well known u.s fast food brands in india impact on indian consumers (research on fast food industry...
Post on 14-Jul-2015
Embed Size (px)
WELL KNOWN US FAST FOOD BRANDS IN INDIAIMPACT ON INDIAN CONSUMERSASAD HOOSAINMBA-13-007
1INTRODUCTIONHuge market shareHigh employment rate.(10 million jobs across the world)High growth rate.(India 40%,Globally 4.8%)Big business in India. (Rs.7750 cr.)Positive growth in future.
The Indian QSR industry is expected to grow at a CAGR of 27 % for the period from 2012-16.2
WHY NO INDIAN QSR BRANDS ON TOP?The lack of backend integration.Distribution channels.Centralized commissaries.Training resources.Vendor development.Capital backing and Most importantly standardization in taste IMPACT ON INDIAN CROWDNearly 40 percent of the people eating out are young adultsMore young professionals are eating fast food in urban india.New adda for hanging out!With 65% of Indias population below 35, many Indians fall in the 15-35 age bracket (including students and young working adults), the target audience of fast food industry.
9REASONS FOR EASTING OUTSIDES. No.ReasonsPercent to total1.Taste38.002.Convenience22.003.Alternative food15.004.Relaxation9.005.Variety of menu15.00TOTAL 100CONSUMERS PREFERENCE TOWARDS MENU
S.No.Type of Fast FoodPercent to total1.Burgers45.002Sandwitches23.003Pizzas30.004Others2.00TOTAL100.00CUSTOMER CHOICE BY LOCATIONLocationShare (%)Standalone54Supermarkets14Travel Locations32TOTAL10013CUSTOMERS PER WEEK2005-2008 13.1-16 lakhs
2008-2011 24.5 lakhs
2011-2014 86.6 lakhs- 1.7 crores14REASONS FOR WIDE ACCEPTANCEIndia has one of the youngest populations in the world, with nearly 65 percent of the population under 35 years of age.As many as 530 million indians will reside in urban areas by 2020Rise in nuclear families and youth spendingGrowth in disposable incomesThe rising urban middle class is also changing its food habits
Marketing might of powerful international brandsLargely driven by new outletsHISTORY AND PAST TRENDSTHE START:Change in gender rolesSub-urban communitiesRise of automobilesNew highway systemDouble Income GroupRelaxation in rules and regulations
17MAJOR TRENDS:Drive Through Service OR On the GoConsumerismFood for specific group(e.g., dieters, women, athletes, older adults)Menu diversificationConvenience foodFranchising Model
PRESENT TRENDSEating away form homeFunctional or Healthy fast foodsConvenience fast foodsGreen fast foodsEthnic foodsLow calorie foodsThe TV dinnerFresh foodsRegional foods
MARKETING STRATEGIESQuick Service Restaurants in India play on their strengths to create a brand promise. The brand promise can vary from fast food to low prices to healthy food.QSRs take their brand promise very effectively to the masses. In order to maintain the best food experience, the service, menu items and interiors are standardized.
LASTLYLocal players such as Faasos, Jumbo King and Kaati Zone are also growing quickly. It will grow to compete with global franchises. Healthy food options and low-price menu will also contribute to its growth, to attain a CAGR of around 27 % during 2012-2016. Continuous economic growth and improving employment situation will lead to higher personal expenditures on outside food.
24Fast food joints will also need to maintain their stance on pricing because the environment will remain extremely competitive. With so much territory left to conquer, fast-food chains are expanding fastfast food industry will experience modest improvement in the coming years.