Marketing startegies of kfc Essay

Harland Sanders was born(p) in 1890 and raised on a farm bulgeside Henryville, Indiana. His father died when he was five years old, forcing his mformer(a) to work at a johnning plant, and leaving her eldest son to c be for his two younger siblings. afterwards he reached seven years of age, his mother taught him how to cook. After leaving the family station at the age of 12, Sanders passed finished several professions, with combine success. In 1930, he took oer a Shell filling station on U.S. channel 25 just outside North Corbin, a small city on the edge of the Appalachian Mountains.It was here that he prototypic served to travelers the recipes that he had learned as a boy hot up squawker and other dishes much(prenominal) as steaks, country ham, and pancakes. skipperly development his cause dine room table, in 1934, he purchased the larger filling station on the other side of the road and spreaded to six tables By 1936, this had be successful enough for Sanders to be given the honorary title of Kentucky colonel by G ein truthwherenor Ruby Laffoon. The following year he hit the ceilinged his eating place to 142 seats, and added a motel he purchased across the street, naming it Sanders Court & Caf.Sanders was displease with the 30-minute duration it took to prepargon his scandalmongering in an iron frying pan, provided he ref delectationd to sacrifice quality by mystic frying the overlap. If he pre-prepared the icteric in advance of an order, there was inevitably wastage. In 1939, the first commercial pressure cookers were released onto the grocery, predominantly designed for steaming vegetables. Sanders bought one, and modified it into a pressure fryer, which he then used to fry chicken. As hale as reducing production time to be comparable with deep frying, the revolutionary method produced flakier, moister chicken. In 1940, Sanders finalized what came to be k right offn as his Original Recipe of 11 herbs and spices.Although he nev er publicly revealed the recipe, he admitted to the use of salt and pepper, and claimed that the ingredients stand on everybodys shelf. After beingness recommissioned as a Kentucky colonel in 1950 by Governor Lawrence Wetherby, Sanders began to dress the part, development a goatee and wearing a black frock coat (later switched to a white suit), a string tie, and referring to himself as Colonel. His associates went along with the title change, jokingly at first and then in earnest, according to biographer banter Ozersky.HistoryKFC (Kentucky Fried Chicken) is a fast forage restaurant stove which specializes in fried chicken and is headquartered in Louisville, Kentucky. It is the worlds jiffy largest restaurant chain overall (as measured by sales) after McDonalds, with over 18,000 outlets in 120 countries and territories as of December 2012.The company is a adjunct of Yum Brands, a restaurant company which as hearty as owns the Pizza Hut and greaser Bell restaurant imprisonm ent. KFC was founded by Harland Sanders, a colorful figure who began interchange fried chicken from his roadside restaurant in Corbin, Kentucky, during the Great Depression. Sanders place the potential of the restaurant franchising concept, and the first Kentucky Fried Chicken franchise idle(a) in Utah in 1952. KFC popularized chicken in the fast food industry, diversifying the market by challenging the established dominance of the hamburger. By brand himself as Colonel Sanders, Harland became a legendary figure of American cultural history, and his build remains prominent in KFC advertising. However, the companys rapid working out saw it grow too large for Sanders to manage, and in 1964 he sell the company to a group of investors led by John Y. Brown, jr. and Jack C. Massey.KFC was one of the first fast food chains to expand internationally, opening outlets in England, Mexico and Jamaica by the mid-1960s. Throughout the 1970s and 1980s, KFC experienced mixed fortunes domest ically, as it went through a series of changes in corporate self-control with little or no experience in the restaurant business. In the early 1970s, KFC was sold to the spirits distributor Heublein, who were taken over by the R.J. Reynolds food and tobacco conglomerate, who sold the chain to PepsiCo. The chain continued to expand overseas however, and in 1987KFC became the first Western restaurant chain to open in China. The chain has since expanded rapidly in China, and the country is now the companys most profitable market. PepsiCo spun off its restaurants division as Tricon Global Restaurants, which later changed its name to Yum Brands. KFC primarily sells fried chicken pieces and variations such(prenominal) as chicken fillet burgers (chicken sandwiches US) and wraps, salads and side dishes such as cut fries and coleslaw, desserts and soft drinks, often supplied by PepsiCo.Its most famous product is pressure fried chicken pieces, seasoned with Sanders Original Recipe of 1 1 herbs and spices. The exact nature of these ingredients is unknown, and represents a notable trade secret. Larger portions of fried chicken are served in a unadornedive cardboard set, which has become a signature product of the chain since being introduced by franchisee Pete Harman in 1957. KFC is known for the slogan finger lickin good, which has since been replaced by nada does chicken like KFC and So good.merchandisingmerchandising is the care for of communicating the protect of a product or service to customers, for the finding of exchange the product or service. It is a critical business map for attracting customers. From a societal point of view, marketing is the link between a societys material requirements and its economic patterns of response. Marketing satisfies these needs and privations through exchange processes and building long term relationships. It is the process of communicating the value of a product or service through positioning to customers. Marketin g can be looked at as an organizational function and a set of processes for creating, delivering and communicating value to customers, and managing customer relationships in ways that also benefit the organization and its shareholders.Marketing is the science of choosing target markets through market analysis and market segmentation, as well as beneathstanding consumer get behavior and providing superior customer value. There are five competing concepts under which organizations can choose to operate their business the production concept, the product concept, the selling concept, the marketing concept, and the holistic marketing concept. The four components of holistic marketing are relationship marketing, internal marketing, integrated marketing, and socially responsive marketing. The set of engagements requirement for successful marketing management includes, capturing marketing insights, connecting with customers, building strong brands, determine the market offerings, delive ring and communicating value, creating long-term growth, and developing marketing strategies and plans.Marketing StrategiesMarketing strategy is defined by David Aaker as a process that can allow an organization to concentrate its resources on the optimal opportunities with the goals of increasing sales and achieving a sustainable competitive advantage. Marketing strategy includes all base and long-term activities in the field of marketing that deal with the analysis of the strategic initial situation of a company and the formulation, evaluation and selection of market-oriented strategies and then contribute to the goals of the company and its marketing objectives.Marketing Strategies of KFCKFC IS synonymous with chicken. It has to be because chicken is its flagship product. The latest they put one across on offer is the marinated hot and crispy chicken that is crrrrisp and crunchy on the outside, and soft and juicy on the inside. It gives you a steady Pepsi with this at nothing more than just Rs. 39. But make no mistake, while this is a rage across the world, and in our very own Bangalore, KFC has do sure one other thing it doesnt want to alienate the vegetarian community that gave birth to the vegetarian menu. It means you can be veg and yet be at KFC.KFC offers a wide range of vegetarian products such as the tangy, lip-smacking paneer tikka wrap n roll, the veg de-lite burger, and the veg crispy burger. There are munchies such as the crisp golden veg fingers and crunchy golden fries served with tangy sauces.If you are veg and looking for a meal, you can combine the veg fingers with steaming, peppery rice and a spice curry. The mayonnaise and sauces dont have egg in them.Sharanita Keswani, Director, KFC Marketing, says the vegetarian menu in India came about when KFC found the country had about 35 per cent vegetarians, and in metros such as Delhi and Mumbai, almost 50 per cent.The non-vegetarian is the transparent target customer because, as Ms. Shara nita points out, Bangalore and the rest of south India have over 70 per centnon-vegetarians. But she also observes that chicken is KFCs strength.KFCs vegetarian menu is almost exclusive to India and is the most extensive. Most countries either do not have a vegetarian menu, and some which do, have a burger at the most. Contrary to affecting chicken sales, the presence of a vegetarian menu has made the brand more relevant to a wider cross-section of the consumer society. This is essential as we grow the brand across the country, says Ms. Sharanita.The KFC menu strategy is to balance standardization and localisation. The localisation works in two ways to neuter a standard chicken product with a different top-hole or sauce and to have a vegetarian menu, where necessary, along with the flagship product, chicken. The localisation set is undertaken in every country. The U.S. and European markets have a traditional KFC menu based on chicken burgers and wraps, while Asian markets like I ndia have been more experimental and adventurous. Here, they have rice meals, wraps, and sides. The change is imperative as Asian tastes can be very different from Western ones, Ms. Sharanita observes, adding that KFC learnt very early the high demand for vegetarian products in India.KFC has taken care to deem safeguards on the production of its non-vegetarian products in response to observations by People For ethical Treatment of Animals that chicken were not being treated humanely by suppliers. The debate has been on for years now and physical rights activists have prompted companies to pursue stringent measures.Pankaj Batra, Director, Marketing, Indian Sub-Continent, Yum Restaurants International, observes KFC is committed to the well being and humane manipulation of chickens. We require all our suppliers to follow welfare guidelines developed by Yum Restaurants International, U.S.A., with prima(p) experts on their Animal Welfare Advisory Council. In India, we source chicke n from Venkateshwara Hatcheries Limited (Venkys), which is one of the leading and respected organised players in the domestic fowl farming business. They also supply chicken to several reputed hotel and restaurant chains in the country. We respect the Indian law and our guidelines completely adhereto them.Ms. Sharanita points out that while KFCs brand standard products are their strength end-to-end the world, KFC works around the core and gives consumers products with a familiar taste, especially crucial in a country like India that is home to such distinct and different food habits.All KFC outlets offer its customers with various forms of incentives to buy its Chicken. victimisation coupons that one can acquire after spending a situation amount over a period of fixed time, customers can bang the benefits of free meals or free add-ons. Additionally they provide meal vouchers and enkindle offers in their print ads, which the customer must cut and bring along.KFC in IndiaThe fir st Indian KFC opened in Bangalore in June 1995.198 Protests ensued from left wing, anti-globalisation and environmental campaigners, as well as local farmers, who objected to the chain bypassing local producers.199 many another(prenominal) Indians were concerned about the onslaught of consumerism, the loss of national self-sufficiency, and the disruption of natural traditions.200 The protests came to a head in August 1995, when the Bangalore outlet was repeatedly ransacked.198 KFC Bangalore demanded, and received, a police van permanently parked outside for a year.199 rustic activist M. D. Nanjundaswamy subsequently claimed KFC would adversely affect the health of the impoverished, by comical grain from poor people to make the more profitable animal feed.201Former environment minister Maneka Gandhi joined the anti-KFC movement.201 KFC was also accused of using illegally high amounts of monosodium glutamate (MSG) and frying its food in pork fat.202 A second store opened in Delhi, but was closed by the authorities soon afterwards, purportedly for health reasons, but more potential to avoid a repetition of the Bangalore incident. The two stores only managed to attract a limited, affluent clientele, and KFC decided to abandon the Indian market. KFC returned to India in 1999, with a brisk Bangalore outlet. This was the sole KFC in India until 2004, when the chain began to expand, albeit with a makeover and a range of new vegetarian dishes. As of December 2012, there were 280 KFCs in the Indian market. As well as the standard KFC offerings, the chain sells a chickpea burger and hot go with chilli lemon sprinkles.