Cruiserthorr Simulation

University of Phoenix/ Marketing 421 class.

Abstract

The simulation of the motorcycle manufacturer, Thorr Motorcycle, follows a marketing manager as he/ she tries to reverse the downward trend of Thorr's market share. This paper will review each part of the simulation (Where is the Thunder?, Revving up the Market, and Thundering Success?), and how I performed on my assessments in each section.

Where is the Thunder?

As a new marketing manager, I was asked to develop a marketing plan to reverse the downward sales trend of the CruiserThorr product. My first challenge was to develop a perceptual map of the CruiserThorr market compared to its competitors' products. For this map, I was given nine parameters and told to choose four that were relevant to the motorcycle industry.

I choose the following parameters for the following reasons:

1. Lifestyle - the information provided in the simulation emphasized the fact that this brand was associated with a certain lifestyle.

2. Price - once again the simulation provided information stating that cost played heavily into a consumer's choice of a motorcycle.

3. Service Offerings - the market research showed that our competitors offered more service options than we did. Customers expect different service levels based on the amount of money they are spending. Our high price tag demands that we offer more services than we currently are doing.

4. Quality Engineering - without a quality product, Thorr Motorcycles would lose most of it customer base. The consumers want a quality product for their money.

My choices were on par with the simulation's answers. I did play around with choosing different parameters, but decided that they were to narrow in focus to be of use. This part of the simulation required much reading between the lines of the presented information in order to make the right choices.

Revving Up the Marketing

In the second part of the simulation, I was asked to either choose to roll-out a new product aimed towards the younger market percentile, or to revamp the CruiserThorr market position. I chose to revamp the CruiserThorr versus crossing over into the unknown territory of the new product because I felt it was still a viable product line that just needed some updating. My choices were again on par with the simulation for this option.

Following my choice to reposition the CruiserThorr, I had to make choices about price, promotion, place, and services with a $13,000 budget. I came in under budget at $12,753, and the choices I made are as follows:

1. Maintain Price - Increasing or decreasing the price each have their advantages and disadvantages. I would have had to justify a price increase to the marketplace with upgrades. With complaints of a too-high price already, this was not an option. If I was to decrease the price, Thorr would have to counter the perception that it decreased its quality in order to sustain the price drop. I chose the middle of the road approach and kept the price the same.

2. Place - I choose to my distribution points as dealers, internet sales, and distributors. I chose not to go with exclusive showrooms in order to keep overhead down and to appeal to more of the marketplace. The internet sales option was a calculated risk to attract those that want to build their own machines, and to attract those that may not have the time to go to the dealership. I was also looking to bring in the younger markets that do more shopping on-line than any other generation.

3. Promotion - I chose two big ticket items and two smaller ticket items for my promotional package. I chose to sponsor events such as Daytona, publicize through Hollywood films, free test rides, and merchandise giveaways. The two big ticket items (Daytona and Hollywood) are ways to get us in front of the public's eye and get them in the store. The other two items are for keeping them in the store