kfc final presentation
TRANSCRIPT
GROUP MEMBERS
Aditi
Calvin
Kevin D’Silva 25
Ravesh
Rohit
FLOW OF PRESENTATION
INTRODUCTION PRODUCT PRICE PROMOTION PHYSICAL EVIDENCE PLACE PEOPLE PROCESS
INTRODUCTION
ABOUT KFC
9/9/1890, Harland Sanders is born just outside Henryville, Indiana. 1930, KFC was founded by Harland Sanders . 1952, it started giving its franchisees. 1960, 190 KFC franchisees and 400 franchise units in the U.S. and Canada. 1969, the Kentucky Fried Chicken Corporation is listed on the New York
Stock Exchange. 1982, Kentucky Fried Chicken becomes a subsidiary of R.J. Reynolds
Industries, Inc. (now RJR Nabisco, Inc.). 1986, PepsiCo, Inc. acquires KFC from RJR Nabisco, Inc. 1995, KFC entered into the Indian market and it opened its first retail out
lets in Bangalore.
CULTURAL FACTORS CONTRIBUTING TO KFC’s “SUCCESS” IN INDIA
Reducing the psychic distance by handling over of operations to local people so that customers could relate to them more easily.
Able to adapt to cultural differences, tastes and preferences. For example keeping in mind the Indian tastes buds KFC launched a fierier “ZINGER BURGER”.
Got an edge since chicken is a staple dish and is taken more frequently in Asian countries.
The target customer of KFC [upper, middle and above] are health conscious and hence to cater to their interest Kentucky fried Chicken changed its name to KFC.
Price sensitivity of the two economies drove KFC to introduce menus that were easy on the consumer’s pocket.
HUMAN RESOURCE HIERARCHY IN KFC
Restaurant GM
Area manager
Assistant manager
Trainee Managers
Customer Service Team Members
Food Service Team Members
SWOT ANALYSIS
Strengths Brand equity KFC secret recipe of 11 herbs and
spices Very strong internationally Strong franchisees all over the
world Interactive relationship marketing Ranks highest among all chicken
restaurants Menu variety
Weaknesses Lack of relationship building with
the employees
Lack of focus on R & D
They focus only high income group customers
Opportunities They have opportunity to open their sweet products and also to increase the varieties in the veg food items
They can open more outlets to get maximum market share
They can open their temporary outlets at hill station during peak times
They can capture more customer by decreasing the price for their products
Threats Increasing inflation rates directly affects menu prices
Supermarkets and new competitors
Health trend away from fried foods
Changing customer demand Some international events badly
affected the market of KFC inPakistan like IRAQ and AFGHAN war.
Current political situation is a big threat for KFC
Diseases like bird flu is the big threat for KFC
OBJECTIVES OF KFC
Build an organization dedicated to excellence.
Consistently deliver superior quality and value in our products.
Maintain a commitment to innovation for continuous improvement and grow, striving always to be the leader in the market place changes.
Generate consistently superior financial returns and benefits our owner and employees
ISSUES OF KFC
EVERY CHICKEN TESTED
K & N’s state-of-the-art Quality Assurance Lab monitors the entire integration process from livestock to feed and on to preparation of ready-to-cook and cooked products.
EVERY CHICKEN CERTIFIED
K & N’s ensures food safety by implementing the international HACCP (Food Safety System) and enjoy the unique privilege of being the first and only HACCP certified company is Pakistan producing chicken andchicken products.
RECIPE OF KFC
6 cups Crisco Shortening 1 eggs well beaten 2 cups Milk 2 cups Flour 2 teaspoons ground pepper 3 tablespoons salt 1 teaspoon MSG 1/8 teaspoon Garlic Powder 1 dash paprika 2 Frying Chickens cut into 6 pieces
Place shortening into the pressure cooker and heat over medium heat to the shortening reaches 400F. In a small bowl, combine the egg and milk. In a separate bowl, combine the remaining six dry ingredients. Dip each piece of chicken into the milk until fully moistened. Roll the moistened chicken in the flour mixture until well coated. In groups of four or five, drop the covered chicken pieces into the shortening and lock the lid. When pressure builds up cook for 10 minutes.
SEGMENTATION
Demographical In demographics their first segment is consisted of the income factor i.e. high income, average income and low income.
Behavior Taste conscious Quality conscious Class conscious Combination of price and quality
Geographical Urban areas Sub urban areas
TARGET MARKET
They targeted upper middle class people in urban and semi urban areas. People are educated and they want variety in their diet. Normally people of rural areas don’t take fast food. Income of the people of urban areas is normally high and they can afford
to purchase such products, which are slightly higher in price as compared to prevailing prices of local food in the market.
People of Urban Areas are more quality conscious than the people of Rural Areas.
Population density is higher in Urban Areas as compared to Rural Areas, so the numbers of customers are more in Urban Areas.
CSR ACTIVITIES BY KFC
Lots of CRS activities done in Pakistan- Educating the young people and children Distributing toys, books and clothes to the children Jail visit along with chicky(KFC’s children mascot) Faryad – an environmental campaign
KFC’s world wide CSR activities- Colonel’s scholarship for students Animal’s welfare programs Social diversification
KFC’s CSR activities in India- KFC take the initiative of keeping hearing impaired staff at its restaurants.
PRODUCT
PRODUCTS
KFC offers its signature products in India too! KFC has introduced many offerings for its growing customer base in India while staying rooted in the taste legacy of Colonel Harland Sander’s secret recipe. Its signature dishes include the “crispy outside, juicy inside” Hot and Crispy Chicken, flavorful and juicy Original Recipe chicken, the spicy, juicy & crunchy Zinger Burger, Toasted Twister, Chicken Bucket and a host of beverages and desserts. For the vegetarians in India, KFC also has great tasting vegetarian offerings that include the Veggie Burger, Veggie Snacker and Veg Rice meals
SERVICES
KFC offered free home delivery service at specific branches in specifics cities. They take at 30 min for delivery and the minimum delivery order should Rs.200. They also provided services to celebrate the birthdays of kids at there home or in KFC restaurants. Now recently KFC also provide services of mobile unit of KFC
PRICE
PRICE
Pricing Strategy
‡Market skimming:– KFC globally enters the market using market skimming. Their 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 the market.
Cost Based
‡ 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.
Bundling
PROMOTIONS
KFC ADVERTISING
Agency: O & M (2007)
Brand Ambassadors: None
Budget: 8 – 10 Cr.
Logo: Smiling Colonel
Tagline: Finger lickin good…
TELEVISION
New product ads
Reminder ads
Ads includes ads like: The Recipes Chicken bucket Scream Hot wings Date Krusher Murlidharan ad Veg zinger burger (latest)
Newspapers (Mid – Day, Times of India, Mumbai Mirror).
Magazines
ONLINE
Website
OUTDOOR
Hoarding at prime locations.
POINT OF PURCHASE
SALES PROMOTION
MTV roadies
CSR Activities
Coupons
Discounts
PHYSICAL EVIDENCE
PHYSICAL EVIDENCE
PLACE
PLACE
In India, KFC is growing rapidly and today has presence in 14 cities with close to 78 restaurants.
KFC has outlets mainly in areas targeting the upper middle class segment.
It has outlets mainly in malls.
PEOPLE
PEOPLE
Yum! University - global support for the education and institutionalization of key Yum! leadership programs
Management Team Training - six to eight weeks training for key restaurant personnel
Multibrand training depends on your level of previous quick-service restaurant (QSR) experience
Graduate Recruitment Program - give Graduates broad experience across the business in real jobs, through various departments
Employment opportunities to neighborhood residents
All employees from managerial level onwards receive training in various departments including operations, billing etc
Employees empowered limited to Rs. 500
PROCESS
PROCESS
Vendors – centralized
3 Franchises operational in India
DELIVERY PROCESS
THANK YOU