Research Findings

SuperGroup 1

Research Objectives
Discover purchasing behavior Perception of the KLiM Brand Price Sensitivity Learn riding/buying preferences Learn about information sources Test the populations current level of exposure to KLiM

products in contrast to other applicable apparel brands and gauge their perception of the brand Identify what natural segmentation may exist in the region.

Methodology
Distance/budget constraints created unique opportunities for a creative approach to research...

Methodology
In-Depth Interviews

30 Respondents (Snowmobile ofcers & members)

from the target audience in Michigan, Illinois, Wisconsin, and Minnesota Calls lasted between 10-30 minutes on Average Some interviews were recorded, but the primary method for documentation was live note-taking, coupled with extensive post-call documentation

Methodology
Online Immersion/Virtual Ethnography

Monitoring 25 Forums, 15 blogs, documenting quotes Viewing 25 public videos (i.e Youtube, Vimeo) to
observe the customer in natural environment Especially looking closely at comments and chatter about product usage, preferences, recommendations, etc.

Observational Research by Proxy Contacted10 KLiM dealerships for feedback Asking detailed questions about observations of
customers in general, and KLiM customers specically

Brand Perception

Consumer Perception and Needs

Regarding Product Types

Jackets Gloves Helmets Bibs Other Products

Jackets: Perception
Fitted, athletic cut jackets Thin jackets, such as those made by KLiM, are
not warm - I saw them down at the snow show but they seem kinda thin I just wondered how warm they were before I spend $700 bucks on a new jacket and pants. - JEFFH Phillip, a club ofcer from Minnesota: - expressed that KLiM lacks quality advantage with jackets - also expressed that he thinks price is purely for the name, not a reection of quality

Jackets: Needs
Multi-functional: most common product
to be used for other purposes (Ice shing, shoveling driveway, etc.) Larger Sizes, and appropriate cuts - Majority of those interviewed were XL or larger - Most riders observed required jackets that t a heavier body type.

Helmets: Perceptions
KLiMs ventilated helmets are not
warm - Don't go trail riding below -15C with
the F4 , it's a really cold ride on the trail. In the pow, perfect. All other KLiM gear, 100% satised -RenegadeFred

Open face helmet, such as those made

by KLiM, require goggles which lack needed peripheral vision Non-modular helmets such as those KLiM must be removed before the rider can eat or drink

Helmets: Needs
Midwest customers require less
ventilation (i.e. duct tapers) -I need a helmet that wont freeze in below 0 degree weather. Jim, Club VP Some consumers in the target market prefer helmets with visors utilizing electric anti-fog and anti-ice systems The cables on many of these helmets are easily snagged or ripped off Customers need modular helmets The use of helmet cams is increasing in action sports

An Example
Non-Modular Dangling cord for heat shield

Modular Food Helmet Cam

Gloves: Perceptions
KLiM gloves are not as popular in the target
market:
- I wear True Adventure gloves because the Klim product could not keep me warm enough, all my other snow apparel is KLiM. Kathryn, Minnesota - I called Paul at sled solutions, a sponsor here and a user of KLiM gear. He said that the Klimate gloves have some issues, thats why he doesn't sell them High Speed Wind Penetration - Rob, from Minnesota, expressed that at fast speeds his KLiM gloves did little for cold protection.

Bibs: Perceptions
Phillip, from northern Minnesota expressed
that KLiM bibs are the best on the market the quality is superior to anything else out there. Worth the price

Word of Mouth
Clubs

The majority of interviewees listed some

form of word of mouth as a primary source of product and industry information Research is done by other members of my riding group. There is always plenty of new products being tried out at any one time. - Keith

Club Segmentation
Avid Clubs

- sledders who are committed to snowmobiling and the club - avid snowmobilers who compete in and sponsor races - members regularly engage in transport trips where they take sleds to othe areas of the country, Bighorns, Togwotee, etc. - Cost is not a major factor

Hobbyist Clubs
- some members refer to themselves as casual riders - focus is often on grooming and marking trails locally - mostly participate in local weekend trips - often host family based activities, deal shoppers

Community/Convenience Clubs
- own a single snowmobile for long periods of time - participate for community involvement, socializing, utility, and means of transportation - often seniors, but not always

Miscellaneous Findings
Laws

Law enforcement/ search&rescue is

Saddlebags

increasing, ofcers will need outtting

Riders that saddlebag complain about leaky luggage, allow snow dust in. Needs - Durable, reliable, waterproof luggage - I prefer saddlebags, as they sit secure right next to the tunnel, and ride lower than a trunk bag... Hint: Put all your clothes and stuff in plastic bags if you don't want it full of water and snowdust. (Username: TR - 2001-ZR800)

Miscellaneous (Cont.)
Sled/Apparel Brand Loyalty
- Ski doo, because I ride a Ski Doo. Everyone buys the gear that matches their sled brand - Jim, Club VP - Other respondents mentioned using OEM gear because of the sled they ride

Buying Habits

Trends are changing, gear is being kept longer Gloves, Helmets, Boots most important, very picky
about t and warmth Many purchase generic base layers, uninformed about proper layering.

Opportunities

Education
The level of education a customer has about KLiMs apparel can have more inuence than income, riding experience, etc.

Price is a very big factor for me

having a single income home with a single parentbut I can start small and save up for the big purchase I am looking forward to upgrading to a full KLiM suit in the future have the footwear and inner gear also, great product. - Keith

Education
Internet Klimusa.com could provide interactive, 3D
product tours showing product details, both inside and out, and R&D ndings. These could be used online and in-store to help educate about layering, clothing tech, etc. KLiM could benet from regularly updated facebook, youtube, active blogs that discuss snowmobiling events, demonstrate KLiM gear, and provide advice to snowmobiling enthusiasts. Sponsor Club websites

Influence of Clubs
Dealers offer discounts to club members
- I purchase my products from the dealer, I get good deals because of the club membership. Jim, Club VP Product Placements -Club Leadership/Ofcers - Club & Association Rafe Prizes (surprisingly important!)

Further Research Needs

How many people want Modular vs.
non-modular Helmets? Survey to gauge perception of KLiM tting their body type Survey about Helmet technology needs (rear view, anti fog/ice, communication, helmet cam integration, prescription vision) How many law enforcement/ search&rescue agencies would be interested in outtting? Survey on understanding of layering principles

Thank you.