KFC Marketing Strategy

7/31/2019 KFC Marketing Strategy

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KFC, founded and also known as Kentucky Fried Chicken, is a chain offast food restaurantsbased in Louisville, Kentucky, United States. KFC has been a brand and operating segment,

termed a conceptofYum! Brands since 1997 when that company was spun off from PepsiCo as

Tricon Global Restaurants Inc.

KFC primarily sells chicken pieces, wraps, salads and sandwiches. While its primary focus is

fried chicken, KFC also offers a line of grilled and roasted chicken products, side dishes and

desserts. Outside the USA, KFC offers beef based products such as hamburgers or kebabs,

poutine, pork based products such as ribs and other regional fare.

The reason they changes from Kentucky fried chicken to KFC was that people got conscious

when read the word FRIED which gave them an impression that its not healthy because it

contain fat, so Kentucky fried chicken had to changed their trade name from KENTUCKY fried

chicken to KFC. JUST TO avoids the fatty impression.
http://en.wikipedia.org/wiki/Fast_food_restauranthttp://en.wikipedia.org/wiki/Louisville,_Kentuckyhttp://en.wikipedia.org/wiki/Kentuckyhttp://en.wikipedia.org/wiki/United_Stateshttp://en.wikipedia.org/wiki/Yum%21_Brandshttp://en.wikipedia.org/wiki/PepsiCohttp://en.wikipedia.org/wiki/Chicken_%28food%29http://en.wikipedia.org/wiki/Wrap_%28food%29http://en.wikipedia.org/wiki/Saladhttp://en.wikipedia.org/wiki/Sandwichhttp://en.wikipedia.org/wiki/Fried_chickenhttp://en.wikipedia.org/wiki/Side_dishhttp://en.wikipedia.org/wiki/Hamburgerhttp://en.wikipedia.org/wiki/Hamburgerhttp://en.wikipedia.org/wiki/Side_dishhttp://en.wikipedia.org/wiki/Fried_chickenhttp://en.wikipedia.org/wiki/Sandwichhttp://en.wikipedia.org/wiki/Saladhttp://en.wikipedia.org/wiki/Wrap_%28food%29http://en.wikipedia.org/wiki/Chicken_%28food%29http://en.wikipedia.org/wiki/PepsiCohttp://en.wikipedia.org/wiki/Yum%21_Brandshttp://en.wikipedia.org/wiki/United_Stateshttp://en.wikipedia.org/wiki/Kentuckyhttp://en.wikipedia.org/wiki/Louisville,_Kentuckyhttp://en.wikipedia.org/wiki/Fast_food_restaurant


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At the age of 40 as an operator of a service station in Corbin, Kentuncky, Colonel returned to his

love of cooking and began to cook and serve food to hungry travelers from his own living

quarters.

The Colonel devised his recipe for fried chicken using a secret blend of 11herbs and spices the

same blend of recipe is still used in KFC all over the world and is called the Original Recipe

Since 1950s KFC gas grown at a remarkable place from one road side restaurant into an

internationally renowned restaurant chain and one of the largest chain of chicken restaurants in

the world.

The business grew larger than the Colonel could handle, so he sold it to a group of people who

formed the Kentucky Fried Chicken Corporation.

The COLONEL REMAINED KFCs Goodwill Ambassador.

ALTHOUGH THE Colonel is no longer with us, but his philosophies of hardworking and

excellent services to be the number one priority of KFC, will always be a part of KFC tradition


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24-hour service. Free Delivery (111-532-532) Online ordering. Mobile unit. Outdoor catering. Branded Prepaid Coupons. Corporate meeting, seminars & workshops at KFC S p e c i a l d i n i n g f a c i l i t y f o r b u s i n e s s c u s t o m e r s . Health calculator and health tips. Kid play area


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Who are my Comptitors?Direct Competitors:

McDonald, Burger king, Subway etc.

Indirect Comptetiors:

Base Upon market share and substitute business.

How do I analyze them?

SWOT

Analysis

PESTEL

Analysis


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Strengths:

Brand Equity KFC secret recipe of 11 herbs and species. Stronger Franchises all over the world. Interactive relationship marketing. Chains for its convenience and menu variety. Kid play area.

Weakness:

Lack of focus on research and development. Lack of knowledge about their customers. They only focus higher income level people. Dont blend with the local culture unlike McDonalds.


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Opportunity:

Growth of 18-24 age demographic. Home meal replacement market will exceed. International beef scare from mad cow and hoof and month disease. Updating the restaurants, balance menu. Changing customer lifestyle and taste. Increase delivery service. Increase competition from local and international outlet.

Threats:

Bird flu. Frozen food is not good for health and despite what so ever the standard they

maintain.

Change of customer demands. Cultural threats from Muslim worlds. Current recession as decrease the buying power of customers. Law and order situation (terrorism). Existing and new competitors.


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Political Global market. Different political infrastructures. Consumer taxation.

Economical Figh target market. Low cost and incomes.

Social Working within many social groups. Increase employments.

Technological Quality standardLegal Legislation for product.

Sustained logoEnviorment Quaity packing.

Local manufactures using foreign suppliers.


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Company strategySegmentationTarget market4 Ps


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Primary objective is to take advantage of the potential growth in other countries,to establish a strong position and to develop their image. Key success factors are

ever continuing cost saving through R&D, innovation and use of new technology

to work effienctly.

These success techniques will lower the costs and increase profit in the industry.


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Psychographic segmentation:Dividing a market into different groups based on social class, lifestyle, or

personality characteristics is called psychographic segmentation.

KFC divides market ,on the basis of psychographic variables like

Social class- upper and middle class. Lifestyle is not specific. Personality is ambitious and authotarian.

Behavior segmentation: Taste conscious. Quality conscious. Class.


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The process of evaluating each market segments attractiveness and selecting two

and more segments

KFC targets the HUNGER , and we know there is no compromise when itcomes to HUNGER.

As the outlets of KFC are in posh area and prices are too high (overheadexpenses-rent, air-conditioning, employees), so KFC targets upper and

middle classes. Target market depends upon size and growth rate of

population, company resources and structural attractiveness of market

segment.


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Product means goods and services that KFC offers to the target audience.

Brand name is the KFC (Kentucky Fried Chicken) Variety Of products in taste and size

1. Chicken

2. Salads

3. Desserts

4. Snacks

5. Sandwiches6. Burgers

7. Side

KFC believe in providing the Superior Quality to the valued consumers byusing fresh ingredients and provide neat and clean environment.

Features of KFC are providing different and better taste with hot and Spicyversion of chicken.

Packaging is used for the burgers and snacks.


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Price is the amounts of money customers have to pay to obtain the product.

KFC offer different products at different list prices. KFC provide special discounts to only employees and special customers. Payment period, customer pays when the services are delivered to them. Allowances are provided to employees. Pricing Strategy : KFC pricing the products by keep the different points

in the mind ,adopt cost base price strategy.


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Promotion means activities that come merits of communicate the products andpersuade target consumers to buy it.

to enhance public relation the companies, seminars and employee trainingclasses.

KFC is the sponsor of various cricket clubs playing20-20 cricket, AS the 20-20 cricket provides excitement and fun, the message KFC is trying to convey

along with sponsoring isMAXIMUM ENJOYMENT IN MINIMUMTIME.As KFC is a fast food chain.


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Advertising

Bill

BoardsNews

Paper

Posters

Internet

Banner

TV Ads

Transit

ads

Leaflets


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Focus of their strategy should be according to the different countries .Because theyprovide Markets which have high growth rate on the otherHand.KFC had difficult

times with their previous name, but they came up well in the End, which gives an

indication that it is in the market to STAY!!!!!

Documents

KFC Marketing Strategy