Marketing project (harley)
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Transcript of Marketing project (harley)
HARLEY DAVIDSON The New Way Of Cruising
INTRODUCTION: Two wheeler's have always been an integral part of human
society. There have been numerous industries who have come and
gone selling motorcycles trying to top the charts. But the one company
topping the charts for the past 110 years is the HARLEY DAVIDSON
motorcycle company. To anyone is remotely interested in motorcycles,
the name Harley Davidson is familiar. To people who are not, well,
here's a brief history.
Commonly known as HD, Harley Davidson is an American
motorcycle manufacturer. Founded in Milwaukee, Wisconsin, during
the 1st decade of the 20th century, it was one of two major American
motorcycle manufacturers to survive The Great Depression. The
company sells heavy weight (over 750cc) motorcycles designed for
cruising on the highway. Harley Davidson motorcycles commonly
known as "Harleys" have a distinctive design and exhaust note. They
are especially noted for the tradition of heavy customization that gave
rise to the chopper-style of motorcycle.
BRAND PERSONALITY: Harley Davidson isn't like any other motorcycle. Well, definitely it
runs on two wheels and an engine but what other than that?
Davidson's give out a very different message through its marketing
techniques and ADs. The key highlights of a Harley are:
MASCULINE
FREE SPIRITED
RUGGED
MACHO
STRONG
ADVENTUROUS
UNDERSRTANDING INDIAN PREMIUM BIKES
MARKET: The market stands at 700 units/year for premium bikes (800cc
and above)
Premium bikes consists the likes of Suzuki's Hayabusa, Kawasaki's
Ninja and Ducati's Hypermotard.
105 units of Hayabusas have been sold since Suzuki's entry in the
segment in November 09.
127 units of Ninja have been sold in a span of 14 months
The increase in per-capita income to more than US 1000$ by 2014
is expected to fuel the growth of premium bikes market.
Kawasaki / Suzuki / Ducati Harley Davidson / Royal Enfield
PREMIUM BIKES
SUPERBIKES CRUISERS
MARKETING OBJECTIVES: The only reason Harley is there where it is today is solely because of its
cut throat marketing objectives and its way to achieve those objectives.
The objectives are as follows:
To gain Heart-Share in the Indian market and to be revered as a
brand.
To gain Mind-Share in the Indian market as being the "premium
bikes for leisure riding".
To gain market share by effectively creating and meeting needs
for a "Harley Experience" in the Indian market.
To create a loyal bikers community in India (HOG - Harley Owners
Group).
MARKET SEGMENTATION & TARGETING: Segmentation and targeting is the key point for successful marketing
and Harley Davidson has struck just the right cord for the Indian
market. It introduced its first showroom in Gurgaon, Delhi and slowly
spread to other metropolitan cities in India like Mumbai, Bangalore,
Hyderabad, Chandigarh and its latest addition, Kolkata. It focuses on
people of a higher income group and who are between the age of 27 -
45. Its main target customers are Executives, Entrepreneurs, Self-
employed Businessmen and Neo-rich Youth. Harley focuses on people
who are touring enthusiasts and are more outdoor oriented. It deals
with people who have a personality of innovators and achievers. People
in India buy a Harley for leisure riding and planning weekend rides and
that is exactly what the company aims at. The other stimulating factor
for which customers buy a Harley Davidson is the prestige and the feel
good factor that is associated with the brand.
MARKETING STRATEGY: All the marketing communication made is centered on the positioning
statement of the product. In addition to this, the communication is
focused upon the brand personality which mirrors the aspiration of the
prospects and encourages the buyers to make the bike & the brand a
part of their lifestyle.
Target Customers For Harley Davidson-
1. HNI: They target people who play golf, own yachts, indulge in leisure
activities (Yacht owners are in Kochi, Goa and Mumbai). They obtain
data from State Maritime Boards and Mail Brochures to generate leads
or are physically present there to engage the prospective customers
(many of who stay in the non-coastal area of Delhi and Punjab).
2. QUALITY LEAD GENERATION: Davidson engages their prospective
customers in places they are likely to visit like Auto-Expo, Golf Clubs,
Yacht Clubs, Hard Rock Cafes, etc and then collects contact information
there. Engagement Strategies varies from place to place.
3. HOSPITALITY: Hoteliers and resort owners in tourist destinations are
always looking to add new luxury items in their fleet for their clients to
indulge in leisure activities. This makes such people top target
customers for Harley. Premium hoteliers in Manali, Shimla and Kolkata
are a few examples.
4. HOG CULTURE: To cultivate a loyal biking community, one must
drive lessons from social networking websites. Invites for friends,
recommend Harley experience to a friend or list-building by asking for
e-mail can help create a network of Harley Enthusiasts. This may seem
to be an obsolete strategy but it can be very effective if dealt with a
little bit of class. For example - The new owners photograph is taken on
a Harley at the time of purchase (HOG hall of fame). The photo is then
shared with the person via e-mail or a Facebook application. Now this
person is very much likely to share this photo with his known ones
living nearby and far and thus generating a buzz among his known
people giving Harley the valuable Word Of Mouth. The Facebook
application will actually ask the person to send invites to people for
riding with him on his new Harley.
5. CLUBS & PARTIES: Many wealthy businessmen and their 2nd
generations kids party at places like F-Bar (Hotel Ashoka, Delhi), Score
(Chandigarh), etc, where during festive season Harley Davidson can
organize parties that leave an impression on the attendees. Few of
these attendees will certainly be induced to buy a Harley if they are
made to engage with the brand during these parties. There are 2
different Tactics for this:
Tactic 1 - Eye-Candies showing admiration for the Cruisers which in turn
generates interest in the cruisers among the target customers.
Tactic 2 - Theme Based parties, storytelling while live bands are
performing.
Davidson makes sure to collect contact information of the interested
customers to ensure that these prospects are brought to the showroom
for further interaction and eventual sales.
PLACES:
Since the time Harley Davidson set its' foot in India it has not stopped
growing and spreading its wings over the entire country. At present
there are more than 10 showrooms of Harley all over India including
places like Kolkata, Ahmadabad and Delhi. The Davidson family keeps
growing. Here's a map to show the rough locations of the Harley
Davidson showrooms in India:
THE LOCATIONS INDICATED ON THE MAP ARE NOT EXHAUSTIVE.
PROMOTION: INTEGRATED MARKETING CHANNELS
marketing
communication
program
direct &
interactive
marketing
public
relations &
publicity
events and
experiences
advertising
website
social media
blog
s
fan page
company
magazine
HOG parties
press kits
rock riders
media ride
launch at
Delhi Auto-
Expo
founders
ride
boot camp
billboards
posters
brochures and
booklets
motion pictures
print and
broadcast ads
television
commercial
s
overdrive
business
world
business today
channel V,
M TV, F TV
HBO, star
movies, star
world
discovery
travel &
living, zoom
CNBC TV 18,
NDTV, CNN,
BBC
PIE CHART DEPICTING VARIOUS COSTS:
MAJOR COMPETITORS OF HARLEY DAVIDSON:
To anybody who wants to buy a cruiser bike, the first name that
comes to his/her mind is Harley Davidson. As Davidson tops the charts
every time, it is difficult to filter out any competitors of the brand.
Though no too many, but even Harley is threatened by brands
manufacturing similar types of motorcycles. Here is a short list of the
competitors for Harley:
Royal Enfield
Victory
COST ENCURRED WHILE PROMOTION
print media
television commercial
billboards
rallies & HOG parties
ROYAL ENFIELD: Most people across the world know about Harley Davidson, and those from the Old World will know about the Royal Enfield, but serious bikers across the world definitely do know them both. Harley has a cult following in the USA and many parts of the world. After all, they were responsible for keeping alive, as well as growing the iconic American heavyweight motorcycle culture. They created a stir among the marketing community, generating many case studies regarding their successful strategies against the newer, modern Japanese bikes. Their expansion in other international markets have been quite successful. But India is a different story. They never faced a competitor quite like Royal Enfield. One so similar to HD, yet so different. For beginners, the Royal Enfield culture is older than the Harley Davidson one (1893 vs
1903). Both make handcrafted retro heavyweight motorcycles, both served in WW1, and WW2 (Enfield for the British Empire, Harley for the USA). But both have their own signature look, sound, and feel. The Indian subsidiary which started only in 1955 took over the brand after the original RE company closed down in the UK in 1968. Since then it has weaved itself into the fabric of the Indian motorcycle culture, if not that of India itself. Simply put, what Harley Davidson is to the USA, Royal Enfield is to India.
VICTORY: Inspite of an amazing line-up being offered by Harley to Indian buyers,
an aspiring buyer would always wish to make comparison between
different motorcycles belonging to different manufacturers. Victory,
which is a globally renowned cruiser bike manufacturer was built 15
years ago as a potential alternative to Harley-Davidson but has amassed
only a 5% market share, largely taking a piece out of Japanese
competitors Honda, Yamaha, Suzuki and Kawasaki. Victory has already
set its foot in India by introducing its amazing line-up for the Indian
market in the 2012 Delhi Auto-Expo. The company is actively working in
New Zealand, U.K., Germany, Spain, Scandinavia and France and its
parent company Polaris Industries also manufactures ATV (All Terrain
Vehicles) and snowmobiles.
CONCLUISION: Looking at all these methods of promotion used by Harley Davidson it is
evident that this eagle is meant to fly way above. Davidson has already
made a mark in the motorcycle industry and it certainly isn't stopping
its race to the top. There are a very few companies that can give a cut
throat competition to Davidson but this eagle always had and will be
the king of the game.