Le marketing mix (document en anglais)

b. Marketing Mix

Product:

They have registered over two thousands different models of shocks. The company is now focusing on the development of high quality shocks and has patented a new model. These products are set on motorcycles, ATVs and karts.

Price

The price go from 540€ to 1 200€ .This could represent a threat for the US market as the prices are too high compared to the competitiors.

Promotion

EMC’s communication system is based on three processes: sport sponsoring, advertisement in specialized magazines and word of mouth. The company is also present on internet (weak activity) but this represents a tool for the dealers in order to find the corresponding shock absorber and in catalogues. However, in this sector, the promotion is efficient on competitions. Each brand has its own colour of shocks. EMC’s is blue. This people recognize the brand rapidly in competitions or in magazines.

Distribution

EMC France sales mainly to retailers this way they do not have to spend time on fixing the shocks on the different vehicles. EMC France already has exported to different European countries such as England, Spain, Poland, Germany and South Africa. However since there seems to be a real potential in the USA EMC’s main focus is on this country.

People

The whole company adds value to the products. It is a family firm in which the passion is the motivator. Obtaining the motorcycle licence is a compulsory criterion of recruitment. The shock absorbers are manufactured and sold by passionate and the manager, François Speck is the best example of this firm culture: he is the best adviser in the sector, refusing sometimes clients in order to offer the best service 7 days out of 7 and moreover, his physical incapacity has emphasized his charismatic personality. Sponsorship also plays a role in the prescription of the EMC’ products, especially in this time of period as the firm won several competitions.

Physical evidence

The company has got a unique office in the suburb of Lyon, which is not really well situated. However, they possess huge cell and car in order to be visible on competitions to attract customers easily. This material is not the major factor of customers’ attractively, but the firm culture is, for sure, the purchasing motivator. The size of the company also allows customers to be considered as individuals and the service is personalised.

Process

A majority of product are custom-made which permit them to be specialist in the sector. The service is also a major part of the product; EMC offers a service 7 days out of 7. This is part of the strategy of the company and represents an important investment of the manager and its team. The employees offer a personal customer experience in terms of product (custom-made) but also in terms of service.

III. Market Study

a. Current Market situation

The target market is the one of shock absorbers for motorcycles, more precisely the Harleys Davidson, but also for Quads, in the United States of America. Be specialized on this two products will allow the company to have a better strategy. However, we have to remember that the strategy that will be used for Quads and Harleys Davidson will not be the same at all. One will be based on the use of an agent (for quads shock absorber) and the other one on the creation of a structure in the USA (for Harleys Davidson shock absorbers, but EMC will first test the market with an agent).

i. Motorcycle market

70% of the American market is Harley Davidson and basic shocks are set on it. EMC France has developed this type of product two years ago and is now able to manufacture this specific merchandise. This is a key success factor for a development to the USA. However, the company has not promoted the product but is sold thanks to word-of-mouth. It seems that the unique process to settle in the USA is the distribution and the advertising.

The company is willing to use an agent to conquest the market. This agent will be in charge of the promotion and of the distribution of the ATVs products in the United States of America. He will be attached to the office located in California or Florida (EMC USA). He will be paid with a fixed wage and commissions on sales (%).

ii. ATV market

EMC France is also planning to export shocks for the ATV market, which is also well developed in the United States of America, which benefit

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