Harley Davidson Market Entry Strategies In India

Live to Ride , Ride to Live

PRESENTED BY :DHARNA JOSHI

JAYA JENNIFER JOSHI

HARSH YADAV

SWAYAM DATTA

PANKAJ MUNDRA

SAURBH RATHORE

Overview
Indian Motorcycle Industry Introduction of H-D

H-Ds struggle
Marketing strategies to enter India Current scenario in India

Future Aspect

Indian Motorcycle Industry

Shift from other two-wheelers like scooters and mopeds to Motorcycles due to rise in income levels Other drivers- Advanced technology, ability to perform on rough roads, new brands, auto financing and service networks Major driving force is- Economic Development of the economy Market players have reduced prices, introduced freebies and

Emerging Market
The First New Motorcycle Buyer is the largest market for motorcycles Higher engine capacity is the criterion for future purchase Auto Mission Plan 2006-16 by Indian government to make India a global production hub Reduction in the excise duties is also one of the agendas

Introduction
o Harley-Davidson

often abbreviated H-D or Harley is an American motorcycle manufacturer. Founded in Milwaukee, Wisconsin, during the first decade of the 20th century.
o The company sells

heavyweight(over 750 cc) motorcycles designed for cruising on the highway.

oSymbol of rugged

individualism, freedom and rebellion

Struggle in India
H-D attempted to enter India in September 2005 because of growing motorcycle market at a faster pace Through Sourcing route

Plan was hampered due to high import duties and stringent emission norms in 2005
H-D tried to negotiate 1) Fresh issuance of licenses for opening branches of ICICI, SBI and BOB in US 2) to start the import of mangoes banned earlier

Marketing Strategy in India

Post liberalization, Foreign investors can enter in the form of liaison office, in the form of joint venture and a wholly owned subsidiary. H-D opted for Wholly Owned Subsidiary option-to attract a major initial investment for infrastructural development Strong inclination to Source Route

Objectives
To gain share in the Indian Market and be revered as a brand.

To gain market share by creating and meeting needs of a Harley Experience in the Indian Market.
To create Loyal Harley Bikers Community in India.

Identifying the Customers

Sportster SeriesXL 883L Age 27-35 Years Income 20-22 lakhs Behaviour-Speed Enthusiast,Style Oreiented XL 1200N Age 27-35 Years Income 20-22 lakhs Behaviour-Sport Lovers,Street Bikers Age 27-35 Years Income 24-26 lakhs BehaviourDreamers,Experience Riders

XL 883R

XL 1200 X

Age 27-35 Years Income 24-26 lakhs BehaviourDreamers,Experience Riders

H-Ds Vision for India

According to Industry watchers, the Harley bikes would range between Rs 4 lakhs to Rs 14 lakhs in India, including the 60 per cent import duty. "As India's economy takes bigger strides, a younger population with expendable income are embracing luxury as never before.

Maybe 10 years out it will be more fertile, its a hope and prayer at this moment.

Market Targets
Quality Lead Generation: Engage the prospective customers at places they are likely to visit: Auto-Expo, Yacht Clubs, Golf Clubs, Hard Rock Cafs and then collect contact information there. Hospitality Segment: Hoteliers, Resort owners in tourist destinations are always looking to add new luxury items into their fleet for their clients to indulge into leisure.

Contd.
Loyal Biking Community:

One must drive lessons from social networking websites. Invites for friends, recommend Harley Experience to a friend. Festive season:
Harley Davidson can organize parties that leave an impression on the attendees. Few of these attendees will certainly be induced into buying a Harley if they are made to engage with the Brand while attending these parties.

MEDIA ADVERTISING ADOPTED BY HARLEY DAVIDSON(INDIA)

Future Aspect
It would prove favorable because of population H-D has to position itself as a status symbol, as an expensive accessory

H-D is likely to face mechanical problems which would require careful maintenance
Major problem can be fuel efficiency as Indian customers are mileage conscious. Records in Europe say that it has not done well on curve roads

Continued.
Major constraint will be competition from Yamaha, Honda and Suzuki Very high price also hinders sales- the cheapest H-D costs 0.4 million in India- cost of two Maruti 800 cars. Competitor Royal Enfield bike is not that expensive. Its costliest bike is of rs. 93,200 Royal Enfields price may hinder H-Ds business as it did to BMW-Hero joint venture Competitor Honda would do well because it has a wide network of dealers and an on-going

Current Scenario in INDIA

Manufacturing Plant :- Rewari in Khushkera (Rajisthan)

Assembly plant
Import duties reduced to 30% Headquarters :- Gurgaon Haryana Founded :- 2009 9 outlets

Events

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