37014406 Harley Davidson India Marketing Plan

7/27/2019 37014406 Harley Davidson India Marketing Plan

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CONTENTS1. INTRODUCTION 2. BRAND PERSONALITY 3. PRODUCT ATTRIBUTES 4.UNDERSTANDING INDIAN PREMIUMBIKES MARKET 5.MARKETING OBJECTIVES 6.MARKETING SEGMENTATION AND TARGETING 7.POSITIONING 8.MARKETING STRATEGY 9.MARKETING MIX PRODUCT AND PRICE PLACE PROMOTIONS 10.APPENDIX


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Introduction:Harley-Davidson often abbreviated 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. The company sells heavyweight (over 750 cc) motorcycles designed for cruising on the highway. Harley-Davidson motorcycles (popularly known as "Harleys") have a distinctive design and exhaust note. They are especially notedfor the tradition of heavy customization that gave rise to the chopper-style ofmotorcycle


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Brand Personality:1. Masculine 2. Free spirited 3. Rugged 4. Macho 5. Strong 6. Adventurous


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PRODUCT ATTRIBUTES:Harley Davidson attributes can be grouped according to kind of Purpose it is used for-:

Touring Bikes- Big Twin engines and large-diameter telescopic forks Sports bikes-For the Sportster Evolution engines used since the mid 1980s,there have been two engine sizes XL1100, XL1200

Dyna- Models utilize the big-twin engine (F), small-diameter telescopic forks Revolution- Models utilize the Revolution engine (VR), and the street versionsare designated Street Custom (SC)

Softail- Models utilize the big-twin engine (F) and the Softail chassis (ST)


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UNDERSTANDING INDIAN PREMIUM BIKES MARKET The Market Stands at 700 units/year for premium bikes (800cc & above)* Premiuikes consists the likes of Suzukis Hayabusa , Kawasakis Ninja & Ducatis Hypermotard. 105 Units of Hayabusas have been sold since Suzukis entry in this segment in Nov09 127 Units of Ninja have been sold in a span of 14 months. The increase in per-capita income to more than 1000$ by 2014 is expected to fuel the growth of premium bikes market. PREMIUM BIKES

SUPERBIKESKawasaki SuzukiDucati

CRUISERS Harley Davidson Royal Enfield^*Source-SIAM, ^-350cc


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MARKETING OBJECTIVES: To gain Heart-Share in the Indian market and be revered as a brand. To gain Mind-Share in the Indian market as being the premier bikes for leisure riding To gainMarket share by effectively creating and meeting needs for a Harley Experience inthe Indian market. To create a loyal bikers community in India (HOG-Harley Owners Group)


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Market Segmentation & Targeting

Geographic

DemographicIncome :High Income Groups

Psychographic

Behavioral

Lifestyles : Touring Enthusiasts Outdoor-Oriented Age : 27-45 years Cities: Tier-1 Tier-2Gender : Male

Benifit sought Occasions: Leisure riding,Planning weekend rides User status : Attitude towards product : Readiness to buy , Prestige Associated with the brand.

Personality Types : Innovators Achievers

Professional: Executives Entrepreneurs Self-employed businessmen Neo rich youth.


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SPORTSTER Age-27-35 yrs Income-Rs 20-22lakhs Behaviour- Speed enthusiast, style oriented flamboyant personalities Age - 27-35 yrs Income-Rs 20-22Lakhs Behaviour- Sport lovers,street bikers

XL 883L SPORTSTER

XL 1200N NIGHTSTER

XL 883R ROADSTER

Age - 27-35 yrs Income-Rs 24-26Lakhs Behaviour- Dreamers, Experience riders.

XR 1200X

Age- 27-35 yrs Income-Rs24-26Lakhs Behaviour-Dreamers, Experience riders


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DYNA

FXDB STREET BOB

Age-35-40 yrs Income- 28-32Lakhs

FXDC SUPER GLIDE CUSTOM

Age-35-40yrs Income-28-32lakhs

SOFTAILFLSTF FAT BOY Age-35-40yrs Income-Rs36-40Lakhs Behaviour-Heritage bikers, experience riders

FLSTC HERITAGE SOFTAIL CLASSIC

Age-35-45yrs Income-Rs 36-40Lakhs Behaviour-Traditional bikers who loves vintagebikes.


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TOURING Age- 40-45 yrs Income-Rs40-42Lakhs Behaviour-it is a knock out classic made fortouring enthusiat and leisure riders.

FLHR ROAD KING

FLHX STREET GLIDE

Age-40-45yrs Income- Rs 40-42Lakhs Behaviour- It provides a ultimate blend of custom and comfort and is meant for those whp is into long haul tour drives.

FLHR ROAD KING

Age-40-45 Income-Rs 70 lakhs and more


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POSITIONING:Among Premium Bikes, Harley Davidson is a brand of highperforming cruisers thathas been giving a unique riding experience to bikers since 1903.

MARKETING STRATEGY:All the marketing communication made will be centered on the positioning statement of the product. In addition to it, The Communication will focus upon the brand personality which will mirror the aspirations of the prospects and will encourage them to make the bikes & the brand a part of their lifestyle.


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We will target: 1) HNI: People who Golf, Who Own Yachts, Indulge in leisure activities. (Yacht owners are in Kochi, Goa & Mumbai). Obtain data from State Maritime Boards and Mail Brochures to generate leads or be physically present there and engage the prospective customers. (Many of these yacht owners live in non-coastal areas of Delhi and Punjab. Source : Telephonic Conversation with Capt. Mathews (CEO) Nautilus Yachts) Quality Lead Generation: Engage the prospective customers at places they are likely to visit: Auto-Expo, Yacht Clubs, Golf Clubs, HardRock Cafes etc. and then collect contact information there. Engagement Strategies will vary from place to place.

2) Hospitality Segment: Hoteliers, Resort owners in tourist destinations are always looking to add new luxury items into their fleet for their clients to indulge into leisure activities. Premium Hoteliers in Manali , Shimla , Kolkata (NorthEast) along with others located near the strategically located


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dealerships of Harley Davidson . ( Pitch : Include a Ride to Himalayas on a Harley for guests in their holiday planners) 3) HOG Culture: To cultivate a loyal biking community, one must drive lessons from social networking websites. Invitesfor friends, recommend Harley Experience to a friend, list building by asking for emails can help create a network of Harley Enthusiasts. (Readers Digest addedmany new customers by getting recommended themselves by the prospects knowns. This may seem to be an obsolete strategy but can be made very effective if done with a touch of class. For Eg : The New Owners photograph is taken on a Harley at the time of purchase (HOG hall of fame). The Photo is Pimped and then shared withthe person via mail or a facebook application. Now this person is very much likely to share this with his knowns living nearby and far and thus generating a buzz among his knowns , giving us the valuable Word of Mouth. The fb application will actually ask the person to send invites to people for riding with him on hisnew Harley)


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4) Clubs & Parties : Many Wealthy businessman and their 2nd generation 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 impressionon the attendees. Few of these attendees will certainly be induced into buying aHarley if they are made to engage with the Brand while attending these parties.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, Story-Telling while live bands are performing. (Pictures on LCDs dynamicallychanging with the change in modulation of sound) We make sure to collect contactinformation of the interested people. (To ensure that these prospects are brought to the showroom from these clubs or cafes for further interaction and eventual sales)


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Marketing Mix1) PRODUCT AND PRICE

:


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PLACE :


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PROMOTIONS

Integrated marketing channels000


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FOUNDERS RIDE BOOT CAMP LAUNCH AT DELHI AUTO EXPO MEDIA RIDE ROCK RIDERS RALLIESTO PROMOTE HOG

30th AUGUST 2009 14th NOV 2009 5TH JANUARY 2010 25th FEBRUARY 2010 9th SEPTEMBER2010 TILL DATE EVERY TWO MONTHS IN 2011


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Cost incurred on the various integrated marketing channelsPrint media The above rate card is for Business world which falls under the category of business magazines Assuming that they post it on the front and back gatefold the total cost of visibility is 1. 2. 3. 4. Business world- Rs 187500/Business today- Rs 250000/Overdrive Rs 100000/Total costRs 537500/-

Once advertisements have been given on the front and last page for initial visibility slots on the inside the magazines can be booked at cheaper rates. Television commercial A 30 second advertisement on a premier nationwide channel would cost approx Rs. 17500000. Total cost for 3 channels like CNBC, ZOOM, FTv would beRs 52500000/Billboards A 40x40ft billboard at Mahim, Mumbai, would cost about Rs14-16 lakh a month. Considering that 3-4 such billboards will be put up to cover posh areas of all the places where the showroom has been opened up ( Chandigarh, Hydrabad, New Delhi, Mumbai, Bangalore) the total cost of using billboards would be approx 15*3*5= Rs 22500000/Rallies & HOG Parties Cost of promoting a rally is approximately around Rs. 250,000/- and 5 such rallies in the major cities would cost around Rs 12, 50,000/-. Total budget for advertising therefore is Rs.7,12,50,000 /-

All these costs are shown as one time but over the time the spending on the print media will remain consistent but the cost incurred on rallies would be reduced. Rallies would be only once a year at one location but the cost incurred on print and Television would be year round.


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Pie chart depicting various costs :

print media television commercial billboards rallies & hog parties


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APPENDIX :The Income Groups were calculated on the assumption that the person buying the bike pays 20% on the bike upfront and then pays installments over a 5 year period.http://www.harley-davidson.in/harley-davidson-india-emi-calculator.html

The Market Potential and Growth Rate was taken from ET Articles and SIAM (Society for Automobile Manufacturers)

Cost Structures were requested to various magazines.


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37014406 Harley Davidson India Marketing Plan