Harley-Davidson: Customer-led Marketing to Revive a Cult Brand

            
 
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Case Details:

Case Code : MKTG295
Case Length :16 Pages
Period : 2000-2010
Pub Date : 2012
Teaching Note : Not Available
Organization :Harley-Davidson
Industry : Motorcycles
Countries : US; Global

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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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"We've always listened to our customers. It only makes sense for us to tap into their passion, as well as the ideas they openly share with us to bolster our brand, rather than keeping our creativity bottled in the creative department of an agency of record."

-Mark-Hans Richer, chief marketing officer of Harley-Davidson Inc., in 2010.

"Of course, when sifting through the ideas generated by the crowd, I'm sure the people in the marketing department at Harley will come across more than a few ideas that are real dogs. [...] I'm more than willing to bet that there will be some brilliant ideas that the Harley Davidson marketing folks can develop into campaigns that will really resonate with current and future riders. And that's what marketing is all about."

-Christina Steder, President of Clear Verve Marketing LLC1 , in 2011.

In November 2011, US-based iconic motorcycle maker Harley-Davidson Inc. (Harley), as part of its new customer-led marketing strategy, launched a new application 'Fan Machine' on Facebook2 that allowed Harley fans to submit new advertising ideas directly to the company. The idea behind this initiative was to give the brand's loyal fans a platform to share their ideas and guide the creative direction of the brand. Harley said that after selecting and rewarding the best ideas, it would bring these ideas to life with the help of marketing experts. According to Mark-Hans Richer (Richer), Senior Vice President and Chief Marketing Officer of Harley, "This is not a publicity stunt, or a limited time engagement.

Marketing Management Case Studies | Case Study in Management, Operations, Strategies, Marketing Management, Case Studies

We're committed to crowdsourcing, because these ideas naturally flow from our passionate fans. 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.… 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."

Harley manufactured heavyweight3 touring4, cruiser5, custom, and performance motorcycles besides offering a complete line of motorcycle parts, accessories, riding gear and apparel, and general merchandise. Harley bikes had established an image of raw power which had become their unique selling proposition. According to experts, Harley was able to carve out a niche for itself in the marketplace due to its powerful brand image which was built on deep personal relationships with customers and matchless riding experiences. The company had historically adopted a focused differentiation strategy. Harley's marketing strategy centered on company-sponsored events, dealer promotions, and advertising in magazines. The brand had achieved a cult status among its loyal customers as it characterized adventure, tradition, and power.

Introduction Contd... - Next Page >>


1] Clear Verve Marketing, LLC is a US-based marketing consulting services company.
2] Facebook is a social networking utility with more than 845 million active users as of February 2012.
3] The heavyweight motorcycles have an engine displacement of greater than 651 cc.
4] The Touring family of motorcycles includes models like the Road King, the Road Glide, and the Electra Glide which are generally equipped with fairings, windshields, and saddlebags.
5] The cruiser segment has a distinctive styling associated with classic Harley-Davidson motorcycles. They include the Dyna, the Softail, the VRSC and the Sportster family of motorcycles.


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