Case Study, Chapter 5, Principles of Marketing by Philip Kotlar and Others

Topics: Motorcycle, Harley-Davidson, Harley Owners Group Pages: 8 (2355 words) Published: July 23, 2012
Case study on
Consumer Markets and Consumer Buyer Behavior of
Harley-Davidson Motorcycles
Prepared for

Course No: ETHM-4007
Course Title: Marketing Fundamentals.
Course Teacher: Kamrul Hassan

Prepared by

o ID- 71209001
Department of Tourism and Hospitality Management
Faculty of Business Studies
University of Dhaka

Objective.1. DEFINE THE CONSUMER MARKET AND CONSTRUCT A SIMPLE MODEL OF CONSUMER BUYER BEHAVIOR. By the term Consumer Market it means all the individuals and households that buy goods and services for personal consumption. This means the total sum of the consumers available for the specified industry with buying power. Harleys Hogs captures 23 percent pf all US bike sales and almost 50 percent of heavyweight motorcycles. As per the latest Edition of Principles of Marketing by Philip Kotler and others,” Average Harley customer is a 47 year old male with a median income of $82,000. But as per a recent study in 2011 by PRNEWSWIRE, Harley-Davidson is the market leader among Core Customers (Caucasian men 35+) in the U.S. on-road 651cc+ motorcycle market. But as a matter of fact, today more than 12 percent of Harley owners are women. That is why analysts say” you put off the leather and you never know who you will find.” Though it had a BAD BOY image in its primitive age but it was also associated with Police, Firemen and now a day, a wide variety of people including military personnel and veterans. But, mostly they have few things common like most of them are American or if outside America then identified by themselves or others as Free Souls. Consumers believe Harley renews their spirits and announces their independence. As we can see the following picture.


ProductEconomicBuyer’s TraitsBuying Attitude
Price Technological
Place SocialBuyer’s Decision ProcessBrand and company Promotion CulturalRelationship

Product: Harley-Davidson has a history of 109 years which easily states how many variation the company might have in its product line. This is the market leader of heavyweight motorcycles and offers not only several models but also edited versions each year they offer a specified product which is most unique “Dream your Harley.” Currently Harley has 7 different Models each having more than 5 variations which are also crafted each year with new features. Price: Harley-Davidson has the latest bike available least @ $7999 that is IRON 883 which can be also funded by $ 4 a day with company’s policy to be more than just a brand. The Average highest from the ready stock product line will be BLACKLINE $ 16,999. Place: Harley-Davidson is not only a bike but a life style to Americans so the company has outlets all over the US Promotion : Harley-Davidson is in the midst of transforming its business to be customer-led throughout the company, which includes marketing approaches such as the pioneering use of crowdsourcing. “This is not a publicity stunt, or a limited time engagement. We're committed to “crowdsourcing”, because these ideas naturally flow from our passionate fans," said Mark-Hans Richer, Harley-Davidson's Chief Marketing Officer. "As the true stewards of our brand, our fans now have a huge new platform to share their ideas.” It works for us because their passion for our brand is second-to-none. They're going to light this thing up, and it will be fun to watch. Facebook also proves this passion is passing along to the next generation, where 40 percent of our fans are between the ages of 18 and 34." Economic: Harley-Davidson is brand for those for whom money must not be that matter.. For example one fan says I wish rather push Harley than ride a Honda. Based in America, the brand resembles the economic growth of he...
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