Analysis N°1
The democratization of extreme sports is an interesting element to be considered
The democratization of extreme sports is an interesting element to be considered
Of course, we will also follow the implementation of more and more partnerships for GoPro, which contribute to increasing its visibility and reputation in the world.
The group is tending to develop more and more services in addition to its cameras as well as applications and any new development will be interesting to follow.
We will also keep an eye on GoPro's competition, but especially on indirect competition from mobile phone manufacturers in particular.
The price of electronic components and its variations are also factors that can influence the activities, margins and therefore the GoPro share price.
Finally, we will look at how the GoPro group is able to position itself and develop in emerging markets.
The GoPro Inc. group is specialised in the manufacturing and sales of photo and video equipment. However although the major part of its activity concerns the camera itself, another part is responsible for the manufacturing and sales of accessories related to it.
With a total of 970 employees around the world, the GoPro group has experienced growing success over recent years due to the sales of a portable camera bearing the same name.
The GoPro Company only produces one single type of product with which it has achieved an incredible success; this is the wearable camera of the same name. However, since the beginning of the GoPro wave of success certain large names in the digital photography sector are itching to claim this part of the market that has been taken by the current market leader in this sector, GoPro.
This is notably the case with the Kodak and Sony companies that have both created their own ranges of sports cameras over recent years which are similar in many ways to those of GoPro.
GoPro also faces growing competition from companies that undercut the sales price of their cameras. Certain companies such as Xiaomi, from China, are trying to position themselves on the market with cameras that are as effective as those of GoPro but are available at unbeatable prices.
In 2016 GoPro and the Red Bull group announced the implementation of a worldwide partnership aimed at content publishing as well as related cross linked distribution and promotion. In this way Red Bull obtained part of GoPro which, in exchange, became the unique supplier to the brand of content production technology.
Still in 2016, the Periscope Company also became a partner of GoPro with a compatibility update of its application for the more recent GoPro cameras. The objective of this manoeuvre relating to the content publishing platform was of course to boost the real time display in the extreme sports sector and thereby attract more users.
We shall commence this comparative analysis with a detailed summary of the strong points of the GoPro group as follows:
As you may have noted the advantages of the GoPro Group in its activity sector and market are numerous. But the weak points of this company should not be neglected and these we shall now explore in detail: