Kentucky Fried Chicken (Kfc) Marketing Management Tasks.pdf

Brand Extension and Product Strategy: .... Potential segments: Represent for introverts Represent healthy heart vessels Represent vegetarians Name: Pink Nga, 25 Occupation: office worker

FPT UNIVERSITY

Kentucky Fried Chicken (KFC)

Marketing management tasks Teacher: Vo Thi Minh Phuong

Subject: Fundamentals of Marketing _MKT101

Number of Student: SS171296

Class: IB1703

Student:

- Nguyen Thi Van Anh

- Hoang Le Nguyen Kieu

- Pham Thi Phuong Mai

- Huynh Nham Gia Khang

- Vo Minh Duy

Table of contents

I Brand Summary: 3

1 Introduction: 3

2 Brand image: 3

3 Marketing information: 4

4 Brand positioning strategy: 4

5 KFC 4Ps: 4

II Target Market Analysis: 5

1 Potential segments: 5

2 Segment's characteristics: 7

a Demographic: 7

b Understanding: 7

c Shopping habits: 7

III Brand Extension and Product Strategy: 8

1 Brand extension: 8

2 Product strategy: 8

a Core product: 8

b Actual product: 8

c Augmented product: 8

IV Competitor and Positioning Analysis: 9

1 Competitor: 9

2 Positioning Analysis: 9

a Product value: 9

b Unique Points: 10

c Reason to believe: 10

V Marketing Mix: 10

1 Products: 10

2 Price: 11

3 Location: 11

4 Promotion: 11

VI Conclusion : 11

I Brand Summary:

1 Introduction:

Kentucky Fried Chicken (KFC) is an American fast-food restaurant chain with headquarters in Louisville, Kentucky KFC's main products are fried chicken, chicken dishes, and hamburgers The company is considered the second-largest restaurant chain in the world (after McDonald's) with more than 22,000 branches in 150 global locations KFC is a subsidiary of Yum! Brands - also own other famous brands such as Pizza Hut, Taco Bell In

2021, peaked in revenue at $27.9 billion (it KFC report, 2019)

2 Brand image:

The KFC logo is an old man smiling happily on bucket, which to imagine Harland Sanders - father of the famous fried chicken Harland was born poor and worked at a gas station to earn a living With observation and cooking passion, he creates chicken recipes with 11 spices that cater to busy families After economic obstacles, he was determined to establish a franchise company at the age of 60 and succeed with more than 600 brands after 10 years

3 Marketing information:

Inspiring startup stories that help companies leverage effective marketing strategies KFC's ads always aim at positive joy, faith in life, enjoying moments with stunning chicken fried KFC always appears with cozy family

or shared moments with loved ones

4 Brand positioning strategy:

KFC succeeds in building a high-end brand, serving the middle and upper classes Dynamic, customer care is built thanks to:

• Differentiate in quality thanks to the slogan "crispy on the outside and juicy is the inside" or "so good"

• The different formula in 11 herbs impregnated

• Build a team of professional staff to satisfy customers

• Safe processing

• Easy- catching logo

• The system of stores stretches to many places

5 KFC4Ps:

Regarding products, by conducting geographical segmentation research on behavior, lifestyle, taste, KFC creates suitable dishes for regions In Korea, KFC serves chicken tokbokki, in the US there is Chicken Bread that other countries don't have

About price, preferential combos, cumulative number of meals to convert into free meals, extra snacks are created

by KFC at many prices, which are suitable for segmentation to increase purchasing power

Regarding places, KFC prioritizes large shopping mall stores, premises are located on large highways and has an eye-catching decoration In 4.0 era, KFC opened websites and platforms to order food and deliver it directly KFC partners with food ordering apps to enhance approach

At promotion, KFC has many attractive advertising programs Short videos attract millions of views with engaging content Campaigns to advertise logos in international sports matches, at charity a

II Target Market Analysis:

1 Potential segments:

Represent for introverts Represent healthy heart vessels Represent vegetarians

Name: Pink Nga, 25

Occupation: office worker

Accommodation: Ho Chi Minh

Health status: stable

Characteristics:

tend to innovation

care about health

introvert, like to cook at home

do not like crowded

In the process of promotion

Have experience with KFC

Name: Cute Forest, 50 Occupation: executive manager Commodity: Hanoi

Health status: history of cardiovascular disease, high blood pressure

Characteristics:

Funny, loyal, friendly, health-conscious love eating fried chicken, but have a problem with health

Busy Have experience with KFC

Name: Literature Mink, 35 Occupation: volunteering Commodity: Da Nang Health status: stable

Characteristics:

vegetarian, cheerful, kind, friendly

Have experience with KFC

Persona The fit of the segment with

the brand’s identity/positioning

attractiveness

Pink Nga Age and stable income,

affordability

Personality in line with the

brand's creativity

The fast pace of life in the city is increasing The young generation tends

to quickly style (figure 2)

Competitors have not yet adopted this type of distribution Frozen food is diverse but not delicious

*Rating: quite attractive Cute Forest Age and characteristics

suitable

The specific requirements of

the diet are too strict,

affecting the operation of the

whole system

These groups of people often eat healthy, frozen food is not

in the list of options, the market has medium potential

most have their own diet company about nutritious food

*Rating: not attractive

Literature

Mink

Vegetarian culture in

restaurants in Vietnam is not

popular yet

affect purchasing power,

increase costs

Vietnamese people tend to be vegetarian on holidays, the occasion is very rare, the market has little potential

There aren't many competitors Potential risks because vegetarian culture is not diverse

*Rating: Temporarily Attractive

2 Segment's characteristics:

Chosen segment: Introvert

a Demographic:

Product segment aimed people with decent income, around $250 a month or more This group of people is at should live in a medium to large city to facilitate shopping These are introverts who are busy, have less time for the market, and enjoying to cook at home Research shows the increase of introverts or home cooking trends after the pandemic, so this market is capable

b Understanding:

Introverts often have difficulty with crowds Therefore, they tend to stay and feel comfortable enjoying food at home The voices or eyes that accidentally looked at them interrupted the process of enjoying the food Creating

a job help find joy in cooking, helps introverts find a hobby in life Sometimes, expensive shipping fees and long wait times get in the way of many options, so they lose interest

c Shopping habits:

This segment usually buys frozen foods often, prefers convenient food, which can be cooked without pre-processing because it helps to solve time problems during busy days They prefer clean, labeled, safe food because they care about their health Above, health pays for expensive goods but is safe Of course, these people are interested in delicious or strange chicken dishes, they have an innovative mindset and are not restrained, are willing to pay to try a new service

III Brand Extension and Product Strategy:

1 Brand extension:

A Brand Extension strategy would be the best First, the support of the parent company increases the value of goods and trust for this segment, which has brand knowledge because of product experience Second, KFC was built as a family brand thanks to its advertisements, it is in tune with the soul of this segment KFC always brings family aftertaste in every meal, accompanying consumers The innovation in flavor meets the demand for the strangeness of this segment Finally, KFC's service value is delicious and clean dishes that also fit the health needs

of this segment

Brand elements :

Brand color : Red and Yellow

2 Product strategy:

a Core product:

Core benefit is convenience, saving time and effort The product has been processed and seasoned according to the recipe, customers who only cook depending on their preferences can enjoy KFC at a cheaper price than the store, no need to wait for shipping time or labor to go to the store

b Actual product:

The packaging should have a distinctive red color and the KFC logo for attraction Trademark product names clearly indicate the name of the dish, flavor, full ingredients, and instructions on the back All products must be tested and properly preserved when they are on the market

c Augmented product:

Need a consultant in the process to promote the product as well as increase sales They not only take care of customers, answer questions, but also build a consumer-friendly brand Promotions according to meal combos, cumulative programs should be applied during the launch process

IV Competitor and Positioning Analysis:

1 Competitor:

2 Positioning Analysis:

a Product value:

The product quality meets food safety and hygiene standards Guaranteed full taste like in the shop

Optimizing food preparation time

Comfort customers who don't want to eat out

Create exciting experiences with brand new products

Create a happy moment with your family during the holidays, on occasions when the branch is too crowded to serve all customers

b Unique Points:

Is a product exclusively distributed by KFC

Bring the full flavor, like bringing home KFC

c Reason to believe:

Ensure food safety from agencies

Delicious, convenient

KFC has a long-standing brand

® For introverts, KFC Recipe Frozen Chicken will be the fastest, most convenient, and cheapest supply solution With the mission of "Providing food quickly, comfortably, serving the health and cost-conscious people", according to KFC's vision statement, KFC ensures safe, clean products Proud to be the exclusive distributor of products, having ensured food safety, hygienic processing, KFC is confident helping modern consumers feel in comfortable when enjoying food without waiting for shipper or hang out

V Marketing Mix:

1 Products:

Frozen products should be diverse in style, ensuring the standard combination of smells like eating out Products with anti-counterfeiting stamps, quality control, packaging, visual labels, clearly stated uses, instructions for use

to avoid confusion for customers Diversification of choices from old to young is a great advantage for product consumption

2 Price:

Advantage from parent companies, pricing products by brand not only increases sales but also enhances brand awareness The pricing strategy by product group is suitable for selling by meal combos to attract customers to experience the product The market for infinity refrigerated goods is well developed (Figure…) The average payment level falls under control…so purchasing power is predicted spectacularly

3 Location:

Commercial centers, retail supermarkets, convenience stores are beneficial choices when these partners have available signals in the market and safe goods management processes Food e-commerce sites, KFC's Fanpage,

or genuine applications are also useful when increasing product coverage as well as customer feedback KFC should pay more to export priority goods to partners

4 Promotion:

KFC should put out key messages related to introverts, making them feel cared for example “bringing KFC to your kitchen” KFC is always interested in family meals, which is also extremely suitable for the family brand positioning

VI Conclusion :

In the report, we examine the elements that might influence the process of product marketing, campaigns, and consumer communication techniques in the report

This report concludes that KFC may develop a new product focused at the introverted client niche, such as cooking at home, something it has never done before

In addition, we examine the market rivals as well as the market position following the product introduction

VII References:

1/ (Lock, 2022) Number of Kentucky Fried Chicken restaurants worldwide from 2010 to 2021 available at

03/07/2022)

2/ (Russell Redman 1 2021) Study: Most U.S consumers to stick with eating at home post-pandemic available athttps://www.supermarketnews.com/consumer-trends/study-most-us-consumers-stick

3/ (2022) Frozen Food Market Size, Share & Trends Analysis Report By Product (Fruits, Vegetables, Ready Meals), By Region (North America, Europe, APAC, CSA, MEA), And Segment Forecasts, 2020 –

2027 available at https://www.grandviewresearch.com/industry-analysis/frozen-food-market (Accessed in 03/07/2022)

4/ (DIMITRI KUZNIETSOV 2016) KFC brand identity available at

5/ (Jun 15th, 2018) KFC Exploring Strategy available at

6/ (2022) KFC Marketing strategy – Marketing strategy of KFC available at

https://bsmarketingstrategy.com/kfc-marketing-strategy-marketing-strategy-of-kfc/#:~:text=Segmentation%2C%20Targeting%2C%20Positioning%20%E2%80%93%20KFC%20Marketing% 20Strategy%20KFC,it%20was%20not%20using%20a%20differentiated%20targeting%20strategy

(Accessed in 04/07/2022)

7/ (2022)KFC Mission and Vision Statement Analysis available at

8/ (2022) KFC Mission, Vision & Values available at https://www.comparably.com/companies/kfc/mission

(accessed in 02/07/2022)

9/ (2022)!VALUES available at https://global.kfc.com/our-values/ (accessed in 02/07/2022)

10/ (S Lock 2021) Eating out behavior in the U.S - statistics & facts available at

02/07/2022)

11/ (2021) Marketing Concept and Market Segmentation at KFC available at

12/ (MBA Skool Team, 2021) KFC Marketing Strategy & Marketing Mix (4Ps) available at

13/ (MBA Skool Team, 2021) McDonald's Marketing Strategy & Marketing Mix (4Ps) available at

14/ (MBA Skool Team, 2021) Burger King Marketing Strategy & Marketing Mix (4Ps) available at

https://www.mbaskool.com/marketing-mix/services/17476-burger-king.html#:~:text=Marketing%20Strategy%20of%20Burger%20King%20analyses%20the%20brand,mix%2C%

15/ (2022) Anual Report 2020-2021 available at