Ducati Case Study

DUCATI CASE STUDY

Ducati is one of the most profitable manufacturers  of motorcycles around the world. They are known for fast motorcycles that are symbols of Italian design and tradition, and extreme and technical performance. Ducati’s technical signature, which is the Desmodromic valve distribution system, made the world know of their technical superiority which made them achieve success in the international racing circuit. Their traditional niche or its relevant market is the sports bike segment of the large displacement industry. Sport bikes had lighter frames, a more forward position, and emphasized speed, acceleration and minimal comfort. In this niche, they try to target a wide variety of individuals with equally different tastes and are differed by their age, income, education and gender. The first type of consumer is the “knee down” or racing aficionados. They are the fast riders who prefer speed and engine performance compared to other criteria such as style, handling and overall comfort. The second type of consumer are the “easy-riders”. These people associate motorcycles with a particular lifestyle and prioritize comfort above anything else. The “weekend riders” and “highway lovers” are more interested in functionality and comfort compared to other attributes. The next type of consumer is the “undecided bikers”. They prefer balanced and versatile motorcycles. These people are also known as the urban riders because like the easy riders, they also associate motorcycles with a particular lifestyle but they are more concerned about the performance - not the comfort of the motorcycle. Females are also important to manufacturers like Ducati because they are attracted by the low seat height and weight of its motorcycles.

The quality, delivery and price expectations of Ducati’s target market are focused mainly on the performance, aesthetics, and serviceability of their motorcycles. The engine performance of the motorcycles is what the knee down, urban and fast riders look for in a motorcycle. Ducati’s engines are known since they made their technical signature in the 1950s where they introduced the Desmodromic valve distribution system which can still be found on every motorcycle they produced. After making their mark in the motorcycle industry, they proceeded developing their engines and because of their continuous development they were able to make a strong reputation in the performance segment of the motorcycle industry. This in return, helped in achieving one of the dimensions of QDP which is the perceived quality. Second dimension of the QDP that their target markets look for in the quality of their motorcycles is their aesthetics. The comfort of the seats, whether or not the parts are available for safety in case of accidents such as the lights, brakes etc. which the easy riders and highway lovers are interested in. Third dimension is serviceability where the customer’s issues are addressed by the company. Ducati made a website in 2000, entitled Ducati.com, where they sell their limited edition motorcycles. The website was also used to address the needs and opinions of the customers by conducting regular on line polls and surveys. Ducati is also considered one of the most efficient manufacturers in the industry because of the standardization of their products. They also rationalized its network of suppliers through the adoption of stricter selection procedures and quality control procedures making their products known for its reliability and quality.