72678234 consumer-behaviour-study-of-kfc

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

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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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http://en.wikipedia.org/wiki/Cuisine

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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http://www.acnielsen.co.in/news.asp?newsID=112

"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 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.


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


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


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%



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%


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


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


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%



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%


KFC - FRIENDS0%

10%3%

87%


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%


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%


KFC - WORK COLLEAGUES

100%

0%0%0%


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%


(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%



42

(1.3) SEC


78%

22%0%0%

SEC A1

SEC A2

SEC B1

SEC B2


62%

32%

6% 0%

SEC A1

SEC A2

SEC B1

SEC B2


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


14

42

8 6 8

22

0

10

20

30

40

50

One Two Three Four Five More than5


18

50

148

28

0102030405060

One Two Three Four Five Morethan 5




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


16%

18%

28%

38%

School upto 12th Some College but not graduate

Graduate/PG General Graduate/PG Professional


(1.6) OCCUPATION


42%20%

6% 4% 2%

26%Student Executive/OfficerBusinessman Self Employed ProfessionalHouse Wife Others


50%

14%2% 6% 0%

28%Student Executive/OfficerBusinessman Self Employed ProfessionalHouse Wife Others


44

(1.7) DAY PART (%)

(1.8) GROUP TYPE


40%

32%

8% 8%

12%Friends Work Colleagues Family Couple Alone


52%20%

6%16%

6%Friends Work Colleagues Family Couple Alone


45


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


6

18

62

14

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%


(1.9) NUMBER OF VISITS EARLIER


44%

38%

18%

1-2 times 3-4 times 4+ times


40%28%

32%



(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


(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 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


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


(1.14) Vegetarians as a percentage of total number of consumers

Table 1.14a

(1.15) EXPECTATION FROM 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


0%

8%34%

0%27%0%

31%

Discover a new taste

Pick myself up(Positive energy/upliftmood)Share with others

Quick fix meal


Reward myself/others

Specific food taste


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


58

522

70

66

9

0 1 2 3 4 5 6 7 8 9

Good Taste



New taste

Value for money

Light


No choice in vegetarian

Wanted to have vegetarian today

Others



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%


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%


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%


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%


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%


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%


Figure 3.10

42% of Zinger Burger Consumers are moderate or heavy consumers who have visited the

outlet more than 4 times

63


Soft Drink & French Fries are again the most obvious Ordered with Zinger (main dish)


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


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 Thali


Original Recipe Chicken


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


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



New taste/Different taste

Crispy

Value for money

Light


Spicy

Filling

Recommended by friends

(4.2) GENDER

ORIGINAL RECIPE

Male88%

Female12%

HOT & CRISPYFemale22%

Male78%


(4.3) AGE

HOT & CRISPY

16%

24%28%

24%8%


ORIGINAL RECIPE

10%

36%22%

20%

12%



36% OR Consumers are in 19-24 age group than 24% H&C Consumers

68

(4.4) SEC

HOT & CRISPY

16% 2%

80%

2%


ORIGINAL RECIPE

56%34%

6% 4%



(4.5) NUMBER OF PEOPLE IN A GROUP (%)

HOT & CRISPY

18

54

166 4 2

0102030405060


ORIGINAL RECIPE

16

62

16

0 06

010203040506070



69

(4.6) EDUCATION

HOT & CRISPY

10%

12%

50%

28%



ORIGINAL RECIPE

14%

16%

40%

30%




(4.7) OCCUPATION

HOT & CRISPY

28%

28%

6% 8% 0%

30%


ORIGINAL RECIPE

16%

36%36%

6% 6% 0%



70

(4.8) GROUP TYPE

HOT & CRISPY

22%

10%14% 24%

30%


ORIGINAL RECIPE

32%30%

24% 0% 14%



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%


ORIGINAL RECIPE

18

66

14

20%

20%

40%

60%

80%

100%



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%


ORIGINAL RECIPE

28%

50%

22%



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%)


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


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


Zinger Burger

(4.12) REASONS FOR VISITING KFC

106

39

82 57

0 2 4 6 8 10

HOT & CRISPY


Catching up with friends Quick meal (on the go) Indulge/ Treat myself/ourselves to great food Celebrating special occasions/events


6

76

910

24

6

0 2 4 6 8 10

REASON FOR VISITING KFC (OR)


Catching up with friends Quick meal (on the go)

Indulge/ Treat myself/ourselves to great food Celebrating special occasions/events



(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


73


106

39

82 57

0 2 4 6 8 10

HOT & CRISPY


Catching up with friends Quick meal (on the go)

Indulge/ Treat myself/ourselves to great food Celebrating special occasions/events


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


(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


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


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



New taste

Crispy

Value for money

Light


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



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


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


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


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

84

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.

85

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)

86

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

87

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

88

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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http://www.wikipedia.com/

http://www.ask.com/

http://www.kfc.com/