Cisbm Assignment

8/11/2019 Cisbm Assignment

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CISBM ASSIGNMENT

M. Vamshi Krishna

NO:11135


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1903William S. Harley & William, Arthur, Walter Davidson

1909 First V-twin powered bikes, it became most enduring

icons of Harley Davidson history.

19171/3 rd of the bikes were sold to the U.S military, at last

20,000 HD bikes were used in World War I (1918).

1922HD dealerships spread across 74 countries.

1933 An Art deco Eagle is printed on tanks this starts the

graphic design on HD.

H istory of Har ley Davidson


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2002demand for heavy weight motor cycle in U.S grew up by17% compared to IGR of 10%.

2003more than 950,000 bikes were sold in U.S & 28 million

world wide expect to grow 5% every year.

HD recorded its 19

th

consecutive year of record earnings in2004.

Harley is the only major American Manufacturer of heavy

weight motor cycles.

Have more than 15,000 employees.


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Harley Davidson Softail Family

eg:narrow seats, tombstone tail lights, full length floor

boards

Harley Davidson Sportster Family

eg: low-rise handlebars, bullet style headlight.

Harley Davidson Touring (Dressers) Family

large windshield & have a full front fairing. leather

saddlebags, optional sidecar, & option to customize.Engines

Big V-twins, Small V-twins, and the Revolution engine

Main features


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Values are the heart of HD

business,they guide ouraction and serve as theframework for thedecisions and contributionof our employees make at

every level of thecompany.

Tell the truth

Be fair

Keep your promisesRespect the individual

Encourage Intellectualcuriosity

VALUES OF HD


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Motor Cycles

Bike accessories

Buell motor cycles: wholly owned subsidiary of

Harley by 2003 (closed now)

Product extensions


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Merchandise Helmet

Clothes (Jackets)

Mugs

Collectibles.

Beer

Bars

Brand extensions


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HD operates in two segments- HD Motor Cycles&

related products and HD Financial services(hdfs).

HD is the only American heavyweight motorcycle

manufacturer. Strong brand name & relationship with customers

HD having good marketing division and its divided

as a dealer promotion, customer events, magazineand direct mail advertising and public relations.

Customization of the bike is HDs major revenue

maker.

SWOT - ANALYSIS

Strengths


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High price

Top board of directors were all men

Lack of employee diversity

HD has problem in gaining more market share insome European countries.

Required production is not met.

WEAKNESS


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Women & younger riders are showing more interest

in bikes

The international heavy weight market is growing

and is now larger than the U. S. heavyweightmarket

Market share increasing in Europe and Asia for the

last two years

Increasing demand in US markets for bikes

Customers value quality parts

OPPORTUNITIES


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Harleys average buying age is 42 years old& it still increasing.

The European Unions motorcycles noise

standards are more stringent than those of

Environmental Protection Agencies in theU.S and increased environmental stand.

Some competitors of Harley Davidson have

larger financial and marketing resources and

they are more diversified.Environmental protection laws.

Shifts in buyers needs & taste.

THREATS


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Ford and Harley Davidson:

Trucks (i ngrdient co-branding)

Ford and Harley-Davidson

delivers a new standard of"custom cool," combining the

smooth handling and legendary

durability of America's best-

selling truck with the authenticstyling of Harley-Davidson.

Existing Brand

Alliances


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Bell & Ross and Harley

Davidson (ingredient co-

branding)

Luxury watch maker Bell

& Ross have teamed up

with british bike

customizers Shaw Harley

Davidson (the most

distributing) to create this

custom chopper: the Bell& Ross inspired Nascafe

Racer.

Existing

BrandAlliances


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Gibson and Harley Davidson (joint

communication)

Harley-Davidson and Gibson Guitar

hosted Night of Custom, celebrating the

art of customization.

Bringing together music and motorcycles,

the event saw exclusive music performances

including a phenomenal set from British

rock band

Feeder who headlined in front of an intimate

audience of 100 people

Existing

Brand

Alliances


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The Harley Davidson Cake Decorating Kit

It didnt do well with its cake-decorating. Customers dont like

this type of product. They didnt subscribe to this idea.

Brand

Extensions

Failures


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Perfume/ Shampoo /

Shower gel

For lovers of the

motorcycle, this was an

extension too far.

Harley Davidson had

fallen into the trap of

thinking that more

products equals moresales. And it usually does,

at least in the short term.

Brand

ExtensionsFailures


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Wine coolers

As you would expect, the

bikers were not impressed.

It was a bad idea,

customers prefer beer

Harley Davidson.

Brand

ExtensionsFailures
http://images.cloud.worthpoint.com/wpimages/images/images1/1/0508/28/1_b985cf5cfe190a74910ae09b4b360fc6.jpghttp://images.cloud.worthpoint.com/wpimages/images/images1/1/0508/28/1_b985cf5cfe190a74910ae09b4b360fc6.jpg


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The brand need to focus on the quality and not oncheap products: out of DNA.

Customers want coherence.So the DNA is very important: its the heart.

The company need to do entension brand but to

concentrate on the quality, like alliances brand in theeuropean market successful association


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Making real dreams caused by

worldwide roads by offering harleyscustomers exceptionnal sensations. They

nurture their passion for freedom so

that they can express their mind.

HD-Vision


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Organizing a complete offer including not only a

bike but also some clothes, accesories, routes andintegration to a community

HD Action


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Brand structure

Periphery

CULTURE

BandLook

Famous

Brand

Travel

Legend

BikeCore

USA

LANDSCAPE

MASCULINE


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Harley-Davidson Cafe theme restaurantlocated on the Las Vegas Strip

According to a recent Harley-Davidson study,in 1987 half of all Harley riders were under age

35.[117] Now, only 15% of Harley buyers areunder 35,[117] and as of 2005, the median agehad risen to 46.7.[118][119][120][121]

The income of the average Harley-Davidsonrider has risen, as well. In 1987, the medianhousehold income of a Harley-Davidson riderwas $38,000. By 1997, the median household

income for those riders had more thandoubled, to $83,000.[117][clarification needed]

Harley-Davidson attracts a loyal brandcommunity,[122] with licensing of the Harley-Davidson logo accounting for almost 5% of thecompany's net revenue ($41 million in2004).[123] Harley-Davidson supplies many

American police forces with their motorcyclefleets.[124]

Harley-Davidson motorcycles has long beenassociated with the sub-cultures of the biker,motorcycle clubs, and Outlaw motorcycleclubs, or one percenters

Brand culture


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Beginning in 1920, a team of farm boys, including Ray

Weishaar, who became known as the "hog boys,"

consistently won races. The group had a live hog as

their mascot. Following a win, they would put the hog

on their Harley and take a victory lap.[17] In 1983, theMotor Company formed a club for owners of its product

taking advantage of the long-standing nickname by

turning "hog" into the acronym HOG., for Harley

Owners Group. Harley-Davidson attempted to

trademark "hog", but lost a case against an

independent Harley-Davidson specialist, The Hog Farm

of West Seneca, NY,[125] in 1999 when the appellate

panel ruled that "hog" had become a generic term for

large motorcycles and was therefore unprotectable as a

trademark.[126]

On August 15, 2006, Harley-Davidson Inc. had its NYSE

ticker symbol changed from HDI to HOG.[127]

WHQG, a mainstream rock radio station which serves

the Milwaukee metropolitan area, uses the moniker in

their official callsign (102.9 The Hog) as a tribute to

their home town motorcycle manufacturer, as well as

its fans and riders.

Origin of "Hog"

nickname


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After nearly three years of restructuring its business,Harley-Davidson has emerged with confidence andfocus.

The strategy seems to be paying off with signs of solid

performance and consistent growth. Even throughchallenging economic times, there remains a strongsense of community among Harley-Davidson fans.Knowing that it cannot solely rely on baby boomers,the company has been working hard to appeal towomen, minorities, Gen Y, and Millennials.

The challenge for the brand will be in balancingtraditional audiences with the new audiencesegments. These newcomers to Harley Davidson,however, are embracing the brand with passion andenthusiasm. Of its 3.6 million Facebook fans, 40% areaged 1834. The organization has also shed non-Harley-Davidson brands and put its efforts into aunified brand experience. This focus has helped tobuild momentum in share gains, retail sales, and profit

in outreach markets. Despite strong competition fromJapanese manufacturers, Harley-Davidson opened 35dealerships in international markets, includingMexico, India, Turkey, Russia, China, and Brazil. With asolid strategy in place, Harley-Davidson appearspoised to conquer the open road.

CONCLUSION

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