KFC Marketing Analysis: SWOT, Segmentation, Marketing Mix

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In this article, you will learn about KFC Marketing Analysis. It will include Introduction, Vision Statement, Mission Statement, SWOT Analysis, Segmentation, Target Market, Success Strategies, Marketing Mix (4P’s) Strategies, Financial Statement and Conclusion of KFC

Table of Contents

Introduction

KFC is the biggest fast-food restaurant business in the world. It is located in Louisville, United States of America. KFC is also known as Kentucky Fried Chicken. KFC provides its customerstasty fresh fried chicken.

Harland Sanders discovered Kentucky Fried Chicken in Corbin. KFC primarily sells chicken strips, salads, wraps, sandwiches, burgers, and other food items. Since the 1960s, KFC has focused on international markets, and it has launched a new challenge by taking control over thefast food industry ofAsia.

KFC is having more than 750000 employees, approximately 18,000 restaurants worldwide in more than 120 nations.

KFC: Vision Statement

The vision statement of KFC is “To serve food in an efficient, pleasant environment that satisfies those who care about their budgets and their health“

KFC: Mission Statement

KFC’s primary goal is to increase the success of its clients, staff, and customers. In its mission statement, “KFC prioritizes becoming the top choice of their target audience“. Customers’ preferences have a significant impact for its growth.

Market Segmentation of KFC

Demographic Segmentation

KFC classifies the market based on demographics as follows:

Age: 6 to 65
Gender: Male and Female
Size of Family: 1 to 2, 3 to 4, 5 plus
Income: $150 and above
Education: Almost All
Occupation: Almost All
Generation: Not Specific
Family lifecycle: Almost All
Religion: Not Specific
Nationality: Almost All

Market Segmentation | Types, Benefits of Segmentation

Geographic Segmentation

KFC operates business internationally and has a number of stores in different countries. KFC focus onhow its customers’ product preferences vary based on their geographic location. For example, Australia has a diverse geographic segmentation. In Australia, there are 590 locations. KFC has introduced Halal Food for the Muslim community in Australia and has divided and advertised based on their needs

Psychographic Segmentation

KFC has divided the market into following psychographic segmentation:

Classified by Social Class: Upper, Middle and Lower Class
Classified by Lifestyle: Luxury and Extravagance
Classified by Personality: Highly social, food loving, modern and ambitious individuals

Behavioral Segmentation

Following are the behavioural factors used by KFC to segment the market:

Tastefulness
Quality-conscious
Being mindful of class
Combining value and pricing

SWOT Analysis of KFC

STRENGTHS

Owned by a large company
Unique flavored recipe
Fresh Taste
Wide range of products
Colonel’s trademark recipe and bucket
Recipe contains 11 secretspices and herbs
Food for vegetarians and vegans
Global Presence
Brand Recognition
Loyal customer base
Fast Growth
Good Financial Position
Worldwide restaurants and franchise network
Attractive store designand friendly business culture.

Read More: STP Process | Segmentation, Targeting, Positioning

WEAKNESS

Oily and unhealthy food image
Limited Options for Vegetarians
High calories food
Problematic franchising system
Poor management
Damage to the environment and animals
Unreliable vendors
High staff turnover

OPPORTUNITIES

Including Healthier Options (salads, grills, fresh fruit juices)
Expand to new locations
Offer inexpensive meals
Focus on health-conscious individuals
Need to deliver regional fooddesigned for particular country
Home delivery of meals to connect with more customers
Opportunities for Business Expansion
Supply chain optimization

THREATS

Food scandals and quality issues
Risk of brand imitation
People these days prefer healthy eating
Health politicians and activists are speaking out against the negative effects of consuming fast food.
High competition
Poorly managed franchisees
The cost of raw materials is increasing
Economic conditions are not stable worldwide
Changes in exchange rates
Lawsuits filed against KFC

What is an Internal and External SWOT Analysis?

STRENTHS
✔ Owned by a large company
✔ Unique flavored recipe
✔ Fresh Taste
✔ Wide range of products
✔ Colonel’s trademark recipe and bucket
✔ Recipe contains 11 secretspices and herbs
✔ Food for vegetarians and vegans
✔ Global Presence
✔ Brand Recognition
✔ Loyal customer base
✔ Fast Growth
✔ Good Financial Position
✔ Worldwide restaurants and franchise network
✔ Attractive store designand friendly business culture

WEAKNESS
❌ Oily and unhealthy food image
❌ Limited Options for Vegetarians
❌High calories food
❌ Problematic franchising system
❌Poor management
❌Damage to the environment and animals
❌Unreliable vendors
❌High staff turnover

OPPORTUNITIES
✔ Including Healthier Options (salads, grills, fresh fruit juices)
✔ Expand market to new locations
✔ Offer inexpensive meals
✔ Focus on health-conscious individuals
✔ Need to deliver regional fooddesigned for particular country
✔ Home delivery of meals to connect with more customers
✔ Opportunities for Business Expansion
✔ Supply chain optimization

THREATHS
❌Food scandals and quality issues
❌Risk of brand imitation
❌People these days prefer healthy eating
❌Health politicians and activists are speaking out against the negative effects of consuming fast food.
❌High competition
❌Poorly managed franchisees
❌The cost of raw materials is increasing
❌Economic conditions are not stable worldwide
❌Changes in exchange rates
❌Lawsuits filed against KFC

KFC Marketing Analysis: SWOT, Segmentation, Marketing Mix - MIM Learnovate (1)

Target Market of KFC

The target market of KFC includes both vegetarian and non-vegetarian customers segments. Its products appeal to people of all ages, including children and young adults. It include young and busy professionals. Cover highly populated cities.

Target Market Strategies | Undifferentiated, Differentiated, Concentrated Marketing

Marketing Mix of KFC

1. Product

KFC is known for its world’s best sandwiches and chicken fries, but the list goes on. KFC continuously adds new things to their menu, which fulfills the goal of satisfying their customers. KFC’s continuous menu expansion helps it develop a strong product strategy, which in turn supports its marketing efforts.

Product Classification | Consumer, Industrial Products | Examples

2. Price

The pricing strategy used by KFC are: Market penetration strategy and price skimming startegy. For example, KFC reducesits prices when competitors entered the market, and when introducing anew product, KFC keeps its prices as low as possible in comparison to competitor in order to attract attention of new customers.

3. Promotion

One of the largest food companies, KFC, actively markets itself. Newspapers, periodicals, television commercials, and billboards are the main forms of promotion. The Australian Big Bash League (BBL) and numerous cricket matches are sponsored by KFC.

KFC uses the phrase “Its Finger-Lickin’ Good” to remind customers of its mouthwatering menu items and delights. KFC uses their restaurants significantly to promote new goods.

4. Place

KFC restaurants arepurposefully situated next to a school, university, office, or other educational facility. This is because younger generations in the country consume a lot more fast food than older generations do. . More than 15,000 KFC outlets can be found worldwide.

Product Positioning | Positioning Strategies | Examples

Financial Market Statement of KFC

Here is the financial statement showing three countries (US, China, India)of KFC:

KFC Marketing Analysis: SWOT, Segmentation, Marketing Mix - MIM Learnovate (2)

Conclusion

In recent years, consumers have been more concerned about maintaining their health while managing their education or jobs. People choose quick meals since they may spend less time preparing the food and because they require a healthy meal to support their fitness goals.

In order to provide the customers with the stable meals they need, KFC may also provide the “chook salad plate,” which combines chicken and veggies.

Steamed or grilled chicken are significantly lower in calories than fried or crispy chicken, and KFC can provide these options to customers. To make KFC’s burger buns healthier, you may swap them out for whole-meal buns.

KFC could develop a vegan burger for them in order to draw in more customers from all other groups, such as vegans. It needs to guarantee that the cooking oil is suitable for vegetarians. They can offer vegetable juice and fresh fruit juice in addition to coffee and soda liquids since fruit juice is more nutrient-dense than soda beverages.

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KFC Marketing Analysis: SWOT, Segmentation, Marketing Mix - MIM Learnovate (2024)