International Marketing Report: E-bike Brand Positioning Analysis

This report provides a detailed analysis of the marketing strategies for e-bikes, specifically focusing on two companies: Reef Bikes from Australia and Prodeco Tech from the USA. The report explores various marketing aspects, including market opportunities, segmentation, diversification, and target customers. It examines the marketing mix (product, price, promotion, and place), consumption patterns, and segmentation requirements. Furthermore, the report delves into customer value propositions, user experience, and brand positioning in both global and local consumer culture contexts. The analysis includes market entry strategies, particularly focusing on the European market, and concludes with recommendations for brand positioning, emphasizing the e-bikes as a cost-effective and eco-friendly mode of transport. The report aims to provide a comprehensive understanding of the e-bike market and the strategies required for success.

Running head: INTERNATIONAL MARKETING
International Marketing
Name of the Student
Name of the University
Author Note

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Executive summary
The following paper aims to discover the different aspects of marketing of the ebikes. As the
ebikes has become one of the most common trends in the modern context. Two companies have
been focused here. These two companies are the Reef Bikes from Australia, and the other is
Prodeco Tech from the USA. Some of the essential marketing aspects have been discussed here
like the marketing strategies, four P’s (product, price, promotion and place), customer value
proposition and many other elements. If the companies apply these strategies, they might well
get all the benefits indeed. Some other things like the target market segmentation for the
companies and other issues are discussed here as well. The foreign market expansion has been
considered here as well.

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Table of Contents
Introduction......................................................................................................................................3
Comparison......................................................................................................................................3
Reef Bikes....................................................................................................................................3
Prodeco Tech...............................................................................................................................4
Market Opportunity analysis...........................................................................................................4
Market segmentation.......................................................................................................................4
Market diversification......................................................................................................................5
Target customers..............................................................................................................................5
Marketing mix.................................................................................................................................6
Product.........................................................................................................................................6
Price.............................................................................................................................................6
Promotion....................................................................................................................................6
Place.............................................................................................................................................6
Consumption and purchasing patterns.............................................................................................7
Segmentation requirements.............................................................................................................7
Cross national segments..................................................................................................................7
Universal segmentation...................................................................................................................7
Customer value proposition.............................................................................................................8

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User experience...............................................................................................................................9
Global consumer culture positioning...............................................................................................9
Local consumer culture positioning...............................................................................................10
Market entry...................................................................................................................................10
Brand Positioning..........................................................................................................................10
Conclusion.....................................................................................................................................11
References......................................................................................................................................12

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Introduction
The discussion of the following paper is to get a proper picture of the marketing strategies of
the ebikes in the modern context. The ebikes or the electric bikes have become a sensation in the
contemporary era. This is why all the motor vehicle manufacturing companies are eyeing the
production of the ebikes positively (Fyhri & Fearnley, 2015). It can be said that the modern era is
the age of technology. This is why the young generation is inclined towards the use of the
electric bikes indeed. Some significant advantages of using the ebikes have been seen as well.
Comparison
Reef Bikes
Reef Bikes is considered to be one of the most important electric bikes manufacturers in
Australia (www.reefbikes.com.au, 2018). They are one of the most important and leading
manufacturers of the electric bicycles in the country. The organization was set up in the year
2005. They have been serving the customers ever since and providing them with the best
products for their use for various purposes (www.reefbikes.com.au, 2018).
They have pioneered the invisiTRON technology that has catered to the needs of the many
customers indeed. Their products have served the best for the customers in various areas. They
have developed the designs of the Road Bikes, Folded Electric Bikes and Tricycles.

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Prodeco Tech
Prodeco Tech is one of the leading manufacturers of the ebikes in USA. They have been
successful in gaining the ebikes market in the country for a long time now (prodecotech.com,
2018). The organization was set up in the year 2007.
Market Opportunities
It is essential for both the companies to adopt some strategies by which they can do their
marketing. As their aim to gain the competitive advantage over their rivals in the country and
expand in the foreign countries as well, they will look to capture the European market mainly to
grab the customers of that continent (Berthon et al., 2012). They are looking to grab the markets
of some parts of Europe like Germany, Belgium, Netherlands and some other countries. It is a
common fact that this product is a complete durable product indeed. This will be helpful for all
the customers as it will run for a longer time. The introduction of this product will be helpful for
all the customers indeed (Berthon et al., 2012).
Market segmentation
Both the companies of Reef Bikes and Prodeco Tech will be eyeing to set their target markets
in a way that all groups of people irrespective of their age and financial background will be able
to take the benefit of using the e-bikes. The target groups of the companies can be divided
according to the psychographic, geographic and demographic segments (Wedel & Kamakura,
2012). The companies should put the more priority on the rural areas where electricity is very
much costly. The company can provide the customers the ebikes at low cost to gain more
customers. They can provide the ebikes in installments.

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 In terms of demographic segmentation, the target age group will be 18 to 65.
 In terms of geographic segmentation, developed countries will be targeted in the initial
stages followed by the developing countries.
 Regarding the psychographic segmentation, customers inclined towards fitness regime
along with sustainable development will be targeted.
Market diversification
 This product should be developed in a cost-effective manner so that everyone can
purchase it (Baker, 2014)
 If they keep the prices down, the customers from all the financial backgrounds will be
able to buy it.
 Positioning and market fit requirements
Target customers
The target customers for both the companies are broad and extensive. Target customers
are segmented across different income groups and age groups. Customers from the bottom of the
pyramid are looking for the cheaper alternative for transportation and customers from the top of
the pyramid are looking for fitness alternative and sustainable development (Loveridge & Mok
2012). Moreover, customers are also geographically targeted, which helps both the companies to
have their more full market reach in different locations.

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Marketing mix
Product
 The free electricity bikes are very much environment-friendly and customer friendly as
well (Prist et al., 2016).
 The product is very much cost effective (Gordon, 2012).
Price
 The price of the products should be kept between AUD 1400 to AUD 2000.
 The companies can offer various financial schemes for the customers like several
business schemes (Gordon, 2012).
 They should provide the vehicles at low EMI rates.
Promotion
 Social media marketing will be beneficial for both the organizations. This is due to the
reason that, social media marketing will help in effectively determining the market tren
and requirement along with generating positive word of mouth (Moshrefjavadi et al.,
2012).
 Celebrity endorsements will be the other useful promotional tools. It will help in reach
out to more number of customers leveraging the star power (Gordon, 2012).
 Apart from the social media, TVC and print media can also be initiated due to their
higher market penetration.
 They should encourage the use of the con friendly energy like tidal power and solar
energy (Gordon, 2012).

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Place
 The companies should sell the ebikes from several outlets across the country (Khan,
2014).
 The regional outlets should be opened by the companies to sell the products to support
the brand extension methods.
Consumption and purchasing patterns
The primary target audience of the ebikes should be the young people as they are very
fond of making the adventures (Wedel & Kamakura, 2012). The young boys should be their
chief target market. The income levels of the target market should be the people from the lower
and middle-income levels. Thus all the people should be able to afford these products of
electricity free ebikes. The technological facilities like several electronic gadgets within the
target countries should be utilized by all the companies effectively (Wedel & Kamakura, 2012).
The young people and young boys mean the age group from 18 to 30 years of age.
Segmentation requirements
Cross national segments
The trans-national segments meaning the market segments that are spread across all over
the world. These are opposite to the cross-national segments will have to be found out through a
proper survey indeed. The customers will have to be divided according to their nationalities.
Thus the companies will be able to provide the best services according to the demands of the
customers (Hassan & Craft, 2012). As the German and French people are very fond of stylish
products, they will provide the ebikes with style. The British people prefer elegance so the ebikes

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supplied to these companies will be full of elegant looks. The other countries they can focus on
are Germany, Belgium and Netherlands.
Universal segmentation
The universal target segmentation for the ebikes will focus on the improvement of the
rural areas of the target countries. Ebikes are very important and beneficial for the economically
backward people since those bikes will cater to get all the household materials (Hassan & Craft,
2012). There are some specific purposes for the diverse people from diverse financial
backgrounds. The rural people who do not have the necessary electricity facilities can use the
free electricity bikes properly indeed. The people from the higher economic backgrounds can opt
for those ebikes for the fitness issues.
Customer value proposition
Figure: 1

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Customer value proposition
Source: (Insyncsurveys.com.au, 2018)
Determination of the customer value proposition involves a few steps. The first step is the
analyzing the need of the customers and the value being offered. It is vital for both the
organizations to identify the gap between the requirements of the customers and value of the
products being offered. The next step is to design the value proposition by the change in the
market requirements to efficiently fulfil the customer expectations. The next step involves the
adaption of the stated value proposition in the organizational culture of the company.
The organizational strategy and culture should be integrated in such way that it can adapt
to the frequent change in the market scenario. The next step involves both the organizations
implementing efficient and proper communication channels to communicate the value
propositions to the customers. Social media market will be beneficial in this step. The last level
is the review. It is essential due to the reason that it will help in identifying the issues with the
current propositions and rectify those accordingly.
User experience
The user experience is a precious thing in the sales quantity for the ebikes that the two
companies sell (Fyhri & Fearnley, 2015). The users or the customers bear a good impression on
the products. They can show it off to their neighbours as well. If they are satisfied with the
quality of the products, they might recommend it to their friends as well. Thus the sales will
increase (Fyhri & Fearnley, 2015).

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Global consumer culture positioning
The global customers will want the better branding of the ebikes from both the
companies. Reef Bikes will try to provide the best quality products for the global consumers.
They would be able to offer the online services for the global customers. They can opt for free
shipping of the products (Hassan & Craft, 2012).
Local consumer culture positioning
The local customers will have to be provided the best services indeed. The local
customers can buy the products from different outlets of the companies. In this context, the
companies will deliver the products to the customers within a proper time. Thus the brand value
of the companies will undoubtedly increase (Huang & Sarigöllü, 2014).
Market entry
The continent of Europe has always been full of technological innovations around the
globe (Schuster & Holtbrügge, 2012). This is why they have aimed for the European countries. It
is recommended that joint venture should be initiated by both the companies. This is due to the
reason that, initiation of the joint venture will help in reducing the risk of entering in foreign
countries along with the reducing the rate of investment in the foreign countries. A joint venture
will help these companies in forming strategic alliances with any domestic partners in the host
country. This will assist them in efficiently determining the local market requirements and
offering the products accordingly. Also, presence of the local partners also reduces the number of
investments.

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Brand Positioning
These e-bikes will be positioned as a cheaper and pollution free mode of transport over
the conventional ones (Huang & Sarigöllü, 2014). Though, the initial cost of the e-bikes will be
higher compared to the traditional mode of transports. However, the operating cost will be much
lower along with having smaller or zero emission. These will be positioned as more sustainable
options over others available substitutes (Schuster & Holtbrügge, 2012). The key selling
propositions for these e-bikes will be the environment friendliness and zero emission. In the
current scenario, these propositions will be more efficient due to the recent issue of
environmental degradation. The different market strategy theories can be helped by the
Conclusion
This paper can be concluded by saying ebikes is one of the most prolific innovations in
the modern era. The customers have become the frenzy of possessing the ebikes. The target
market of the ebikes manufacturing countries is the young generation. This is why the companies
are keen on providing the customers with the best ebikes products. They are very conscious of
meeting the requirements of the customers properly. These are the reasons the companies are
focusing on making the ebikes become a common thing in every house.

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