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Harley-Davidson is an iconic brand that is well known in the United States. It virtually invented the big “bruiser” type bikes and has been around since 1903. The problem is that the company’s main market (Baby Boomers) have been on the decline in number and the company is finding it difficult to replace them. Moreover, motorcycle ownership seems to be on the downswing worldwide. Essentially Harley must get ahead of the demographic curve with new customers while somehow keeping faith and appeal with its fanatical old ones. That’s where YOU come in, develop a marketing strategy to help them accomplish this by focusing on the following 4 questions: 1) What errors would Ted Levitt say that Harley made? How could they be corrected? 2) Who are potential consumers of Harley? How can Harley effectively segment the market? 3) Kevin Keller (a well known "expert") on branding from Dartmouth College notes that brand equity is made up of brand awareness and brand image. Under which category would you place most of Harley’s problems, awareness or image? Using what you know about positioning, segmentation and demand modification (use Dickson & Ginter's article as a guide), how can Harley build their brand equity and their market share? 4) What would Kim and Maubourne of “Blue Ocean” fame suggest in terms of how Harley could recapture their market? Has Harley made any attempt to pursue a “Blue Ocean” strategy to recapture their market?
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