72678234 consumer-behaviour-study-of-kfc
TRANSCRIPT
Project ReportOn
CONSUMER BEHAVIOUR OF KFC
Submitted in Partial Fulfillment of the requirement of Bachelor of Business Administration (BBA-GEN)
Guru Gobind Singh Indraprastha University
Under the Guidance of: Submitted By:
Dr.Ashita Sharma: Varun GuptaEnrolment No.: 0110601710
Evaluation Certificate
This is to certify that the project titled “Consumer Behavior of KFC” submitted by
Varun Gupta of BBA (GEN), Semester III of Ansal Institute of Technology, Gurgaon
affiliated to Guru Gobind Singh Indraprastha University, Delhi has been examined by the
following examinee.
INTERNAL EXAMINER EXTERNAL EXAMINER
2
DeclarationI Varun Gupta of Bachelor in Business Administration (BBA) hereby declare that the
project work titled Consumer Behavior of KFC, which has been submitted to Guru
Gobind Singh Indraprastha University, is an original work of the undersigned and has not
been reproduced from any other source.
Date:
Place: Ansal Institute of Technology, Gurgaon (Varun Gupta)
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ACKNOWLEDGEMENT
A lot of hard work and effort has gone into this project. However, it would not have been
possible without the kind support and help of many individuals. I would like to extend
my sincere thanks to all of them.
I am highly indebted to Dr Ashita Sharma for her guidance and constant supervision as
well as for providing necessary information regarding the project and also for her support
in completing the project.
I would like to express my gratitude towards my parents and member of Ansal Institute
of Technology for their kind co-operation and encouragement which help me in
completion of this project.
My thanks and appreciations also go to my colleagues in developing the project and
people who have willingly helped me out with their abilities.
(VARUN GUPTA)
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CONTENT
S.No. Topic Page No.
1. PREFACE 5
2. INTRODUCTION 8
3. INDIAN FAST FOOD INDUSTRY- OVERVIEW 12
4. RESEARCH OBJECTIVES 18
5. LITERATURE REVIEW 19
6. METHODOLOGY OF STUDY 21
7. STUDY RESULTS AND ITS INTERPRETATIONS 22
8. CONCLUSION 39
9. RECOMMENDATIONS 40
10. QUESTIONNAIRE 85
11. BIBLIOGRAPHY 89
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PREFACE
The Fast Food phenomenon has finally come of age in India. According to the findings of
the latest online survey from ACNielsen, over 70% of urban Indians consumes food from
take-away restaurants once a month or more frequently. Of these 37% of adult Indian
population do so at least once a week. This makes India one of the top 10 countries
amongst the 28 surveyed, in terms of frequency of fast food consumption. The incidence
of Fast Food consumption in urban India is accelerating much faster than most people
anticipated. Changing lifestyles, an altered view towards out-of-home meals, a
willingness to spend and, most importantly, the urban Indian acquiring a more ‘global
palette’ have catalyzed its consumption.
As fast food consumption moves from being an impulse led occurrence to a part of
everyday life, eating habits are changing rapidly. While eating fast food may have been
uncharacteristic earlier, almost a third of urban Indians now claim to opt for fast food
even for breakfast. As the rapid pace of an urban lifestyle exerts its demands, fast food
will probably find itself the default choice. This will see an increasing proportion of in-
home food and beverage consumption migrating outdoors.
The fast food business has become ever more competitive, with various multinational fast
food chain operators expanding into new geographies daily, along with the emergence of
new players, new types of cuisines and new menu choices.
Riding on the consistently impressive performance of the past one decade, global food
retailing major Yum! Restaurants International is now aiming really big in India. After
clocking 40% growth during the past five years, driven by the massive success of its
flagship brand Pizza Hut here, Yum wants to log in a massive eight-fold growth in the
next decade.
Yum’s decade long affair with India went through some teething problems, most notably
the ill-fated launch of KFC in 1995 in Bangalore. The launch got mired in a controversy,
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but the company has managed to put that behind and has been recording an impressive
double digit growth since then, and today, over 1.7 lakh people walk into KFC outlets
across the country every week. A major part of the India strategy is the allocation of clear
roles to Pizza Hut and KFC to deliver on the vision. KFC will be the mass brand with
focus on tasty food. And to make this possible a better understanding of KFC consumers
was required.
Brands have personalities that can scream quality, great taste, real value or other
attributes. Through marketing and sales techniques, it is possible to improve and change
consumers’ perceptions of a brand. Knowing how consumers view your brand is critical
to developing the brand through a more effective marketing and promotion strategies.
The study was undertaken to generate information on the lines of
Who is buying my brand / category
Who are the heavy category buyers
Why do consumers choose my brand
Do consumers understand what my brand stands for
How do they spend money on eating- out?
What motivates consumer to purchase
What is my brand personality perceived as and how does it compare to the
competition
What other categories interact with mine, and which are important
What cross category opportunities are there
How loyal are category buyers
The study was conducted in two phases. The first phase was carried to profile customers
of KFC and Mc Donald’s. The study was conducted at KFC and McDonald’s outlets in
Noida and Rajouri and covered 100 Respondents for each. Questionnaire included
demographic profile and behavior-based profile mainly in for of open-ended questions.
After preparing the questionnaire and selecting the respondents for the survey, it was
thought best to get the questionnaire filled by personally interviewing the people eating-
out upon their exit from these joints.
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The survey was an eye opener of sorts in many respects as the agency got many valuable
insights from the extensive research carried out.
We came to know that the present key customers are young adults either executives or
students who come with friends in groups of 2 to 5. The store mainly attracts customers
from limited neighboring areas. The frequency of eating out is very high among KFC
consumers most of who are non-vegetarians. The most important reasons being “to catch-
up with friends” and “being in the area”. Data also indicates that there is a high
inclination of KFC consumers to also visit Mc Donald’s while very less inclination of Mc
Donald’s consumers to visit KFC
The second phase was carried out was an In-store exercise with a sample size of 270
respondents and focused on 6 main products of KFC and understanding of their
consumers. The products were Chana Crunch Snacker, Chicken Crunch Snacker, Hot &
Crispy Chicken, Original Recipe, Zinger Burger and Chicken in a Bucket. The Key
findings were the Key target segment for each product, the product as it stands for in
minds of people, the day part and occasion when it is consumed; and also the need states
it satisfies. These further helped devise a positioning strategy for each of these products
so as to give them a personality of their own which will stand out in customers minds the
moment they think of food.
The complete analysis and other results are included in this report. It was an enriching
experience and I was able to learn a lot from the project. It improved my understanding
of various concepts and the most valuable input was the ability to integrate classroom
learning with on-field learning. The fast food industry is all set to grow at a scorching
pace and it is an honor to be involved with an International Player in that segment and do
this project on their ad-agency’s behalf.
INTRODUCTION
Fast Food: A fast-food restaurant is characterized both by food which is supplied quickly
after ordering, and by minimal service. Often this food is referred to as fast food. In
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response to increasing backlash against "fast food", the industry has been trying to move
the public away from that term over the past five years, shifting to the term quick service
restaurant (QSR for short). Consumers still refer to the restaurants as fast-food restaurants
despite the industry's efforts to change them
The food in these restaurants is often cooked in bulk in advance and kept cold, or
reheated to order. Many fast-food restaurants are part of restaurant chains or franchise
operations, which ship standardized foodstuffs to each restaurant from central locations.
There are also simpler fast-food outlets, such as stands or kiosks, which may or may not
provide shelter or chairs for customers
History: Although fast-food restaurants are often seen as a mark of modern technological
culture, the idea of ready-cooked food to go is as old as cities themselves, with unique
variations from culture to culture. Ancient Roman cities had bread-and-olive stands, East
Asian cultures feature noodle shops. Flat bread and falafel are ubiquitous in the Middle
East.
The modern history of fast food in America is connected with the history of the
hamburger, as the earliest fast-food outlets sold hamburgers as their primary product. The
American company White Castle is generally credited with opening the first fast-food
outlet in 1921, selling hamburgers for five cents apiece.
Food Preparation: The convenience of traditional street food around the world, lies in
serving one or two basic ingredients that can be cooked in batches and served quickly on
the spot. Modern commercial fast food, by contrast, is often highly processed and
prepared in an industrial fashion, i.e., on a large scale with standard ingredients and
standardized cooking and production methods. It is usually rapidly served in cartons or
bags or in a plastic wrapping, in a fashion which minimizes cost. In most fast food
operations, menu items are generally made from processed ingredients prepared at a
central supply facility and then shipped to individual outlets where they are reheated,
cooked (usually by microwave or deep-frying) or assembled in a short amount of time.
This process ensures quality and consistency of product, but is also the key to being able
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to deliver the order quickly to the customer and eliminate labor and equipment costs in
the individual stores.
International Chains: Fast-food restaurants are popular in the United States, the source
of most of its innovation. Multinational corporations typically modify their menus to
cater to local tastes and most oversees outlets are owned by native franchisees.
McDonald's in India, for example, uses lamb rather than beef in its burgers because
Hinduism traditionally forbids eating beef. In Egypt and Saudi Arabia, all menu items are
halal. However, these concessions to local practice have not quashed criticism.
Additionally, multinational fast-food chains are not the only or even the primary source
of fast food in most of the world. Many regional and local chains have developed around
the world to compete with international chains and provide menu items that appeal to the
unique regional tastes and habits. Most fast food in the developing world, however, is
provided by small individual mom and pop eateries. In the developing world,
multinational chains are considerably more expensive; they usually are frequented
because they are considered chic and somewhat glamorous and because they usually are
much cleaner than local eateries
Nutritional Value: Because the fast food concept relies on speed, uniformity and low
cost, fast food products are often made with ingredients formulated to achieve a certain
flavor or consistency and to preserve freshness. This requires a high degree of food
engineering, the use of additives and processing techniques that substantially alter the
food from its original form and reduce its nutritional value.
Changes: Fast-food chains have come under fire from consumer groups (such as the
Center for Science in the Public Interest, a longtime fast-food critic) over the past decade.
Some of the concerns have led to the rise of the so-called Slow Food movement. This
movement seeks to preserve local cuisines and ingredients, and directly opposes laws and
habits that favor fast-food choices. Among other things, it strives to educate consumers'
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palates to prefer what it considers richer, more varied and more nourishing tastes of fresh
local ingredients harvested in season
Some of the large fast-food chains are beginning to incorporate healthier alternatives in
their menu, e.g., salads and fresh fruit. However, some people see these moves as a
tokenistic and commercial measure, rather than an appropriate reaction to ethical
concerns about the world ecology and people's health. McDonald's has announced that in
March of 2006, the chain will include nutritional information on the packaging of all of
its products
Consumer appeal: Fast-food outlets have become popular with consumers for several
reasons. One is that through economies of scale in purchasing and producing food, these
companies can deliver food to consumers at a very low cost. In addition, its predictability
can be reassuring to a hungry person in a hurry or far from home.
World over, American and American-style fast food outlets have been popular for their
quality, customer service and novelty. Many consumers nonetheless see them as symbols
of the wealth, progress and well-ordered openness of Western society and therefore
become trendy attractions in many cities around the world, particularly among younger
people with more varied tastes
Criticisms: Because of its convenience, fast food is popular and commercially successful
in most modern societies, but it is often criticized for having the following shortcomings:
Many popular fast-food menu items are unhealthy, and excessive consumption
can lead to obesity
Exploitative advertising and marketing are used, especially directed at
children (which can have an adverse effect on their eating habits and health)
It causes environmental damage through excessive packaging and clearing
forests for animal rearing
It reduces the diversity of local cuisines
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It survives on a low-wage, low-benefit employment model, promoting
exploitative labor practices throughout the food and food service industry
Its franchising scheme (royalties)
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INDIAN FAST FOOD INDUSTRY- OVERVIEW
In the mid 1990s, a spate of global fast food chains entered India hoping to capture a part
of Indian fast food segment. But they found it difficult to establish themselves. Gaining
acceptance locally and blending into the Indian culture proved difficult.
McDonald’s began to look at the Indian market sometime in 1990, when its executives
started making exploratory trips. By 1994, some international suppliers of McDonald’s
had visited India to identify local partners. Meetings with agriculturists were conducted
with a view to set up a supply chain. Finally, all this fructified when a 50:50 joint venture
was entered between McDonald’s and Hardcastle Restaurants Pvt. Ltd. owned by Amit
Jatia and his family. Similarly, Vikram Bakshi (whose family was in real estate) entered
into a JV with McDonald’s for Delhi. Both partners signed the JVs in April 1995.
In 1996, Domino’s set up base in India by entering into a long-term franchisee agreement
with the Bhartia brothers who had businesses in chemicals and fertilizers. The previous
year, KFC has chosen to set up its own outlet in Delhi, when it entered the Indian market.
Pizza Hut entered in 1996, and opened its first restaurant in Bangalore.
While McDonald's was establishing itself Domino's faced tough competition when it
entered India, with homegrown players like Niruala's and Pizza Corner and MNCs like
Pizza Hut and Wimpy's already having established themselves in the market. The home
delivery concept that the company introduced had not yet caught on. Besides, Domino's
was in a dilemma about how it should position pizza - as a meal or a snack? How far
should they go in indianising the pizza so that it had mass appeal, and yet did not lose its
identity?
In 1997, McDonald's was facing several problems. Most Indians thought McDonald's was
expensive, and many didn't like the fact that it served only non-vegetarian meals. The
'bland' taste of its preparations didn't go down well with the Indian palate. In 1998, the
company faced intense competition from domestic food chains. Globally, McDonald's
success had been built on its commitment to the QSCV (quality, service, cleanliness and
value) principle. However, Indian customers viewed the product sold by McDonalds not
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as burgers per se but as fast service in a clean setting. This notion of value was something
that could not remain unique. Other fast food chains began to adopt the same 'fast and
clean service' formula, and soon it wasn't a distinguishing feature of McDonald's
anymore.
The entry of Kentucky Fried Chicken (KFC) was greeted with protests of farmers,
consumers, doctors and environmentalists. The fast food chain, which initially planned to
set up 30 restaurants by 1998, was not able to do so, as its revenues did not pick up. In
early 1998, KFC began to investigate whole issue more closely. Their findings revealed
that KFC was perceived as a restaurant serving only chicken.
Indian families wanted more variety, and the impression that KFC had only one item on
its menu, didn’t enhance its appeal. Moreover, KFC was also thought to be expensive.
KFC’s failure was also partly attributed to certain drawbacks in the message it sent out to
consumers about its positioning. It wanted to position itself as a family restaurant and not
as a teenage hangout. But according to analysts, the ‘family restaurant’ positioning didn’t
come clearly in its communication. Consumers saw it as a fast food joint specializing in a
chicken recipe.
INDIANIZING ALL THE McDonald’s WAY
It gain acceptance locally, McDonald’s had to modify its menu – substituting mutton for
beef in the burgers, (something it had never done in any other market), choosing names
like McAloo and Maharaja Mac, and introducing variations and dishes that were not
available at any McDonald's outlet anywhere in the world.
From the meticulous sourcing of raw materials and the elimination of beef and pork from
its ‘desi’ menus to even segregating the vegetarian and non-vegetarian workers,
McDonald’s seemed to be extremely orthodox in its approach. India was the first country
to use the complete vegetable burger, creating the eggless mayonnaise vegetable burger,
so was the case with ‘mutton’ burgers.
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KFC HISTORY
“Chicken is our business, but innovation and customer satisfaction are our passions”
Since the 1950's, KFC has grown at a remarkable pace from one small roadside
restaurant, to an internationally renowned restaurant chain - the largest chain of chicken
restaurants in the world.
It was at the age of 40 working as a service station operator in Kentucky that the Colonel
Harland D Sanders began to serve food to hungry travelers from his own living quarters.
Before long customers were turning up for food alone, so he moved across the street to a
motel and 142-seater restaurant which he named "Sanders". It was during this time that
the Colonel devised his recipe for fried chicken using a secret blend of eleven Herbs and
spices. His restaurant became so popular the state governor made Harland Saunders a
Kentucky Colonel in honour of his fine contribution to state cuisine.
Using his last $105 Social Security cheque he set up Kentucky Fried Chicken, his own
chicken franchising business, travelling across the country from restaurant to restaurant
cooking chicken for the owners and their employers. Following the owners' approval of
his special KFC recipe, Colonel Sanders entered upon a handshake agreement, which
provided him with a nickel for every chicken the restaurant sold.
In January 1997, PepsiCo, Inc. announced the spin-off of its quick service restaurants --
KFC, Taco Bell and Pizza Hut -- into an independent restaurant company, Tricon Global
Restaurants, Inc. In May 2002, the company announced it received shareholders' approval
to change it's corporation name to Yum! Brands, Inc. The company, which owns A&W
All-American Food Restaurants, KFC, Long John Silvers, Pizza Hut and Taco Bell
restaurants, is the world's largest restaurant company in terms of system units with nearly
32,500 in more than 100 countries and territories.
KFC now offers great tasting meals and snacks in over 30,000 restaurants around the
world. Every day over 6.5 million people make KFC part of their lives. Laid head to
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claw, KFC chickens consumed worldwide would stretch 458,065 kilometres and would
circle the earth at the equator 11 times.
When India’s first KFC (Kentucky Fried Chicken) opened in 1995, its arrival sparked
immediate controversy, ranging from local government charges that the restaurant sold
carcinogenic foods laced with harmful monosodium glutamate; to tens of thousands of
farmers protesting against a suspected takeover of the locally based agricultural system.
But the company has managed to put that behind and has been recording an impressive
double-digit growth since then, and today, over 1.7 lakh people walk into the 12 KFC
outlets across the country every week. The Delhi outlet saw over 10,000 storming into it
in the first two days of opening!
As a part of the growth strategy, YIR plans to add about 20 more KFC footprints from the
present 12 outlets. A major chunk of this operation will target big cities, especially Delhi
and Mumbai, as it wants to tap these markets first. The company plans to make it a mass
brand, which indicates the beginning of the expansion spree, as KFC is present at only 12
locations. Also, this expansion will be company-financed to a large extend, unlike Pizza
Hut’s franchisee model, with the KFC Hyderabad being a case in point.
The other significant point is KFC’s efforts too woo vegetarians in India, a first in the
world. Combine the inclusion of vegetarian items and with the affordability platform, and
its clear the company is ready to tweak its global positioning around tasty-chicken
platform to woo Indian vegetarians.
The positioning, which is in the process of getting finalized, is not going to be chicken
specific but for taste. This research is designed to confirm the feasibility of this fact and
also find the key consumer’s demographic, behavioral aspects and need states to fine tune
the positioning strategy. This is just the beginning of the decade long plan for
consolidating its position in here.
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McDonald’s
Our first restaurant opened on 15th April 1955 in Des Plaines, Illinois, U.S.A. Almost 50
years down the line, we are the world's largest food service system with more than 30,000
restaurants in 100 countries, serving more than 46 million customers every day
McDonald's opened its doors in India in October 1996. Ever since then, McDonald’s has
opened family restaurants in Mumbai, Delhi, Pune, Ahmedabad, Vadodara, Ludhiana,
Jaipur, Noida Faridabad, Doraha, Manesar.
McDonald’s in India is a 50-50 joint venture partnership between McDonald’s
Corporation [USA] and two Indian businessmen. Amit Jatia’s company Hardcastle
Restaurants Pvt. Ltd. owns and operates McDonald's restaurants in Western India. While
Connaught Plaza Restaurants Pvt. Ltd headed by Vikram Bakshi owns and operates the
Northern operations.
Amit Jatia and Vikram Bakshi who share McDonald's complete commitment to Quality,
Service, Cleanliness and Value (QSC&V) signed their joint-venture agreements with
McDonald's in April 1995, after which they trained extensively, along with their Indian
management team, in McDonald's restaurants in Indonesia and the U.S.A. before opening
the first McDonald’s restaurant in India.
McDonald's India has developed a special menu with vegetarian selections to suit Indian
tastes and preferences and does not offer any beef or pork items in India. In addition, they
have re-formulated some of their products using spices favoured by Indians. Among
these are McVeggie burger, McAloo Tikki burger, Veg. Pizza McPuff and Chicken
McGrill burger. They also created eggless sandwich sauces for our vegetarian customers.
Even their soft serves and McShakes are egg-less, offering a larger variety to our
vegetarian consumers.
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NEED FOR STUDYKnowing and understanding customer needs is at the centre of every successful business,
whether it sells directly to individuals or other businesses. Once you have this
knowledge, you can use it to persuade potential and existing customers that buying from
you is in their best interests or alter it to satisfy customer’s wants, needs and ultimately
delight him with your product.
The incidence of Fast Food consumption in urban India is accelerating much faster than
most people anticipated and western quick service restaurants (QSR’s) are increasingly
making their presence felt in India.
Mc Donald’s entered India a decade ago and have succeeded in expanding rapidly and
successfully. They had targeted kids & parents initially and have now moved on to
popularizing their menu options and drive affordability. Past research has also showed
McDonald’s to have a high popularity amongst kids and their preferred choice when
eating out.
KFC also entered India almost a decade ago but has remained largely dormant in its
marketing activities. However it now wishes to expand its presence across various cities
and step up its marketing aggression.
In that context it wants to explore
Phase I- The manner in which people evaluate and relate to various branded QSR’s, his
perception of KFC, key customers, their demographic and behavioural profile, occasions
of visit and key similarities and differences between KFC and McDonald’s. Whether is
should be positioned as a snack or a meal joint and where is KFC losing out or is at an
advantage.
Phase II- The manner in which people choose and relate to various products at KFC, key
customers, their demographic and behavioural profile, occasions and time of visit.
Alternate choices and expectations while eating-out.
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RESEARCH OBJECTIVES
The objective of the research broadly is, “Understanding the KFC consumer”. To be able
to understand the consumer behaviour for fast food industry, information in following
areas need to be found out:
Who is buying my brand / category
Who are the heavy category buyers
Why do consumers choose my brand
Do consumers understand what my brand stands for
How do they spend money on eating- out
What motivates consumer to purchase
What is my brand personality perceived as and how does it compare to the
competition
What other categories interact with mine, and which are important
What cross category opportunities are there
The same exercise is repeated in Phase II but with a focus on six products of KFC
amongst KFC consumers.
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LITERATURE REVIEW
(1) Urban Indian Consumers amongst the Top 10 Most Frequent Eaters of Fast
Food Globally
One-third of urban Indians opt for fast food even during breakfast, cite
‘Cleanliness and Hygiene’ as the clincher for brand choice
Asians flock to fast food counters more frequently than their American and
European counterparts
The Fast Food phenomenon has finally come of age in India. Urban Indians now find
themselves amongst the top 10 most frequent consumers of Fast Food across the globe.
According to the findings of the latest online survey from ACNielsen, the world’s leading
market research firm, over 70% of urban Indians consume food from take-away
restaurants once a month or more frequently. Of these 37% of the adult Indian population
do so at least once a week. This makes India one of the top 10 countries amongst the 28
surveyed, in terms of frequency of fast food consumption.
(http://www.acnielsen.co.in/news.asp?newsID=112)
(2) Protest marks KFC launch in Mumbai, expansion plan
May 11, 2006
The launch of fast food major Kentucky Fried Chicken's (KFC) outlet and its
announcement of countrywide expansion plan here Thursday were marked by protests
against the alleged maltreatment of chicken by the company.
Activists of the People for Ethical Treatment of Animals (PETA), a non-government
organisation, demonstrated against KFC's treatment of animals before the new restaurant
in the western Mumbai suburb of Bandra.
They held placards alleging that KFC's suppliers keep chickens in overcrowded farms.
"KFC is the largest buyer of chicken and therefore the largest killer of chickens too," Jaya
Simha, campaign and legal affairs coordinator of PeTA, told IANS.
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"Ideally we would like the world to turn vegetarian. But the least KFC can do is keep the
chicken comfortable till they are killed," Simha said.
KFC, the world's largest chicken restaurant chain, Thursday also announced its expansion
plan to have up to 28 outlets in the country by the end of 2006.
"By what we have experienced till now, our customers have had the best of experiences
with us," said Sandeep Kohli, managing director (Indian subcontinent) of "Yum!
Restaurants International" (YRI), whose flagship brand is KFC.
"We plan to expand to wherever our customers are and there is no limit to our expansion.
By the year-end we will have anywhere between 25-28 outlets," Kohli said.
KFC, which opened its first restaurant in Bangalore in 1995, now has 15 outlets -
including five in Bangalore, three in Delhi, two in Pune and one each in Mumbai,
Kolkata, Chandigarh, Ludhiana and Hyderabad.
With around 2,000 customers already being handled per outlet every day in the country,
KFC's presence in Mumbai is an important step in extending the brand's presence in
India, Kohli said.
Speaking about the long delay in entering the Mumbai market, he said the reason was that
the company always looked to maintain its presence in the most important business
location of any city.
"We were waiting for the right location all this while," Kohli clarified.
With global sales of $13.2 billion, company officials view India as a key strategic market
with immense potential for future growth.
KFC today has more than 12,300 restaurants in more than 80 countries serving eight
million customers everyday. It is one of the five brands of YRI including, Pizza Hut,
Taco Bell, A&W and Long John Silver's. (IANS)
PROCESS/METHODOLOGY OF STUDY
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MODUS OPERANDI
Knowing KFC and understanding its problems since its entry in India
Identification of customers, products and other differencing features through
researches done for KFC Bangalore
Studying KFC brand identity, Emotional, Experiential and Positioning Aspect of
KFC and KFC Ad-cept finding
Designing a questionnaire that incorporates all factors which have a say directly
or indirectly in a consumer’s decision (A sample of the questionnaire is attached
with the report)
Sampling – A statistical approach to decision making
Sample size chosen – 200 consumers for Phase I and 270 for phase II
Proposed time for completion of the project – 8 weeks
Data sources:
Primary data – Consumer’s responses to their answers to questions in
questionnaire.
Secondary data – Collected from documents of the company, Past MR by various
reputed organizations, magazines and online resources.
Research environment – Outside KFC and Mc Donald’s outlets for Phase I and
In-store KFC for Phase II
Areas chosen for study:
Noida Sector 18 and Rajouri Garden
Sample is chosen at random for phase I and for phase II, consumers of
specifically these products are chosen are interviewed.
Interviewing customers who have just eaten at these outlets
Sample comprised the head of the group
Collection and tabulation of all data
Analysis and data interpretations
Drawing inferences from the sample statistics
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Presentation of result
RESEARCH METHODOLOGY
We followed the non-probability sampling method as no well-defined databases or lists
were available (sampling frame) for our target population from which we could randomly
pick up sample elements. Hence we followed random sampling.
For Phase I- Data was collected from two outlets of KFC at Noida Sector 18 and City
Square Mall, Rajouri garden and a sample size of 100 respondents was covered. Similarly
100 respondents were interviewed at two locations of McDonald’s outlets at Sector 18
and Center Stage Mall, Noida. People coming out of these outlets after eating were
questioned using a structured questionnaire.
For Phase II- Date was collected from two outlets of KFC at Noida Sector 18 and City
Square Mall, Rajouri garden and a sample size of 270 respondents was covered in total.
Six products of KFC- Chana Crunch Snacker, Chicken Crunch Snacker, Hot & Crispy
Chicken, Original Recipe Zinger Burger had 50 respondents each and Chicken in a
Bucket had 30 respondents.
The research also tried covering the entire day’s timings from 11 a.m. to 11 p.m. so that it
has a fair reflection on its findings and was directed at people who had visited the outlet
before.
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STUDY RESULTS AND ITS INTERPRETATIONS
PHASE- I
I. DEMOGRAPHIC PROFILE OF RESPONDENTS
(1) SEX PROFILE OF RESPONDENTS
Mc Donald's Respondents Sex Ratio
44%
56%
No. of Females No. of Males
KFC Respondent's Sex Ratio
38%
62%
No. of Females No. of Males
Figure 1.1a Figure 1.1b
KFC consumers show a male skew vis-à-vis Mc Donald’s which has an even distribution.
(2) AGE DISTRIBUTION OF RESPONDENTS
AGE WISE DISTRIBUTION OF KFC CONSUMERS13%
58%
19%
10%
AGE Below 18 AGE 18-25 AGE 25-35 AGE Above 35
AGE WISE DISTRIBUTION OF Mc DONALD's CONSUMERS
8%
48%32%
12%
AGE Below 18 AGE 18-25 AGE 25-35 AGE Above 35
Figure 1.2a Figure 1.2b
Age distribution of Respondents shows both KFC & Mc Donald’s being dominated
by the age group of 18-25 or the Young Adults. The next group is between 25-35
years again for both fast food joints. But the point to be noted here is that in case of
Mc Donald’s, a major segment from these age groups are also coming with kids and
usually the decision makers are the kids themselves which is not the case with KFC.
24
(3) OCCUPATION OF RESPONDENTS
OCCUPATION OF KFC RESPONDENTS
10%
23%
18%8%
40%
1%
STUDENT(School) STUDENT(College) STUDENT(Post Grad)
Housew ife Working Retd.
OCCUPATION OF Mc DONALD's RESPONDENTS
0% 11%
16%
14%8%
51%
0%
STUDENT(School) STUDENT(College) STUDENT(Post Grad)
Housew ife Working Retd.
Figure 1.3a Figure 1.3b
Mc Donald’s has dominance in the working segment primarily driven by families.
KFC clearly is the preferred choice of youth & young adults.
(4) NUMBER OF PEOPLE IN THE GROUP
Number of people in the KFC Respondent's Group
11%
43%
43%
3%
No of People in the group=1 No of People in the group=2No of People in the group=3to5 No of People in the group=More than 5
Number of people in the Mc Donald's Respondent's Group
4%
35%47%
14%
No of People in the group=1 No of People in the group=2No of People in the group=3to5 No of People in the group=More than 5
Large families show a preference for Mc Donald’s whereas KFC has more nucleus
audience profile. Apart from single combos and bucket we also have duet meals.
25
(5) NATURE OF GROUPS
NATURE OF GROUP-KFC
63%18%
10%9%
FRIENDS FAMILY COLLEGUES ALONE
NATURE OF GROUPS-Mc DONALD's
54%28%
13% 5%FRIENDS FAMILY COLLEGUES ALONE
Figure 1.5a Figure 1.5b
For Mc Donald’s and KFC the highest percentage of Respondents coming to these
outlets are with friends followed by families. But KFC has 9% more respondents
coming with friends than Mc Donald’s while Mc Donald’s has a 10% more
respondents coming with families than KFC.
26
(6)FOOD PREFERENCE OF EXISTING CONSUMER GROUPS
KFC CONSUMERS
62%
26% 12%
Only Veg
Only Non-Veg
Mixed
Mc DONALD'S CONSUMERS
26%
38%
36%
Only VegOnly Non-VegMixed
Figure 1.6a Figure 1.6b
While Mc Donald’s seem to find appeal to all three segments, KFC seems to be
losing out on mixed groups. We may have to give some support to our vegetarian
products.
(7) INDIVIDUAL VEG/NONVEG SPLITVEG/NONVEG SPLIT
147
77
215
202
0 50 100 150 200 250 300 350 400
Mc D-TOTAL
KFC-TOTAL
VEG Split Non veg split
Figure 1.7a
Mc Donald's KFCAVG Bill Value 67.85 97.89
72.4% of KFC consumers (including all people accompanying the respondents) are
non-vegetarian while only 59.4% of Mc Donald’s consumers (including all people
accompanying the respondents) are non-vegetarian showing a clear liking of non-
vegetarians for KFC food
27
AVG Bill Value
67.85
97.89
INR 0.00 INR 50.00 INR 100.00 INR 150.00
Mc Donald's
KFC
Figure 1.7b
Mc Donald’s focus on low unit price of its products & perceptions as a snack place
seems to negatively rub off on average amount spent
(8) AREA DISTRIBUTION OF CONSUMERS FROM RESPECTIVE OUTLET
Mc Donald's-Area Distribution
10%
4%
12%
2%
8%
28%
64%NOIDA
36%
NORTH WEST SOUTH CENTRAL OTHERS EAST(Excluding Noida) NOIDA
Figure 1.8a
For both stores appeal is limited to primary to <10km of store radius. Indicates we
need to focus most of our marketing activities within this area
28
KFC(Noida)-Area Distribution
7%
1%
18%
1%
0%
42%
72%NOIDA
31%
NORTH WEST SOUTH CENTRAL OTHERS EAST(Excluding Noida) NOIDA
Figure 1.8b
Appeal primary limited to <10 km radius of store.
KFC-Rajouri-Area Distribution
2%
26%
6%
42% 52%
2%
12%
RAJOURI10%
NORTH EAST SOUTHCENTRAL OTHERS WEST(Excluding Rajouri)RAJOURI
Figure 1.8c
Primarily appeal limited to west Delhi. However a significant number of people from
south Delhi (having their office in the area)
Area Distribution- An overview
All these outlets attract most of their present consumers from nearby areas
especially so for the Noida outlets of both Mc Donald’s and KFC
29
There are already a large number of fast food outlets in the area including
specialty chicken restaurants in Noida Sector 18 that have a huge consumer base.
With a large number of restaurants and fast-food joints or food courts coming up
in various new malls there is a probability of shifting of consumers to nearer
joints.
2. BEHAVIORAL PROFILE OF CONSUMERS
(1) NUMBER OF VISITS TO THE OUTLETMc Donald's
11%
13%
17%59%
1st time 2-3 times 4-6 times 6+ times
KFC
20% 43%
16%21%
1st time 2-3 times 4-6 times 6+ times
Figure 2.1a Figure 2.1b
Sharp difference in translating initial 2-3 visits to most visited fast food outlet. However
this needs to be validated over time as KFC is a newer outlet compared to McDonald’s in
Noida
Sharp difference in translating initial 2-3 visits to most visited fast food outlet.
However this needs to be validated over time as KFC is a newer outlet compared to
McDonald’s in Noida
30
(2) Comparison of number of times visit to KFC Noida & Rajouri
COMPARSION OF NUMBER OF TIMES VISIT TO KFC NOIDA & RAJOURI
10 25 11
4
10 18 5
17
0%
20%
40%
60%
80%
100%
1st time 2-3 times 4-6 times 6+ times
KFC-Noida KFC-Rajouri
Figure 2.2
Maximum consumers of KFC Noida have visited the outlet just 2-3 times, where as KFC
Rajouri has maximum consumers in 2-3 times and an almost equal number in more than
6 times visit which is in alignment with the fact that KFC Rajouri is an older outlet than
Noida.
(3) Mc DONALD’S CONSUMER’S awareness of KFC
38
29
33
0%
50%
100%
Are you aware ofKFC?
Aware but NotVisited KFCAware & VisitedKFCNot Aware ofKFC
Last Time visited KFC (Mc Donald's Consumers)
13, 54%
11, 46%
0, 0% , 0%
Within the last 15 days 15 days to 1 month1-2 months More than 3 months ago
Figure 2.3a Figure 2.3b
Significant number of McDonald’s consumers is not aware of KFC (refer to figure
2.3a) while a large number also aware of KFC but never visited (refer to figure 2.3b)
31
(4) Variation of awareness about KFC among McDonald’s consumers with their age
Figure 2.4
Awareness of KFC is highest among 18-25 year old consumers followed by 25-35 years old.
(5) Fast food eating out frequency
FAST FOOD EATING OUT FREQUENCY
13
83
12
6
12
5
3
5 1
0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%
60
KFC
One or more times a week Once a fortnight Once a month
Less than once a month No Response
Figure 2.5aThe KFC consumer is young and an ‘eat out freak’. Comparatively Mc Donald’s
more popular amongst a mature audience with a comparatively passive eating out
behavior
32
44
35
13
15
17
84
0
10
20
30
40
50
AGE Below 18 AGE 18-25 AGE 25-35 AGE Above 35
Variation of Awareness about KFC among Mc Donald's Consumers with their Age
Aware of KFC Not Aware
(6) NATURE OF GROUP VIS-À-VIS FREQUENCY OF EATING OUT
Mc DONALD's - ALONE
0%0%
0%20%
80%
One or more times a week Once a fortnightOnce a month Less than once a month
KFC - ALONE80%
0%0%20%0%
One or more times a week Once a fortnightOnce a month Less than once a month
Figure 2.6a Figure 2.6b
When consumers are alone there is no difference in their eating-out frequency for Mc
Donald’s or KFC consumers.
Mc DONALD's - FRIENDS
45%
44%
5% 6%
One or more times a week Once a fortnightOnce a month Less than once a month
KFC - FRIENDS0%
10%3%
87%
One or more times a week Once a fortnightOnce a month Less than once a month
Figure 2.6c Figure 2.6d
When with friends 87% of KFC Respondents tend to visit the outlet One or more
times a week where as in case of Mc Donald’s only 45% of Respondent’s with
friends visit One or more times a week and almost an equal percentage(44%) visit
Mc Donald’s once in a fortnight.
33
Mc DONALD's - FAMILY
36%
18%25%
21%
One or more times a week Once a fortnight Once a month Less than once a month
KFC - FAMILY
95%
0% 5%0%
One or more times a week Once a fortnightOnce a month Less than once a month
Figure 2.6e Figure 2.6fMc Donald’s consumers coming with family are more varied in their frequency of
eating out than KFC consumers 95% of which eat-out One or more times a week at
any fast-food outlet.
Mc DONALD's - WORK COLLEAGUES
69%
23%
8% 0%
One or more times a week Once a fortnight Once a month Less than once a month
KFC - WORK COLLEAGUES
100%
0%0%0%
One or more times a week Once a fortnight Once a month Less than once a month
Figure 2.6g Figure 2.6h
All Work Colleagues eating out at KFC had an eating-out frequency of One or more
times a week while only 69% Mc Donald’s consumers have the same frequency
Overview:
Majority of consumers have a frequency of eating out “One or more times a
week”, in all four categories of “Nature of Groups” for both Mc Donald’s & KFC
Mc Donald’s consumers have a more varied frequency distribution than KFC
consumers who have a higher and concentrated frequency of eating-out hence, “A
greater opportunity to convert these eat-outs of existing KFC consumers at
various fast-food outlets to visits to KFC”.
34
7) REASON FOR EATING OUT
REASONS FOR EATING AT Mc DONALD'S
13
30
13
11
11
10
1
11
0 5 10 15 20 25 30 35
I was in this area & hence decided to eathere
Wanted to get together with friends
Wanted an enjoyable outing with family
For lunch
For Snack(Brunch)
Wanted a break from home food
I work in this area & hence decided tocome here
An occation to celebrate
REASONS FOR EATING AT KFC
5
9
11
2
18
6
5
44
0 10 20 30 40 50
I was in this area & hence decided to eathere
Wanted to get together with friends
Wanted an enjoyable outing with family
For lunch
For Snack(Brunch)
Wanted a break from home food
I work in this area & hence decided tocome here
An occation to celebrate
Figure 2.7a Figure 2.7a
KFC suggests a more planned outing compared to McDonalds which scores highly on
quick fix too
Overview:
“Wanted to get together with friends” is the single most important reason for both,
more so in case of KFC(44%) than Mc Donald’s(28%).
The second most important reason for Mc Donald’s consumers (13%) is “I was in
this area & hence decided to come here” and “Wanted an enjoyable outing with
family”, while for KFC consumers (18%) it was ‘lunch’.
35
(8) REASON FOR EATING OUT VIS-À-VIS THE NATURE OF GROUP
Mc Donald’s
REASONS FOR EATING OUT WITH RESPECT OF NATURE OF GROUP OF THE RESPONDENTS OF Mc DONALD's
1
1
2
5
26
1
6
2
11
6
1
12
1
7
1
2
2
8
4
1
0 5 10 15 20 25 30
I was in this area& hence decided
to eat here
Wanted to gettogether with
friends
Wanted anenjoyable outing
with family
For lunch
ForSnack(Brunch)
Wanted a breakfrom home food
I work in this area& hence decided
to come here
An occation tocelebrate
ALONE FRIENDS FAMILY COLLEGUES
Figure 2.8a
For Friends & Family the experience of getting together and enjoying while
eating out is the major reason for consumers to visit Mc Donald’s
For Work Colleagues & when Alone reason shifts to food for as either a break
from home food or lunch
Hence depending upon the nature of group the reason for eating out changes and
two important constituents that emerge are the food itself and secondly the
experience of eating out at the outlet
36
KFCREASONS FOR EATING OUT WITH RESPECT OF NATURE OF THE
GROUP OF THE RESPONDENTS OF KFC
1
3
40
8
4
6
2
6
34
4
1
3
2
2
2
2
3
1
3
0 5 10 15 20 25 30 35 40 45
I w as in this area &hence decided to eat
here
Wanted to gettogether w ith friends
Wanted an enjoyableouting w ith family
For lunch
For Snack(Brunch)
Wanted a break fromhome food
I w ork in this area &hence decided to
come here
An occation tocelebrate
ALONE FRIENDS FAMILY COLLEGUES
Figure 2.8b
The same trend is observed among consumers visiting KFC emphasizing the
universality of consumer’s need vis-à-vis the nature of group they eating out with.
For consumers who are alone or with work colleagues, it’s the food and hence its
attributes like taste, filling, and nutrition or its affordability
For families and friends the experience of eating at the outlet like the ambience,
comfort, enjoyment, and variety along with value for money assumes equal
importance along with the good food.
37
(9) OTHER FAST-FOOD OUTLETS CONSUMERS VISIT
OTHER FAST-FOOD OUTLETS Mc DONALD'S CONSUMERS VISIT
27%
8%7%5%4%
3%
32%
3%
4%4%3%
Pizza Hut Taste Of India Karims HaldiramKFC Nirulas Dominos OtikCafé Joints Resturants OTHERS
Figure 2.9a
Pizza Hut is the often named Other fast-food outlet by Mc Donald’s consumers,
with 47 Responses i.e. 27% of all named outlets
Pizza Hut is followed by Taste Of India(8%) and Karims(7%)
KFC constitutes only 4% of all named outlets
38
OTHER FAST FOOD OUTLETS KFC CONSUMERS VISIT
31%
26%
2%
2% 2%
5%
6%
8%
10%
8%
Mc D Pizza Hut Café Joints DominosLocal Restaurants Nirulas SubwayTaste of India Others
Figure 2.8b
Mc Donald’s is the often named Other fast-food outlet by KFC consumers, with
43 Responses i.e. 31% of all named outlets
This is followed by Pizza Hut(26%) followed by Café Joints(10%)
This indicates that there is a high inclination of KFC consumers to also visit
McDonald’s while very less inclination of Mc Donald’s consumers to visit KFC
39
CONCLUSION:
Key Target Segment: The young adults (18-25 years) and significant number in 25-35
year old, either students or working executives who come mostly males who are non-
vegetarian and reside in neighboring areas of the respective outlets and have visited the
outlets before too. Comparatively McDonald’s has a significant consumer base that
comprises of vegetarians and families. The most important reason for frequently the
outlets more than once in a week is catching up with friends and the average spending per
consumer at KFC is Rs 98/- comparatively much higher than McDonald’s Rs 68/- There
is a high inclination of KFC consumers to also visit Mc Donald’s while very less
inclination of Mc Donald’s consumers to visit KFC.
Product Scope: Fast food/ New/ Different/American/ Alienness of taste
Use/User: Enjoyable break/ togetherness/ Young adults
Brand as a person: Spirited/ Cool/ Young
Brand as a symbol: Col Sanders with KFC logo or Red & Blue colours/ Only Chicken
Brand as organization: American MNC
Main Competitor: McDonald’s
40
RECOMMENDATIONS:
In the established markets like Australia and the United Kingdom, people have good
idea what a KFC Chicken is. Folks in India need an introduction to the brand.
Build heritage story into brand communication as well as overall product experience
Extend KFC experience beyond just chicken
Vegetarian offering to be communicated on equal footing with chicken rather than as
“also runs”.
Positioning should revolve around providing “great tasting food”, very close to the
international positioning of “Finger Licking Good”.
Ambience and value of money to be emphasized
Phase II
(1) CHANA CRUNCH SNACKER VS CHICKEN CRUNCH SNACKER
Sample Covered- Outlet wise
Chana Crunch Snacker
Chicken Crunch Snacker
Noida 21 25Rajouri 29 25Total Sample Covered 50 50
41
(1.1)GENDER
CHANA CRUNCH SNACKER
Male68%
Female32%
CHICKEN CRUNCH SNACKER
Male74%
Female26%
Figure 1.1a Figure 1.1b
(1.2) AGE
Chicken Crunch Snacker16%
14%
14%
10%
46%
18 or below 19-24 25-29 30-39 40 and above
Chana Crunch Snacker10%
42%
14%
20%
14%
18 or below 19-24 25-29 30-39 40 and above
Figure 1.2a Figure 1.2b
42
(1.3) SEC
Chana Crunch Snacker
78%
22%0%0%
SEC A1
SEC A2
SEC B1
SEC B2
Chicken Crunch Snacker
62%
32%
6% 0%
SEC A1
SEC A2
SEC B1
SEC B2
Figure 1.3a Figure 1.3b
A significantly higher percentage of SEC A2 & B1 is coming to eat Chicken Crunch
Snacker which is not seen in Chana Crunch Snacker
(1.4) NUMBER OF PEOPLE IN THE GROUP
Chana Crunch Snacker
14
42
8 6 8
22
0
10
20
30
40
50
One Two Three Four Five More than5
Chicken Crunch Snacker
18
50
148
28
0102030405060
One Two Three Four Five Morethan 5
Figure 1.4a Figure 1.4b
Chana Crunch Snacker
Chicken Crunch Snacker
Average Group Size 2.84 2.58
Could indicate that the Chana Crunch Snacker is driven to KFC mostly because of his
group & not choice.
43
(1.5) EDUCATION
Chana Crunch Snacker14%
14%34%
38%School upto 12th Some College but not graduateGraduate/PG General Graduate/PG Professional
Chicken Crunch Snacker
16%
18%
28%
38%
School upto 12th Some College but not graduate
Graduate/PG General Graduate/PG Professional
Figure 1.5a Figure 1.5b
(1.6) OCCUPATION
Chana Crunch Snacker
42%20%
6% 4% 2%
26%Student Executive/OfficerBusinessman Self Employed ProfessionalHouse Wife Others
Chicken Crunch Snacker
50%
14%2% 6% 0%
28%Student Executive/OfficerBusinessman Self Employed ProfessionalHouse Wife Others
Figure 1.6a Figure 1.6b
44
(1.7) DAY PART (%)
(1.8) GROUP TYPE
Chana Crunch Snacker
40%
32%
8% 8%
12%Friends Work Colleagues Family Couple Alone
Chicken Crunch Snacker
52%20%
6%16%
6%Friends Work Colleagues Family Couple Alone
Figure 1.8a Figure 1.8b
45
CHANA CRUNCH SNACKER
12
20
52
16
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
11am-1 pm 1 pm-3 pm3 pm-7 pm 7 pm-11pm
CHICKEN CRUNCH SNACKER
6
18
62
14
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
11am-1 pm 1 pm-3 pm3 pm-7 pm 7 pm-11pm
(1.9) NUMBER OF VISITS EARLIER
Chana Crunch Snacker
44%
38%
18%
1-2 times 3-4 times 4+ times
Chicken Crunch Snacker
40%28%
32%
1-2 times 3-4 times 4+ times
Figure 1.9a Figure 1.9b
(1.10) What else has been ordered along with the Snacker
WITH CHANA CRUNCH SNACKER
78%
58%
12%
2%
2%
0%
0%
14%
2%
26%
0% 20% 40% 60% 80% 100%
Soft Drink
French fries
Thali
Burger
Snacker
Salad
Bread
Ice cream/sundae
Coleslaw
Any Other
WITH CHICKEN CRUNCH SNACKER
84%
54%
14%
8%
0%
4%
0%
18%
2%
18%
0% 20% 40% 60% 80% 100%
Soft Drink
French fries
Thali
Burger
Snacker
Salad
Bread
Ice cream/ sundae
Coleslaw
Any Other
46
Figure 1.10a Figure 1.10b
(1.11) REASON FOR VISITING KFC
REASON FOR VISITING KFC (Chana Crunch Snacker)
85
1111
70
26
0 2 4 6 8 10 12After Shopping Work LunchCatching up with friends Quick meal (on the go) Indulge/ Treat myself/ourselves to great food Celebrating special occasions/events Break from home food Want a specific type of food
Figure 1.11a
REASON FOR VISITING KFC (Chicken Crunch Snacker)
33
1216
61
36
0 2 4 6 8 10 12 14 16 18
After Shopping Work LunchCatching up with friends Quick meal (on the go) Indulge/ Treat myself/ourselves to great food Celebrating special occasions/events Break from home food Want a specific type of food
Figure 1.11b
47
(1.12) Which main dish was ordered during last visit?
Table 1.12a
Chana Crunch Snacker
Chicken Crunch Snacker
Chana Crunch Snacker 7 0Veg Thali 8 0Veg Fingers 2 0Veggie Feast 8 1Paneer Tikka Wrap n Roll 5 1Chicken Crunch Snacker 4 5Chicken Thali 1 8Hot & Crispy Chicken 5 13Original Recipe Chicken 2 5Crispy Chicken Strips 0 6Chicken Tikka Wrap n Roll 1 2Zinger burger 6 5Colonel burger 1 3Bucket Of Chicken 0 1
(1.13) Which dish would you eat if their was no KFC
CHANA CRUNCH CONSUMER's ALTERNATE DISH
6%
38%14%
30%6% 6%
Home Food OthersMc Veggie Burger Mc Aloo Tikki BurgerBurger Chicken Mc Grill
CHICKEN CRUNCH CONSUMER's ALTERNATE DISH
10%
8%
12%4% 28%
4%
28%
6%
Pizza ChickenHome Food Veg BurgerChicken Mc Grill Chicken BurgerFillet-O-Fish Others
Figure 1.13a Figure 1.13b
Overall 56% people choose burger (Figure 1.13a) and Overall only 38% people choose a
burger (Figure 1.13b)
48
(1.14) WHERE WOULD YOU GO IN CASE THERE WAS NO KFC?
ALTERNATE EATING JOINT (Chana Crunch Consumers)
58%
4%
6%
8%
6%
18%Mc Donald's
CCD
Pizza Hut
Taste Of India
Sagar Ratna
Others
ALTERNATE EATING JOINT (Chicken Crunch Snacker)
4%
12%
10%
4%16%
50%
4%Mc Donald's
Karims
Home
Pizza Hut
Yo China
Dabbas
Others
Figure 1.14a Figure 1.14b
(1.14) Vegetarians as a percentage of total number of consumers
Table 1.14a
(1.15) EXPECTATION FROM SNACKER
Chana Crunch Snacker
43%
53%
4%0%
0%
0%0%
Discover a newtaste
Pick myself up(Positiveenergy/uplift mood)Share with others
Quick fix meal
Saving time (by notcooking)
Reward myself/others
Specific food taste
Chicken Crunch Snacker
0%
8%34%
0%27%0%
31%
Discover a new taste
Pick myself up(Positive energy/upliftmood)Share with others
Quick fix meal
Saving time (by notcooking)
Reward myself/others
Specific food taste
Figure 1.15a Figure 1.15b
Chana Crunch Snacker 32.64%Chicken Crunch Snacker 8.53%
49
Quick fix meal (on the go) is the most important reason for Chana Crunch Snacker
(Figure 1.15a) and Specific food taste is an important reason for chicken crunch snacker
which reflects its liking (Figure 1.15b)
(1.16) Why is this dish apt for this occasion?
89
42
412
200
9
0 2 4 6 8 10 12
Good Taste
Wanted to experiment
Tried before & liked
New taste
Value for money
Light
Only because of chicken
No choice in vegetarian
Wanted to have vegetarian today
Others
Chicken Crunch Snacker
58
522
70
66
9
0 1 2 3 4 5 6 7 8 9
Good Taste
Wanted to experiment
Tried before & liked
New taste
Value for money
Light
Only because of chicken
No choice in vegetarian
Wanted to have vegetarian today
Others
Chana Crunch Snacker
Figure 1.16a Figure 1.16b
Light & Wanted to experiment are two most important reasons for eating a snacker.
50
(2) BUCKET OF CHICKEN
(2.1) Sample Covered- Outlet wise
Table 2.1
Noida 22Rajouri 9Total Sample Covered 31
(2.2) Gender
GENDER
Male68%
Female32%
Figure 2.2
(2.3) Age
51
AGE (%)
16%
36%19%
16%
13%
18 or below 19-24 25-29 30-39 40 and above
Figure 2.3(2.4) SEC
SEC (%)
68%
32%
0%0%
SEC A1
SEC A2
SEC B1
SEC B2
Figure 2.4
(2.5) EDUCATION
EDUCATION
13%
23%
26%
38%
School upto 12th Some College but not graduateGraduate/PG General Graduate/PG Professional
Figure 2.5
52
(2.6) OCCUPATION
OCCUPATION
42%
39%
16% 0%0% 3%
Student Executive/OfficerBusinessman Self Employed ProfessionalHouse Wife Others
Figure 2.6
Majority of BOC consumers are Students followed by Executives/Officers
(2.7) GROUP SIZE
NUMBER OF PEOPLE IN THE GROUP
0%10%
29%
13% 10%
39%
0%
10%
20%
30%
40%
50%
One Two Three Four Five More than 5
Figure 2.7
Average Group Size 3.87
53
(2.8) Generally Bucket of Chicken is ordered when the group size is larger
GROUP TYPE
49%
19%
29%3% 0%
Friends Work Colleagues Family Couple Alone
Figure 2.8
Almost half of COB consumers are groups of FRIENDS followed by families.
(2.9) Number of times visited earlier
Number Of Times Visited Earlier
32%
49%
19%
1-2 times 3-4 times 4+ times
Figure 2.9
Almost half of BOC Consumers have visited the outlet more than 4 times
54
(2.10) DAY PART (%)
Figure 2.10
(2.11) What else has been ordered along with the main dish?
Figure 2.11
Soft Drink & French Fries are the most ordered along with the main dish
55
2
18
24
18
0%
20%
40%
60%
80%
100%
11am-1 pm 1 pm-3 pm3 pm-7 pm 7 pm-11pm
87%
58%
10%
26%
0%
6%
0%
16%
10%
3%
6%
Soft Drink
French fries
Thali
Burger
Snacker
Salad
Bread
Ice cream/ sundae
Coleslaw
Hot & Crispy Chicken
Veggie Feast
(2.12) REASONS FOR VISITING KFC
(2.13) MAIN DISH ORDERED ON LAST VISIT
Figure 2.13
56
6%6%
13%16%
19%
16%6%
16%
0% 5% 10% 15% 20%
After ShoppingWork Lunch
Catching up with friends
Quick meal (on the go)
Indulge/ T reat myself/ourselves to greatfood
Celebrating special occasions/events Break from home food
Want a specific type of food
REASONS FOR VISITING KFC
MAIN DISH ORDERED ON LAST VISIT
6%
3%53%
13%
6%
3%6% 10%
Chicken Crunch Snacker Chicken ThaliHot & Crispy Chicken Original Recipe ChickenCrispy Chicken Strips Zinger burgerColonel burger Bucket Of Chicken
(2.14) WHAT WOULD YOU EAT IN CASE THERE WAS NO KFC?
Figure 2.14
Chicken Burger & Chicken Mc Grill together also account for 26% which equal to the
number of people opting for any other Chicken Dish
(2.15) WHERE WOULD YOU EAT IN CASE THERE WAS NO KFC?
ALTERNATE EATING JOINT
26%
6%
13% 6% 6%
10%
33%
Mc Donald's Pizza Hut Home Yo ChinaKarims Nirulas Others
Figure 2.15
57
ALTERNATIVE CHOICE OF DISH
10%
16%
3%
26%6%10%
3%
13%
13%
Chicken Mc Grill Chicken Burger PizzaChicken Manchurian Chicken ThaliSandwich Home Food Others
(2.16) Which of the following best describes what you were looking for in the Bucket Of Chicken
45%
0%18%
9%
9%
18%
0%
Discover a new taste Pick myself up (Positive energy/uplift mood)Share with others Quick fix mealSaving time (by not cooking) Reward myself/ othersSpecific food taste
Figure 2.16
(2.17) Why is this dish apt for this occasion
Figure 2.17
58
BUCKET IS APT FOR THIS OCCASION BECAUSE (%)....
6
912
20
1214
3
96 6 3
Good Taste Wanted to experiment Tried before & liked New tasteRecommended Value for money Speciality of KFC SpicyCruncy Filling Treat
(3) ZINGER BURGER
(3.1) Sample Covered- Outlet wise
Noida 35Rajouri 15Total Sample Covered 50
(3.2) GENDER
GENDER
Male72%
Female28%
Figure 3.2
59
(3.3) AGE DISTRIBUTION
AGE
16%
38%26%
12%8%
18 or below 19-24 25-29 30-39 40 and above
Figure 3.3
The age group of 19-24 years comprises 38% of Zinger Burger Consumers followed by
25-29 years of age group (26%)
(3.4) SEC
SEC
64%
34%
2% 0%
SEC A1 SEC A2 SEC B1 SEC B2
Figure 3.4
Insignificant penetration in SEC B1 & B2 for Zinger Burger.
60
(3.5) GROUP SIZE
NUMBER OF PEOPLE IN THE GROUP
8
60
16
82
6
0
10
20
30
40
50
60
70
One Two Three Four Five More than5
Figure 3.5
60% of Zinger Consumers come in groups of “Two’s”
(3.6) EDUCATION
EDUCATION
12%
14%
30%
44%
School upto 12th Some College but not graduateGraduate/PG General Graduate/PG Professional
Figure 3.6
61
(3.7) OCCUPATION
OCCUPATION
40%14%
0% 0%8%
38%
Student Executive/OfficerBusinessman Self Employed ProfessionalHouse Wife Others
Figure 3.7
Majority of Zinger consumers are Students followed by Executives/Officers similar to
Bucket Consumers
(3.8) GROUP TYPE
GROUP TYPE
40%
28%
20%
2% 10%Friends
Work Colleagues
Family
Couple
Alone
Figure 3.8
62
(3.9) DAY PART (%)
8
34
48
10
0%
20%
40%
60%
80%
100%
11am-1 pm 1 pm-3 pm
3 pm-7 pm 7 pm-11pm
Figure 3.9Zinger has highest “snack presence” and also a significant number of customers at lunch
(3.10) NUMBER OF TIMES VISITED EARLIER
NUMBER OF TIMES VISITED EARLIER
24%
42%
34%
1-2 times 3-4 times 4+ times
Figure 3.10
42% of Zinger Burger Consumers are moderate or heavy consumers who have visited the
outlet more than 4 times
63
(3.11) What else has been ordered along with the main dish?
Soft Drink & French Fries are again the most obvious Ordered with Zinger (main dish)
(3.12) REASON FOR VISITING KFC
Figure 3.12
64
WITH ZINGER BURGER...
62%
0%0%
2%0%
2%2%2%
30%10%
6%
94%Soft Drink
French fries
Thali
Burger
Snacker
Salad
Bread
Ice cream/ sundae
Coleslaw
Hot & Crispy Chicken
Original Recipe Chicken
Crispy Chicken Strips
REASONS FOR VISITING KFC6%
18%
14%
16%16%
2%
10%
18%
After Shopping Work Lunch
Catching up with friends Quick meal (on the go) Indulge/ Treat myself/ourselves to great food Celebrating special occasions/events
Break from home food Want a specific type of food
(3.13) MAIN DISH ORDERED ON LAST VISIT
Zinger Burger Consumers seem to be very loyal to the product & obviously like the
product too
(3.14) What would you eat if there was no KFC?
ALTERNATE CHOICE DISH
14%
4%10%12%6%
4%
28%
22%
Chicken Mc Grill
Chicken Burger
Fillet-O-Fish
Pizza
Chicken
Sandwich
Home Food
Others
Figure 3.14
For 36% Zinger burger consumer Burger itself is the alternate choice in case there was no KFC
65
MAIN DISH ORDERED ON LAST VISIT
2% 6%12%
60%
4% 8%
6%
2%
Chicken Crunch Snacker
Chicken Thali
Hot & Crispy Chicken
Original Recipe Chicken
Crispy Chicken Strips
Zinger burger
Colonel burger
Bucket Of Chicken
(3.15) Where would you go if there was no KFC?
ALTERNATE EATING JOINT
10%4%6%6%
6%
4%
20%44%
Mc Donald'sPizza HutHomeYo ChinaKarimsNirulasSubway
Others
(3.16) Which of the following best describes what you were looking for in the Zinger Burger
Figure 3.16
Zinger Burger is attracting people who want to experiment and discover a new taste.
IT REFLECTS THE FACT THAT PEOPLE ARE GETTING BORED OF THE USUAL
(Read Mc Donald’s)
66
EXPECTATION FROM ZINGER BURGER
10%0%20%
20% 40%
0%
10%
Discover a new taste
Pick myself up (Positiveenergy/uplift mood)
Share with others
Quick fix meal
Saving time (by notcooking)
Reward myself/ others
Specific food taste
(3.17) WHY IS THIS DISH APT FOR THIS OCCASION
(4) HOT & CRISPY VS ORIGINAL RECIPE
(4.1) Sample Covered- Outlet wise Table 4.1
Hot & Crispy Original RecipeNoida 27 29Rajouri 23 21Total Sample Covered 50 50
67
ZINGER BURGER IS APT FOR THIS OCCASION BECAUSE
18%
8%
34%
10%
6%
4%
2%
6%
2%
8%
6%
0% 5% 10% 15% 20% 25% 30% 35% 40%
Good Taste
Wanted to experiment
Tried before & liked
New taste/Different taste
Crispy
Value for money
Light
Only because of chicken
Spicy
Filling
Recommended by friends
(4.2) GENDER
ORIGINAL RECIPE
Male88%
Female12%
HOT & CRISPYFemale22%
Male78%
Figure 4.2a Figure 4.2b
(4.3) AGE
HOT & CRISPY
16%
24%28%
24%8%
18 or below 19-24 25-29 30-39 40 and above
ORIGINAL RECIPE
10%
36%22%
20%
12%
18 or below 19-24 25-29 30-39 40 and above
Figure 4.3a Figure 4.3b
36% OR Consumers are in 19-24 age group than 24% H&C Consumers
68
(4.4) SEC
HOT & CRISPY
16% 2%
80%
2%
SEC A1 SEC A2 SEC B1 SEC B2
ORIGINAL RECIPE
56%34%
6% 4%
SEC A1 SEC A2 SEC B1 SEC B2
Figure 4.4a Figure 4.4b
(4.5) NUMBER OF PEOPLE IN A GROUP (%)
HOT & CRISPY
18
54
166 4 2
0102030405060
One Two Three Four Five Morethan 5
ORIGINAL RECIPE
16
62
16
0 06
010203040506070
One Two Three Four Five Morethan 5
Figure 4.5a Figure 4.5b
69
(4.6) EDUCATION
HOT & CRISPY
10%
12%
50%
28%
School upto 12th Some College but not graduate
Graduate/PG General Graduate/PG Professional
ORIGINAL RECIPE
14%
16%
40%
30%
School upto 12th Some College but not graduate
Graduate/PG General Graduate/PG Professional
Figure 4.6a Figure 4.6b
(4.7) OCCUPATION
HOT & CRISPY
28%
28%
6% 8% 0%
30%
Student Executive/OfficerBusinessman Self Employed ProfessionalHouse Wife Others
ORIGINAL RECIPE
16%
36%36%
6% 6% 0%
Student Executive/OfficerBusinessman Self Employed ProfessionalHouse Wife Others
Figure 4.7a Figure 4.7b
70
(4.8) GROUP TYPE
HOT & CRISPY
22%
10%14% 24%
30%
Friends Work Colleagues Family Couple Alone
ORIGINAL RECIPE
32%30%
24% 0% 14%
Friends Work Colleagues Family Couple Alone
Figure 4.8a Figure 4.8b
Table 4.8c Hot & Crispy Original RecipeAverage Group Size 2.3 2.28
(4.9) DAY PART (%)
HOT & CRISPY
10
30
56
4
0%
20%
40%
60%
80%
100%
11am-1 pm 1 pm-3 pm3 pm-7 pm 7 pm-11pm
ORIGINAL RECIPE
18
66
14
20%
20%
40%
60%
80%
100%
11am-1 pm 1 pm-3 pm3 pm-7 pm 7 pm-11pm
Figure 4.9a Figure 4.9b
Both have significant snack presence significantly more so in case of OR. H&C is
more customers during lunch while OR has more customers at dinner time
71
(4.10) NUMBER OF VISITS TO THE OUTLET EARLIER
HOT & CRISPY
28%
20%
52%
1-2 times 3-4 times 4+ times
ORIGINAL RECIPE
28%
50%
22%
1-2 times 3-4 times 4+ times
Figure 4.10a Figure 4.10b
New Customers of KFC are attracted by H&C later they try OR and eventually settle
according to their taste & liking, higher percentage settling for H&C (52%) than OR
(50%)
(4.11) What else has been ordered along with the main dish?
72
…...With ORIGINAL RECIPE
0%
42%
8%
4%
2%
20%
2%
6%
4%
4%
28%
6%
72%Soft Drink
French fries
Thali
Burger
Snacker
Salad
Bread
Ice cream/ sundae
Coleslaw
Veggie Feast
Original Recipe
Crispy Chicken Strips
Chicken Tikka Wrap n Roll
With HOT & CRISPY
54%
8%
38%
8%
0%
8%
4%
12%
4%
6%
4%
2%
82%Soft Drink
French fries
Thali
Burger
Snacker
Salad
Bread
Ice cream/ sundae
Coleslaw
Paneer Tikka Wrap n Roll
Hot & Crispy
Crispy Chicken Strips
Zinger Burger
(4.12) REASONS FOR VISITING KFC
106
39
82 57
0 2 4 6 8 10
HOT & CRISPY
After Shopping Work Lunch
Catching up with friends Quick meal (on the go) Indulge/ Treat myself/ourselves to great food Celebrating special occasions/events
Break from home food Want a specific type of food
6
76
910
24
6
0 2 4 6 8 10
REASON FOR VISITING KFC (OR)
After Shopping Work Lunch
Catching up with friends Quick meal (on the go)
Indulge/ Treat myself/ourselves to great food Celebrating special occasions/events
Break from home food Want a specific type of food
Figure 4.12a Figure 4.12b
(4.13) Which main dish was ordered during last visit?
MAIN DISH ORDERED ON LAST VISIT (H&C)
42%
12%
20%
6% 6% 2%2%
4%
6%
Chana Crunch Snacker Paneer Tikka Wrap n RollChicken Crunch Snacker Hot & Crispy ChickenOriginal Recipe Chicken Crispy Chicken StripsZinger burger Colonel burgerBucket Of Chicken
MAIN DISH ORDERED ON LAST VISIT (OR)
2% 4% 4%
23%
20%
13%
34%
Veggie Feast Chicken Crunch SnackerChicken Thali Hot & Crispy ChickenOriginal Recipe Chicken Crispy Chicken StripsZinger burger
Figure 4.13a Figure 4.13b
73
(4.14) REASON FOR VISITING KFC
106
39
82 57
0 2 4 6 8 10
HOT & CRISPY
After Shopping Work Lunch
Catching up with friends Quick meal (on the go)
Indulge/ Treat myself/ourselves to great food Celebrating special occasions/events
Break from home food Want a specific type of food
6
76
910
24
6
0 2 4 6 8 10
ORIGINAL RECIPE
After Shopping Work LunchCatching up with friends Quick meal (on the go)
Indulge/ Treat myself/ourselves to great food Celebrating special occasions/events Break from home food Want a specific type of food
Figure 4.14a Figure 4.14b
(4.15) Which of the following best describes what you are looking for?
EXPECTATION FROM THE HOT & CRISPY
14% 0%
0%
29%
0%14%
43%
Discover a new taste Pick myself up (Positive energy/uplift mood)Share with others Quick fix mealSaving time (by not cooking) Reward myself/ othersSpecific food taste
EXPECTATION FROM ORIGINAL RECIPE
29%
0%14%7%7%
36%
7%
Discover a new taste Pick myself up (Positive energy/uplift mood)
Share with others Quick fix meal
Saving time (by not cooking) Reward myself/ others
Specific food taste
Figure 4.15a Figure 4.15b
74
(4.16) What would you have eaten on this occasion if there was no KFC?
ALTERNATIVE CHOICE OF DISH (H&C)
18%
12%
6%4%6%4%6%
14%
24%
4%2%
Chicken Mc Grill
Chicken Burger
Mc VeggieBurgerFillet-O-Fish
Pizza
Chicken
Butter Chicken
Chicken Platter
Sandwich
Home Food
Others
ALTERNATE CHOICE DISH (OR)
16%
4%8%4%6%4%10%
6%
20%
20%2%
Chicken Mc Grill
Chicken Burger
Mc VeggieBurgerFillet-O-Fish
Pizza
Chicken
Butter Chicken
Chicken Platter
Sandwich
Home Food
Others Figure 4.16a Figure 4.16b
H&C: Burgers together comprise 54% as the alternate choice while a chicken dish is
only 14%
OR: Burgers together comprise 56% as the alternate choice while a chicken dish is
only 20%
(4.17) Where would you have eaten on this occasion if there was no KFC?
ALTERNATE EATING JOINT (H&C)
40%
8%
34%
12%0%2%
4%
Mc Donald's
Pizza Hut
Home
Yo China
Dabbas
Subway
Others
ALTERNATIVE EATING JOINT (OR)
52%
4% 6% 4% 4%
30%
0%
McDonald'sPizza Hut
Home
Yo China
Dabbas
Subway
Others
Figure 4.17a Figure 4.17b
Mc Donald’s is the clear alternate choice for majority of KFC Consumers
75
(4.18) Vegetarians as a percentage of total number of consumers (who accompanied H&C or OR consumers)
Table 4.18Hot & Crispy 3.45%Original Recipe 6.14%
(4.19) Why is this Dish apt for this occasion?
Figure 4.19b
76
75152
70 2 3
2000
7
0 2 4 6 8 10 12 14 16
Good TasteWanted to
Tried before & likedNew taste
CrispyValue for money
LightOnly because of
SpicyJuicy
FillingTenderOthers
H&C Is Apt For This Occasion Because...
38
650
33
00
33
214
0 2 4 6 8 10 12 14
Good Taste
Wanted to experiment
Tried before & liked
New taste
Crispy
Value for money
Light
Only because of chicken
Spicy
Juicy
Filling
Tender
Others
OR Is Apt For This Occasion Because....
(5) FINDING OF PHASE II- SNAPSHOT:
5.1 CHANA CRUNCH SNACKER & CHICKEN CRUNCH SNACKER
CHANA CRUNCH SNACKER
CHICKEN CRUNCH SNACKER
AGE 19-24 19-24SEC A1 A1,A2Average Group Size 2.84 2.58Education Grad/PG General Grad/PG GeneralOccupation Student/Executive,
officer Student/Executive, officerDay Part 3p.m. to 7p.m 3p.m. to 7p.mGroup Type Friends/Family Friends/FamilyNumber of visits 1-2 times 1-2 timesWhat else has been ordered along with the main dish
Soft Drink, French Fries
Soft Drink, French Fries
Reason Quick meal (on the go), Catching up with friends
Quick meal (on the go), Catching up with friends
Main Dish ordered last time Veg Thali & Veggie Feast
H&C
Alternate dish Burger (Aloo Tikki Burger)
Burger
Alternate eating-joint McDonald’s McDonald’sExpectations for the dish Quick meal, Discover
a new tasteQuick meal, Discover a new taste
Why is this apt apt for this occasion
Wanted to experiment, Light
Light, Wanted to experiment
Product: Light, New & Unique taste , Affordable
Key target customers: 19-24 year students and executives belonging to SEC A1 and
also SEC A2 in case of Chicken Crunch Snacker.
Day Part: Snack time (3p.m. – 7p.m.)
Need State: (a) Quick Meal on the go (b) A new exciting taste at affordable price (c)
Convenient place to interact with friends & de-stress
77
Occasion: Catching up with friends over a snack or a Quick Meal with family and
friends
Positioning: Fast-food, exciting, uniqueness, young, lightness, Value for money,
Enjoyable break/ togetherness of friends & family
However its target segment is quiet limited to young adults, mainly students and
vegetarian consumers accompanying a group which is a matter of concern.
Recommendation:
(1) Adding a few more variations in snacker especially Chana Crunch on the lines of
“Aloo McTikki Burger” & “McVeggie Burger” of McDonald’s which are very popular
(2) Adding a new range of light sandwiches that KFC already has in other countries
5.2. CHICKEN in a BUCKET
CHICKEN in a BUCKETAge 19-24, 25-29SEC A1,A2Average Group Size 3.87
Education Grad/PG Professional, Grad/PG General
Occupation Student/Executive, officer
Day Part 3p.m. to 7p.mGroup Type Friends (49%)Number of visits More than 4 timesWhat else has been ordered along with the main dish Soft Drink, French Fries
Reason Indulge treat myself/others to great food
Main Dish ordered last time H&CAlternate dish Burger (26%) , Chicken (26%)Alternate eating-joint McDonald’s
78
Expectations for the dish Discover a new taste
Why is this apt for this occasion Good Taste, Tried and liked before
Product: Filing, Uniqueness, Taste , Crispy & Crunchy, Heritage
Key target customers: 19-24 and 25-29 year students and executives belonging to
SEC A1 and SEC A2, Moderate to heavy visitors
Day Part: Snack time (3p.m. – 7p.m.)
Need State: (a) Filling meal (b) Indulge/treat myself/others to great food (c) A new
unique taste (d) Convenient place to interact with friends & de-stress
Occasion: Enjoyable togetherness of friends over a meal or treating them for special
occasions with great food
Positioning: Fast-food, exciting, uniqueness, young, filling, Crispy & Crunchy,
Value for money, Enjoyable break/ togetherness of friends, Heritage story
However its target segment is quiet limited to young adults, mainly students and
vegetarian consumers accompanying a group which is a matter of concern
Recommendations:
(1) To increase its popularity in groups of families and in higher age groups it can be
Combo-ed with Bread or with Veggie Pulao+ Curry since at lunch or dinner this
combination gives a more “Filling-Meal-Appeal”
(2) Although Chicken Thali is a good affordable meal, the Makhani Curry is not very
appealing to customers and needs to be changed when Combo-ed with COB else
it spoils the experience of Eating COB too
79
(3) KFC at present has just the fried chicken while that is a new taste that’s attracting
Indian customers however in sync with the Indian palate it should come out with
Roasted, Grilled Chicken which are dry or semi-dry since there is a large number
of potential customers there who are ready to experiment the Indian Chicken Dish
with a different taste but are a little wary of trying a “Complete American Food”.
5.3. ZINGER BURGER
Zinger BurgerAge 19-24 (36%) , 25-29 (26%)SEC A1,A2Average Group Size 2.58Education Grad/PG ProfessionalOccupation Student/Executive, officerDay Part 3p.m. to 7p.mGroup Type Friends , Work ColleaguesNumber of visits More than 4 timesWhat else has been ordered along with the main dish
Soft Drink, French Fries & H&C
Reason Work Lunch & Want Specific type of food
Main Dish ordered last time Zinger BurgerAlternate dish Burger (36%)Alternate eating-joint McDonald’sExpectations for the dish Discover a new taste
Why is this apt for this occasion Tried and liked before (34%), Good Taste (18%)
Product: Filing, Innovative, Uniqueness Concept of a big chicken piece in a burger, Taste, Crispy & Crunchy
Key target customers: 19-24 and 25-29 year students and executives belonging to SEC
A1 and SEC A2, Moderate to heavy visitors
Day Part: Highest Snack time (3p.m. – 7p.m.), however meal time (lunch & dinner)
presence significant too
80
Need State: (a) Filling lunch (b) Specific food taste (c) A unique riveting taste (d)
Convenient place to interact with friends & de-stress
Occasion: Work lunch & Craving for a specific taste
Positioning: Fast-food, interesting palate unique to KFC, young, filling, Crispy &
Crunchy, Surprising break from other burgers (McDonald’s)
The only areas that need probing is:
(1) The Crispiness of the burger is not as much as claimed.
(2) There is a divided opinion on whether the chicken piece in Zinger Burger be of the
present big size or smaller pieces assorted together to make it easier to eat.
5.4. HOT & CRISPY and ORIGINAL RECIPE
HOT & CRISY ORIGINAL RECIPEAge 25-29 19-24SEC A1 (80%) A1(56%), A2 (34%)Average Group Size 2.30 2.28Education Grad/PG General Grad/PG General
OccupationExecutive, Officer(30%), Businessmen(28%)
Executive, Officer(36%), Businessmen(36%)
Day Part 3p.m. to 7p.m (56%) 3p.m. to 7p.m (66%)
Group Type Family, Work Colleagues
Friends, Work Colleagues
Number of visits More than 4 times More than 4 timesWhat else has been ordered along with the main dish Soft Drink, Burger Soft Drink, French
Fries
Reason After ShoppingIndulge/Treat myself/others to great food
Main Dish ordered last time H&C (42%), H&C (34%), OR
81
OR(12%) (23%)
Alternate dish Burger (54%), Chicken (12%)
Burger (56%), Chicken (20%)
Alternate eating-joint McDonald’s McDonald’s
Expectations for the dish Specific food taste Discover a new taste, Specific food taste
Why is this apt apt for this occasion
Tried before and liked Wanted to experiment
FOR HOT & CRISPY:
Product: Uniqueness, Taste , Crispy & Crunchy, Heritage
Key target customers: 25-29 year executives and businessmen belonging to SEC
A1,Moderate to heavy visitors
Day Part: Snack time (3p.m. – 7p.m.)
Need State: (a) Snacking (b) Specific food taste that's new unique & riveting (d)
Convenient place to relax with family and work colleagues & de-stress
Occasion: After Shopping for families and Work-lunch for Colleagues
Positioning: Fast-food, uniqueness, Chicken Specialist, Crispy & Crunchy, Enjoyable
break from work or shopping, International Taste & standard and Heritage story
82
FOR ORIGINAL RECIPE:
Product: Uniqueness, Taste ,Tender & Juicy, Secret formulae of 11 herbs, Heritage
Key target customers: 19-24 year executives and businessmen belonging to SEC A1 and
A2,Moderate to heavy visitors
Day Part: Snack time (3p.m. – 7p.m.)
Need State: (a) Snacking (b) Discover a new taste & A specific food taste (d)
Indulge/Treat myself/others to great food with friends and work colleagues & take a
break from normal boring food
Occasion: Enjoyable togetherness with friends over a great tasting snack and Work-
lunch for Colleagues
Positioning: Fast-food, uniqueness, New taste , Chicken Specialist, Tender & Juicy,
Adventurous , International Taste & standard ,Heritage story and Enjoyable break
H&C and OR
H&C is actually attracting people and it is the trial dish, OR is experimented after few
visits especially by a younger age group from both SEC A1 & A2 that is more
adventurous and are visiting KFC with a friends while families are generally settling for
H&C which is tried before & liked dish.
Recommendations:
(1) Its observed that a piece of H&C is included in “Chicken Thali”, “Variety Meal”, “2
in 1 Meal”, as the filling in “Zinger Burger and also has a “Chicken in a Bucket”
option. While OR is only available as a separate dish which implies there is no trial
83
by a consumers taking any of these other dishes. All these meals should also have an
option with OR and should be asked while ordering.
(2) More variations of Chicken Dishes (Roasted or Grilled, Dry or Semi-Dry) should be
introduced since lack of variety was a common complain by customers besides these
could be served with salad and ketchup of different types (Tomato, Chilly, Mint,
Tamarind etc) to enhance taste and give more options to customers.
(6) Comments by consumers of KFC
NOIDA
A very strong pungent smell (of frying of Chicken)
Plates given were cracked
French fries are not good/not fresh
Curry given with Chicken Thali is awful
Wrong orders were served by helper
Chicken piece in the Zinger Burger is one single big piece which makes it
uncomfortable to eat
The Chicken Tikka Wrap ‘n’ Roll has a bone in its tikka
Lack of variety in the menu & Standardization of products at different outlets
RAJOURI
No fizz in the Soft Drink
The Burgers is soft & starts breaking after some time
They have only one type of ketchup (tomato)
Lack of variety in the menu & Standardization of products at different outlets
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OVER ALL POSITIONING:
Nature favors extremes
The same is true in marketing. The best chance for success is to position your brand
as far from the leader as possible. Build your position too close to the leader & they
will crowd you out. For example Coke is marketed as authentic & red while Pepsi is
choice of a new generation & blue.
So even though Mc Donald’s is undoubtedly the most important competitor of KFC,
KFC should try being as different as it can because although consumers may be
looking for the same dish called burger but clearly want a completely new, different
taste.
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APPENDIX - QUESTIONNAIRE (PHASE I)
Respondent's Personal Details
For Mc Donald's consumers
DayRespondent's Name Sex Age
Address Occupation
No. in the group
Nature of group
Veg / Non veg split
Total bill value
No. of times visit to the outlet
Last time you visited the outlet
Other fast food outlets you visit
Are you aware of KFC?
Visited KFC
No. of times visited KFC
Last time visited KFC
Fast food eating out frequency
Reasons for eating out
APPENDIX D- QUESTINNAIRE (PHASE-II)
Market Visit Questionnaire (In-store)
Name: ________________________________Sex: M / F
Address:___________________________________________________________________
Age:
(a) 18 or below (b) 19-24 (c) 25-29 (d) 30-39 (e) 40 and above
Occupation:
(a) Student (b) Executive/Officer (c) Businessmen (d) Self Employed Professional (e) House Wife (f) Others(Specify)
Education:
(a) School up to 12th (b) Some College but not graduate (c) Graduate/PG General (d) Graduate/PG Professional
Group Type:
(a) Friends (b) Family (c) Work Colleagues (d) Bf/Gf (e) Alone (f) Others(Specify) ___________
No. of people in the group: _______________Veg/ Non Veg split: _____________________Education & Occupation of the person who contributes maximum to the household:
Illiterate School upto 4
School upto 5-9
SSC/ HSC
Some college but
Graduate/ PG
Graduate/ PG (Prof)
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yrs yrs not grad (Gen)Unskilled E2 E2 E1 D D D DSkilled worker E2 E1 D C C B2 B2Petty trader E2 D D C C B2 B2Shop owner D D C B2 B1 A2 A2Businessman/IndustrialistNo. of employeesNone D C B2 B1 A2 A2 A11-9 C B2 B2 B1 A2 A1 A110+ B1 B1 A2 A2 A1 A1 A1Selfemployed professional
D D D B2 B1 A2 A1
Clerical/Salesman D D D C B2 B1 B1Supervisory level D D C C B2 B1 A2Officer/Executive (Junior)
C C C B2 B1 A2 A2
Officer/Executive(Middle/Sr)
B1 B1 B1 B1 A2 A1 A1
Hi, I am here to ask you a few things about your eating preferences, our food and your
suggestions to improve your eating experience here. I would be grateful if you can spare a
few minutes for the same.
Q1. Which of the following best describes your visit to KFC today?
First visit 1Visited earlier 2
Proceed to Q2 if coded 2 in Q1, else terminate
Q2. How many times you have visited earlier?
1-2 times 13-4 times 24+ times 3
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Now let’s discuss what you have eaten here today
Q3. Which of the following best describes the main dish you had here today?
Veg Code Non Veg CodeChana Crunch Snacker 1 Chicken Crunch Snacker 6Veg Thali 2 Chicken Thali 7Veg Fingers 3 Hot & Crispy Chicken 8Veggie Feast 4 Original Recipe Chicken 9Paneer Tikka Wrap n Roll 5 Crispy Chicken Strips 10
Chicken Tikka Wrap n Roll 11Zinger burger 12Colonel burger 13Bucket Of Chicken 14
Q4. Which of the following did you order along with your main dish?
Soft Drink 1French fries 2Thali 3Burger 4Snacker 5Salad 6Bread 7Ice cream/ sundae 8Coleslaw 9Any Other (Please mention) 10
Q5 (a). Which of the following reasons best describes your current visit to KFC?
After Shopping 1Work Lunch 2Catching up with friends 3Quick meal (on the go) 4Indulge/ Treat myself/ourselves to great food 5Celebrating special occasions/events 6Break from home food 7Want a specific type of food 8
Q5 (b). Which of the following best describes what you are looking for in the dish ordered by you at KFC?
Discover a new taste 1Pick myself up (Positive energy/uplift mood) 2
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Share with others 3Quick fix meal 4Saving time (by not cooking) 5Reward myself/ others 6Specific food taste 7
Q6. You just had _________________ (Refer to Q3). What in your current dish made it a perfect choice for ________________________occasion (quote from Q5)This dish (__________________________) was apt for ___________________(occasion) because____________________________________________________________________
Q7. Imagine if there was no KFC. What would you have eaten on this occasion? (Instead of what you referred in Q3)
_______________________________________________________________________
Where?________________________________________________________________________
Q8. Which of the following main dish you had on your last visit to KFC?
Veg Code Non Veg CodeChana Crunch Snacker 1 Chicken Crunch Snacker 6Veg Thali 2 Chicken Thali 7Veg Fingers 3 Hot & Crispy Chicken 8Veggie Feast 4 Original Recipe Chicken 9Paneer Tikka Wrap n Roll 5 Crispy Chicken Strips 10
Chicken Tikka Wrap n Roll 11Zinger burger 12Colonel burger 13Bucket Of Chicken 14
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BIBLIOGRAPHY
Web Siteswww.kfc.com
www.google.com
www.ask.com
www.wikipedia.com
Class Notes is referred
Magazines
India Today
Business Today
The week
Outlook Express
Newspapers
The Times of India
The Hindustan Times
The Economic Times
Books:
PHILIP KOTLER, MARKETING MANAGEMENT, NEW MILLENNIUM
EDITION 2000.
V.S RAMASWAMY AND S. NAMAKUMARI MARKETING MANAGEMENT,
SECOND EDITION.
WILLIAM STANTON.J, MICHALL J.ETJEC, BRUCE J.WALKER
FUNDAMENTAL OF MANAGEMENT.
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