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Arab Open University Student ID: 2130818 1 | P a g e How Harley-Davidson builds a long-term customer relationship Linda Qeblawi Introduction The marketing strategy involves defining which customers a company should serve through segmentation and targeting as well as creating value for their customers through differentiation and positioning to eventually deliver value and capture value though building customer relationship, this process will be explained in the first two parts of the TMA, the final part includes a brief explanation about the decision process buyers go through before buying a motorcycle and how information sources influence the buying decision process. The Meaning of Customer relationship management Customer relationship management is an expression that refers to tactics, approaches and procedures that a business use to analyze and manage their interactions with customers, in attempt to improve their relationships with their customers, helping in customer retention and increasing sales growth. (Kumar, 2012) They achieve that through satisfying their customers and providing them with superior value. They employed specific programs that helped build customer relationships such as sponsorship of the Harley’s group that includes events, publications, and other means of making customer-to-customer interaction possible and easy. Moreover, Harley-Davidson’s value proposition main focus is on the benefits that their customer receives, they make sure that people when they buy a Harley they also receive independence, adventure on the open road, freedom, expressing one’s self individuality and experiencing life to its fullest. This is what people are buying when they buy a Harley. Their strategy is also to focus on the right relationships with the right customers to obtain customer equity which means loyalty and profitability. Harley generates profits and revenues through some “Butterflies”, but their main focus is on their loyal, long-term and profitable customers “True Friends”. (Rifkin, 1997)