Harley-Davidson Inc.’s Marketing Strategy

HARLEY-DAVIDSON, INC’S MARKETING STRATEGY
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Harley-Davidson, Inc’s Marketing Strategy
The Harley-Davidson manufacturing organization is known for its distinctive cruiser motorcycles and is among the most recognized motorcycle brands globally. This company is a U.S.-based motorcycle producer established in Milwaukee, Wisconsin, in 1903 by Arthur Davidson, William Sylvester Harley, William A. Davidson, and Walter C. Davidson (Sarkar and Barnejee, 2022). Harley-Davidson produces a wide range of motorcycles, including touring, Sportster, Softail, and trike models and a line of electric motorcycles. In addition to motorcycles, the company also offers a range of branded merchandise and accessories, including clothing, helmets, and riding gear. Last on the list of Harley-Davidson's operations is its financial wing. Harley-Davidson's financial operations sector includes financing and catering for wholesale merchandise and distributor client loans, essentially for procuring Harley-Davidson motorcycles. One offering from Harley-Davidson that specialists can place on the physical goods-services spectrum is the company's touring motorcycles.
Harley-Davidson faces competition from other motorcycle manufacturers, including Honda, Yamaha, Suzuki, Kawasaki, and BMW, which offer similar products and services to their clients. Compared to competitors, Harley-Davidson's core product (touring motorcycles) is identical to those that other motorcycle manufacturers provide. However, the company's supplementary elements (maintenance, repair, and customization services) differ from those offered by competitors. For example, Harley-Davidson offers more extensive customization options or has a larger network of dealerships and service centres than some of its close competitors.
Elements of the Perfect Storm of Events
Harley Davidson has faced several challenges in the past year of its operation, but it has gradually re-adjusted into the competitive market. Firms may collectively term such adverse factors as a perfect storm of events. Perfect Storm of Events refers to situations where multiple factors contribute to a negative outcome, and the combination of these factors is worse than any one factor on its own (Bunch, 2020). Like any company, Harley-Davidson is subject to a range of market and economic forces that can impact its business.
Some of the occurrences that firms may include as a perfect storm of events that Harley-Davidson has faced during its operations include: The company's tariff battles with the former US President, Donald Trump, in 2018, the constantly changing consumer preferences, international trade tensions, the most recent world-wide Covid-19 pandemic, world-wide chain supply interferences, political and economic bans, scarcity and hiked prices of commodity materials and energy, shortages of the workforce and the increasing economic and interest rates.
Table 1: The Pester Framework below Represents the Events that Organizations may Regard as a Perfect Storm of Events Faced by the Harley-Davidson Motorcycle Manufacturing Company. 
Event

Political

Economic

Social

Technological

Ecological

Regulatory

Tariff Wrangles between Harley-Davidson and former President, Donald Trump

X

X

X



X

Changing Consumer Preferences


X

X

X

X


Covid-19 Pandemic

X

X

X




Global chain-supply interruptions

X

X


X



Political & Economic Bans

X

X





Scarcity and hiked prices of commodity materials and energy

X

X



X


Shortages of workforce


X

X




The increasing economic and interest rates.

X

X





International trade tensions

X

X

X




The company's tariff battles with the former US President, Donald Trump, in 2018 impacted consumer spending and demand for luxury items such as motorcycles, resulting in declining sales and market share. On the other hand, the ever-changing consumer demands have resulted in a shift in consumer preferences towards smaller, more fuel-efficient motorcycles, which has impacted sales of Harley-Davidson's more traditional and bigger cruiser-style bikes. Nonetheless, the Covid-19 pandemic has had political, economic, and social impacts, including changes to government policies, economic downturns, and social behaviour (Chetty et al., 2020). Political, economic, technological, and ecological factors, including trade policy changes and consumer demand shifts, have driven global supply chain disruptions.
In addition, political and economic sanctions have political and economic impacts, including changes to international relations and financial repercussions. Political, economic, and ecological factors, including changes in global demand and supply, have driven shortages and increased commodity materials and energy prices. Employee shortages have economic and social impacts, including changes to labour markets and social norms. On the other hand, rising inflation and interest rates have economic and regulatory effects, including changes to the cost of living and borrowing. In contrast, increasing international tensions between the United States and other countries have resulted in tariffs and other trade barriers affecting the company's ability to sell its products internationally.
Harley-Davidson has taken several steps to adapt to some of these challenges it has faced in recent years. Some of these steps include expanding into new markets. Harley-Davidson has focused on expanding its global reach and building its brand in new markets, including Asia and Europe, to diversify its revenue streams and reduce its reliance on any market. Two, Harley-Davidson has introduced new products, such as smaller, more fuel-efficient motorcycles, to appeal to a broader range of customers and respond to changing consumer preferences.
Three, this firm has diversified its revenue streams: In addition to selling motorcycles, Harley-Davidson has diversified its revenue streams by offering financing options for customers, licensing its brand for use in other products, and providing maintenance and repair services. Lastly, implementing cost-cutting measures: In response to economic downturns and other challenges, Harley-Davidson has implemented various cost-cutting measures, such as streamlining its operations and reducing its workforce, to improve its financial performance. By taking these and other steps, Harley-Davidson has been able to adapt to changing market conditions and remain competitive.
The Barrier of Ignorance of Change
Despite the success that Harley-Davidson has experienced over the past years, it can still make more significant steps in enhancing its sales if it breaks some barriers of ignorance towards change. The firm can also look into some of the ignored components of an organization’s successful operational factors. The barrier of ignorance of change is a situation in which individuals or organizations are unaware of or do not understand the need for change. This condition can be a significant barrier to implementing change, as individuals or organizations may be resistant to change or may not have the knowledge or resources to adapt to new situations. Ignorance of change can occur for various reasons, including a lack of information and awareness of the consequences of not changing or a lack of understanding of the benefits of change (Allen and Lesser, 2018). A lack of communication, training, or support for individuals or organizations to adapt to new situations can also cause this ignorance. 
Marketing Information System (MkIS)
Harley-Davidson needs to have a comprehensive Marketing Information System (MkIS) that includes a range of internal and external sources of information and data to avoid the barrier of ignorance of change. A comprehensive Marketing Information System allows a company to make informed marketing decisions by providing a detailed view of the market and the company's general performance (Mandal, 2018). It will also allow the company to adapt to changing market conditions and customer needs by providing ongoing insights into market trends and customer preferences.
There are various Marketing Information Systems (MkIS) that could be useful for Harley-Davidson to make different types of marketing decisions. Some potential options include a customer relationship management (CRM) system, market research, social media monitoring, sales data analysis and competitive analysis.
Customer Relationship Management System (CRM)
A CRM system is a technique that assists companies in monitoring and scrutinizing customer feedback and information across the customer stages of interaction. A Customer Relationship Management (CRM) system can help Harley-Davidson increase its sales in many ways: First, a CRM provides insights into customer needs, preferences, and behaviours, which can inform targeted marketing efforts and increase their effectiveness. Second, this tool can help build stronger customer relationships and loyalty through personalized experiences, leading to increased sales through repeat business and verbal referrals. Third, a CRM can streamline sales by automating tasks such as lead tracking and follow-up and providing sales professionals access to relevant customer information in real-time. Lastly, a CRM can help track the effectiveness of marketing campaigns and provide insights into what works and what doesn't, helping to increase the overall effectiveness of marketing efforts and drive sales.
Market Research
Market research can help Harley-Davidson increase its sales by one, providing insights into customer needs and preferences, which can inform product development decisions and create more successful products. Two, enhancing marketing effectiveness by understanding consumer attitudes and behaviours and developing targeted marketing campaigns. Three, informing pricing decisions based on data on customer willingness to pay for different products and features. Additionally, market research can help identify market opportunities and inform market positioning and product differentiation strategies. Lastly, market research can provide valuable insights into the competitive landscape, informing a range of business decisions and contributing to increased sales.
Social Media Monitoring
Social media monitoring can also help Harley-Davidson increase its sales by one, providing valuable insights into customer attitudes and behaviours, which can inform marketing efforts and improve their effectiveness. Two, allowing the company to identify and address customer issues and concerns, improving the overall customer experience and increasing customer loyalty (Bala and Verma, 2018). Three, increasing brand awareness and attracting new custo...