BA 590

Building Customer Relationships

Term Paper
Mandy Culver Rick Leeper Randall ard !hayla !harp
"# "ntroduction
To fully understand Vespa the product and the direction of the company in terms of the
American brand community, we must first understand the history of Vespa. Accordingly, the
types and depths of their relationships with customers in other markets offer unique insights into
their marketing approach in the United States (U.S.. !ith this understanding of Vespa"s product
and customer e#olution, we can dissect and analy$e their American brand community
dimensions. %n particular we will focus on Vespa"s multi&dimensional customer relationship
impact, position, and resources. !e will conclude this competitor brand strength audit with a
forecast of their likely strategic actions for the ne't three years.
%n ()*+, ,iat created a prototype scooter. The #ice president of ,iat, -ount -omerana, shared
this design with .nrico /iaggio, the -.0 of /iaggio A#iation (www.italianmotorcycle.com 1223.
After !orld !ar %%, /iaggio A#iation laid in ruins while allied forces forced .nrico, as part of the
peace agreement, to cease airplane manufacturing. %n ()43, .nrico called upon his to engineers to
design a /iaggio scooter. After one displeasing attempt, he acquired a new head designer -oiTadino
5"Ascanio, the in#entor of the first modern helicopter (www.itlianmotorcycle.com 1223. 5"Ascanio
created a two&wheeled, )+cc, re#olutionary scooter. Upon hearing the bu$$ of its engine, /iaggio
e'claimed 6Sembra una Vespa78 (translation in .nglish9 6%t seems like a wasp78 and Vespa was
born.
International
Vespa South Africa is the number one scooter retailer in South Africa (:ooste 1224.
Vespa attributes this success to their business model, which focuses on only three scooter models
compared to the se#eral different models offered by competitors. The company is also seeking a
1
6cult8 following that is reinforced by Vespa e'ecuti#es" decisions to 6instill in e#ery owner that
knowledge that he;she is part of the Vespa -ulture8 (:ooste 1224. !e will demonstrate that
Vespa"s South African marketing concept, brand community satisfaction, and product positioning
are also being applied to the Vespa U.S.A. arm of /iaggio.
/resident <ans Tabalu=an of /T 5anmoters Vespa %ndonesia has stated that he belie#es
Vespa scooters are no longer competiti#e with other Asian scooters in his country because the
special market segment they ha#e pursued has not been changed in years (Asia /ulse 1223. The
American implications of this statement, which can be found in Vespa U.S.A."s predicted
customer&to&brand and customer&to&company strategy, is that Vespa must continuously adapt its
market segment.
United States
Vespa"s first assault on the U.S. market in the early ()32"s ne#er took a strong market
hold (Tayman 1224. They chose Sears >oebuck as the e'clusi#e dealer of their product, a
strategic decision that suffocated sales. 0nly after /iaggio de&emphasi$ed Sears did sales
increase. Vespa sold nearly 132 million two&stroke scooters through ()+3, after which time,
stricter ./A standards closed the U.S. market to the company because of hea#y pollution issues
(Tayman 1224. Vespa re&entered the market in 1222 with the ?ranturismo, the largest (curb
weight o#er *22 pounds and fastest (@2 miles per hour Vespa scooter e#er made. Ao longer can
Vespa"s be found on the Sears sales floors. %nstead, a network of )4 Vespa boutiques now sell the
full range of Vespa Bifestyle products, (i.e. mugs, key&chains, t&shirts and (2 models of scooters
(Tayman 1224. /iaggio currently has o#er (3C of the U.S. scooter market (?reenberg 1224.
*
Corporate
The current /resident and -.0 of /iaggio USA is /aolo Timoni. <e pre#iously ser#ed as
senior #ice president of sales and marketing for the /iaggio ?roup worldwide. /aolo is currently
e'pected to lead 6brand operations and de#elop the company"s e'pansion in Aorth America and
South America8(www.findarticles.com 1223. Defore working for /iaggio, /aola Timoni was a
partner at EcFinsey G -ompany, a firm that has global partnership ser#ing three of the worldHs
fi#e largest companies and two&thirds of the Fortune (222 (www.mckinsey.com 1223. %t is here
that Timoni, like his colleagues, helped clients make substantial impro#ements to their
performance in budgeting and finance. %n particular, EcFinsey is in#ol#ed in consulting that
goes 6beyond rescuing sick companies to helping healthy companies thri#e and grow8
(www.mckinsey.com 1223. 5uring this time, Timoni was also a special guest at a speech
entitled The competitivity and the ability to innovate of Italian firms in the global market hosted
by E%T Sloan&<ar#ard Dusiness School in Doston, Ao#ember 1221.
/iaggio is a pri#ate company that employes I,222 people as of 1224 (<oo#er -ompany
>ecords 1223. Their -.0 and Eanaging 5irector is Stefano >osselli 5el Turco and their
>esearch and 5e#elopment and 0perations 5irector is Bucio Easut. ,amily&run since its
founding, /iaggio and -, S.p. A. has recently been acquired by ?erman 5eutsche Dank (+2C,
Te'as /acific ?roup ((2C, and the Agnelli ,amily ((2C. The Agnelli family also owns a
controlling share of ,iat (<oo#er -ompany >ecords 1223. /iaggio USA is a subsidiary of
/iaggio and -, S.p. A, %taly.
""# $imensions o% Brand Community
4
The Vespa name has firmly established itself as a legitimate brand community in the
United States. Detween riding clubs, e'position fairs and national rallies, Vespa has created an
en#ironment for Vespa owners and enthusiasts to share their interests with one another.
EcAle'ander et al. (1221 defined a 6brand community8 as a community that e'ists
based upon the customer"s commitment to the brand and the e'perience the customer recei#es
from the brand. Drand communities are also influenced by se#eral other factors including
geographic locations, social situations and 6temporality8 (EcAle'ander et al. 1221. The Vespa
brand community features these characteristics and can be applied to the -ustomer&-entric
Eodel of Drand -ommunity created by EcAle'ander et al. (1221. The model itself focuses on
relationships between the customer and the following four dimensions9 brand, product, fellow
customers and marketer. The following descriptions will integrate the -ustomer&-entric Eodel
with current information on the Vespa brand clubs, rallies and competitions9
-ustomer&to&-ustomer
The customer to customer relationship between Vespa owners is demonstrated by the
e'istence of riding groups and national con#entions. According to #espaclubusa.org, Vespa
riding groups e'ist throughout the country. 0wners are brought together based upon their interest
and en=oyment of the riding e'perience. Through their common bond, these indi#iduals disco#er
a sense of community and create relationships that can often last beyond the group rides.
5uring the national con#entions, known as Ameri#espa (/iaggio USA 1223, indi#iduals
from around the country collecti#ely assemble to participate in acti#ities centered around their
Vespas. Deginning in ())*, these national rallies facilitate opportunities for Vespa supporters to
3
participate in group rides, attend Vespa display shows, witness new models, enter competitions
and more importantly, interact with other indi#iduals like themsel#es.
Vespa Blogs
Another outlet for Vespa customers that facilitates interaction are the 6Vespa Dlogs.8
-urrently, two blogging sites e'ist within the Vespa U.S.A. websiteJ Vespaway and Vespa uest
(Vespa Dlogs 1223.
0n these websites Vespa enthusiasts and consumers communicate by posting their thoughts on
related items such as new Vespa models, tips on accessories, sightings of Vespas in mo#ies and
information on riding clubs. Dy ha#ing access to these sites, indi#iduals who own Vespas or are
interested in knowing more about them can gain information from the customer perspecti#e.
Eany of these blogs contain narrati#es that describe their Vespa e'periences. 0ftentimes,
these e'periences play a role in defining indi#idual"s self. According to Delk (()++ important
possessions are the 6component(s of a sense of self8. !hen material items become part of daily
routines, they achie#e a le#el of importance, and indi#iduals can become highly in#ested in the
product. These possessions become strongly associated with personal identities and ser#e a
purpose that goes beyond the basic function of the product. ,or e'ample, an indi#idual posted
the following message on #espaway.com (Vespa Dlogs 12239
Perhaps I will make this a running series, as I am always swearing to people that
you can carry a lot more stuff on a Vespa than you think you can. I have been framing
out a room in my basement so I took off 2 days from work. My wife uses our Nissan
entra for her daily commute so I am left with my Vespa for any supplies that I might need.
!ell, sure enough I made " runs to the #ardware store already yesterday $
today. I picked up a tube of %i&uid Nails, a 2 foot %evel, and the biggest item, a '(lb
bag of )op *N +ond. )he nice guy at ,esnick*s #ardware who carried the bag of cement
out asked -where*s your car.- and /ust I pointed at my 0)' and pulled down the spring
loaded luggage rack. I bugee*d the bag in place and 1oom 1oom off I went2
I
Dy reading the message, one gets a sense that the author is quite content with his
possession. The author makes it known that his Vespa fits his lifestyle and meets his needs for a
#ehicle with large carrying room.
-ustomer&to&Drand
5uring the first Ameri#espa rallies, most of the attendees were from or near the city in
which the e#ent was held. ,or e'ample, when the ())3 Aational >ally was held in Eanitou
Springs, -olorado, the ma=ority of the 122 participants were from -olorado. At the 122( rally
held in 0klahoma -ity, 0klahoma, @22 attendees were as close as one day"s dri#e. The increase
in attendance can largely be attributed the strength of the Vespa brand name.
The Vespa brand can assist in the creation of communities based upon identification with
the brand (EcAle'ander et al. 1221. Since the formations of these communities are often based
on commonalities, the support for the brand can bring indi#iduals together from different cultural
backgrounds, geographic locations and lifestyles. Similar to the study on -amp :eep
(EcAle'ander 1221 discussed later in this paper, it was the brand name that was the feature that
intertwined the li#es of the participants. They could identify with others and identify similarities
based upon this one facet of their li#es.
-ustomer&to&/roduct
The Vespa, as a product, has a target market in mind. !ith a sleek, fresh look, the Vespa
has a certain appeal that can attract a certain kind of customer. :ust as <arley&5a#idson
motorcycle creates a particular image for its clientele, so does the Vespa. !ith its current
ad#ertising, Vespa will likely target a youthful, sophisticated consumer, an urban dweller who
wants and needs con#enience, the fashion&conscious, chic rider.
@
Another a#enue the Vespa marketers are pursing is trying to bring a .uropean style to the
U.S. Since the original Vespa was distributed in %taly, the scooters are now being sold at stores
with an %talian style. According to an article produced in the Fno'#ille Aews&Sentinel (1221,
Vespas are now being sold in indoor stores as opposed to outdoor lots. Similar to a boutique,
these stores contain 6marble and glass facades8 where 6chic&dressed8 salespeople approach
customers with the intent of selling the style, rather than a machine. 0ne customer in the article
was quoted as saying 6%t"s a wonderful machine, but you pay a lot for style and name.8
This stylistic image of the Vespa brand is also found in #arious media outlets. %n the film
6>oman <oliday8 with Audrey <epburn and ?regory /eck, the Vespa was displayed for the first
time on screen. The Vespa seemed to fit within the backdrop of the film and added to the
romanticism nature of the film. 6The Talented Er. >ipley8 was another film in which the Vespa
was used in con=unction with the %talian setting and styli$ed plot (Fno'#ille Aews&Sentinel
1221.
-ustomer&to&Earketer
The Ameri#espa >ally is a perfect e'ample of the different ways Vespa can be marketed
to potential and current customers through the following specific e'amples9
!roup "ides
5uring each of the con#entions, a mass ride has occurred where all participants ride
throughout the host town. 5uring the trip, riders are able to con#erse with other Vespa owners,
inspect different models and e#en e'perience riding a Vespa for the first time. The collecti#e ride
allows first time riders a chance to be with other e'perienced riders and it creates an en#ironment
+
where questions may be asked and stories may be shared. %t also gi#es the #eteran riders an
opportunity to boast their skills as well as 6mentor8 the rookie riders.
Show Competitions
Eany Vespa owners are #intage enthusiasts who en=oy fi'ing up the scooters and then
showing them off. The biggest competition was held in ())+ where there were (3 different
categories ranging from Dest Vintage to Dest Aon&.uropean Scooter. The members of the rally
award the trophies to the winners which can pro#ide a sense of belongingness to the brand. The
show competitions also establish a sub&culture within the Vespa community that goes beyond =ust
riding the #ehicle.
Specialty #ctivities
The specialty acti#ities are e#ents that are not reoccurring at each national rally. Acti#ities
such as sca#enger hunts, musical concerts, raffles and 6the 5ragon8 (a strip of highway that is so
tedious that riders who successfully conquer the 5ragon without wrecking recei#e a t&shirt
reading 6% Deat the 5ragon8 are aimed at pro#iding more opportunities for recreation and
interaction for the participants.
Drand /erformance
!ith regard to the customer base, the Vespa brand seems to be performing well. Drand
strength lies in the nature of the relationship Vespa has with their customers. Using the <arley&
5a#idson&oriented subculture of consumption (<5S- as a model (Schouten and EcAle'ander
())3, the subgroups within the Vespa brand community are homogeneous and committed to
certain patterns of consumpti#e beha#iors that are #isible, and ser#e to link people together.
Earketing Vespa to consumers and aspiring owner"s attempts to attract those who resonate with
)
one subculture or another. ,or e'ample, ad#ertisements for the company stress the relati#e
importance of the Vespa owner"s ability to9 (( fill their tank for a few dollarsJ (1 take the scenic
route e#ery dayJ (* ability to look forward to their commuteJ (4 lea#e when they want, and
reach their destination fasterJ and (3 to hop on, twist the throttle, and reclaim their freedom
(Vespa /ortland 1223. ,or the Vespa owner, 6the small errand is an opportunity for adventure$
is a mantra to which many consumers can relate. This relationship between consumer and scooter
is distincti#e because the #alue the owner percei#es by actual ownership is related to the
e'perience. As Dhattacharya and Sen (122* report, the more distincti#e the relationship between
the e'perience, customer satisfaction, and the #alue they percei#e from the e'perience, the more
likely the relationship will be strengthened.
,rom :une 1
nd
through :une 3
th
of this year, Vespa scooter owners from all o#er the United
States gathered for the (*
th
annual 6Ameri#espa8 (/iaggio USA 1223. As mentioned earlier, this
is a recurring national e#ent in which scooter owners, most notably Vespa and others gather for a
rally. This year the rally drew participants from across the U.S. and as well as world&wide, and
hosted a #ariety of e#ents including scooter rides through the host city. Additional scheduled
e#ents included technical information sessions, an obstacle course, a scooter race, dinners, and
an award ceremony. /iaggio USA along with Vespa club members from across the county
worked together to coordinate the e#ent each year. EcAle'ander et al. (())3 described in their
research, a similar phenomena with -amp :eep and the <arley&5a#idson motorcycle rallies. The
authors immersed themsel#es in scheduled :eep and <arley&5a#idson e#ents&&&termed
6brandfests.8 Similar to the Ameri#espa, brandfests attracted a wide range of :eep automobile
and <arley&5a#idson motorcycle owners who could participate in #arious acti#ities, thus
forming a type of brand community. And like the Ameri#espa, these e#ents are more than =ust
(2
6social gatherings.8 Shared rituals, e'periences, con#ersations, attitudes and other meaningful
affiliations among the subgroups are reported, and subtle as well as defined differences e'ist. ,or
Vespa owners, the scooter is symbolic of chic fashion, for some it is a fun and con#enient mode
of transportation, for others it is an economic gas&sa#ing necessity.
EcAle'ander et al. (())3 report that marketers of products ha#e a responsibility to the
brand and to their consumers. A corporation"s acti#e role at brandfests helps create shared
e'periences and opportunities to obtain consumer information about preferences and choices.
This type of en#ironment (e.g., brandfests;rallies pro#ides rich and meaningful interactions
between and among those attending. Acti#e participation (both consumer and company
personnel can create and influence brand enthusiasm and shared e'periences.
,or Vespa owners and the corporate company, these annual rallies not only ser#e to
support product enthusiasm and shared e'periences, but also strengthen the bond between the
brand and the community. ,urthermore, understanding the consumer on the 6basis of ownership8
pro#ides opportunities for marketers to promote 6unreali$ed benefits8 to the consumer, through
shared e'periences and enthusiasm for the product itself. !hen these shared e'periences are
good and the enthusiasm is high, consumers are more likely to be 6emotionally in#ested in the
welfare of the company8 which may ultimately lead to increased brand loyalty and trust
(EcAle'ander et al. ())3.
Vespa stri#es to be distincti#e in their ad#ertisements (Appendi' ( and their products.
The consumer attraction to this distincti#eness can be somewhat attributed to consumer
perceptions about a company and the identity the company hopes for or stri#es to portray.
According to Dhattacharya and Sen (122* a consumers" need to be distincti#e can be attributed
to #ariation in cultural norms, e'periences, and sociali$ation. Therefore, the more distincti#e and
((
similar the #alues of a company to one"s own #alues, the more attracti#e the company and the
identity will be. ,rom an organi$ational standpoint, Vespa positions their product (the scooter
and brand quite differently and distincti#ely from their competitors using ad#ertisements and
language such as 6#intage,8 6nostalgia,8 6chic,8 6lifestyle8 and other terminology to con#ey their
uniqueness. ,or consumers wishing to associate with that distincti#eness, the Vespa brand and
product achie#e that quite well through #arious forums such as shopping at a boutique,
participating in the Ameri#espa, or purchasing a #intage or limited edition Vespa.
"""# &espa Li%estyle
As important as it is to scooter owners to sa#e gas and ha#e an ine'pensi#e #ehicle,
Vespa is working to create much more than thatJ they are creating a lifestyle for their customer.
Through clubs, nostalgia, the pure =oy of the ride, and new complementary products, Vespa is
able to create a world for their customers that allow them to feel as though their Vespa is more
than part of their life, it is part of them.
!hen Vespa re&entered the U.S. after a long absence, they had defined their market as the
6twenty&something"s8 that wanted cheap and easy transportation. <owe#er, Vespa e'ecuti#es
quickly reali$ed that their highest potential lay with the baby boomers who remembered the
Vespas of their childhood

(Bee 1223. Vespa quickly began targeting this market segment which
has the discretionary income to afford a Vespa and the e'pense of customi$ing them.
Additionally, due to the fact that many are becoming empty&nesters, baby boomers ha#e more
time. %t is not uncommon for a mature Vespa owner to double the price of their Vespa by adding
#intage parts, paint, lights, and mirrors (Bos Angeles Times 1223.
!hen it comes to nostalgia, baby boomers are clearly the largest purchasing segment.
The purchase of a Vespa reminds buyers of the days of their childhood when the candy&colored
(1
scooters were the indicator of what was hip. Daby boomers lo#e to scoot around on their Vespas,
and are the most likely owners to =oin or form one of the hundreds of scooting clubs.
The scooting clubs that ha#e been formed around the U.S. offer admittance to all types of
scooter owners e#en though the ma=ority are Vespa owners. <owe#er, most of these members
are Vespa owners, and couldn"t imagine owning anything else. According to Bisa Santonato, a
club member and Vespa owner, 6% could ne#er own (another brand. %"d be too embarrassed. %t"d
be like wearing the wrong dress8 (,illion 1223.8 These clubs are strong contributors to the
Vespa lifestyle, where meeting up with fellow Vespa owners, barbequing, and scooting around
can attract hundreds of members and offers these owners the freedom that only scooting can
gi#e.
The scooting clubs also offer more than =ust scooting tripsJ they offer these enthusiasts
the opportunity to show off their customi$ed Vespa and all of their accessories. Vespa owners
ha#e turned their scooters into more than a mode of transportation, they are a fashion accessory
(Associated /ress 1223. Vespa has caught on to this tendency to customi$e a scooter, and ha#e
released their new Vespa Bifestyle collection. This Vespa Bifestyle collection is focused on
accessori$ing the Vespa owner and includes clothing, bags, goggles, watches and books (Vespa
USA 1223. These products e'tend the connection between the owner and their Vespa by
creating a new persona for the Vespa owner. Similar to the different persona that <arley
5a#idson owners create for themsel#es, these Vespa Bifestyle customers can become a person
that is recreated when $ipping around on their scooter in their Bifestyle accessories.
/eople who wish to ha#e the scooter e'perience are not limited to Vespa for their
purchase. There are other companies working to establish a lifestyle that Vespa has created for
their customers. Eost of these companies attempt to compete on price and features, rather than
(*
lifestyle. <onda and Kamaha ha#e been working to create a following for their scooters that is
similar to the Vespa brand community, but the scooting clubs are primarily de#oted to the #intage
style Vespas, which created the scooter
phenomenon in the postwar era (The Bos Angeles
Times 1223. The different brands of scooters are
all welcome in the scooter clubs, but Vespa clearly
has the largest following.
Vespa left the U.S. market due largely to low sales and high emissions standards, but
VespaUSA reentering the market has reenergi$ed the Vespa brand community. VespaUSA is
sponsoring scooting e#ents to e'tend this brand community and lifestyle. VespaUSA has a
strong moti#ation to encourage these e#ents and continue to create new products like the Vespa
Bifestyle collection. A potential competitor of Vespa might find it difficult to compete with the
Vespa lifestyle that is intertwined with feelings of nostalgia that come from owning a Vespa.
This challenge would be large because Vespa owners do not look like they are an'ious to gi#e up
the lifestyle that owning a Vespa offers.
"&# Resources %or the leadership o% &espa
The resources a#ailable to the leadership of VespaUSA include product distribution in *I
states, numerous potential target segments, and price ad#antage o#er alternati#e methods of
transportation. The company has successfully used multiple marketing strategies targeted at
different consumer groups since the scooter"s reintroduction into the U.S. in 1222. The Vespa
distribution network consists of )4 Vespa boutiques across *I states. All of the boutiques offer
ser#ice (maintenance to their customers, and all offer fle'ible terms in financing, similar to
(4
motorcycle or automobile financing. VespaUSA should attempt to understand brand loyalty by
consumers, what consumers want from a Vespa product, what is in#ol#ed in their purchasing
decision, and their lifestyles. To achie#e this, leadership will likely focus their strategy on se#eral
consumer segments9 (( the baby boomerJ (1 the urban user who wants a con#enient mode of
transportationJ and, (* the consumer who thinks of Vespa as a fashion accessory.
The baby boomer generation consists of those persons born between the years ()4I L
()I4. ,or many in this category, it includes a generation of people nearing or about at retirement.
%n the co#er story of Dusiness !eek (Bee 1223 this era of consumers are reported to be
fascinated with the Vespa primarily because they remember the popular scooter from their teens
and early adulthood. The author, Bee, reports that 6Euch to the company"s surprise, consumers
age 32 and older now buy a quarter of the scooters Vespa sells in the U.S. Earketing to this
group will pro#e profitable if managers figure that as they do a better =ob of marketing to this
group, that portion Mof consumersN could grow to about one&third8 (12239)4. As quoted by /aolo
Timoni, -.0 of Vespa, this is an attracti#e market segment for Vespa because 6Otheir careers
are established and stableOthis age group tends to ha#e more free timeOare less likely to ha#e
children at homeO8 (12239)4.
The baby boomers are a generation that were indoctrinated with mass marketing and
online ser#ices (e.g., shopping, getting information, banking, etc., and tele#ision. >ethinking
marketing strategy will be key for this age group as brand preferences are not locked in. Bee also
reported that 6aging boomers are obsessed with looking 12 years younger, and are open to new
e'periences and products8 (12239)I. Therefore, Vespa will need to consider a marketing
strategy specifically focused to this group.
(3
The urban user who wants a con#enient and efficient mode of transportation is another
market segment that corporate management will likely consider targeting. %n a recent article in
the Seattle /ost&%ntelligencer (1223, The Vespa -lub of Seattle reported that gas prices ha#e
somewhat eliminated the barrier of getter a scooter. ,or many ferry commuters in the /acific
Aorthwest, the scooter is a fun and easy way to get around. %n her article, -hansanchai reported
that9
6The rising cost of gas& recently soaring to more than P* a gallonOhas gi#en
the green light to scooter buyers already seduced by the retro&cool look,
ease of use and being first&on, first&off when it comes to the ferries8 (12239/(.
As stated in the article, Seattle is si'th in the nation in scooter sales, and total scooter
sales (national ha#e more than doubled from 1222 (41,222 units to 1224 (+I,222 units. Victor
Voris, owner of two Seattle Vespa boutiques and who has the number one store in sales in the
country, was asked why the /acific Aorthwest is such a good place for scooters. <e was quoted
as stating 6bad traffic, bad parking, and high gas prices8 (12239/(. ,urthermore, the article
states that Vespa owners are price conscious when it comes to gas prices, which makes owing a
Vespa all that more en=oyable, and the new scooters are more women&friendly.
An all&women"s group called the Delladonnas formed in 122( to pro#ide an outlet for
women who ride and own scooters that want to trade knowledge with 6like&minded indi#iduals.8
0ne member stated that her scooter was used for short trips to the mo#ies and the store, howe#er,
another member stated that 6once you put on a helmet, you"re somewhat of an instant rebelOyou
set yourself apart. .#erybody"s isolated in their car with their cell phoneOthere"s a certain
amount of serenity in putting a helmet on.8 (-hansanchai 1223. The Vespa -lub of Seattle
reported saying that the Vespa scooter was the 6new second car8 of Seattle. Vespa will likely
(I
consider a strategy aimed at the urban dweller that is cost conscious and wants an efficient and
fun mode of transportation that makes getting around town easy and smooth.
The third market niche that Vespa will likely consider is the group that considers the
Vespa a fashion accessory&&&that is, a lifestyle. 0nline ads ad#ertise the stylish Vespa as
6Sparkling7 %n#iting7 .uro&chic on wheels8 (www.#espaqueens.com;show.htm 1223. These ads
coincide with the company"s release of the Vespa limited edition /Q (32 Serie America, a
remake of the #intage classic. The company announced this release in 1224 and only 322 models
were produced and a#ailable for sale. As indicated in the release they targeted those who want
the classic Vespa with the 6chic8 #intage styling9
6The /Q (32 6Serie America8 comes in a #intage green with a metal plaque
by the glo#e bo' stamped with one number of 322 and a historical /Q book.
Twenty&se#en years and two million units since its launch, the Vespa
/Q remains a cult scooter, a symbol of %talian style e#erywhere in the
world, and the single most widely sold Vespa in history. %t is the only Vespa
that has remained in production for o#er 12 years and has been present on the
list of best selling #ehicles for o#er a quarter of a century (Vespa USA.8
The Vespa corporate website promotes fashion and e'clusi#ity by claiming that 6Oit"s
not the brand or the logo that"s cool, it"s the #ehicle of a lifestyleOin it"s own unassuming way it
possesses something that other brands spend billions trying to achie#e9 authenticity8
(www.#espa.com 1223.
%t is likely that future strategies for VespaUSA ha#e been indicated through the #arious
media releases from 1224 and earlier this year, and pre#iously discussed in this paper. The
company has been #ery successful at differentiating their product from their competitors in
numerous ways and has resulted in the number of units sold doubling since the reintroduction in
1222, and the introduction of the Vespa clothing line. %t is likely that the leadership will choose
(@
strategies to increase market share growth rather than profit, therefore they will want to increase
their presence in #arious channels. 0ne way to accomplish this is through e'ploiting consumer&
to&company identification and creating brand community strategies, such as the continuation of
corporate Vespa in the Ameri#espa >ally.
/iaggio USA uses consumer blogs on their corporate website. As Dhattacharya and Sen
indicate, this is an opportunity to 6Obuild deeper, more committed relationships with customers
and turn them into champions8 (122*9@I. The result is that Vespa owners are endorsing and
promoting the e'perience. ?ranted, #erification as to whether it is Vespa -orporate writing the
blogs cannot be determined, but the effect is still noteworthy, especially if the blog is con#incing
and sales ha#e increased.
0ne potential segmentation approach that could be employed by Vespa is the lifestyle
attitude and beha#ior category, or a psychographic segmentation option. Vespa marketing could
target those indi#iduals that wish to pursue a certain type of lifestyle and e'hibit certain
beha#iors associated with Vespa ownership, such as those lifestyles ad#erstised on the Vespa
Aew Kork boutique websites, or those in the /acific Aorthwest. 0ne way to accomplish this is
through product differentiation. 5ickson and ?inter state that product differentiation is
de#eloped 6Oby offering a product that is percei#ed to differ from competing products on at
least one element of the #ector of physical and nonphysical product characteristics8 (()+@9I.
&# &espa '#!#A#(s )uture* Continue +ith Current !uccess
To predict what Vespa will do in the future we should look at what they are currently
doing successfully, in terms of marketing and customer relationships. Vespa has openly stated
many of its future intentions are to take their current successes and magnify them.
(+
Vespa U.S.A. will continue with their current, and successful, national print efforts,
integrated regional efforts, and interacti#e media campaign (including #iral marketing. This also
includes their cross&promotional and in&store deals with brands like -oach, Target, and
Starbucks. <owe#er, e'ecuti#es ha#e said they 6want to more than double sales and go beyond
what we ha#e done in terms of generating bu$$8 (?reenberg 1224. They are calling for kiosk&
type stands in ma=or markets, point&of&sale audio and #ideo %nternet offerings to create messages
that are 6edgy and unique, we are interested in making Vespa part of daily life8 (?reenberg
1224.
They will stay with their Vespa heritage ads that con#ey style and se' appeal. They will
also continue to highlight their %talian brand"s chic image. Their se'y dealer ads will grow in
budget from P* million and focus more on 6a mind&set thanOa demographic8 (Anderson 1221.
They will continue to showcase se' appeal with words ending in 6issimo, such as RVroomissimo"
and RSe'issimo" and barely clothed women sprawled o#er and around Vespas8 (Anderson 1221.
<owe#er, they will stay away from o#er&the&top se'ual accentuation, as e#idenced by their
killing of their cross&promotional ad with Tro=an -ondoms (<alliday 122*.
!oing Forward% The &e't Three (ears
Vespa"s focus o#er the ne't three years will stem from their leadership"s resources. They
will e'pand their product distribution to include both more boutiques and more states. This
e'pansion will be directed towards their key target segments9 baby boomers, urban users (gas
and si$e focus, and consumers who think of Vespa as a fashion accessory (chic. ?i#en our
pre#ious work, we belie#e they will continue to emphasi$e the dri#er"s moti#ation to ride as a
mindset9 both the e'tension of themsel#es and the ability to transform the mundane into
()
ad#enture. Accordingly, the product accessories that accompany this ethos will continue to grow
in both breadth and depth. <owe#er, Vespa will not ignore the fuel cost sensiti#ity of many of its
customers. Eayor :ohn !. <ickenlooper has pro#en to his city, 5en#er, that the need to sa#e
energy is a primary focus of city hall. :ohn can be seen scooting around town on a red Vespa, his
attempt to symbolically signal constituents he cares about America"s fuel problems (!ashington
/ost 1223.
!e also belie#e, gi#en our pre#ious research, that Vespa will seek to increase
participation in Ameri#espa and in doing so they will increase the si$e of their loyal subculture.
Their recent creation of Vespablogs.com, coupled with their posted statement 6/iaggio USA feels
blogs are an ideal way to connect with Vespa brand loyalists and encourage them to become
online e#angelists8, suggest they will use this new technological medium to spread their
subculture.
%n the end, we belie#e Vespa USA will continue to le#erage new 6fun8 colors with a sleek
and chic image, but without ignoring the urban economic appeal of si$e and gas mileage. This
future Vespa has hit national acclaim being recogni$ed on -DS"s The .arly Show when Annie
>ussel stated9 6There was a time scooter riders were considered geeks. Aow it"s completely
different.8
12
Re%erences
Anderson, E. 1221. Vespa ?ets Se'y in Aew 5ealer Ads in #dweek, Vol. 4*(12 Eay (*.
Author unknown. 1223. %ndonesia"s 5anmotors Vespa 0perating !ell Delow -apacityJ in #sia
)ulse )te *imited9 :akarta, Aorthern Territorial >egion, April @.
Author unknown. 1221. Aew Vespa motor scooter brings %talian style to Einneapolis. %n the
+no'ville &ews,Sentinel- Eay (@.
Author unknown. 1223. Scooter <istorico, Eotocicusmo %tialiano *, at
http9;;www.itlianmotorcycle.com on 0ctober 4.
Author unknown. 1223. A Eayor on a Vespa, and other ways to set energy e'amples,
!ashington /ost, :anuary 1+
th
.
Author unknown. 1223. Eotor Scooters ?ain in /opularity, The #ssociated )ress, at
www.msnbc.com on August 14.
Author unknown. 1223. /iaggio USA 5ealer Aews at http9;;www.findarticles.com #isited on (3.
Author Unknown. 1223. EcFinsey G -ompany at http9;;www.mckinsey.com, on Ao#ember (+.
Delk, >. ()++. /ossessions and the e'tended self. .ournal of Consumer "esearch- (39(*)&(I2.
-hansanchai, A. 1223. Seattle"s new second car one way to beat gas prices9 A scooter. %n The
Seattle )ost,Intelligencer- /(, 0ct ((.
5ickson, /, and :. ?inter. ()+@. Earket Segmentation, product differentiation, and marketing
strategy. .ournal of /arketing, 3(((&(2.
,illion, F. 1223. So Very Vespa, EacBean"s, Ao#ember 1(.
?reenberg, F. 1224. Vespa Scooters in <unt for Shop, in #dweek- Vol. 439( 4@ 5ecember (*.
<alliday, :. 122*9 Vespa"s new leader a'es condom promo, in #dvertising #ge- Vol.@4((2,
Earch (2.
:ooste, >., 1224. Vespa Seeks -ult ,ollowing, in Finance 0eek, September 1).
Bee, B. (1223. Bo#e Those Doomers9 Their new attitudes and lifestyles are a marketer"s dream.
%n Business 0eek, 0ctober 149)4
EcAle'ander, :., Schouten, :., and <. Foenig.())3. Duilding Drand -ommunity. .ournal of
/arketing, II(*+&34.
1(
/aiggio USA. 1223. /aggio USA helps host Vespa annual U.S. meet at
http9;;www.#espausa.com;company on 0ctober ().
/iaggio Sp, 1223. /iaggio -orporation9<oo#er"s Dasic >ecord at http9;;2&web.le'is&
ne'is.com.oasis.oregonstate.edu;uni#erse;document on 0ctober 4.
Schouten, :, and :. EcAle'ander. ())3. Subcultures of consumption9 An ethonograpy of the new
bikers. .ournal of Consumer "esearch, 11(4*&I(.
Segal, .. 1223. Dorn to be Styled, *os #ngeles Times, <ome .dition9.(2. Ao#ember (2
Tayman, :. 1224J Dusiness 1.29 Turismo Dellissimo in The 0ashington )ost, August 14.
Vespa Dlogs on http9;;#espausa.com on Ao#ember (2, 1223
Vespa /ortland, 0>, at http9;;www.#espaportland.com;inde'.htm on 0ctober (+, 1223.
Vespa USA. 1223. /iaggio releases limited edition Vespa /Q at
http9;;www.#espausa.com;company;news.cfmSA%5T(1+ on 0ctober (4.
Vespa USA. 1223. This Vespa Bifestyle at http9;;www.#espausa.com on 0ctober (4.
11
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