Increasing Prospect Conversion at Two Rivers Harley-Davidson
1. 1
“To Increase Prospect to Sales
Conversion Ratio”
Two Rivers Harley-Davidson Pune
SIP REPORT
15th June-13th August 2015
Submitted by:
Rishab Bhasin
BBA (auto marketing)
R300213027
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Preface
In this period of Indian economical transition people have now more cash in hand than any time
before, so their needs have now increased from an individual back in 20th
century who basically
looked for the completion of his basic needs to an individual who is now looking up to the luxury
markets to fulfill his desires.
This is where the market of Harley-Davidson comes into play, here at Harley-Davidson we just
don’t sell motorcycles we sell experiences. We give a customer an opportunity of the expression
of personal freedom. In this market the thing which actually matters is the first experience of the
customer when they visit the showroom, so it becomes very important to deliver the best that we
can in the first interaction.
In this SIP I have interacted with prospects and tried to convert them into actual sales, in the
process I came across various prospects who could purchase the motorcycle but because of some
obstructions they couldn’t make the decision and shifted to other competitor brands so I analyzed
their issues and did a project on the same pertaining to how can the company retain these
prospects and convert them to sales and how can we deliver that first experience to the customer.
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Acknowledgement
Immeasurable appreciation and deepest gratitude for the help and support are extended to the
following persons who have one way or another have contributed in making this study possible.
Mr. Soumen Choudhury (Business Head), A very strong personality yet humble and always
approachable for any queries and guidance regarding the SIP project and he taught me most of
the things about the business from store display to how to address a customer also thankful to
him for the opportunities he gave in being a part of various display events which gave me
immense exposure to the real challenges a person faces during customer interactions.
Mr. Constance D’Souza (Sales Head, Mentor), Inspirational figure, He guided me in every phase
of the SIP from the starting to the end from handing over the database to working on it and
assisting me in display events.
Mrs. Meenakshi Tomar (College Mentor), For guiding me and helping me out with the entire
project and helping me in my project from scratch till the completion of the project and giving
me her ideas whenever and wherever I was stuck.
Mr. Fareez Bathena (Chrome In charge), For introducing me to the accessorization business and
also for teaching me how to convince a customer to accessorize his bike and the benefits of it
apart from that he taught me which bike can be accessorized and to what extent.
Mr. Mayur Desai (Asst. Manager Sales), For helping me with the database handling and Torque
which is a customer data collection softwar. He is the source of all the data I worked upon.
Sales Team
Mr. Karan Patil, Mr. Tejas Kadam, Mr. Abhishek Nerlekar, Mr. Vishal Kharate and Mr. Rajratna
Rodge for their constant support and motivation throughout the process and for teaching me and
introducing me to the world of Harley-Davidson
Merchandise Team
Mrs. Smita Bhunia, Ms. Jini Mukund, Ms. Reema Biswas for their moral support and motivation
through the SIP and the knowledge they gave me about how the merchandize business
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Methods to increase prospect to sales conversion ratio
By Rishab Bhasin
June 15 - August 13.08.2015
EXECUTIVE SUMMARY
Introduction:
This study reports the results of the prospect interviews for Two Rivers Harley-Davidson Pune.
The results will be presented in a report to Mr. Soumen Choudhury (Business Head) and to Mr.
Constance D’Souza (Sales Manager). This report will be used to develop activities to improve
the customer experience and give them a thrilling experience during their first interaction with
Two Rivers Harley-Davidson Pune. This report will also highlight certain issues or obstructions
that the customer faces while making their purchase decision and the solutions for the same.
Methods:
The data used in this report were collected from telephonic interviews and personal interactions
with the prospects of the company. From the target population of 2200 individuals, a sample of
800 prospects was collected and their replies or answers were generalized in accordance with the
questions asked to each one of them.
Findings:
45% of the prospects that I interviewed were causal enquiries and had no plans of buying a
motorcycles
20% of the prospects were interested in the purchase and wanted to go forward with it but were
not so sure.
30% of the prospects were either not satisfied with the product/service or bought another
motorcycle or had some financial issues and complains like late follow up etc. which can be
dealt with.
5% of the prospects were already HOGs and were not looking for any product upgrades.
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Industry profile
Motorcycle history begins in the second half of the 19th century. Motorcycles are descended
from the "safety bicycle," a bicycle with front and rear wheels of the same size and a pedal crank
mechanism to drive the rear wheel.Despite some early landmarks in its development,
motorcycles lack a rigid pedigree that can be traced back to a single idea or machine. Instead, the
idea seems to have occurred to numerous engineers and inventors around Europe at around the
same time.
Early internal combustion, petroleum fueled motorcycle was the Petroleum Reitwagen. It was
designed and built by the German inventors Gottlieb Daimler and Wilhelm Maybach in Bad
Cannstatt, Germany in1885.
In 1901 English quadricycle and bicycle maker Royal Enfield introduced its first motorcycle,
with a 239 cc engine mounted in the front and driving the rear wheel through a belt. In 1898,
English bicycle maker Triumph decided to extend its focus to include motorcycles, and by 1902,
the company had produced its first motorcycle—a bicycle fitted with a Belgian-built engine. A
year later, it was the largest motorcycle manufacturer with an annual production of over 500
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units. Other British firms were Norton and Birmingham Small Arms Company who began
motorbike production in 1902 and 1910, respectively.
In 1901, the Indian Motocycle Manufacturing Company, which had been founded by two former
bicycle racers, designed the so-called "diamond framed" Indian
Single, whose engine was built by the Aurora Firm in Illinois per Indian's specifications. The
Single was made available in the deep blue. Indian's production was upto over 500 bikes by 1902
and would rise to 32,000, its best ever, in 1913
producing over 20,000 bikes per year.
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The American company Harley-Davidson started producing motorcycles in 1903.During
the First World War, motorbike production was greatly ramped up for the war effort to supply
effective communications with front line troops. Messengers on horses were replaced
with despatch riders on motorcycles carrying messages, performing reconnaissance personnel
and acting as a military police. American company Harley-Davidson was devoting over 50% of
its factory output toward military contract by the end of the war. By 1920, Harley-Davidson was
the largest manufacturer,with their motorcycles being sold by dealers in 1967.
By the late 1920s or early 1930s, DKW in Germany took over as the largest manufacturer.BMW
motorcycles came on the scene in 1923 with a shaft drive and an opposed-twin or "boxer" engine
enclosed with the transmission in a single aluminum housing.
By 1931, Indian and Harley-Davidson were the only two American manufacturers producing
commercial motorcycles. This two-company rivalry in the United States remained until 1953,
when the Indian Motorcycle factory in Springfield, Massachusetts closed and Royal Enfield took
over the Indian name.
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In 1937, Joe Petrali set a new land speed record of 136.183 mph (219.165 km/h) on a modified
Harley-Davidson 61 cubic inch (1,000 cc) overhead valve-driven motorcycle.The same day,
Petrali also broke the speed record for 45 cubic inch (737 cc) engine motorcycles.
Japanese dominance
The excellence of Japanese motorcycles caused similar effects in all Western markets: many
Italian bike firms either went bust or only just managed to survive. As a result BMW's
worldwide sales sagged in the 1960s, but came back strongly with the introduction of a
completely redesigned "slash-5" series for model year 1970.
Harley-Davidson in the US at the time suffered from the same problems as the European firms,
but its unique product range, American tariff laws and nationalism-driven customer loyalty
allowed it to survive. One alleged flaw, however, was retaining the characteristic Harley-
Davidson 45° engine vee-angle, which causes excess vibration as well as the loping Harley-
Davidson sound.
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Operations in India
In 2009, Harley-Davidson announced plans to establish a subsidiary to be located in Gurgaon,
near Delhi. Plans to enter the Indian market were delayed for several years, due to high tariffs
and emissions regulations. The pollution regulations have recently changed,
but the tariff problem is yet unresolved.
In 2007, U.S. Trade Representative Susan Schwab and the Minister for Commerce and Industry
of India, Kamal Nath, had agreed that Harley-Davidson motorcycles will be allowed access to
the Indian market in exchange for the export of Indian mangoes. One Indian commentator called
this "mango diplomacy. However, India had not specified emission standards for motorcycles
over 500 cc displacement, effectively prohibiting the import of Harley-Davidsons, along with
most models of other manufacturers. Plans to export to India were also held up by import duties
of 60% and taxes of 30%, which effectively doubled the sale price. A Harley-Davidson
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spokesman said the company thinks demand is high enough to overcome the tariffs, and chief
operating officer Matt Levatich said they would continue to push for lower tariffs.
Harley Davidson is introducing 12 models in India from the range of five motorcycle families,
namely Sportster, Dyna, VRSC, Softail and CVO. The motorcycles are completely built units
and will be imported to India, thus attracting a tax over 100% in the price range of 695,000
rupees and 3,495,000 rupees ex-showroom. The bookings might start from April 2010 and the
motorcycle delivery will commence from June 2010. To begin with, Harley Davidson would
have five dealerships (Delhi, Mumbai, Bangalore, Hyderabad and Chandigarh) with the aim of
increasing the dealerships to more than 20 in the next five years. In November 2010, Harley-
Davidson said that it will start an assembly facility for complete knock down (CKD) kits of its
motorcycles in India by the first half of 2011, making it only the second CKD facility outside the
US. In 2014 Harley will begin production of their Harley-Davidson Street 500 and 750 models
in India for domestic sales and export.
Harley-Davidson India is a wholly owned subsidiary of Harley-Davidson, based
in Gurgaon, Haryana, India. Harley-Davidson India commenced operations in August 2009 and
appointed its first dealership in July 2010.
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Harley-Davidson offers a range of 11 models in India from each of its six platforms – Sportster,
Dyna, Softail, V-Rod, Touring and Street – in addition to a full range of parts, accessories, and
general merchandise, available through authorized dealerships. The company has 15 dealership
facilities across India: New Delhi, Gurgaon, Chandigarh, Mumbai, Hyderabad, Bangalore,
Chennai, Kochi, Kolkata, Ahmedabad, Indore, Pune, Goa and Jaipur. In 2011, The company has
also set up an assembly unit at Bawal, Haryana. In 2011, Harley-Davidson India began the
assembly of its Sportster line followed by the assembly of the Dyna line in 2012 and Softail line
in 2013. In 2014, Harley-Davidson began manufacturing the Street 750 and 500 motorcycles in
India - at Bawal, Haryana India, its only manufacturing facility outside of the US. The Street
platform is jointly manufactured at Harley-Davidson’s US and India plants.
The Street 750 is also exported to Europe and Asia markets from India. Harley-Davidson India
also sponsors the country’s Harley Owners Group (H.O.G.). The company organizes five big
rides across the north, south, east and west zones along with the India H.O.G. Rally that takes
place every year in Goa. In 2009, Harley-Davidson India also established its annual rock music
tour– Harley Rock Riders.
The United States ambassador to India, Timothy J. Roemer, attended the opening ceremonies for
H-D India's Guragon headquarters on May 6, 2010.
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Company profile
Harley-Davidson is the iconic American motorcycle manufacturer. Founded out of a
small shed in 1903 by William S. Harley and brothers Arthur and Walter Davidson in
Milwaukee, Wisconsin. The Motor Company produces traditional cruiser motorcycles
utilizing air-cooled V-Twin engines.
When Harley and Davidson produced and sold their first motorcycle in 1903, they were
one of many small motorcycle marques springing up across the country. Flash forward
more than a century and the Harley-Davidson brand is so rooted in American culture that
the history of the company intertwines with the history of America itself.
Harley-Davidson incorporated in 1907, with William Davidson officially joining forces
with his two brothers and Harley. Setting down roots in Milwaukee, Harley-Davidson
began hiring employees and by the end of the decade were producing bikes using its
signature 45-degree air-cooled V-Twin.
During the next decade H-D continued to expand. Many sales were generated by Uncle
Sam, with the American military sourcing Harley motorcycles during the First World
War.
The Bar and Shield continued to grow and by the early ‘30s, its only surviving domestic
rival was Indian. Again H-D expanded in peacetime and found itself producing high
quantities of bikes for the American military during World War II. Harley-Davidson
press material cites its wartime motorcycle production at 90,000 units.
Post-war Harley-Davidson developments include the introduction of the Sportster in
1957, the oldest production model in the current H-D lineup, as well as other signature
H-D models.
Harley experienced changes in ownership in the ‘60s, going public in 1965 and
eventually merging with American Machine and Foundry (AMF) in 1969. A decline in
fortunes saw AMF sell its stake back to current ownership, which included members of
the founding families, in the early ‘80s. The Davidson family’s involvement in the day-
to-day running of H-D continues, with direct descendent Willie G. Davidson serving as
President of Styling.
The ‘80s and ‘90s saw the introduction of model families that continue to this day, like
the Softail, FLT and Road King lines, joining classic models like the Electra Glide. In
the ‘90s Harley-Davidson also solidified its hold over Buell motorcycles, taking a
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controlling stake in the American sportbike/street bike manufacturer and selling Buell
motorcycles at many H-D dealers.
Since the turn of the century, Harley-Davidson has retained its image as a classic
American icon. But the Motor Co is reaching out to other riders with the introduction of
more performance-oriented models, like the V-Rod – significant as the first liquid-
cooled production Harley. As the riding demographic ages, H-D is also realizing it must
break into the younger market with the release of edgier makeovers of its classic models
like the Cross Bones and other members of its Dark Custom line like the Iron 883.
Harley-Davidson has also been working hard to improve the riding quality of its touring
bikes. In 2009, it did away with the stamped and welded single-piece frame that
anchored Harley touring motorcycles for the last 30 years and replaced it with a cast,
single-spar, rigid-backbone frame. It also went with a wider, longer swingarm. H-D also
introduced a new three-wheel motorcycle called the Tri Glide that has the classic styling
and popular touring features of its best-selling Ultra Classic Electra Glide.
Harley-Davidson also demonstrates what can be done with products from its vast
Genuine Motor Accessories and Motor Parts catalog in the form of its CVO (Custom
Vehicle Operations) line. The CVO motorcycles are models from Harley’s standard
lineup that have received the royal treatment, like the Screamin’ Eagle Twin Cam 110
engine, show-topping custom paint and top-shelf H-D controls and components.
Products
Street Family
Street 750
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This is pure, liquid-cooled Harley-Davidson muscle and Dark Custom attitude built to conquer the urban world.
Sportster Family
Superlow 883
Smooth travel riding suspension, comfortable cruising position and easy handling for endless miles.
IRON 883
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This blacked-out bruiser is a raw, aggressive throwback. No chrome, no apologies—just an authentic ride.
Forty Eight
With a fat front tyre and steel peanut tank, this low-slung urban brawler is ready to rip through any scene.
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Dyna Family
Street Bob
Blacked out and refined to elemental bobber purity, it's the perfect starting point for your personal Custom of
one.
Fat Bob
Fat tyres, blacked out finishes, throaty slash cut mufflers, low fat handlebar, and a surly attitude. Now you're
riding dirty.
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Softail Family
Fat Boy
The original fat custom icon with a burly style that's often imitated but never duplicated.
Breakout
Big wheels, big paint and classic drag-bike attitude meet premium modern refinement in this attention-
grabbing performance cruiser.
Heritage Softail Classic
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Blazing from the past with original dresser spirit and modern touring capabilities.
VRSC family
Night Rod Special
Massive power meets cutting-edge technology for a nimble ride that takes dark to pitch black.
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Touring Family
Street Glide Special
When it comes to stripped-down bagger style, highway comfort, modern technology and an unruly attitude, this is the
state of the art.
CVO
CVO Limited
We've rebuilt grand American touring from the ground up. At the very top of the mountain in terms of power, features
and riding experience, this is the motorcycle for you.
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Financial performance
Net income for 2014 was $844.6 million, based on consolidated revenue of $6.23 billion. (In 2013,
those figures were 734.0 million and 5.90 billion, respectively.)
For full-year 2014, revenue from motorcycles was $4.39 billion compared to $4.07 billion in 2013.
Revenue from parts and accessories was $875.0 million in 2014, compared to $873.1 million in
2013.
Revenue from general merchandise, which includes MotorClothes apparel and accessories, was
$284.8 million in 2014 compared to $295.9 million in 2013.
Here’s how Keith Wandell, Chairman, President, and CEO of Harley, summed it up: “Harley-Davidson
achieved a great year of financial performance in 2014, with double-digit earnings growth, revenue
topping $6 billion and continued strong improvement in margins. We also continued to broaden our
customer base and expand the reach of our brand through unrivaled products and experiences. In
international markets, our dealers in Asia Pacific, EMEA and Latin America posted their highest new
motorcycle sales on record for each region, delivering on our expectation for international sales to grow at
a faster rate than U.S. sales. And in the U.S., for the third straight year, sales to our outreach customers
grew at more than twice the rate of sales to core customers.”
Added Wandell: “Our success is the result of a clear focus on managing the company for the long term,
building on our well-established strategies and driving continuous improvement in every aspect of our
business.”
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Two Rivers Harley-Davidson Pune
Pune, November 29, 2013: With the inauguration of Two Rivers Harley-Davidson in Pune,
Harley-Davidson customers in India now have 11 dealerships to choose from across the country.
The grand opening took place in the presence of Anoop Prakash, Managing Director Harley-
Davidson India, Sunil Christian, Dealer Principal, Two Rivers Harley-Davidson, and over 100
Harley-Davidson owners from across the western region.
This latest dealership stands testimony to the strategic expansion plans underway by Harley-
Davidson in the Indian market and the western region in particular. Situated at the Amanora
Town Centre Mall, Two Rivers Harley-Davidson is expected to provide an added boost to the
existing leisure motorcycling culture in the city. The new dealership comes at a time when the
city of Pune already has a burgeoning base of Harley-Davidson customers who can now
purchase an exciting new Harley-Davidson or have their existing motorcycle serviced locally
instead of making the trek to Mumbai.
“We are the undisputed leader in the premium motorcycle segment in the country. Harley-
Davidson is proud to lead the way in developing a strong leisure motorcycling culture in India
and as the eleventh Harley-Davidson dealership in the country, Two Rivers Harley-Davidson
will help with that development. A dealership in Pune was a natural progression since Harley-
Davidson is a much loved brand in Pune with a large number of customers already present here .
We are delighted to open our doors to the wide motorcyclist base in Pune and welcome new
customers to our growing family of Harley-Davidson owners.” said Anoop Prakash, Managing
Director, Harley-Davidson India.
The passion, enthusiasm and respect the Harley-Davidson brand has received from customers
and enthusiasts continues to inspire the company’s growth plans. Since, the beginning of retail
operations in India in 2010, there are nearly 4000 Harley-Davidson motorcycles on Indian roads.
This feat can be attributed to the company’s success in building a strong leisure motorcycle
culture in India, a rapidly expanding dealer network and an unrelenting focus on delivering a
great customer ownership experience.
“This is indeed an exciting time for us with milestones; just this morning the Mumbai dealership
opened a brand new facility and tomorrow we ride into Goa for the launch of Goa Harley-
Davidson. Globally, we recently had two exciting product launches with Project RUSHMORE,
our improved touring line up and the all new Harley-Davidson Street™ 750 motorcycle.” added
Anoop Prakash, Managing Director, Harley-Davidson India.
World-over, Harley-Davidson dealerships are the one-stop-shop for patrons and loyalists who
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seek to experience the famed Harley-Davidson lifestyle and culture, firsthand and further absorb
the spirit, thrill and camaraderie associated with leisure motorcycling.
“We at Two Rivers Harley-Davidson are absolutely delighted to bring Harley-Davidson to Pune,
a city with an established leisure riding culture. The brand is renowned world-over for providing
its customers with a premium lifestyle experience through a unique product offering. Through
this launch, we seek to fulfill the dreams of local enthusiasts to explore their spirit of freedom
and self-expression and take to the roads, in the true Harley-Davidson style”, said Mr. Sunil
Christian, Dealer Principal, Two Rivers Harley-Davidson.
The newest dealership offers the entire Harley-Davidson India lineup of 11 motorcycle models,
in addition to Harley-Davidson riding gear, apparel, and merchandise. Harley-Davidson
Motorcycles are available starting from INR 5, 91,000 (ex-showroom, Pune). Harley owners will
also be able to choose from a wide range of genuine Harley-Davidson parts and accessories to
customize their bikes.
Two Rivers Harley-Davidson joins ten other Harley-Davidson dealerships in India including:
Tiger Harley-Davidson in Indore, Banjara Harley-Davidson in Hyderabad, Bengal Harley-
Davidson in Kolkata, Capital Harley-Davidson in New Delhi, Coromandel Harley-Davidson in
Chennai , Himalayan Harley-Davidson in Chandigarh, Nine Bridges Harley-Davidson in
Ahmedabad, Seven Islands Harley-Davidson in Mumbai, Tusker Harley-Davidson in Bangalore
and Spice Coast Harley in Kochi.
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Display Events of Two Rivers Harley-
Davidson Pune
PCMC Central Mall Display
A Display event was conducted at Central Mall (PCMC) where I was present as sales consultant where
my team and I generated about 120 enquiries in a span of 3 days.
Indira College PCMC
Display event at Indira College’s Orientation program, 40 enquiries generated.
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Phoenix Market City
Display Event at Phoenix Market City where around 100 enquiries were generated and conversion work
is ongoing.
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Review of literature
What are Conversion Rates?
Conversion Rates are the percentage of prospective customers who take a
specific action you want. For example, the following are specific
conversion rates that an organization may track:
The percentage of website visitors who fill out a form, call your
company, or purchase something from you online
The percentage of callers who are issued proposals
The percentage of proposals you win
Etc.
Increase Conversion Rates to Improve Profits
No matter how good your current conversion rates are, they can always
get better. And improving your conversion rates dramatically improve
profits.
For example, if you spend $1,000 on advertising, you may bring 1,000
prospective customers to your website. If your online sales conversion
rate is 5%, then you’ll secure 50 new customers. Alternatively, if your
conversion rate improved to 6%, you would gain 60 new customers. In
this latter scenario, you’d gain an additional 10 customer for no additional
advertising cost, thus boosting your profits significantly.
How to Increase Conversion Rates
There are numerous ways to increase conversion rates. Below are several
ways to improve your rates, broken into two main categories:
Increasing Online Conversion Rates
1. Social Proof: adding social proof, via customer testimonials
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1. and/or case studies, to your website virtually always increases
conversions.
2. Clear Contact Information: clearly showing contact information,
perhaps a phone number and/or live chat options, typically
increases conversions by giving visitors confidence that your
company is “real” and is there to answer any questions they have.
3. Credibility: Having “trust” seals, such as from the Better Business
Bureau or from web security firms like Verisign, will nearly always
conversions.
4. Guarantees: offering a guarantee gives customers more confidence
in your offering and thus generally increases conversion rates.
Likewise, having a longer guarantee (e.g., 365 days vs 30 days)
will generally increase conversions even more.
5. Headlines: the headlines on your website pages are typically the
first thing visitors read, and often compels them to read more or
exit your site immediately. The right headline could dramatically
increase your conversion rate. So test new headlines frequently.
Increasing Offline Conversion Rates
Much of the same strategies that improve online conversion rates should
be used offline. For example, showing pictures and testimonials of other
satisfied customers nearly always helps conversions. Likewise, offering
more credibility and longer guarantees helps too.
A couple other ways to increase offline conversion rates are as follows:
1. Trial Closes: trial closes are questions you ask prospective
customers that don’t ask for a final buying decision. For example,
you might ask the question, “If we were able to offer you this for a
price that works for you, is this something you’d like to move
forward with?”
2. Get customers to invest time. For bigger purchases, the more time
customers invest in the process, the more likely they often are to
buy. So, rather than quickly giving customers a price, it’s often best
to have a few conversations. Perhaps in the first conversation you
learn about their needs. In a second conversation, you present some
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research/information you think they’d find helpful. And in a third
conversation, you present a proposal to work together. Although
this process might slightly lengthen your sales cycle, it gets
prospective customers to invest more time in working with your
company; this often prompts them to want to do business with you.
With such a question, if the prospect says “yes,” you’ll know that
price is the only potential thing standing in the way of them buying.
Alternatively, if they say “no,” listen to find out what their
objections are so you can overcome them before offering your
price.
Tracking Your Conversion Rates
Of critical importance, always remember that you can’t improve what you
can’t measure.
That’s why you need to track your conversion rates on both a daily and
monthly basis. Doing so allows you to immediately correct problems
(e.g., why is our conversion rate so low today? …oh my, it’s because our
website isn’t loading properly) and make sure you are improving your
conversion rates over time. Use conversion tracking tools like Guiding
Metrics, which is an amazing tool to expertly track your metrics and
improve profits.
Your conversion rates are absolutely key to your sales and profits. So,
figure out the most important conversion rates in your company (e.g.,
online visitors to sales, proposals won/lost) and start improving and
tracking them today.
http://www.forbes.com/sites/davelavinsky/2014/03/18/how-to-increase-conversion-rates/`
15 Lead Conversion Strategies
Better conversion strategies can boost your business dramatically for little or no extra cost
There’s little point in generating more leads and enquiries if your existing conversion process
results in most of your hard-won enquiries falling through the cracks.
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Too many businesses are already generating all the leads and prospects they need … but are
unwittingly losing up to 95% of their sales opportunities, and pouring thousands, hundreds of
thousands, or millions of pounds down the drain.
In these circumstances you may not actually NEED additional leads or prospects at all … instead
you need much better strategies for converting a larger portion of your prospects into customers.
Some clients have increased their conversion rate more than ten-fold whilst at the same time
dramatically reducing the cost of acquiring those customers. Here are some of the strategies you
can use:
1. Mapping your sales process
This valuable diagram maps the step by step processes required to convert your enquiries into
sales. It tracks the actions you take to prepare for each sale; how you overcome concerns; build
trust; understand your buyer’s goals, needs and wants; create certainty that your product or
service meets their needs; overcome their fear of making the wrong decision; officially confirm
the sale … and see to it that your buyer is truly satisfied. You’ll be able to carefully study your
sales process from every angle so that you manage and control each step, convert more
effectively and address predictable buyer concerns before they pop up later as objections.
2. Measure conversion rate
What you measure you can manage, yet few businesses ever consider, let alone accurately
measure, the percentage of their hard-won enquiries that convert into sales. Without a
measurement system you can only guess at your sales conversion rate … and usually it’s an
over-estimate! Once you start measuring your conversion rate you can start focusing on lifting
your “benchmark” performance using some of the techniques listed on this page. If you measure
what you are achieving, then focus on the key factors that will impact on changing it … things
WILL change, often with immediate effect. It’s not uncommon for businesses to increase their
sales levels by 20% JUST by focusing on their conversion target.
3. Qualify Leads better up front
Time wasted on unqualified leads is the No.1 factor that can affect your sales success, because
not everyone is a prime prospect for your products or services. You can be “busy” all day talking
to people, but you won’t make sales unless you concentrate on qualified prospects, rather than
offering your product or service to people who are unreceptive, not ready for, cannot pay for and
are disinterested in what you’re offering. You qualify your leads by offering very specific
propositions to ensure that the people who respond to your marketing approaches are only those
who have the desire, the capacity and the motivation to buy your product or service.
4. Fish where the big fish are
Even if you have the most technically advanced fishing equipment, you’ll leave empty handed if
there are no fish in the lake. But if you just have a simple net, and the lake is teeming with fish,
your chances of a catch are much greater. Where you cast your line is crucial to catching fish …
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and the same is also true in business. Successful businesses fish where the big fish are. They talk
to customers who are familiar with their product or service, or already use it, or have a high
probability of using it. Don’t waste your time trying to convince people who don’t need your
product or service when there are customers out there who already know they need what you’re
selling … and are thus part-sold before they even see you.
5. Packaged Information Offers
The right offer can increase your response up to 300%. Yet few businesses ever go beyond a
token effort of making “some sort of offer.” Most people wrongly assume that their buyers
already know it all, or aren’t interested in reading lots of words. In truth your prospects crave as
much information as possible so they can make an informed purchase decision. By “packaging”
your expertise into a special booklet, report or seminar and offering it as an inducement to get
your prospects to contact you, you can bring prospects out of the woodwork in droves whilst
simultaneously establishing your expertise and at the same time educating and informing the
very people who are most interested in making a purchasing decision … which increases the
probability that you’ll get the sale.
6. Show the chain, sell the first link
No one buys a chain link by link. People either buy the whole chain or they don’t. It is the same
with converting business. If you show the customer all the steps in a sale and he or she agrees to
the first step, the customer has bought the chain … unless you break it. You show the chain,
make it clear how the phases in the sale are linked—from first agreement to purchase order—and
then sell the first link … which is attached to the last link. Sell the first link and you sell the
chain.
7. Using a planned agenda
A planned agenda for meetings with your prospects or customers is one of the most effective, yet
under-utilised, tools in selling. It offers a number of key benefits: it makes your sales meetings
more productive, effective and rewarding; it shows you’ve taken the time and effort to plan for
the meeting which creates a positive impact right from the start; it allows you to take control of
the meeting and keep to the allocated time; it increases your conversion rate by setting the right
expectation from the outset; it helps you understand who really makes the decisions; it helps you
to record and follow-through on any agreed actions and it will make you look and act more
professionally, thus enhancing your reputation and increasing the chance that you’ll win the sale.
8. Onionize to understand
To convert successfully you must first get to the essence of your customer’s problem or needs.
You must understand all of your customer’s concerns, desires, fears, and limits. You cannot
prescribe a solution until you diagnose their need. You cannot turn your customer’s need into a
want until you know how to put value on your customer’s desired state. Just as you peel an onion
layer by layer, so, too, you help your customer get to the “heart of the matter.” “Onionizing” is
akin to being an investigative reporter, detective, psychiatrist, doctor, and archaeologist. You
31. 31
ask, probe, dig, diagnose, and listen to understand … then prescribe the solution and win the
sale!
9. Winning Quotes & Proposals
If either your product or your proposal are weak, your chances of a sale are slim to non-existent.
If you normally send out single page “quotes,” you’re asking your buyers to make a leap of faith
when they buy from you because they really have no idea if they’ll be getting a great service or a
lousy one … and you’re inviting comparison with your competitors. If you focus instead on
educating your buyers to understand the true value of your product or service by explaining how
it solves their major concerns, telling them exactly what you do for them at each step, they
KNOW it’ll be great. This will help you to win more tenders, charge what you’re truly worth and
increase your conversion rate.
10. Educate by giving reasons why
You’re continuously striving in business to move people first to desire and then to buy your
product or service, again and again. For most people, the missing link in this process is to
provide your buyers with a complete understanding of the reasons why you do what you do, why
you sell what you sell, why your product or service is better than others, why they should act,
and why they’ll be disadvantaged if they don’t. The more you help your buyers to understand the
tangible, compelling reasons why they should take action, the more powerful your positioning,
the more people will understand the value and benefits you’re offering, the more they will trust,
and the more comfortable they feel with what you’re offering.
11. Create Irresistible Offers
Remember, your prospects don’t need you as much as you need them. They have a multitude of
choices available to them. Unless you offer them a really meaningful benefit for doing business
with you, it’s easier for them to take no action at all. You therefore have to do everything you
can to tip the scales and make it irresistible for them to take the next step. You do this by
creating such a powerful and compelling offer that people would be foolish to pass it up. An
offer that makes it more advantageous to acquire your product or service than not to do so, one
which eliminates all the hurdles they have to jump over to do business with you and makes it
harder to say “no” to you than to say “yes,” can increase your results up to 300%.
12. Increasing Sales Skills
One of the most immediate ways of leveraging your business is to continuously train your entire
staff in non-manipulative, strategic selling principles, methods and understandings. Effective
selling is not just a matter of learning a sales spiel or having the gift of the gab. The finest sales
people in the world are helpful, not pushy. They believe in their product and make meaningful
recommendations and suggestions based on their personal experience of what actually works.
They provide the buyer with the information they need to make an informed decision … and they
know how and when to ask for the order! By training everyone in these skills, you’ll be amazed
at the massive compounding impact on your business.
32. 32
13. Better Telephone Skills
A few quick calls will demonstrate that most businesses don’t use the telephone “sales-
effectively”. For many customer enquiries, orders, or complaints, the telephone will be the
primary, if not the only, method of dealing with your business. If you mismanage your telephone
efforts, you waste opportunities galore, throw a fortune down the drain and jeopardize
relationships with your best prospects and customers. Yet you can enhance the telephone skills
of your team members both easily and inexpensively. This can turn the telephone into one of the
most powerful business tools available, create a great impression for your business every time
and produce explosively profitable results.
14. Constant follow-up
80% of all significant sales occur only after a minimum of five continuous follow ups … yet
only 8% of sales people ever ask for the order a fifth time! Constant follow-ups are an
enormously effective way of advancing and building your relationships, developing trust and
gently leading your prospect to a purchasing decision. You can get as much as twenty times the
sales and results if you constantly following up. When something makes such a significant
difference, you owe it to yourself to follow up … and keep following up in a nurturing way. It
will make a profound difference to your ability to convert business.
15. Recruit sales superstars
There is a special art to attracting and recruiting sales superstars for your business. They are
original, intelligent, innovative, relentless, clever, creative, eager to please, entertaining,
persuasive, compelling, highly communicative, learn very quickly and are a pleasure to deal
with. Superstars adapt to every situation, never give up and become even more determined when
presented with a challenge. Within three months they’ll normally be outselling your best
performers. They can form a bond where nobody else can do so and make sales nobody else can
get. Sales superstars don’t come cheap. But they’ll improve your conversion rate massively
which makes them worth every penny!
http://marketingwizdom.com/strategies/conversion
33. 33
Research Methodology
The study was conducted in Two Rivers Harley-Davidson Pune starting from 15th
June 2015 till
13th
August 2015.
There was no age or income criteria for the customers targeted for the study.
The method I am using in the project in order to get the insight of the customer is the In-depth
Interview method.
I am using this method in order to focus on their first experience with Harley-Davidson as in
Harley-Davidson we believe that the first experience matters a lot. Every interaction I do has a
different reply as I am dealing with retail customers so in order to explore the insight and
emotions of the interviewee and to get into the depths of their minds which cannot easily be
explored through any other method except for the In-depth Interview method this method is
being used.
Source of data:
Primary Data:
The primary data was collected through In-depth Interview method.
A total number of 1000 in person interactions at Two Rivers Harley-Davidson showroom Pune
and at various exhibition venues around the city to name a few Hard Rock Café Koregaon Park,
Indira College PCMC, Central Mall PCMC and Phoenix Market City Viman Nagar were done
and a sample of 1200 entries is taken for the project which is recorded and the responses are
generalized for better analysis.
Secondary Data:
The secondary data consisting of around 1200 prospects was provided to me by the company in
the form of pre-recorded interaction with the customers which were taken from company’s
customer analysis software called Torque by Mr. Mayur Desai (Asst. Manager Sales).
34. 34
Facts and Findings
In Harley-Davidson the first experience of the prospect matters a lot, so a lot of focus is
given to the first interaction with the customers.
Regular follow up with the customer is a must for customer retention.
Test Rides when given in a group are more effective than solo test rides.
Store display motorcycles have a great influence in the minds of the prospects. As the
color in display sells the most. It also helps to divert a customer’s focus on a particular
product
The difference between Harley-Davidson and other motorcycle brands is that we don’t
just sell a motorcycle; we sell a lifestyle and a promise of personal freedom.
Maximum share of Harley-Davidson’s sales for Merchandise and P&A comes from
Harley owners.
Word of mouth plays a major role in prospect generation for Harley-Davidson.
Relationship marketing has been the key to Harley-Davidson’s success in India.
The current prospect to sales conversion ratio is currently 8%.
At Two Rivers Harley-Davidson Pune lots of events are organized to keep the customer
in touch with the company like Bike Nights, Surface Care events, Orientation programs
for the new riders, Sunday Bike rides etc.
35. 35
Analysis and Interpretation
In the project I have interviewed customers who had their first experience with Two Rivers
Harley-Davidson with the purpose of knowing their experience with us and in order to enhance
their customer experience because in Two Rivers Harley-Davidson we believe that the first
experience or a customer with us is very important and this experience is the one which brings in
business for us.
Q. Have you ever visited Harley-Davidson showroom/event?
Ans.
The above pie-chart describes that everyone I had an interaction with has been to the Two Rivers
Harley-Davidson showroom
Almost 80% of the interviewees had been to the showroom and 20% were present both in the
showroom and in the display events.
Have you ever visited Harley-Davidson
showroom/event?
Yes
No
Visited Both
36. 36
Q. When you first time visited the showroom were you entertained by a sales consultant?
Ans.
Answer to this question was 70% very positive which created a very good impact in the minds of
the customers however 30% of the customers were not approached by the sales consultants about
which customers expressed their views and said that it was very dissatisfying experience for
them and also said the sales consultants were very busy. In my view as an intern at Two Rivers
Harley-Davidson Pune the factor which results in this problem is lack of workforce compared to
the walk-ins, as the walk-in flow is much more in the showroom as it is located in the mall
premises and also many duties of a sales consultant besides sales like Merchandize, Parts and
Accessories and Events.
Q. Did you take a test ride? If yes, how was your experience, if no, what were the obstructions
did you face?
0
10
20
30
40
50
60
70
80
Yes No
37. 37
Ans.
Amongst all of the prospects I interviewed, I found only a 40% of the total prospects who took a
test ride with us. Rest 60% had some obstructions therefore they could not take the test ride.
Obstructions Faced:
Out of all the customers who did not take a test ride:
60% Casual enquiries
20% of the prospects were declined the test ride because of inappropriate weather
conditions or they arrived at wrong timings (evenings) or prospect not carrying driving
license or not wearing the test ride attire which is full denim jeans and shoes.
18% of the interviewees were interested in the bike but not in the test ride
2% of the interviewees enquired about the bike for their friends and relatives and
therefore did not take the test ride.
Amongst people who took the test ride:
1 being the lowest and 5 being highest.
Prospect to Test-Ride ratio
Yes
No
38. 38
51% of the people who took the test ride found the experience to be excellent.
35% of the prospects who took the test ride found the experience to be very good
For a total of 8% of all the prospects, the test ride experience was average.
For 4% of the prospects the test ride experience was poor
Whereas for 2% of all the prospects the experience was very unpleasant.
The causes of average poor and very poor experiences were:
Condition of the test ride vehicle
Mismatch between the customer expectations towards the product and the actual product.
Q. Are you interested in buying a super bike? If no, give reasons
Ans.
Reviews
1
2
3
4
5
39. 39
53% of the total prospects said they did not want to buy a super bike.
47% of the total prospects were interested in buying a super bike.
Prospects who didn’t want to buy a super bike had following obstructions:
Yes
No
0%
5%
10%
15%
20%
25%
30%
35%
40%
45%
Financial problems Health issues Family issues Going for a 4
wheeler
Personal issues
40. 40
Amongst prospects who were interested in purchasing a Super bike:
Q. Which brand of super bike would you like to go for?
Ans.
75% of all the prospects who agreed to buy a super bike wanted to purchase Harley-
Davidson
15% of the prospects wanted to purchase a super bike from triumph
3% of the prospects were more inclined towards Indian
7% prospects wanted to go for other super bike brands.
The prospects who do not want to buy a Harley-Davidson Motorcycle were asked the reasons
for their choice:
Sales
Harley-Davidson
Triumph
Indian
Others1
41. 41
The reasons that were found because of which the prospects shifted to other brands of
motorcycle were:
31% of the prospects shifted from Harley-Davidson to other brands of motorcycles
because there was late or no follow up on them.
8% of the prospects said that they have a better relationship with other brand dealers.
20% of the prospects said that the prices for other motorcycles with same features are
low comparatively
41% of the prospects said that they shifted to other brands because the waiting period
of the bikes was too much/vehicle availability of motorcycles was less.
Late Follow Up
Better Relationship with Other
Brands
Low Prices
Availability of Vehicles
42. 42
SWOT Analysis
Strenghths
Customer retention
Financial position
Product Selection
Premium Market Share
Dealer Network
Weakness
Dealer Inventory System
EXpensive Product
International Dealer
Opportunities
Increaing Number of Riders
Indian Industry Growth
Youth Population
Asian Industry Growth
Threats
Union Relations
Govt. Laws
Competitiors
Diversification
Availability of Substitutes
43. 43
Recommendations and Suggestions
The store display matters a lot so the store display should everyday be monitored in order
to keep the Motorcycles or Merchandise or P&A in focus of the customer. It is an
excellent way of liquidating stock.
Tasks like Document collection, RTO follow up, Payment follow up etc. should be done
by other specific employee, not the sales consultant so that the sales team can focus on
the sales target achievement.
The condition of the test ride vehicles should be checked on a weekly basis and a
checklist should be made for the same for all the test ride vehicles which should cover all
the parts of the bike.
The test rides should be given in a group which takes lesser time and efforts plus is more
effective as people going together on a test ride tend to grow the feeling of brotherhood
or HOG more easily when going for a test ride together which definitely increases sales.
For customers who are being followed up on telephone and are being called for test rides,
all the terms and conditions should be clarified to them regarding the apparel, timings and
weather conditions before hand.
Follow ups should be done on a regular basis and a system should be developed which
could give the sales consultants a regular reminder on their follow up calls and if ignored
the sales consultant should be issued warnings and then the report should be sent to the
sales head. If implemented the results will definitely increase the current figures of sales.
The availability of the bikes should be increased and long periods of waiting should be
decreased.
The relationship building should always be strained upon when interacting with a
customer.
44. 44
Conclusion
I would like to conclude my project stating that the base of Harley-Davidson’s success is its
customer base as 92% of the revenue generated from merchandize and P&A comes from HOGs
thus it is very important for us to keep building a close and family like relationship with our
customers and give them an excellent experience.
I would also like to propose a weekly maintenance check list for the test ride vehicle so that the
test ride vehicle stays in a 100% condition and give the customers the proper feeling of Harley-
Davidson Motorcycle.
The follow up process should be tracked by the Sales Manager and Asst. Sales Manager so that
not even a single prospect is lost due to late follow up issues.
I have experienced this that test rides in groups are more effective then solo test rides as they
actually provide a more realistic experience to prospects of Harley-Davidson motorcycles and
the culture we follow. Group test rides are effective and efficient as in a group test ride a single
sales consultant can deal with 5 customers at a single time with different models of motorcycles
hence increasing the probability of conversion.
45. 45
Appendix
In-Depth Interview Method:
Q. Have you ever visited Harley-Davidson showroom/event?
Ans. YES NO Visited Both
Q. When you first time visited the showroom were you entertained by a sales consultant?
Q. Did you take a test ride?
Ans. YES NO
If yes: If no:
Q. How was your experience? Q. What obstructed you to have a Test Ride?
Ans Good Poor
If poor:
Why?
Please rate your overall experience from 1-5.
Q. Are you interested in buying a super bike?
Ans. YES NO
If no:
Q. Why?
If yes:
Q. Which Brand?
Ans. Harley-Davidson B) Triumph C) Indian D) Others
If Harley-Davidson then okay.
46. 46
If not:
Q. Why other brands?
Bibliography
http://www.harley-davidson.com/en_IN/home.html
http://www.harley-davidson.com/en_IN/Motorcycles/motorcycles.html
http://marketingwizdom.com/strategies/conversion
http://www.forbes.com/sites/davelavinsky/2014/03/18/how-to-increase-conversion-rates/`
Two Rivers Harley Davidson Showroom and Display Events
https://en.wikipedia.org/wiki/Harley-Davidson
https://en.wikipedia.org/wiki/Harley-Davidson_India
