A SERVICE MARKETING PROJECT ON KFC

PRESENTED BY:
ARCHANA AGRAWAL MD ARMAN UDDIN NAVIN KIRADOO

PREETI DALMIA PRIYANKA SALAMPURIA ZEESHAN KHAN

INTRODUCTION TO THE COMPANY

KFC (Kentucky Fried Chicken) Corporation, based in Louisville, Kentucky, is the worlds most popular chicken restaurant chain, with chain in more than 10 thousand locations and worldwide in 80 countries. It was found in 1952. KFC is part of YUM Brands Inc. KFC primarily sells chicken pieces, wraps, salads and sandwiches. KFC came to India in the year 1995 initially but it re-started its business in 2003 after understanding the need of the Indian market and also adopting the strategy to fulfill that need.

MISSION AND VISION OF KFC

To establish in India our position as leading WQSR (Western Quick Service Restaurant) chain, serving good value and Innovative chicken-based products. Maintain a commitment to innovation for continuous improvement and grow, striving always to be the leader in the market place changes. Understanding and serving the customer needs in the best way so that a sense of compliance, satisfaction and value worth of money can be established within the customers.

PHILOSOPHY OF KFC
The philosophy of KFC is to become the best in the fast food industry by serving the need of the customers. Their main business is standing on a high point of providing best value services to its customers. To excel in this philosophy KFC has launched a program called: THE CHAMPS PROGRAM The CHAMPS program for our commitment to provide the best food and best experience for the best value.

CHAMPS PROGRAM
y CHAMPS stand for the six universal areas of customer expectation common to all cultures and all restaurants concepts. These are: y C leanliness y H ospitality y A ccuracy y M aintenance of Facilities y P roduct Quality y S peed of Service

AN OVERVIEW OF MARKETING MIX OF KFC

Product

Promotion

Marketing Mix

Price

Place

PRODUCT (KFC believe in innovation and offering variety to customers)

PRICE KFC during pricing their products keep the different points in the mind like they adopt the cost base price strategy. Pricing of the product includes the Government taxes and excise duties and then they come at final stage of determine the price of their products. KFC prices of products are a bit high according to the market segment and it is also compatible to the standard of their products.

PLACE They provide free home deliveries for some specific cities. They open their outlets in those places in the cities where people can buy products easily and without difficulties. They also introduce mobile units for delivery of their products .

PROMOTION
KFC strongly believes that the main promotion of the product can only be done if you are providing quality of food and services to the customers because in the fast food industry word of mouth plays a significant role. Besides there are certain promotional strategies adopted by KFC, these are Billboards and pamphlets at major sources of public attraction Advertisement through electronic and print media Special packages like Ramadan packages and Midnight packages etc.

3 NEW PS OF SERVICES MARKETING

PEOPLE

PROCESS

PHYSICAL EVIDENCE

PEOPLE Stars as per performance of employees. Gives employees larger role in decision making. Philosophy of quality , services cleanliness and value (QSC&V) is the guiding force behind its services. Customer oriented approach.

PEOPLE (ORGANIZATIONAL CHART)

COUNTER WORKERS SHIFT INCHARGE KITCHEN WORKERS MANAGER FIRST ASISTANT MANAGER SECOND ASSISTANT MANAGER

PROCESS
Food manufacturing transparent to customers. Training to the employees. Invented the most efficient cooking equipment. KFC's specialty is fried chicken served in various forms. KFC's primary product is pressure-fried pieces of chicken made with the original recipe. The other chicken offering, extra crispy, is made using a garlic marinade and double dipping the chicken in flour before deep frying in a standard industrial kitchen type machine. New methods of packaging and distribution.

PHISICAL EVIDENCE Ambience Wall posters Youngster appeal Provides clean comfortable environment for chicken lovers.

PROFILE OF TARGET CUSTOMER POPULATION (SEGMENTATION)

They have made segments of the market on the following bases. Demographical Behavior Geographical

DEMOGRAPHIC SEGMENT

In demographics their first segment is consisted of the income factor High income Average income Low income.

BEHAVIOR SEGMENT
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

GEOGRAPHIC SEGMENTATION
In the basis of the geographical factor we have divided our market in two main segments. Urban areas Sub urban areas

POSITIONING STRATEGY OF KFC

The company has re-positioned itself as a more healthful fast feeder and in 2010 it came up with an innovation called KGC (Kentucky Grilled Chicken) with lower calories and fat. The company has re-established itself in India by understanding the need of Indian people and bringing innovation to attract new customers. The company has also come up with vegetable meals specially for Indian consumers to serve them in the best way and also to compete with its biggest competitor McDonald's. The company has always tried to establish itself as brand known for quality food and services and a hallmark of cleanliness and purity.

PROCESS FLOW DIAGRAM OF KFC

SERVICE GAPS FOR KFC

GAP 1
The gap between what customers want and what management thinks customers want. Cause of this Gap: This gap results from a lack of understanding or a misrepresentation of the customers needs, wants, or desires. A firm that does little or customer satisfaction research is likely to experience this gap. Solution An important step in closing this gap is to keep in touch with what customers want by doing research on customer needs and customer satisfaction.

GAP 2
The gap between what management thinks customers want and the quality specifications that management develops to provide the service. Cause of this Gap:
Essentially, this gap is the result of managements inability to translate customers needs into delivery systems within the firm. For example, Kentucky Fried Chicken once rated its managers success according to chicken efficiency, or how much chicken they threw away at the end of the night. Consumers who came in late at night would either have to wait for chicken to cooked or settle for chicken several hours old. The chicken efficiency measurement did not take customers into account, and financial performance suffered.

Solution:
Efficient Management System is required.

GAP 3
The gap between the service quality specifications and the service that is actually provided Cause of this Gap: This gap is created due to the inability of management and employees to do what should be done. Poorly trained or poorly motivated workers can cause this gap. Solution: Management needs to ensure that employees have the skills and the proper tools to perform their jobs. Other techniques that help to close gap 3 are training employees so they know what management expects and encouraging teamwork.

GAP 4
The gap between what the company provides and what the customer is told it provides. This is clearly a communication gap. Cause of this Gap: This gap is created because of misleading or deceptive advertising campaigns promising more than the firm can deliver or doing what it takes to get the business. Solution: To close this gap, companies need to create realistic customer expectations through honest, accurate communication about what the firms can provide.

GAP 5
The gap between the service that customers receive and the services they want. This gap can be positive or negative. Cause of this Gap: If a customer expects to wait twenty minutes in the KFC outlet to get his food order ready but waits only ten minutes, the customers evaluation of service quality will be high. However, a forty-minute wait would result in a lower evaluation. Solution: Try to match customer expectation in the best way by maintaining timely and efficient services.