Harley Davidson Case Study

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Harley Davidson Case Study

MRKT-595

By:

Aisha AlKunaimesh

Wadha AlTarrah

Brief introduction:

Harley-Davidson Inc, often shortened to H-D or Harley, is an American motorcycle manufacturer. Founded in Milwaukee, Wisconsin, during the first decade of the 20th century, it was one of two major American motorcycle manufacturers to survive the Great Depression.

Harley-Davidson supports a large brand community, which keeps active through clubs, events, and a museum. Licensing of the Harley-Davidson brand and logo accounted for $40 million of the company's net revenue in 2010.

Questions:

1. Should Harley-Davidson continue to sponsor the Posse Ride? Why or why not? What role should the Posse Ride play in the HOG events mix?

Yes, we think that Harley-Davidson should continue to sponsor the posse ride because these rides give memorable and good feelings to the members of HOG. Its rare to find a motorcycle companies that provides this kind of activities to their members, which gives them a competitive advantage among other competitors. These Posse rides continuously gives them a feeling that they are bonded, which creates loyalty to the company, this loyalty will results in continuous purchases by the riders. In addition to that, good experience given to the customers also results in good feedback to other people where they share and talk about their good experience and amazing rides that they take and by that the company’s name is well spread and recognized by other people that are curious to be part of the HOG and rides.

The role that Posse Ride plays in the HOG events mix is very important where it brings new customers and makes them loyal by having almost no cost to that, in addition to that it enhances customers knowledge about what this company is really about.

1. How should the Posse Ride be designed to maximize its effectiveness and profit-making potential, should you decide to keep it?

Yes we decide to keep it and improve those rides in order to maximize the effectiveness and make it profitable. One of the problems they faced with the posse rides is the routes that they take, so they should plan for a routes that are good and suitable for everyone in order to make the best out of it and enjoy it. In addition to that they should take some advices about what they want in order to make them happy and satisfied in the end they are source of profits for the company. Also, big advertisements about those rides can attract people more that they might find them selves more related to those people in the advertisements.

1.  What is the HOG's role in developing community for the Harley-Davidson brand?

The HOG community is all about bringing those riders together and meeting each other by creating a bond of friendship or family. Harley-Davidson organizes Posse Rides, Rallies and Rolling Rallies all of these are events done in order to reach that bond and friendship between riders by sharing the same passion and love. It brings people from different ages, gender, nationality and income to share the same passion.

1. Evaluate Harley's strategy and performance in "getting close to its customers"

The Harley Davidson strategy is all about providing the customer with the Harley Davidson experience to what their products and services offer upon purchasing their products. Getting close to customers is a strategy used by Harley Davidson’s managers where they have the opportunity to get closer to their customers especially at events and rides where they wear the famous leather jackets and stand in line just like any Harley Davidson customer. One of the purposes of their strategy is to have the opportunity to better understand their customers and to know about the discussions and thoughts their customers are having about their products and services. This does have its advantages since it gives them feedback on what products and if something’s need to be modified or additional changes to their products and services need to be made because in the end the customer is the one using the product and they can identify on where there areas for improvement.

The getting close to customers strategy also enables Harley Davidson personnel to examine what products should they launch in the market and if there is a need for it and would those customers be motivated to make a purchase. Since the Harley’s are all about the experience its important to be knowledgeable in terms of what products and services should be offered.

Lastly, the point of having group rides is to establish something from a social level where other individuals can share the experience with you and to make friends from that social circle.