Kentucky Fried Chicken

Four P’s Of Marketing Mix

Presentation by:
1. Md. Tanveer
2. Aman Ullah Aman
3. Tanbin Sultana
4. Shah Saymom Mohammed
About KFC
• KFC Corporation, or KFC, founded and also known
as Kentucky Fried Chicken, is a Chain of fast food
restaurant based in Louisville, Kentucky.
• KFC is a brand and operating segment, called a
“concept” of Yum! Brands since 1997 when that
company spun off from PepsiCO.
• KFC primarily sells chicken in from of pieces, warps,
salads and sandwiches.

 
About KFC

• While its primary focused is fried chicken, KFC also

offer a line of roasted chicken, side dish and
desserts.
• Food, fun & Festivity, this is what KFC is all leading
the market since its inception, KFC provides the
ultimate chicken meals for a chicken loving nation.
KFC Today

• Today, KFC is the world’s largest and most well

known chicken restaurant chain, with more than
10,000 locations worldwide, in 78 countries. KFC
and its franchisees employ more than 200,000
people worldwide.
• KFC serves more than 4.5 billion pieces of chicken
annually, to approximately 12 million customers
enjoy their “finger lickin’ good” chicken a day,
worldwide.
KFC In Bangladesh

• Transcom Foods Limited, a concern of Transcom

Group is the franchisee of KFC in Bangladesh.
• The first ever KFC restaurant has been opened in
September at Gulshan, Dhaka with a seating
capacity of 178 persons.
• KFC restaurant has been opened in 2009 at
Lalkhan Bazar circle, Chittagong with a seating
capacity of 120 persons.
• In the coming days, KFC plans roll out more
restaurants in Bangladesh.
Mission Statement

“To establish in Bangladesh our position as the leading

WQSR (Western Quick Service Restaurant) chain,
serving good value, innovative chicken-based
products. Consistently providing a pleasant dining
experience, with fast friendly service, in a clean and
convenient location. At all times, we must be
dedicated to providing excellent service and
delighting customers.”
Objective’s

• Build an organization dedicated to excellence.

• Consistently deliver superior quality, and value in
our products and services.
• Maintain a commitment to innovation for
continuous improvement and growth, striving
always to be the leader the market place changes.
• Generate consistently superior financial returns and
benefit our owners and employees.
Values

• Focus all our resources to our restaurant operations

because that is where we serve our customers.
• Reward and respect the contributions of each
individual at KFC.
• Expand and update training with time and be the
best we can be and more.
• Be open, honest and direct in our dealings with one
another.
Values

• Commit ourselves to the highest standards of

personal and professional integrity at all times.
• Encourage new and innovative ideas because these
are the key to our competitive growth.
• Reward results and not simple efforts.
• Dedicate ourselves to continuous growth in sales,
profit and size of organization.
• Work as a team.
The CHAMPS Program

Champs stands for the six universal areas of

customer expectation common to all cultures and
all restaurant concepts. They are:
1. Cleanliness
2. Hospitality
3. Accuracy
4. Maintenance of Facilities
5. Product Quality
6. Speed of Service
Four P’s Of Marketing Mix

The marketing mix is generally accepted as the use

and specification of the 4P’s describing the strategic
position of a product in the marketplace.
1. Product
2. Price
3. Place
4. Promotion
Four P’s Of Marketing Mix

• Product variation
• Product differentiation • Cost recovery pricing
• Product innovation • Penetration pricing
• Product elimination • Price skimming

Price
Product

Place
Promotion
• Individual
• Distribution channel
communication
• Direct sale • Mass
• Indirect sale communication
• E-commerce • Brand management
• Corporate identity
Product

Anything that can be offered to a market to satisfy a

want or need.
• KFC’s specialty is fried chicken served in various
forms
• KFC’s primary product is pressure-fried pieces of
chicken made with the Original Recipe®.
• KFC also offering Extra Crispy™, Colonel's Crispy
Strips®, Zinger burger and Veggie burger.
Geographic Segmentation

KFC has outlets internationally and sells its products

according to geographic needs of the customer.
In Bangladesh KFC focuses how geographically its
customers demand different products. In Dhaka
Chicken is the main selling product, while in the
Chittagong Zinger burger item sell more than the
Chicken.
Demographic Segmentation

In demographic segmentation, the market is divided

into groups based on an age, gender, family size,
income, occupation, religion, race and nationality.
KFC divided the market on demographic basis in this
way:
• Age is between 6 to 65.
• Family size is 1 to 2, 3 to 4, 5+
• Income is BDT. 15,000 n above.
• Family lifestyle is almost all.
Psychographic Segmentation

Dividing a market into different groups based on

social class, lifestyle or personality characteristics is
called psychographic segmentation.
KFC divides market on basis of psychographic
variables like:
• Social class-Upper and Middle class
• Lifestyle is not specific.
• Personality is ambitious and authoritarian
Target Market

“The process of evaluating each market segment’s

attractiveness and selecting two or more segments”
As the outlets of KFC are in posh area and prices are
too high( overhead expenses-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.
Market Positioning

• KFC uses its attributes to Position its Product.

• For a product to occupy a clear, distinctive and
desirable place relative to:
“Competing products in the mind of target consumer.”
• In KFC feedback is taken from the customer in order
to know the customer demands and then
improvements are made in products KFC focuses on
pure and fresh food in order to create a distinct and
clear position in the minds of customers KFC has a
strong brand name and they are leading the market
in fried chicken.
KFC Menu
The secret of KFC's world-wide success is due mainly
to three key benefits - quality, taste and
convenience.
KFC now offers a diverse and interesting menu
which includes:
KFC Specials:
• Original Recipe/Hot & Crispy
• Zinger Burger
• Spicy Thai Chicken Rice
• Tower Zinger
KFC Menu

Tasty Fillers :
• Strips Chicken
• Colonel Fillet Burger
• Veggie Burger
• Add-Ons
• Beverages
• Desserts
• Hot Wings
Tempting Meals:
• Combo 1 to 8
Price

Price is the any amount of money that customers

have to pay while purchasing the product. More
broadly, price is the sum of all the values that
consumers exchange for benefits of having or using
the product or services.
Demographic Factors

• Age: generally there is no age limit focus by KFC.

The target and focus is on each and every individual
in a society. KFC finds its largest demographic in the
young any society.
• Gender: Both male and females are focused by KFC,
gender dose not play any role here.
• Household Size: This plays a vital role in the
demographic factor of the KFC, generally they target
whole families rather than singles. This being the
reason for their Family Meals which are basically
bundle items served at a nominally cheaper rate.
Economic Factors

• Income: income is an important key factor for KFC.

This factor decides which class is to be targeted. In
the early rise of KFC they focused on the upper class
but slowly are introducing economy meals that
attract the lower to middle classes.
• Consumption Behaviour: it estimates the behaviour
of people their liking and disliking towards the
pricing of the products.
Geographic location preference:
• Urban
• Semi urban
Behaviour segmentation:
• Taste conscious
• Quality conscious
• Class
• Combination of product and quality
Price Strategy

Market skimming: KFC globally enters the market

using market skimming. KFC products are priced
high and target the middle to upper class people.
Gradually they trickle down the prices focusing on
the middle to lower class people to penetrate both
sides of market.
Competition
• We can compare the price of their products with
McDonald, Dominoes And Pizza Hut if the
competitor provides the same product at a lower
price then the organization usually lower the price
of its product too.
• In the case of KFC, fried Chicken is its main selling
point and controls a monopoly over the
Bangladeshi fast food market. It prices its burgers,
French fries and soft beverages with relation to its
competitors.
Cost Base

• KFC price their product keeping different points in

view. they adopt the cost base price strategy.
• Pricing of the product includes the govt. Tax and
excise duty and then comes the final stage of
determine the price of their product.
• The product are bit high priced according the
market segment and it is also comparable to the
standard of their product. In the cost base method
we include the variable and fixed cost.
Place

Target Areas
• “Free home Delivery” strategy is provided by KFC in
select countries.
• Accessibility resulting in several outlets to cater to
the needs of people in & around he city.
• Hectic lifestyle of office going individuals the fast
food concept saves time of preparing food and give
a consumer a full meal quickly.
• Economically convenient to the pricing appeals to
the many classes of a society.
Location
• Hectic lifestyle of individuals-giving them more time
at work and less stress about waiting for food.
• Commercialization of urban an sub-urban markets
leading to more mid-sector people that find high-
end eating joint very to expensive.
• Mid-sector people are always looking for change
which KFC provides in their range of fast food,
• Quality conscious people in urban areas are more
conscious about the quality of food than rural areas.
• Urban areas are more populated therefore they
help with attracting higher revenues.
Placement of Outlets

• Due to KFC placing itself close to school, colleges,

cinemas and markets which are mostly populated
by the young and those who are in hurry, KFC enjoy
a large number of footfalls everyday.
Strategy

Given the competitive nature of fast food joint, KFC

uses the “push Strategy” to them crate:
• Awareness
• Be different
• Sound attractive
Channels

KFC believes in First Level Channels in the order

given below:
• Manufacturers
• Retailers
• Consumers
Channel Process

KFC works on the flow of operation techniques i.e.

Good Operating Manager > leads to Good Tam
Selection > Good Service > Good Targets > Good
Revenues through the following internal strategies:
• Training
• Incentive based targets
• Recognition for good work
• Performance based bonus
• Employee benefits to keep them motivated
• Promotion
Promotion
Promotion is the method used to inform and
educate the chosen target audience about the
organization and its products. Using all the
resources of promotion:
• Advertising
• Sales Promotion
• Public Relations
• Events and Experiences
• Coupons, Discounts and Bundled packages
Advertising
The logo of the smiling Colonel is probably one of
the most recognized faces in the world and instantly
brings the image of fried chicken to one’s mind.
KFC and its new company jingle, “finger lickin good”
is a frequent announcement on:
• Television and Radio,
• Print & Electronic Media
• In House publicity and by phone
• Media Broadcasts i.e. Billboards, Flyers, News
papers
• Internet i.e. Website, Social site
Sale Promotion

• KFC uses the following tools to further enhance its

sales
• Premiums
• Exhibits
• Coupons
• Entertainment
• All KFC outlets offer its customers with various
forms of incentives to buy its Chicken. Using
coupons that one can acquire after spending a
particular amount over a period of fixed time,
customers can enjoy the benefits of free meals or
free add-ons. Additionally they provide meal
vouchers and exciting offers in their print ads.
At KFC, Promotion is the main tool to bring all
chicken lovers attention towards its delicious
one-of-a-kind product, the Fried Chicken.
Print Promotion
Competitor
The analysis of the competitors activity is and
important to do as to know the need and wants
of the customers.
Worldwide KFC’s major competitors McDonalds, but
the statement of marketing manager of KFC is that
at this time we have few major strong competitors:
• Pizza hut
• Sugar bun
• Boast Cafe
• MFC
Market Share

Percentage of Market share

8%

14% KFC
33%
Sugar Bun
Pizza Hut
Broast Cafe
MFC
18%

27%
Positioning Map
SWOT ANALYSIS

Strengths Weakness Opportunities Threats

• Quality of products. • KFC menu as it serves • KFC plays an • Prosperity of KFC with
• Leader in almost every only chicken related important role in in a given region
market. products but its increasing depends upon its
• Finger licking taste as competitors like pizza employment rate of a economic condition of
the other international hut and Sugar bun, country as it hires the country so if some
fast food restaurants Broast cafe offer fish persons from local thing bad happens to
in Pakistan doesn’t and cow meat based place to fill its staff. So it, it can be
have that kind of food also. this gains public troublesome for KFC.
specialty in Fried • Due to huge expansion attention and • KFC recipe is still a
Chickens. by growth strategy generates good will of secret, and if some
there is much pressure the organization. one gets this secret
on management • Financially KFC is going then this can play
department in terms very stable and sound havoc with this
of HRM etc. organization so still it organization.
has much opportunity
of opening new
outlets in different
areas of Pakistan and
the rest of the world
by reinvesting its
profits.
Conclusion

On the whole KFC is the name of trust for the

customers because there is no compromise on the
quality of the food. KFC fully concentrate on the
quality of food that’s why it is the hall mark of
excellence among the customers. The supplier of
KFC is Transcom Foods Ltd. They have good and
fully furnished places for Chicks to grow and finally
to provide there valued customers.
Conclusion

By following such practices, KFC is providing a just

and equitable environment for work and through its
diversity programs, giving back to the community at
various levels. Doing business internationally means
taking stock of the local population and molding
your menus and work practices to suit local tastes,
laws and regulations.
The best maxim here is: Think Globally, Act Locally.
KFC Commercials
Questions?
Please!
Thank You