Yum! BrandsYum! BrandsBuilding
the KFC Global Brand
Micky Pant YRI Chief Marketing Officer
KFC International – Strong ’06 Performance
KFC International – Strong ’06 Performance
5% SSS Growth
Nearly 300 More Traditional Restaurants
BYA UpdateBYA Update
Solid sales growth across the world, with renewed strength recently
Note: YTD same-store-sales growth above are estimates, including results from both company and franchise restaurants
N/ARussia
-1%Germany
FlatJapan1%India4%France4%U.K.5%Australia
5%Asia FBU6%Mexico7%Europe FBU8%Netherlands
9%Middle East17%South AfricaYTD
Australia – Contemporary Store Design Has Added to Brand StrengthAustralia – Contemporary Store Design Has Added to Brand Strength
U.K. Asset Base Has ImprovedU.K. Asset Base Has Improved
France — Record Unit Volumes Provide Model for W Europe
France — Record Unit Volumes Provide Model for W Europe
S Africa — Clear Brand Leader with Very Contemporary Asset Base
S Africa — Clear Brand Leader with Very Contemporary Asset Base
India – Intend to Capitalize on Explosive Retail Growth
India – Intend to Capitalize on Explosive Retail Growth
KFC India Poised for Long-Term Brand Leadership
KFC India Poised for Long-Term Brand Leadership
Now in 9 cities across the country
Growing sales momentum
Plan to invest significant marketing dollars in 2007
Chennai
Bahrain
IndonesiaJapan
Pakistan
Abu Dhabi
KFC — Contemporary Look and Feel in International Markets
KFC — Contemporary Look and Feel in International Markets
Strategy for Continued BYA GrowthStrategy for Continued BYA Growth
Clear Brand Positioning
Menu vision that creates “Global Brand with a Local Heart”
Rich pipeline of new ideas
Build Global Brand Stature that keeps brand young and vibrant
KFC Has Competitive Edge . . .KFC Has Competitive Edge . . .
% Markets where KFC Beats Principal Competitor
0%
20%
40%
60%
80%
100%
Taste Dinner Quality CompleteMeal
TieTie
WinWin
LoseLose
. . . Vs. Principal Global Competitor in Taste Attributes
Focused on Our “Taste” Heritage GloballyFocused on Our “Taste” Heritage Globally
When you add it all up, it’s all about tasty, finger lickin’ good food
and the sheer pleasure of eating it. No place understands that more
or does it better than KFC.
Local Adaptation of Global “Taste”Theme
Local Adaptation of Global “Taste”Theme
““The Taste Lives HereThe Taste Lives Here””Canada
MENA
Asia/India
CaribLA
Malaysia
““Its Finger Licking Good!Its Finger Licking Good!””™™
South Africa
““Taste the DifferenceTaste the Difference””France
““CanCan’’t beat the Tastet beat the Taste””Australia
““YouYou’’ve got Great Tasteve got Great Taste””UK
TASTE
Local Execution Combined with Global Essence Maximizes CreativityLocal Execution Combined with Global Essence Maximizes Creativity
Unified Taste Positioning Around the World Has Helped Give KFC a Solid Focus for Brand Building Strategies and Tactics
Unified Taste Positioning Around the World Has Helped Give KFC a Solid Focus for Brand Building Strategies and Tactics
““ThereThere’’s nothing like the s nothing like the irresistible tasteirresistible taste of KFC. of KFC. Only KFC is real chicken Only KFC is real chicken made with the Colonelmade with the Colonel’’s s
Secret Recipe.Secret Recipe.””
•Focused advertising•Improved food footage•Consistent tagline & VO
•Focused advertising•Improved food footage•Consistent tagline & VO
“Taste” at the core
•Focused Product Dev.•Better calendars•Focused Product Dev.•Better calendars
•Better Menu Boards•Enhanced Food Photography•Better Menu Boards•Enhanced Food Photography
•Clear Pipeline Direction•Easier to spot best practice•Clear Pipeline Direction•Easier to spot best practice
•Beginning to Translate to store décor and packaging
•Beginning to Translate to store décor and packaging
This Has Produced Big Ideas for Future GrowthThis Has Produced Big Ideas for Future Growth
Boneless Original Recipe - boneless white and dark meat fillets with OR marinade & breading
Hot Rods – whole muscle chicken pieces in spicy marinade and breading on a skewer
Boxed Meal – Taking a traditional lunch time sandwich and elevating it into a lunch/dinner meal proposition Famous Bowls –mashed
potatoes, layered with sweet corn, bite size pieces of crispy chicken, home-style gravy and shredded cheddar cheese.
Hot & Spicy Fish Sandwich - tender real fish fillet, marinated and breaded in Hot and Spicy flavor, served on a cornmeal dusted bun with Tartar sauce.
Veggie Bucket - fresh vegetables, coated in 11 Herbs & Spices and fried golden brown to seal in the flavors.
Summer DrinksCoffee sundae, modena real Raspberry Sundae, cyan Aloe Juice and a Yoghurt Drink
Move to the New Logo Punctuates “Taste”Move to the New Logo Punctuates “Taste”
Old Logo New Logo
Youthful energyApron to signal his passion for great tasting foodFriendlier, more welcomingPhased execution approach being developed carefully,but deliberately generating positive spin
Global PR Event Announced It to the World!Global PR Event Announced It to the World!
World Class Packaging with New Colonel LogoWorld Class Packaging with New Colonel Logo
All YRI markets involved in design brief and selection
Design is flexible to local market needs. (Text is localized.)
Phased introduction across YRI starting Q1 2007
Example: MENA
KFC Menu Boards Are Being Upgraded Using Industry Best Practice
KFC Menu Boards Are Being Upgraded Using Industry Best Practice
1. Harmonized Color Palette2. Larger Food Shots3. Scientific Layout4. Consolidated Prices
1. Easier Navigation2. Enhanced Taste Appeal3. Clear sub-branding
NewMenu
Started Stature-Building Activities for KFC with Global Sports Initiatives
Started Stature-Building Activities for KFC with Global Sports Initiatives
NBA Europe NBA Europe Live in FranceLive in France
ICC ICC Champions Champions
Trophy, IndiaTrophy, India
TwentyTwenty--20 20 Cricket, Cricket,
AustraliaAustralia
YRI Key Strength — Ability to Understand Local Culture and Advertise Accordingly
YRI Key Strength — Ability to Understand Local Culture and Advertise Accordingly
South African TV Advertising examples
We successfully market to multiple market segments.
Local management has developed deep insights into local culture.
The needs and aspirations of different social groups are widely different.
1. Global Brand EssenceGreat Taste
2. Menu VisionGlobal brand with a local heart
3. Brand Image and AssetsContemporaryAnd Youthful
Clear Brand Strategy for KFC and 2006 Results Point to “Finger Lickin’ Good” Future
Clear Brand Strategy for KFC and 2006 Results Point to “Finger Lickin’ Good” Future
4. Brand StatureUsing our globalscale
Pizza Hut – Same Marketing Principles Are Delivering Successful Growth
Pizza Hut – Same Marketing Principles Are Delivering Successful Growth
Clear Global Brand Positioning (Sharing Great Times)Clear Global Brand Positioning (Sharing Great Times)
Exploit rapidly growing Home Service opportunity worldExploit rapidly growing Home Service opportunity world--widewide
Menu Vision that creates Menu Vision that creates ““Global Brand with a Local Global Brand with a Local HeartHeart””
Build Great Restaurants that keep the brand Build Great Restaurants that keep the brand contemporary and vibrantcontemporary and vibrant
Pizza Hut – Broad Menu Principles Allow for Creative Local Adaptation
Pizza Hut – Broad Menu Principles Allow for Creative Local Adaptation
Cheesy Bites
Cheese Burst
Shawarma Pizza
Continual Asset Improvement Keeps Brand Contemporary and Vibrant
Continual Asset Improvement Keeps Brand Contemporary and Vibrant