Most riders will stick to the market segment that they enjoy, but some riders may transition their market segment as well as their riding style as they age. (A lot of Harley riders will tell you there first motorcycle back in the day was an old Honda.) * An automobile can be considered a substitute product, however more than likely a consumer is looking to purchase a motorcycle because they want a motorcycle, not necessarily because they strictly need transportation and they are looking at all transportation industries. * Competing sellers * The largest force that the sport bike world faces is competition from competing sellers. The appeal of sport bikes and the brands themselves (including Ducati) all came from roots of competitive motorcycle racing.
Learning about the great legends of sport, how they began and where they are today, makes watching a race that much more exciting. Seeing how the cars and drivers have progressed throughout the many years of nascar racing. When you learn about nascar you see how
Introduction Much research has been conducted over the years by local, state, federal and military law enforcement agencies into military service members (SM’s) being in or affiliated with outlaw motorcycle gangs (OMG’s). With the popularity of motorcycles growing and soldiers being prime candidates due to the training they receive in their branch of service, OMG’s are aware of that. Although most of the OMG’s have been started by military veterans most of the investigations have been conducted on what is known as the Big 10. These are motorcycle gangs that profit from criminal activity. Within these OMG’s are service members from every branch of the military.
This is clearly shown in the diversification of sales in its two major markets, one at home in the U.S and the other in Europe. As seen in the sales mix for 2006, Custom models accounted for 47.4% in the U.S while only a mere 13.4% in the European market. Other sales based on style of bikes are in the U.S performance 15.1%, touring 35.5%, and standard 2.1% while its counter market sales in Europe were performance 41.4%, touring 26.1%, and standard 19.2%. The reason Harley faces such diversification is clearly due to consumer preferences. The European markets desires performance bikes made for the open roads and high speed demands.
(Ducati Case pg 1). The motorcycle industry has a customer loyalty that that is truely unique. According to Exhibit 16 in the Ducati case, these percentage of customers in each of these brands expressed repeat purchase intentions in 2000: BMW (68%), Harley Davidson (70%), Ducati (64%), Honda (54%), and Kawasaki (38%). These high repeat purchase intentions indicate that not only is there brand loyalty, but the motorcycle itself represents much more than simply a vehicle to get you from point A to point B. 2.
1)Can Ducati sustain its position in the sport segment? Can Honda and other Japanese manufacturers stop its growth in this segment? They followed mostly the path of Harley Davidson in their strategies in different activities. They have spare part card. They competed with quality service.
Red Bull has also been able to arouse and activate the consumer decision making process through the use of it's seemingly unconventional advertisements. Red Bull makes use of increasingly audacious marketing tactics in order to arouse its consumers want for its product (Helm, 2005 ,para 1). For an example, their association with the record breaking skydive by Austrian Felix Baumgartner. Through this association Red Bull has aroused the consumer decision making process by creating a need to be fulfilled by the customer; to be able to feel the rush and excitement the product is associated with while at the same time gaining the benefits of increased energy that come with consumption of the product, and providing them with a suitable product to satisfy their needs. It is also through this brand personality and brand awareness that has allowed for Red Bull to be successful in entering the evoked set of consumers.
Central to their strategy was promoting the brand name and they did so well. Harley invested heavily in its image and to increase their involvement in its customers it formed the Harley Owner’s group (HOG) in 1983 which, was to sustain the image of the Harley as well as to create a special community of Harley’s customers. Customer loyalty was reflected in their repurchase and upgrading of Harley products. More than 50% of all customers were those who have already purchased Harley’s products before, while 20% were first-timers. This strategy worked well to stabilize the market shares since early 90s to 2003.
08 Fall Friday Feb 21st 2014 Full time (Day), September 2013 Individual Assignment Harley Davidson Case Study Business Strategy-BMGT 43370 “I the undersigned confirm that the work submitted here is entirely my own work, and that any work of others which is included has been properly referenced and acknowledged according to normal academic guidelines. “ Name: Prashant Saxena Student Number: 13203328 Key Issues “When you buy Harley Davidson, you don’t buy a motorbike but you buy a Harley experience”, this is the main marketing strategy on which Harley Davidson as a brand has emerged out especially in US market. But there are number of factors which are pushing the sales and revenue of the company in not so desired direction, as the company also experienced first net loss in output and revenue in 25 years in the year 2009. The major factors attributing towards this decline is the ageing of its customers. The target customers of the company are middle-aged people who are now ageing and the youth is more attracted towards technologically advanced sports bike.
Harley-Davidson Company essay E-business: Harley-Davidson’s case 2 Executive summary Due to improved technology, Harley-Davidson Company wants to change its working technology from barcodes to RFID tags. It wants it adopt a new RFID technology. Its top management believes that it will cut down its operational costs immensely by doing so. However, the technology comes with new challenges. This paper analyzes the impact of the new technology to the firm.