Harley-Davidson is a well-known motorcycle manufacturer based in the United States. The company has a long history dating back to the early 20th century, and it has become a household name in the motorcycle industry. In order to appeal to a wide range of customers, Harley-Davidson has implemented a strategic marketing approach known as market segmentation.
Market segmentation is the process of dividing a market into smaller groups of consumers with similar needs or characteristics. By segmenting the market, companies can tailor their marketing efforts and products to specific groups, resulting in more targeted and effective campaigns.
One way that Harley-Davidson has segmented its market is by age. The company has traditionally targeted older, more affluent consumers, as well as baby boomers who are looking for a sense of nostalgia and a connection to their younger days. However, in recent years, Harley-Davidson has also made efforts to attract younger riders, including Gen X and Gen Y consumers, by offering a range of products that appeal to this demographic.
Another way that Harley-Davidson has segmented its market is by geography. The company has a strong presence in the United States, and it has also made efforts to expand into international markets, such as Europe and Asia. In order to appeal to different cultural and regional preferences, Harley-Davidson has tailored its marketing efforts and products to specific regions.
Harley-Davidson has also segmented its market based on lifestyle. The company has a strong brand image and a loyal customer base, and it has capitalized on this by offering a range of products that appeal to different lifestyles and interests. For example, Harley-Davidson has a line of clothing and accessories that appeal to consumers who are looking for a "cool" and rebellious image, as well as a range of touring bikes that appeal to consumers who are interested in long-distance riding and adventure.
In conclusion, Harley-Davidson has implemented a strategic marketing approach known as market segmentation in order to appeal to a wide range of consumers. By segmenting the market based on factors such as age, geography, and lifestyle, the company has been able to tailor its marketing efforts and products to specific groups, resulting in more targeted and effective campaigns.
As usual, the aged do not frequently demand motorcycles what makes the demand among this age group to be lower. The marketing mix is the way a firm design and execute a combination of — product strategies, pricing strategices, distribution channel options, and promotion vehicles. This is the crux of their product that attracts consumers. Harley Davidson Marketing Strategy — Marketing Strategy of Harley Davidson: Harley Davidson, a cult brand that employs 6500+ people, is the leader in heavy-weight motorcycles worldwide thanks to its rich design and innovative market strategies. Product involvement The degree of personal relevance the product holds for the consumer. Harley Davidson was made famous amongst the military veterans and they started using it for civil purposes as well. Through its Harley Owners Group HOG , Harley has fostered a rich culture among bikers.
Segmentation, Targeting, Positioning — Harley Davidson Marketing Strategy Harley employs psychographic segmentation to meet the evolving needs of consumers. Psychographic segmentations are effective because people in the same demography can have different psychographic characteristics based on individual life experiences and growing up environment. Harley Davidson usually uses all the modern promotional techniques. On the same note, the global market is threatened by incumbent firms that tend to increase barrier to entry of new and smaller firms. So what is the Marketing Strategy of Harley Davidson? However, to promote the availability of these products, the company has resulted to online sales where consumers can order for their choice of products and get them delivered.
The impact of social factors is witnessed among the aging population who are part of its staff and require pension payments. Market Analysis — Harley Davidson Marketing Strategy Because developed nations have a lot of competition, the 2-wheeler companies are focusing on developing nations. Hence, this complete the Harley Davidson marketing mix. The company can penetrate certain markets through non-traditional outlets like AROs Alternate Retail Outlets and SROs, which are seasonal retail outlets. These customers are from upper middle income group and are in the age group of 25-40 years. But their showrooms are only present in posh localities of all cities they set up in. Its showrooms are found in premium locations only.
Harley Davidson on an interesting segmentation ride
Quarter % Profit Margin Harley-Davidson motor. Technology: One of the advantageous divisions for any company is Technology. They sell jackets which are usually used and worn by bikers. The Softails as the name suggests are lower on the backside of the motorcycle while boring the traditional headlights and steering in the front. To cushion itself from contingencies, it should be updated periodically such as offering staff training and develop mitigation options as these are key in risk planning and business continuity.
In Milwaukee, one-cylinder motorcycle was developed by Bill Harley and Arthur Walter Davidson. With the rise in the purchasing potential of people, the demand for Harley Davidson has also increased. Harley Davidson being the best in the brand, had to introduce the product in the market with the help of the advertising media, since the brand was special by the name itself not much of detailed description of the brand was required, Hence the markers of the brand only concentrated on the Identity of the brand, the Tag line of the brand, and the physical image of the brand. Besides, Harley Davidson intends to adopt crowd sourcing for community collaboration and consumer innovation. What changes into H-D marketing department could be made in order to support new Crowd sourcing strategy and help H-D to strengthen its position in the market? Consumers in the Recreational Products industry vary in their needs, wants, demands, resources, locations, access to technology, cultural differences, buying attitudes, and end use of the products and services.
Besides, through crowd sourcing, Harley Davidson has the ability to tap from a wide range of opportunities and talents in the organization. They have carried out some amazing campaigns which have helped them in promoting themselves as an ultra-premium brand. After the occurrence of 11th September 2001 event, American people started showing the increasing patriotism towards its country. In this case we get to learn the marketing strategies taken up by the makers of Harley — Davidson and the various steps and techniques in promoting the brand identity and the brand image of Harley — Davidson. Evaluate this strategy in regards to H-D Is switching to it a threat or an opportunity? The chrome, the customising and the seemingly take no prisoners outlaw gang attitude has served it well for generations within a male market.
CONCLUSION H arley Davidson is a company that has bloomed immensely over time. Additional crowd sourcing provides Harley Davidson with an opportunity to gain first hand information from customers on products and preferences. Sportster is a sports motor vehicle meant for rough race tracks. Acquisition of H-D by AMF resulted in less dependable bikes hence forth a loss of reputation as AMF tripled the output with no intention of maintaining the quality. For example Blackberry tried to position itself as a provider of high end corporate security.
Marketing Mix Product: H-D though initially offered only three basic models in only grey colour it realized that it had to offer more choice to its customers in order to survive. Learn More Pros and cons? Place: All the dealers were independent through whom the company started selling their products first in 1904, of which the first being CH Lang of Chicago. The choice of target market is dependent on ten critical factors — - Product Life Cycle stage — It is highly relevant in the international scenario where the product life cycle is at different stages based on social, economic, regulatory, and political reasons. Psychographic Segmentation — Example of Psychographic Segmentation In the marketing world, lifestyle oriented interests, activities, and opinion, are categorized under psychographic variables. The female market reflects a brand stretch that has some risk. In a very short span of time 20 employees were hired in a particularly build stone-factory.
The Company, which is the only major American motorcycle manufacturer, has held the largest share of the United States heavyweight 651+cc motorcycle market since 1986 and ended 2003 with a domestic market share of 49. Harley Davidson should concentrate on younger generation customers and international markets. Regardless if you own a Harley, you can always buy its merchandise. The following year is also marked as the company of the year for its everlasting growth in net income and revenue. It has the potential to dilute the brand, to compromise its new product development and brand voice.