Founded in 1903 in Milwaukee, Wisconsin, Harley Davidson has grown into an international company, with over 1,400 independent dealers in more than 100 countries. The motorcycles are renowned as the ultimate biker status symbol. Harley doesn't just sell motorcycles, but also the experience and the idea of freedom and passion. Although the Asia-Pacific region was a key market between 2012 and 2017, the company saw a decline in motorcycle sales in 2018-2019, particularly in Canada.
The assignment focuses on Harley-Davidson's marketing strategies in the US and China. In China, Harley faces challenges such as government restrictions and a market dominated by domestic brands. Nevertheless, demand is rising in urban areas. In the US, the company struggles to engage a younger audience.
The marketing strategies in the US and China differ in some aspects, though both markets pursue a premium price approach. In the US, Harley positions itself as a unique product, whereas in China, the luxury aspect takes precedence.
Recommendations include adjustments in marketing to better address both the Chinese and American markets, such as developing smaller motorcycles for younger buyers.
Table of Contents
- Harley Davidson Profile
- Marketing Environment of the United States and China
- Marketing Strategy
- Harley-Davidson's Marketing Strategy: United States
- Harley-Davidson's Marketing Strategy: China
- Comparative Analysis of the Marketing Strategies in the United States and China
- Recommendations
- Lessons Learnt
Objectives and Key Themes
This report aims to compare and discuss Harley-Davidson's key marketing strategies in the US and China, highlighting the differences in market approach and the challenges faced in each region. The analysis focuses on the adaptation of the marketing mix elements—product, price, place, and promotion—to suit the distinct characteristics of the American and Chinese markets.
- Comparative Analysis of Harley-Davidson's Marketing Strategies in the US and China
- Adaptation of Marketing Mix to Different Market Conditions
- Challenges and Opportunities in the US and Chinese Motorcycle Markets
- Impact of Cultural Factors on Marketing Strategies
- Analysis of Pricing and Product Strategies
Chapter Summaries
Harley Davidson Profile: This chapter introduces Harley-Davidson, highlighting its global presence, brand image as a status symbol associated with freedom and adventure, and its manufacturing locations. It also notes a decline in sales between 2018 and 2019, particularly in markets such as Canada. The chapter sets the stage for the subsequent analysis of the company's marketing strategies by establishing its global reach and recent performance challenges.
Marketing Environment of the United States and China: This section contrasts the marketing environments of the US and China. In China, Harley-Davidson faces a competitive market dominated by domestic brands, government regulations, and a customer base primarily using motorcycles for practical purposes, although the urban market for imported bikes is growing. The US market, in contrast, presents a more established and receptive environment, characterized by economic stability and the acceptance of motorcycles as a leisure item. The chapter emphasizes the differing market dynamics and their impact on Harley-Davidson's strategic decisions.
Harley-Davidson's Marketing Strategy: United States: This chapter details Harley-Davidson's US marketing strategy, focusing on a premium pricing model justified by product quality and craftsmanship, a reliance on authorized dealers for distribution, and a strong emphasis on brand image and the "Harley-Davidson experience." The use of integrated marketing communications, including the Harley Owners Group (HOG) and digital advertising, is discussed. The attempts to reach a younger market segment through electric motorcycles, although hindered by high prices, are also noted.
Harley-Davidson's Marketing Strategy: China: Similar to the US market analysis, this section explores Harley-Davidson's strategy in China, outlining the product mix, distribution channels, and promotional activities tailored to the specific Chinese market. Although the provided text offers limited details on the specifics of the Chinese marketing strategy, it sets the foundation for a comparative analysis with the US market, emphasizing the need for customized strategies for diverse cultural contexts.
Keywords
Harley-Davidson, marketing strategy, United States, China, market analysis, brand image, premium pricing, distribution channels, integrated marketing communications, competitive landscape, cultural factors, motorcycle market, product mix, consumer behavior.
Harley-Davidson Marketing Strategies in the US and China: Frequently Asked Questions
What is the overall purpose of this report?
This report compares and contrasts Harley-Davidson's marketing strategies in the United States and China. It analyzes how the company adapts its marketing mix (product, price, place, promotion) to the unique characteristics of each market, highlighting challenges and opportunities in both regions.
What are the key themes explored in the report?
Key themes include a comparative analysis of Harley-Davidson's marketing strategies in the US and China; adaptation of the marketing mix to different market conditions; challenges and opportunities in the US and Chinese motorcycle markets; the impact of cultural factors on marketing strategies; and an analysis of pricing and product strategies.
What aspects of Harley-Davidson's marketing strategy are covered in the report?
The report covers Harley-Davidson's marketing strategies in both the US and China, including its product mix, pricing models, distribution channels, and promotional activities. It examines how these elements are tailored to the specific characteristics and demands of each market.
How does Harley-Davidson's US marketing strategy differ from its Chinese strategy?
In the US, Harley-Davidson employs a premium pricing strategy, leveraging its brand image and the "Harley-Davidson experience." Distribution relies heavily on authorized dealers, and marketing emphasizes brand image and community building through initiatives like the Harley Owners Group (HOG). In China, the strategy is adapted to a more competitive market with different consumer preferences and cultural factors, though specific details on the Chinese strategy are limited in the provided text.
What are the key challenges and opportunities facing Harley-Davidson in the US and Chinese markets?
In China, Harley-Davidson faces competition from domestic brands, government regulations, and a customer base primarily using motorcycles for practical purposes. The US market presents a more established environment but faces challenges in reaching younger demographics. Opportunities exist in both markets, including expanding in the growing urban market for imported bikes in China and developing electric motorcycle options for a broader customer base globally.
What is the role of cultural factors in Harley-Davidson's marketing strategies?
Cultural factors significantly influence Harley-Davidson's approach in both markets. The US market values the brand's image of freedom and adventure, while the Chinese market necessitates a strategy that addresses the distinct cultural context and consumer preferences. The report stresses the importance of adapting marketing efforts to these cultural differences.
What are the key findings of the report's chapter summaries?
The chapter summaries provide an overview of Harley-Davidson's brand profile, contrasting marketing environments in the US and China, detailing marketing strategies in each region, and setting the stage for a comparative analysis. The summaries emphasize the necessity of adapting marketing mixes to suit specific market demands and cultural nuances.
What are the key words associated with this report?
Key words include Harley-Davidson, marketing strategy, United States, China, market analysis, brand image, premium pricing, distribution channels, integrated marketing communications, competitive landscape, cultural factors, motorcycle market, product mix, and consumer behavior.
- Quote paper
- Anonym (Author), 2021, Harley-Davidson Marketing Strategy in the US and China, Munich, GRIN Verlag, https://www.grin.com/document/1387801
