Marketing Strategies of Harley-Davidson
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Case Details:
Case Code : MKTG174
Case Length : 19 Pages
Period : 1995-2007
Pub Date : 2007
Teaching Note :Not Available
Organization : Harley-Davidson
Industry : Automobile - Motorcycle
Countries : US
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Please note:
This case study was compiled from published sources, and is intended to be used as a basis for class discussion. It is not intended to illustrate either effective or ineffective handling of a management situation. Nor is it a primary information source.
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"Because our bikes are so visually and audibly compelling,
you get a bunch of them together, whether by the dozen or the thousands, there's
going to be excitement and curiosity. Add to that the fun associated with
motorcycling and you've got natural word-of-mouth promotion. In a very real
sense, our customers are the sales force, and the bikes, accessories and
clothing serve as our calling cards." 1
- Ken Schmidt, Director of Communications, Harley-Davidson
Motor Company.
"All successful companies have the same challenge, it's
crisis of success. Arrogance, greed and complacency: you have to avoid all three
to remain successful."2
- Richard F. Teerlink, Retired CEO, Harley-Davidson Motor
Company.
Introduction
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On January 17, 2007, USRiderNews3 named
Harley-Davidson Motor Company's (H-D's) 'Softail Custom' motorbike as the "Best
New Nostalgic Bike of 2007".4 According to
Scott Cochran, Editor of USRiderNews, "The new 2007 Softail Custom recalls the
looks of those B-movie bikes of the 1960s. Ape hanger handlebars, heavily
stepped king-and-queen seats, padded sissy bars and wide forks with 21-inch
front wheels all speak volumes to the 'Easy Rider' set. But this outlaw comes in
armed with Harley's most modern and powerful standard engine to date - the Twin
Cam 96 plus the bonafide easy rider - Harley's 'Softail' chassis."5
Founded in the year 1903, H-D started its business as a manufacturer of
heavy-weight motorcycles, which had an engine displacement6
of 651cc or above.
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H-D also produced a full range of motorcycle parts, accessories, clothing, and
general merchandise. The company focused on traditional styling, design,
simplicity, durability, and quality.
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It launched new models regularly, customized
according to the needs and requirements of customers. H-D's marketing
campaign aimed at shifting the owners of the company's motorcycles to
bigger and more expensive motorcycles.
The distribution of H-D motorcycles was done mainly through dealerships
and also through non-traditional outlets which were extensions of the
main dealership. H-D's products were sold to retail customers primarily
through dealer promotions, the company's website, customer events, and
advertising through national television, print, radio, direct mailings,
and through advertising on the Internet. |
Marketing Strategies of Harley-Davidson
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