Project Report On KFC Statistical Analysis on Kentucky Fried Chicken In India

Submitted To: Prof. Rajveer Singh

(Professor of Marketing Research)

Submitted By:
Group No.5 (Group Members) Amit Dubey (BM-010187) Anish Kumar (BM-010187) Arun Kumar (BM-010187) GauravVerma (BM-010193)

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DECLARATION

I hereby declare that the project work entitled Kentucky Fried Chicken In India, is the record of the original work done by me under the guidance of Prof. Rajveer Singh (marketing faculty) IMS Ghaziabad, and this project work has not performed basis for the award of any degree or diploma/associate ship/fellowship and similar project if any.

AmitDubey (BM-010187) Anishkumar (BM-010188) AnkurGarg (BM-010190) Arun Kumar (BM-010192) GauravVerma (BM-010193)

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ACKNOWLEDGEMENT

I have had considerable help and support in making this project report a reality. First and foremost, gratitude goes to Prof. Rajveer Singh (marketing faculty) IMS Ghaziabad, who provided me all the guidance and support in realizing the dissertation and helping me in each and every step where I needed their help. We thank all those people who have directly or indirectly helped us during the course of this project. Last but not the least we would like to thank our parents for their support and cooperation.

Group Members:AmitDubey (BM-010187) Anishkumar (BM-010188) AnkurGarg (BM-010190) Arun Kumar (BM-010192) GauravVerma(BM-010193)

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TABLE OF CONTENTS

1. DECLARATION 2. ACKNOWLEDGEMENT 3. TABLE OF CONTENT 4. INTRODUCTION 5. OBJECTIVES 6. RESEARCH METHODOLOGY 7. FINDINGS 8. CONCLUSION 9. RECOMMENDATION

1 2 3 4 7 8 10 12 13

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Introduction

KFC India:
KFC is the worlds No.1 Chicken QSR and has industry leading stature across many countries like UK, Australia, South Africa, China, USA, Malaysia and many more. KFC is the largest brand of Yum Restaurants, a company that owns other leading brands like Pizza Hut, Taco Bell, A&W and Long John Silver. Renowned worldwide for its finger licking good food, KFC offers its signature products in India too! KFC has introduced many offerings for its growing customer base in India while staying rooted in the taste legacy of Colonel Harland Sanders secret recipe. Its signature dishes include the crispy outside, juicy inside Hot and Crispy Chicken, flavorful and juicy Original Recipe chicken, the spicy, juicy & crunchy Zinger Burger, Toasted Twister, Chicken Bucket and a host of beverages and desserts. For the vegetarians in India, KFC also has great tasting vegetarian offerings that include the Veggie Burger, Veggie Snacker and Veg Rice meals. In India, KFC is growing rapidly and today has presence in 11 cities with close to 50 restaurants.

KFC in Central Delhi KFC in Noida A-12, Inner Circle, CP, Delhi-110001 Store Timing: 8:30am to 11pm Sector 18, Noida -201301 Store Timing: 11am to 11pm Great India Place, Noida-201301 Store Timing: 11am to 11pm

KFC in West Delhi KFC in South Delhi City Square Mall, 5|Page

Back Wing, Select Citywalk Mall, Saket, Delhi-110017 Store Timing: 11am to 11pm Vasant Square Mall, Vasant Kunj-110070 Store Timing: 11am. to 11 p.m.

Retour Garden, Delhi-10027 Store Timing: 11am to 11pm Vikas Surya Plaza, Sector 4, Dwarka, Delhi-110075 Store Timing: 11 am to 11 pm Below NetajiSubhash Place Metro Station, Pitampura, Delhi-110034 Store Timing: 11am to 11pm

KFC in East Delhi Shipra Mall, Indirapuram, Delhi-201012 Store Timing: 11am to 11pm V3S Mall, Laxmi Nagar, Delhi-110092 Store Timing: 11am to 11pm

KFC in Gurgaon JMD Regent Mall, Mall Road, GurgaonStore Timing: 11 am to 11 pm Ambience Mall, Gurgaon-122001 Store Timing: 11am to 11pm

Current Target Market Segmentation:

KFC has divided the market of India into distinct groups of customers with different demands, tastes and behavior who require separate products or marketing mix. In India the niche marketing is being used for particular classes of people. They have made segments of the market on the following bases. Demographical Behavior 6|Page

 Geographical By using these three bases they segmented the market as under.

DEMOGRAPHICAL BASIS In demographics their first segment is consisted of the income factor i.e. high income, average income and low income.

BEHAVIOR In behavioral aspect they segmented the market on the basis of quality, taste and price. Following are the different possible segments in this regard. Taste conscious Quality conscious Class conscious Combination of price and quality

GEOGRAPHICAL BASIS On the basis of the geographical factor we have divided our market in three main segments. Urban areas Sub urban areas

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Objective of Study: We are conducting this survey to find out peoples perceptions regarding KFC brand.
To know about the KFC preference in India. To compare and find the strategies of KFC. To know about the Pricing Issues. To know the retention rate of KFC in competitive market. To know the brand awareness of the KFC in different product line. To explore the promotional strategy of the KFC in India. To know the behavioral aspect towards their customers. To know the cause and effect of the KFC fact and figure related to market.

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Research methodology

Research design: Sample Size of 100 Sampling Technique: o Convenience sampling: because we dont want biased results and we will get more of a variety students.

Data collection: Primary Source: Data will be observed or collected directly from first-hand experience. It will be collected with the help of a self-administered questionnaire. This questionnaire will aim to gather information related to various Branded products. Secondary Source: The data collected in the past or other parties is called secondary data. It will be collected with the help of books, research papers, magazines, news papers, journals, internet, etc. A quantitative method will be applied, and thus a questionnaire with 100 respondents on the local market is going to conduct. The respondents are divided into three different age groups. The data collected from them would be analyzed and the inferences will be drawn.

Our survey will consist of open ended, multiple choice, and Likert scale questions. We will try to achieve our goal of 50 completed surveys throughout different campus buildings, and through friends and co-workers. These surveys will take place through the next 2 weeks.

Tabulations and Data Analysis The scale and multiple-choice questions will be tallied. The open-ended questions will be categorized into positive and negative responses with noted suggestions.

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Findings
SAVE OUTFILE='C:\Users\Gaurav\Desktop\ann.sav' /COMPRESSED. GET FILE='C:\Users\Gaurav\Desktop\ann.sav'. >Warning # 67. Command name: GET FILE >The document is already in use by another user or process. If you make >changes to the document they may overwrite changes made by others or your >changes may be overwritten by others. >File opened C:\Users\Gaurav\Desktop\ann.sav GET FILE='C:\Users\Gaurav\Desktop\New folder\spss.sav'. DATASET ACTIVATE DataSet1. DATASET CLOSE DataSet3. DATASET ACTIVATE DataSet2. FACTOR /VARIABLES eat_in_a_monthbest_valuechiken_per_weektime_eten_in_KFCfamilier_with_menurea son_to_choosestong_menu_attribute com es_to_your_mind advertisement healthier_optionKFC_should_focusKFC_comptitorthe_best_chiken /MISSING LISTWISE /ANALYSIS eat_in_a_monthbest_valuechiken_per_weektime_eten_in_KFCfamilier_with_menurea son_to_choosestong_menu_attribute come s_to_your_mind advertisement healthier_optionKFC_should_focusKFC_comptitorthe_best_chiken /PRINT INITIAL CORRELATION KMO EXTRACTION ROTATION /FORMAT BLANK(.4) /PLOT EIGEN /CRITERIA MINEIGEN(1) ITERATE(25) /EXTRACTION PC /CRITERIA ITERATE(25) /ROTATION VARIMAX /METHOD=CORRELATION.

Factor Analysis

[DataSet2]

Correlation Matrix chiken_per_wee time_eten_in_KF eat_in_a_month Correlation eat_in_a_month best_value chiken_per_week time_eten_in_KFC familier_with_menu reason_to_choose stong_menu_attribute 1.000 -.147 .346 -.110 .076 .088 .041 best_value -.147 1.000 -.055 -.006 .102 -.110 .006 k .346 -.055 1.000 -.248 .155 -.044 .061 C -.110 -.006 -.248 1.000 -.341 .099 -.057

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comes_to_your_mind Advertisement healthier_option KFC_should_focus KFC_comptitor the_best_chiken

.033 .059 -.162 -.055 -.022 -.111

-.057 -.026 .088 .165 .170 -.042

-.014 -.028 -.110 .125 -.113 -.079

.012 -.009 .217 .017 .051 .358

Correlation Matrix familier_with_me reason_to_choos stong_menu_attri nu Correlation eat_in_a_month best_value chiken_per_week time_eten_in_KFC familier_with_menu reason_to_choose stong_menu_attribute comes_to_your_mind Advertisement healthier_option KFC_should_focus KFC_comptitor the_best_chiken .076 .102 .155 -.341 1.000 -.150 .026 -.103 .056 .019 .158 -.017 -.114 e .088 -.110 -.044 .099 -.150 1.000 .027 .370 -.036 .057 -.002 -.089 .041 bute .041 .006 .061 -.057 .026 .027 1.000 .025 .036 .000 .243 .046 .161

Correlation Matrix comes_to_your_ mind Correlation eat_in_a_month best_value .033 -.057 advertisement .059 -.026 healthier_option -.162 .088

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chiken_per_week time_eten_in_KFC familier_with_menu reason_to_choose stong_menu_attribute comes_to_your_mind Advertisement healthier_option KFC_should_focus KFC_comptitor the_best_chiken

-.014 .012 -.103 .370 .025 1.000 -.099 -.056 .084 -.181 -.085

-.028 -.009 .056 -.036 .036 -.099 1.000 -.031 -.079 .028 .001

-.110 .217 .019 .057 .000 -.056 -.031 1.000 .063 .198 .032

Correlation Matrix KFC_should_foc us Correlation eat_in_a_month best_value chiken_per_week time_eten_in_KFC familier_with_menu reason_to_choose stong_menu_attribute comes_to_your_mind Advertisement healthier_option KFC_should_focus KFC_comptitor the_best_chiken -.055 .165 .125 .017 .158 -.002 .243 .084 -.079 .063 1.000 -.017 .212 KFC_comptitor -.022 .170 -.113 .051 -.017 -.089 .046 -.181 .028 .198 -.017 1.000 .001 the_best_chiken -.111 -.042 -.079 .358 -.114 .041 .161 -.085 .001 .032 .212 .001 1.000

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KMO and Bartlett's Test Kaiser-Meyer-Olkin Measure of Sampling Adequacy. Bartlett's Test of Sphericity Approx. Chi-Square Df Sig. 113.444 78 .005 .543

Communalities Initial eat_in_a_month best_value chiken_per_week time_eten_in_KFC familier_with_menu reason_to_choose stong_menu_attribute comes_to_your_mind advertisement healthier_option KFC_should_focus KFC_comptitor the_best_chiken 1.000 1.000 1.000 1.000 1.000 1.000 1.000 1.000 1.000 1.000 1.000 1.000 1.000 Extraction .653 .466 .510 .627 .488 .658 .451 .674 .274 .519 .684 .625 .700

Extraction Method: Principal Component Analysis.

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Total Variance Explained Compo nent 1 2 3 4 5 6 7 8 9 10 11 12 13 Total 1.911 1.650 1.468 1.226 1.074 .993 .901 .852 .709 .633 .610 .533 .440 Initial Eigenvalues % of Variance 14.698 12.691 11.296 9.428 8.260 7.640 6.929 6.554 5.456 4.871 4.690 4.102 3.386 64.012 70.941 77.495 82.951 87.821 92.511 96.614 100.000 Cumulative %

Extraction Method: Principal Component Analysis. Total Variance Explained Initial Compo nent 1 2 3 4 5 Eigenvalues Cumulative % 14.698 27.388 38.684 48.112 56.372 Extraction Sums of Squared Loadings Total 1.911 1.650 1.468 1.226 1.074 % of Variance 14.698 12.691 11.296 9.428 8.260 Cumulative % 14.698 27.388 38.684 48.112 56.372

Extraction Method: Principal Component Analysis. Total Variance Explained Compo nent 1 2 Rotation Sums of Squared Loadings Total 1.731 1.467 % of Variance 13.315 11.284 Cumulative % 13.315 24.599

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3 4 5

1.466 1.338 1.327

11.277 10.289 10.208

35.875 46.164 56.372

Extraction Method: Principal Component Analysis.

Component Matrix

Component 1 eat_in_a_month best_value chiken_per_week -.606 -.509 .490 -.436 2 3 4 5 .465

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time_eten_in_KFC familier_with_menu reason_to_choose stong_menu_attribute comes_to_your_mind advertisement healthier_option KFC_should_focus KFC_comptitor the_best_chiken

.733 -.489 .416 -.641 .617 -.633 -.471 .413 .421 .791 .469 .485 .441 .480 .586 .463

Extraction Method: Principal Component Analysis. a. 5 components extracted.

Rotated Component Matrix

Component 1 eat_in_a_month best_value chiken_per_week time_eten_in_KFC familier_with_menu reason_to_choose stong_menu_attribute comes_to_your_mind advertisement healthier_option KFC_should_focus KFC_comptitor the_best_chiken .597 .543 .778 .758 .803 .404 .686 -.422 .762 -.638 .764 .639 2 3 4 .769 -.446 .469 5

Extraction Method: Principal Component Analysis. Rotation Method: Varimax with Kaiser Normalization. a. Rotation converged in 7 iterations.

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Component Transformation Matrix Compo nent 1 2 3 4 5 1 .817 -.331 -.075 .464 -.033 2 .043 -.750 .230 -.553 .276 3 .051 .157 .970 .177 -.036 4 -.441 -.272 -.024 .619 .589 5 .365 .479 -.022 -.252 .758

Extraction Method: Principal Component Analysis. Rotation Method: Varimax with Kaiser Normalization.

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INTERPRETATION

KMO ValueThe KMO value comes out to more than 0.5 ie the value is 0.543, which shows that the Factor analysis is feasible for research on KFC. Bartlett's TestHo: All facors have no association with each other H1: All facors have association Chi square cal value= 113.44 Chi square tab value= 88.5 Thus hypothesis h0 is rejected means the h1 is accepted which indicates that the all factor have association Correlation matrix: It shows the correlation between the all factor like: Reason to choice and eat in a month has 0.88 or 88 % correlation.. Total Variance Explained The main five factors which iare shown in the varience table who has the max variences the cumulative variences comes out to be 64.012 (indicates the varience between the factors)

Scree plots It is shows the variation plot between the factors as we can see that 1 to 8th factor are flowing in smooth length but after 8th factor the variation in between the factor hi getting high due to some negative result..

Component matrix: As per the component matrix it shows that there are 5 groups who has the major factors like 1st group which indicate the reason to visit KFC Due to: eat_in_a_month chiken_per_week 18 | P a g e

time_eten_in_KFC familier_with_menu healthier_option

2nd group indicate Due to: best_value familier_with_menu reason_to_choose comes_to_your_mind 3rd group indicate that KFC has strong menu attribute Due to: stong_menu_attribute 4th group indicate that KFC has strong awareness of consumers Due to: best_value comes_to_your_mind advertisement 5th group indicate that hygiene factor Due to: healthier_option eat_in_a_month

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Conclusion

On performing tests we come to conclusion that the variables assumed by us were highly accepted in determining of preferences .Most the factors were related accept two variables that were not related. Thus we plot a regular curve which gives acceptable to the variables taken by us. Also the hypothesis (h1) is found to be true i.e. Association to the variables.

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Recommendation

As the correlation between the variables strong menu selection and eat in a month is found strong .Thus KFC should provide strong menus. KFC should maintain its chicken taste as seen from the analysis. MCD is found a strong competitor. KFC should increase their food chain and should focus on hygiene factor. KFC should focus the menu upon health factors. KFC popularity is more among the customers than the advertisement given by them.

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Questionnaire

Kentucky Fried Chicken MARKET SURVEY Name___________________________ Age_______ Location___________ Date______________

This is a survey about the fast food industry. Through this survey we are trying to understand what consumers like and dislike about the fast food industry and what can be improved. Please answer as honestly as possible. Your participation is appreciated. Thank you. 1. Please name three fast food restaurants you can think of: _____________________________ _____________________________ _____________________________ 2. What type of item do you look for on the menu when youre eating at a fast food restaurant? ( ) Combo Meal ( ) Value Menu 3. How often do you eat fast food in a month? ( ) Other:__________

( ) Never ( ) once a month ( ) 2-3 times a month ( ) 4-5 times a month ( ) 5+ times a month 4. Which fast food restaurant do you feel gives you the best value? ( ) Dominos ( ) McDonalds Trax ( ) Pizza Hut 5. How many times do you eat chicken per week? ( ) 1-2 times a week ( ) KFC ( ) Fast ( ) Others___________

( ) 3-4 times a week ( ) 4-5 times a week ( ) 6+ times a week 6. Have you ever eaten at KFC? ( ) Yes ( ) No 7. If yes, when was the last time you eat at KFC? ( ) Last week ( ) Last month ( ) Last 6 months 8. How familiar are you with KFCs menu selection? ( ) Not familiar ( ) Somewhat familiar ( ) Last year

( ) Very Familiar

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9. What would be the main reason you choose KFC? ( ) To eat chicken ( ) Good menu selection ( ) Quality of service ( ) Convenience 10. What do you think is KFCs strongest menu attribute? ( ) Family value menu ( ) Value menu of original or extra crispy ( ) Healthy menu items 11. When you think of KFC what comes to mind? ( ) Choice

( ) Colonel Sanders ( ) Fried Chicken ( ) Home style sides ( ) Family meals 12. Roughly how many KFC TV or Billboard advertisements have you seen within the last 6 months? ( )0 ( ) 1-3 ( ) 4-6 ( ) 7-10 13. Are you aware of the new, healthier options available at KFC? ( ) Yes ( ) No ( ) N/A 14. On what area do you believe KFC should focus its image? ( ) Family ( ) Other:_________________ 15. Whom do you view as KFCs biggest competitor? ( ) McDonalds ( ) Pizza Hut Dominos ( ) Fast Trax 16. Which fast food restaurant has the best chicken? ( ) KFC )Dominos ( ) McDonalds ( ) Pizza Hut ------------Thank You-----------( ( ) Convenience ( ) Health

( )

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Expected Conclusion

We are expecting that, after the completion of the survey. We would come to a solution that KFC the named brand is a success or a failure. Our main goal is to identify the consumers preferences regarding he KFCs chicken items provided to them. We would also calculate the consumers taste and preferences. As feel as our report clear that a high number of people actually like to order from their home or workplace rather than coming. This may be due to more convenience, time shortage or just not willing to come and dine. Certainly the home delivery market is huge and KFC can take well advantage of the situation. Thus it would be in the best interest of the company to start the service as soon as possible and capitalize on the opportunity. KFC expects a rise in the orders by at least 20% by starting this service.

Therefore, to conclude we would say that KFC should definitely have a home delivery service.

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