH AVAILABLE [Before cash out] (1 + 3) 75,000 113,070 154,652 201,224 245,696 278,328 318,045 339,562 381,004 435,516 507,373 550,735 589,137

5. OUTGOINGS

(a) Purchases (Merchandise) 58,500 63,900 68,400 71,100 68,400 69,300 63,900 67,500 67,500 81,000 77,400 73,800 830,700

(b) Gross Wages (excludes withdrawals) 35,583 35,583 35,583 35,583 35,583 35,583 35,583 35,583 35,583 35,583 35,583 35,583 426,996

(c) Payroll Expenses (Tax) 7,117 7,117 7,117 7,117 7,117 7,117 7,117 7,117 7,117 7,117 7,117 7,117 85,404

(d) Outside Services -00 -00 -00 -00 -00 -00 -00 -00 -00 -00 -00 -00 -00

(e) Supplies (Office and operating) 150 150 150 150 150 150 150 150 150 150 150 150 1,800

(f) Repairs and Maintenance -00 -00 600 -00 -00 500 -00 -00 300 -00 -00 200 1,600

(g) Advertising 25,000 2,000 2,000 2,000 2,000 2,000 2,000 2,000 2,000 2,000 2,000 2,000 2,000 49,000

(h) Auto, Delivery, and Travel 700 560 575 600 620 600 615 575 600 625 700 650 625 8,045

(i) Accounting and Legal/Patent 4,730 800 800 800 800 800 800 800 800 800 800 800 2,000 15,530

(j) Rent 3,000 2,500 2,500 2,500 2,500 2,500 2,500 2,500 2,500 2,500 2,500 2,500 2,500 33,000

(k) Telephone/Internet 120 120 120 120 120 120 120 120 120 120 120 120 1,440

(l) Utilities 400 255 200 200 175 200 255 300 450 550 520 450 3,955

(m) Insurance 650 650 650 650 650 650 650 650 650 650 650 650 7,800

(n) Taxes (Corporation Tax} 35,100 38,340 41,040 42,660 41,020 41,580 38,340 40,500 44,280 48,600 46,440 44,280 502,180

(o) Interest 125 125 125 125 125 125 125 125 125 125 125 125 1,500

(p) Other Expenses [Specify each] -00

(p1) Security 13 13 13 13 13 13 13 13 13 13 13 13 156

(p2) Technology Development 35,000 5,000 5,000 5,000 5,000 5,000 5,000 5,000 5,000 5,000 5,000 5,000 5,000 95,000

(q) Miscellaneous [Mobile App] 20,000 1,500 1,500 1,500 1,500 1,500 1,500 1,500 1,500 1,500 1,500 1,500 1,500 38,000

(r) Subtotal 88,430 150,118 158,628 166,398 170,138 165,753 167,753 158,628 164,458 168,713 186,408 180,568 176,113 2,102,106

(s) Loan Principal Payment 2,430 2,430 2,430 2,430 2,430 2,430 2,430 2,430 2,430 2,430 24,300

(t) Capital Purchases [Specify] 29,000 29,000

(u) Other Start-up Costs 20,000 20,000

(v) Reserve and/or Escrow [Specify] -00

(w) Owner's Withdrawal -00

6. TOTAL CASH PAID OUT [Total 5a thru 5w] 137,430 150,118 158,628 168,828 172,568 168,183 170,183 161,058 166,888 171,143 188,838 182,998 178,543 2,175,406

7. CASH POSITION [End of month] (4 minus 6) (62,430) (37,048) (3,976) 32,396 73,128 110,145 147,862 178,504 214,116 264,373 318,535 367,737 410,594

ESSENTIAL OPERATING DATA [Non-cash flow information]

A. Sales Volume [Pounds Sterling] -00

B. Accounts Receivable [End of Month]

C. Bad Debt [End of Month] -00

D. Inventory on Hand [End of Month]

E. Accounts Payable [End of Month]

F. Depreciation -00

CHECKING (calculation verification)

[See Guidelines worksheet for details]

CHECK #1 Error

CHECK #2 Error

CHECK #3 Verified

CHECK #4 Error



1.Cash pre start-up loan of £25,000 is a P2i interest free loan payable over 24 months, with a three months principal repayment moratorium period

2.Bank loan of £50,000 with a 3% interest p/a also with a three month grace period for principal repayment, payable over 36 months

3.Gross wages covers staf f salaries for management and support staf f

4.Advertising costs consists of pre start up investment of £25,000- guerrilla marketing, newspaper and TV advertisements, billboards, sponsorship of events. An estimated monthly expenditure of £2,000 for additional strategies such as posters, brand information packages, and social media

5.Accounting and Legal fees consist of initial investments of a trademark, business registration, patent. There is also an auditors fee at the end of the 12 month period and a monthly fee for external book keeping

6.A deposit of £3,000 for rent plus monthly payments of £2,500

7.Interest payments is the 3% per annum for the £50,000 bank loan

8.Monthly security system for the office and warehouse

9.Technology development, initial investment of £35,000 to cover costs for the development of the sof tware and integrating the sensors into the fabrics. There is also a monthly £5,000 renewal fee for retainer ship of the sof tware

10.Miscellaneous, pre start-up cost of £20,000 for mobile app development to compliment the integrated sensors within garments. Additional £1,500 for mobile app updating and hosting

11.The loan repayments consists of combined principal loan payments of the £25,000 P2i and £50,000 bank loan repayable over 24 and 36 months respectively

12.Capital purchase payments consists of, fixed asset purchases such as fixtures and fit tings, motor vehicle for delivery and office equipmentOther start up costs include initial recruitment and hiring, branding of the office and product launch events

Profit and Loss StatementSynetix

For Year Ending March 2015

£

Sales Revenue 2,511,000

Cost of Sales -830,700

Gross Profit 1,680,300

Operating Expenses

Sales and Marketing

Advertising -49,000

Direct marketing 0

Other expenses (Auto, travel and delivery) -8,045

Other expenses 0

Total Sales and Marketing Expenses -57,045

Research and Development

Technology licenses -95,000

Accounting and Legal -15,300

Patents -230

Other expenses (Mobile App)

Other expenses (Initial recruitment, hiring and training) -18,000

Total Research and Development Expenses -128,530

General and Adminstrative

Wages and salaries -426,996

Outside services 0

Supplies -1,800

Meals and entertainment -2,000

Rent -33,000

Telephone -1,440

Utilities -3,995

Depreciation -483

Insurance -7,800

Repairs and maintenance -1,600

Other expenses (Amortisation) -972

Other expenses (Security) -156

Total General and Administrative Expenses -480,242

Total Operating Expenses -665,817

Income from Operations 1,014,483

Other Income

Taxes

Income taxes -502,180

Payroll taxes -85,404

Real estate taxes 0

Loan Interest -1,500

Other taxes (specify)

Total Taxes -589,084

Net Profit 425,399

Profit and Loss Statement

Synetix

5 Year Forecast

Year 1 Year 2 Year 3 Year 4 Year 5

Sales Revenue 2,511,000 3,013,200 3,163,860 3,416,969 3,827,006

Cost of Sales -830,700 -847,314 -800,712 -864,768 -968,541

Gross Profit 1,680,300 2,165,886 2,363,148 2,552,201 2,858,465

Total Operating Expenses -665,817 -699,108 -720,082 -734,483 -756,517

Income from Operations 1,014,483 1,466,778 1,643,066 1,817,718 2,101,948

Net Profit 425,399 767,670 922,984 1,083,235 1,345,431

Sales revenue for SYNETIX are forecast to increase by 2%, 5%, 8%, 12% respectively over the next five years. This will be achieved through aggressive and targeted marketing to the niche target market. Whereas sales revenue are expected to increase year on year, cost of sales (purchases) will increase in the first two years but there is an expected bulk buying and loyalty discount of 10% from the third year of operations onwards as agreed in a contracted agreement with suppliers. Operating expenses are projected to increase by 5%, 3%, 2% and 3% over the next five years. This projection is based on the assumption that the company would improve efficiency in its operation/supply chain management and identify savings in some expense lines such as utilities and delivery costs by reducing the business’s carbon footprint as part of its ethical responsibilities. This will result in an increase in business profits and hence reinvestment opportunities for the business to drive growth.

SYNETIX has a medium term management budget to increase its balance sheet by 2% ,5% ,8% and 12% respectively over the next five years. This increase is intended to confirm an expansion or change in business model from selling directly to gyms only and of fering a online individual sales point. This would of fer direct buyers a small discount which might entice them to come directly SYNETIX due to a reduction in distribution costs which could be transferred to direct customers as cost savings in the form of a price discount. Furthermore, the business intends to branch out into other prime locations for its target market. Plans will also be made to help increase business clientele via partnerships with the sports industry such as football and athletics clubs. Retained earnings (shareholder equity) would also be reinvested into the business for the next five years before any dividends are shared, hence increasing the value of the business.

SYNETIX will break even in month four when the company fully recovers its total expenses and purchase costs from total cash receipts. Total costs at break even point for the company is estimated to happen at the end of the third month and beginning of fourth month when total costs at break even is projected at £205,200. To recover this cost the company needs to sell 152 units at the average combined selling price of £1,350 (this is the average selling price for both male and female product range).



key issues

Entering a largely saturated market with huge competition

Technology advancement costs

Loss of visibility of production through international sourcing

Goods at risk of being stolen or damaged in transit

Unforeseen delays in delivery (i.e. weather and natural disasters)

Variations in export and import tarif fs

Increasing fuel costs

Fluctuations in currency rates

Manufacturer design discrepancies

future growth




123

key issues future growth

As technology advances, costs will decrease making the SYNETIX clothing range more widely available and accessible for direct purchase and bulk manufacturing. Subsequently, technology changes will allow SYNETIX to develop and produce a range for a smaller expense whilst maintaining the same high-quality standards.

Additionally, SYNETIX forecasts expansion to international and concurrently, as a result of higher profits, SYNETIX hopes to invest in opportunities to launch a pop up store and begin manufacturing within the UK and Europe in at tempt to lower the company’s carbon footprint and provide a greater level of service to consumers and quality control of manufacturers and suppliers.

E Marketer. (2013) Social Networking Reaches Nearly One in Four Around The Globe. Available at ht tp://www.emarketer.com/Article/Social-Networking-Reaches-Nearly-One-Four-Around-World/1009976#sthash.v3kmj8Tq.dpuf [accessed 7 April 2014]

Forbes. (2013) Why Nike Will Outpace The Sports Apparel Market Growth Available at ht tp://www.forbes.com/sites/greatspeculations/2013/05/13/why-nikes-growth-will-outpace-the-sports-apparel-markets/ [accessed 29 February 2014]

References

IHS (2013) Wearable Technology Market Assessment Available at ht tp://www.ihs.com/pdfs/Wearable-Technology-sep-2013.pdf [accessed 5 March 2014]

Information Week.(2013) Wearable Tech Muscles Into Fitness Market Available at ht tp://www.informationweek.com/healthcare/mobile-and-wireless/wearable-tech-muscles-into-consumer-fitness-market/d/d-id/1113164 [accessed 10 March 2014]

Keynote. (2013) ABC1 Consumer Market Report 2013. Available at ht tps://www.keynote.co.uk/market-intelligence/view/product/10643/abc1-consumer/chapter/7/leisure-and-travel [accessed February 10 2014]

Pocketnow. (2013) Here’s Why You Should Be Thrilled About Bluetooth 4.0 Available at ht tp://pocketnow.com/2013/05/22/bluetooth-4-0-devices [accessed 1 February 2014]

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