KFC in China Marketi KFC in China Marketing Strategy(1).ng Strategy(1)

download KFC in China Marketi KFC in China Marketing Strategy(1).ng Strategy(1)

of 7

Transcript of KFC in China Marketi KFC in China Marketing Strategy(1).ng Strategy(1)

  • 7/27/2019 KFC in China Marketi KFC in China Marketing Strategy(1).ng Strategy(1)

    1/7

    KFC in China Marketing Strategy

    KFC in China, one of the marketing strategy: the first Brand Strategy

    KFC Corporation belonging to the world's largest restaurant group Yum

    global food system group (the list of world top 500 enterprises), the group owns,including the world famous Kentucky Fried Chicken, Pizza Hut, Taco Bell three

    brands, currently has more than 30,000 chain restaurants.

    Yum Chinese market is the world's fastest growing restaurant groups in the

    global strategy and one of the most potential market. China is Yum Yum Group

    Global Restaurant Group's International collaboration in the development

    of China was founded, headquarters. Kentucky since 1987, in Beijing the front door

    opened the first restaurant after it had been in Beijing, Shanghai, Hangzhou, Qingdao,

    Nanjing, Guangzhou, Suzhou, Wuxi, Tianjin, Fuzhou, Shenyang, Xi'an,

    Chengdu, Wuhan, Shenzhen, Harbin and other places Co., Ltd. was established more

    than 20. So far, 111 cities in China already has 440 stores. KFC in China, a total of

    25,500 employees at work, restaurant employees have 100% localization, ranking

    China's fast-food industry in the first place.

    The reason why Kentucky is so successful, mainly depends on its marketing strategy

    in China.

    KFC and McDonald's, who is "the first"? In the KFC

    China's first 400 restaurants - Henderson Center store the openingceremony, KFC has not only publicly declared that he was "the

    first" for the first time with the rival McDonald's direct

    comparison.

    Coincidentally. World-famous research company AC Nielsen in 30 cities in China, the

    16,667 copies of the questionnaire survey: the "most customer

    patronage" of international brands, Kentucky ranked first, more than

    McDonald's. November 13, 2000, published by the China Chain Store

    & Franchise Association, the five "best franchise brand in China

    2000", the subsidiary of China Yum's KFC brand as the only

    foreign investment is particularly recommended international selection. This is true.

    Kentucky Fried Chicken entered the Chinese market and expand the strategic course,

    always the "Kentucky" as the first brand of China's

    catering industry to run.

    The early 90s, KFC Su, president of Chinese companies came to China of Mr., and

    employees described the vision of KFC. The Chinese KFC (KFC) brand Zuocheng

    the first brand of Chinese restaurants, and even the world's most popular

    restaurant brand. Company Mr. Su Jingshi in the development process at all levels ofmanagement together with the continued promotion and elaboration of this goal. KFC

  • 7/27/2019 KFC in China Marketi KFC in China Marketing Strategy(1).ng Strategy(1)

    2/7

    every new employee, to work well the first day of this goal. This makes Kentucky the

    company all staff have a common blueprint, a common vision. Everyone knows the

    future will be a Kentucky company looks like. Liu Jianming, general manager of KFC

    Beijing, as the company said: success at different times in different proportions. Our

    only goal is not more than rivals, but how to keep the consumer in mind brand.

    "KFC," the first brand strategy, the initiative can be summarized

    as the following three aspects:

    1, taking the big cities, accurate location.

    Health care products market has tended to "encircle the cities from rural

    areas", while the catering is first captured cities, then spread to smaller

    cities. KFC enter the Chinese market first focused radiation occupied most of the city.

    September 1986, Kentucky Fried Chicken into the company began to consider the

    most populous of the Chinese market, to explore the huge potential inherent in the

    market. But many challenges to policy makers in Kentucky hesitation. This family is

    the world's largest chicken restaurant, in front of the Chinese market is

    completely unknown, KFC's pure Western style could be acceptable to

    Chinese consumers? Development of the Chinese market, not only requires technical

    resources, more importantly, valuable management resources needed. In addition,

    China can not export a lot of hard currency profits, even moderate levels of export is

    unlikely. The most critical is to enter the Chinese market must select a specific

    investment location, which is then with great uncertainty: the first Jia Ying Dangchosen where Kentucky Fried Chicken shop? This decision will have future earnings,

    other regions in China to further open up and the management of resources put into

    the determination of such a dramatic impact.

    KFC through a comprehensive, in-depth market research to confirm enter the Chinese

    market as a target market must be large cities: with 100% of the energy to attack

    Beijing, then Shanghai and Hangzhou. Because of Beijing in China is high ground.

    November 12, 1987 Kentucky busy Qianmen area in Beijing set up its first restaurant

    in China, while Beijing KFC Co., Ltd. is the first time Beijing is home to fast-food

    Chinese joint venture. The development of Beijing as a starting point for the

    development of KFC in the country as a prairie fire.

    Shanghai is China China contend, affect Hangzhou, Nanjing, Suzhou, Wuxi and the

    entire Yangtze River Delta. Shanghai 1989 has opened its first KFC restaurant, KFC

    chain stores in Shanghai has reached more than 60, and break the world record of fast-

    food industry's turnover, so far, the single-store sales results more than 40

    million home in the world. Guangzhou have Dilirenhuo advantage. After 90 years of

    the 20th century, Kentucky has to undertake solid offensive Tianjin, Fuzhou,

    Shenyang, Xi'an, Chengdu, Wuhan, Shenzhen, Harbin and other cities.

  • 7/27/2019 KFC in China Marketi KFC in China Marketing Strategy(1).ng Strategy(1)

    3/7

    In determining the "capture of large cities" strategy, site

    selection strategy is very important. Location is the primary factor in hotel

    management, food chain too. The correct location chain is not only a prerequisite for

    its success is to achieve chain standardization, simplification, the prerequisite and

    basis for specialization. Therefore, the KFC fast food shop on site is very important,site selection decision-making is generally two examination and approval system,

    through the two Boards, one local company, the other is the headquarters. The site is

    almost 100 percent success rate, is one of Kentucky's core competitiveness.

    KFC site by following these steps: First, the business district of the division and

    selection. Business district of the division, mainly to attract consumers, energy

    measurement. Select business district, that is, to determine the current focus on

    business district in which shop, which main goal is. Selection criteria in the business

    district on the one hand to consider the restaurant's own market

    positioning, but also make a circle of stability and maturity. Market positioning of

    different restaurants to attract customers are not the same, the choice of business

    district is different. Second, the poly-off point of measurement and selection. Main

    contents are: to determine the business district, the most important poly-off points

    where; site selection must consider the flow of the main line will not be competitors

    stopped; Poly-off point selection affect business district selection.

    To plan a good business district, Kentucky Development, has invested enormous

    effort. In Beijing, KFC Corporation, the Development Department staff perennial

    traveled to Beijing every corner, on the annual construction and road changessignificantly, the locals are easy to get lost in the local well known. Often this occurs,

    the Beijing KFC company received a customer call, the proposed KFC in the spot

    where he set point, developers can one address-known local business environment,

    suitable for shop. In Beijing, KFC has been divided into according to their own

    investigation business district, more than 60 successful out of the restaurant.

    2, positioning cooking chicken expert, standardized services.

    KFC Chicken market advantage for its unique taste of food, location in the

    "world-renowned expert cooking chicken,"

    "delicious cooking chicken, all in Kentucky," Kentucky Fried

    Chicken and McDonald's positioning is also the biggest difference. Its 60

    years of cooking experience cooking the chicken out of chicken products, plain

    chicken, spicy chicken wings, spicy chicken burgers, boneless chicken breast strips,

    etc., golden crispy outer layer, the inner tender and juicy, with its unique delicious

    taste widely praised for the customer. KFC in a variety of advertising also continued

    to strengthen its "Cooking the chicken expert" the selling point.

    KFC belongs Yum Greater China said Mr. Su, president of KFC in China, one of thereasons is that it successfully developed a taste for fast food varieties of Chinese

  • 7/27/2019 KFC in China Marketi KFC in China Marketing Strategy(1).ng Strategy(1)

    4/7

    consumption, whether chicken wings and chicken hamburgers these is rich in

    essential nutrients food, or mashed potatoes, green salad and fresh vegetable soup and

    other delicious hibiscus nutrition, catering, are very suitable for the Chinese people

    "eat fine" requirements. KFC to introduce more Chinese people

    taste the food, but also set up a "health food in China KFCCommittee", to employ more than a dozen national experts as a food

    development backing.

    KFC to family members as the main target consumer. The focus is more receptive to

    the promotion of foreign culture, fresh young things, all the food, the service

    environment are targeted and designed. This is because young people prefer Western-

    style fast food airy dining atmosphere, and hopes to influence other age family

    members to visit. In addition, the Kentucky Children also spend a lot of energy to

    customers, the shop specialized Piyou dining area children, as children celebrate the

    birthday of the region, arranged to meet the children's favorite colorful

    decorations, holiday toys as gifts, on the one hand want to encourage the children

    from fast food snack habits, it also hopes to bring small children, to attract members

    of the family to accept the warm service shop.

    KFC to keep returning the consumer division, can be divided into severe, moderate,

    mild three types. Heavy consumers is once a week, moderate consumers about a

    month to once every six months once considered light users. After investigation,

    KFC's heavy consumers accounted for almost 30% -40%. On the heavy

    consumers, KFC's marketing strategy is to maintain their loyalty, do not letthem down. These heavy consumers know KFC is because they often visit. The waiter

    even KFC are good friends with them. Their unique and simple way is to not let them

    down. For example, quality, service attitude. For light users, the survey found that

    many people do not visit a KFC store the biggest factor is the convenience. This can

    only be achieved through continuous shop has.

    KFC worldwide to promote the "CHAMPS" Champion

    program that is standardized services, is KFC successful results, including the essence

    of the Chinese market, including one. Which reads: C: Cleanliness remain beautiful

    and clean restaurant; H: Hospitality to provide sincere and friendly hospitality; A:

    Accuracy ensure the accuracy of supply; M: Maintenance of equipment to maintain

    quality; P: Product Quality adhere to high quality and stable product: S: Speed

    attention fast quick service.

    Elegant environment. Clean and elegant dining environment is their key to success in

    the important magic weapon. Entered the KFC restaurant, it will give people bright

    colors, bright and clean, refreshing feeling, so that diners physical pleasure, feelings

    of relaxation. Gee sanitation equally praised, was serialized KFC restaurant

    equipment, and strict sterilization, cooking utensils are stainless steel, will never letthe customer worry about health issues. In the dining process, as long as there is a

  • 7/27/2019 KFC in China Marketi KFC in China Marketing Strategy(1).ng Strategy(1)

    5/7

    dirty, waiters will soon sweep clean, and even the toilets clean, has been carried out

    meticulously, how can one not be enjoyable?

    Extraordinary quality. Fast-food quality to attract consumers first and foremost factor

    is that the enterprises based on market basis. Fast-food quality mainly in terms ofmaterials is fine, flavor is unique and production is fine, and several other areas.

    KFC's unique taste in the world would relish, its color, aroma and taste of

    fast food makes love with Canada, many consumers, especially children, as long

    as've been a back has to go second, third back, this is because they The

    quality really makes impeccable. For example, "suck that flavor the

    chicken." Liu Jianming, general manager of Beijing KFC said,

    "suck that flavor the chicken," because eating this chicken, the

    juicy chicken fingers will be down to the dirty, food are due to their special taste and

    mouth to lick off, so named. The goal of KFC is so hard to eat those memorable

    dining experience.

    Attentive service. Service is an extension of product quality, good service is not no

    sales, that fast-food industry, especially prominent, Kentucky right service topics are

    very seriously. Just entered the restaurant, there will be warm and courteous waiters

    greeted and provide personalized service, so you really experience the feeling of when

    a return to God.

    In order to bring convenience for parents of young children, children with special

    furniture and KFC KFC Kids. Customers do not need to look for spices, napkins andother trivial matters bother, the only thing to do is to fully enjoy the delicious food

    and excellent service to bring you fun. Good standard of service from high-quality

    staff. KFC are very strict on hiring employees, and their regular training to the level

    of service specification. Meanwhile, the effective incentive mechanism is that they

    increase employee awareness of service and an important guarantee for the standard

    of service.

    In short, the "Champion Scheme" has a very highly detailed

    operational details required KFC restaurants around the world everywhere every staff

    strictly implement the unified standard of operation. This is not only a code of

    conduct, but KFC corporate strategy is to Kentucky for decades in the fast-food

    service management experience on the crystal.

    3, franchise, benefit-sharing.

    "Franchise" is a KFC representative first successful strategy of

    brand strategy, with "Chinese characteristics." Kentucky Fried

    Chicken to "franchise" as an effective way to expand their

    business in the world, has been more than 20 years, KFC started in Xi'an in1993, joined the business, now KFC has joined with nearly 20 restaurants. KFC in the

  • 7/27/2019 KFC in China Marketi KFC in China Marketing Strategy(1).ng Strategy(1)

    6/7

    Chinese market, "franchise" and its condition, model, cost and

    features as follows:

    (1) The franchisor should have them. Nanjing KFC Co., administration manager, said

    Ruan Ming, an important condition for the franchise, that franchisees must have abusiness catering and service and tourist industry background and experience, that is,

    the KFC franchise Bu Jin need to join those who have funds that condition, but also

    the operators themselves have a certain quality.

    (2) The franchise mode. KFC currently in the development of China franchise way

    than to join those who pay the initial fee, after their own shop, but to join those who

    finance the purchase of an ongoing operation and has been profitable in the chain.

    China Yum Group Manager Xu true, said: "KFC on the Franchise to have

    some choices, that non-agricultural population between 150,000 to 40 million people,

    per capita consumption of more than 600 small and medium cities, rather than

    catering industry city. "Meanwhile, Xu real added:" KFC in

    Shanghai, Beijing, Suzhou, Wuxi and Hangzhou in five cities are joint ventures, in

    which the relationship between Chinese and foreign parties involved, so far not taken

    into account. "

    (3) license fee. The new franchisee will be authorized to operate a KFC restaurant in

    operation among, each restaurant entry cost eight million yuan or more (not including

    real estate purchase). Access fee is a transfer fee and the purchase of a mature,

    profitable investments required KFC restaurant.

    (4) contract contract. Join the first franchise agreement for at least 10 years. Future

    franchisee must be willing to join the business in Kentucky more than 10 years.

    (5) training. The successful candidate will be asked to participate in an extensive 20-

    week training program, including the following: "restaurant assistant

    manager", "restaurant assistant manager",

    "restaurant manager", "how to manage franchisees

    Restaurant", "on the headquarters dedicated,

    "" small business management course. " In the

    training process, the future operators will be joining their own expenses. A restaurant

    management experience and industry operators can apply to join us remove some of

    the training.

    This new way of franchising is Kentucky known as the "Chinese

    characteristics", and its essence, that the strict rules of franchising behind

    KFC headquarters and franchisees is a common interest. KFC's success

    depends on the success of each franchisee. This initial fee charged for the domestic

    number of investors do not manage, no training, compared with the main chain, KFCstrong brand awareness is another guarantee of its success.

  • 7/27/2019 KFC in China Marketi KFC in China Marketing Strategy(1).ng Strategy(1)

    7/7