Customer Experience Problem at KFC

This paper explores the intense problem of CEM through the lenses of KFC, the American fast food giant. The aim of the paper is to recommend ways to the management of KFC to manage the experiences of its customers.

Running head: CUSTOMER EXPERIENCE PROBLEM AT KFC
Customer Experience Problem at KFC
Name of the Student
Name of the University
Author note

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CUSTOMER EXPERIENCE PROBLEM AT KFC
Table of Contents
Introduction:....................................................................................................................................2
1. Research objective:......................................................................................................................2
2. Research about KFC:...................................................................................................................2
2a. Primary research-online survey:............................................................................................3
2b. Recruitment of interviewee and conducting of survey:.........................................................3
2c. Conducting secondary research:............................................................................................4
2d. Documentation of secondary research observation:..............................................................4
3. CEM concepts to identify challenges and opportunities in achieving customer experience:......4
3a. Primary research method:......................................................................................................4
3b. Secondary research method:..................................................................................................5
3c. Summary of the results:.........................................................................................................5
3d. Main service experience problem of KFC using CEM concepts:.........................................5
Conclusion:......................................................................................................................................5
Appendices:.....................................................................................................................................6
References:....................................................................................................................................19

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CUSTOMER EXPERIENCE PROBLEM AT KFC
Introduction:
Customer experience management (CEM) in a positive has emerged one of the most
important area business organizations aim to achieve in order to ensure prolonged customer
lifecycle as well as perpetual business generation. Tan, Oriade and Fallon (2014) define
customer experience management as the amalgamation of processes which companies use to
monitor every customer interaction in order to ensure long customer relationship. Maintaining a
large base of loyal customers is one of the competitive advantages which all business companies
aim to achieve but it is often challenging for the multinational companies to achieve it. The paper
would explore this intense problem of CEM through the lenses of KFC, the American fast food
giant. The background of the paper would be set against a problem which KFC is facing in the
area of CEM which is complaints regarding food products and service quality. The aim of the
paper would be recommending ways to the management of KFC to manage the experiences of its
customers. The two social media handles of KFC namely Facebook and Twitter would provide
evidence to the problem (Appendices 1 and 2).
1. Research objective:
The primary of the research is to improve customer experience so to generate perpetual
business. The secondary objective of the research is to explore the factors responsible for the
issue and making recommendations to improve the factors.
2. Research about KFC:
KFC is a American fast food chain owned by Yum Brands which operates globally
following the franchisee business expansion model, one of the most common models followed in
the fast food industry. IBIS World reports that global fast industry led by MNC restaurant

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CUSTOMER EXPERIENCE PROBLEM AT KFC
chains have grown by three and a half percept and generated a revenue $ 668 billion in 2018
alone. The name of businesses in the fast food industry has grown by a percent while
employment generated has risen by 2.4 percent (Ibisworld.com, 2018) (Appendix 3). As far as
the position of KFC is concerned in 2018, the fast food chain holds the fourth position behind
MacDonald’s, Star Bucks and Subway (Statista.com, 2018) (Appendix 4).
The main markets of KFC are North America, Asia, South America, Europe and some
parts of Africa. The maximum number of branches are located in the US and China. The fast
food chain controls around a tenth of the outlets directly while around ninety percent of the
outlets are operated by franchisees.
2a. Primary research-online survey:
KFC as shown by the Facebook and Twitter comments is facing serious CEM issues and
requires forming an online survey to dig into the root of the problem. The primary research plan
would take the form of an interview using a predetermined online questionnaire which would be
designed to gain feedback from customers regarding the products as well as services at KFC. The
feedback would enable the management to point out that variance between the customer
satisfaction level which KFC seeks to achieve and the actual degree of customer satisfaction
where the difference would point out that CEM gap for the management to take appropriate steps
(Appendix 5).
2b. Recruitment of interviewee and conducting of survey:
The interviewees would be recruited as per the target customer segments of KFC
consisting of customers from diverse attributes like age, cultural background, income brackets
and even profession. The management of KFC should aim to get at least ten complete surveys to
reach the root cause of increasing negative CEM among KFC customers.

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CUSTOMER EXPERIENCE PROBLEM AT KFC
2c. Conducting secondary research:
KFC operates in the global markets through a network of franchisees spread all across the
world. Antia, Mani and Wathne (2017) point out that franchisees are often not financially strong
and do not maintain consistent goods and services quality, thus ultimately hampering the market
image of the principle or the franchisor (KFC). KFC is not able to control its immense chain of
franchisees spread across the world which in turn gives opportunities to the franchisees violate
the quality parameters set by the fast food giant (Khan, 2014). The franchisees do not maintain
services and products protocol (BBC.com, 2018). Similarly, there have been reports franchisees
not maintaining sufficient stock of raw materials (Horton, 2018). These slack customer services
which franchisees offer to customers ultimately create customer perception about KFC
(Kfc.com, 2018).
2d. Documentation of secondary research observation:
Appendix 1 and Appendix 2.
3. CEM concepts to identify challenges and opportunities in achieving customer
experience:
3a. Primary research method:
The primary research method would consist of online interview of customers of KFC and
would be planned to present a questionnaire to the interview. The questionnaire would be
designed to gain in depth knowledge about the respondents and their customer patterns
pertaining to KFC. The interview would implemented across all the markets of KFC and would
be available across different platforms like the official websites of KFC, both global as well as
regional websites and on Facebook. The questionnaire would be compatible to a number of
devices like laptops, tablets and smart phones.

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CUSTOMER EXPERIENCE PROBLEM AT KFC
3b. Secondary research method:
The secondary research method includes study of a wide variety of sources like articles,
newspapers and internet. The official website of KFC also provided with valuable information.
3c. Summary of the results:
The results of the secondary and primary research would point out that root causes of the
issues recognised above. It can be summarised that the unethical franchisees of KFC are largely
responsible to the former for the lowering product and services standards in KFC outlets, thus
creating low customer satisfaction.
3d. Main service experience problem of KFC using CEM concepts:
The main service experience problems in KFC outlets are inability of KFC to control its
immense franchisee network. The second problem is that the franchisee lack CEM skills and
often provide substandard products and services to the customers, thus ultimately hampering the
market image of KFC. They are responsible for low customer satisfaction and short customer
lifecycle of KFC.
Conclusion:
It can be concluded that KFC should exercise more stringent control over its franchisees
and provide them training or financial support, if required. The fast food chain must ensure its
franchisees comply with its global quality standards.

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CUSTOMER EXPERIENCE PROBLEM AT KFC
Appendices:
Appendix 1: Screenshot of KFC Twitter handle:

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CUSTOMER EXPERIENCE PROBLEM AT KFC

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CUSTOMER EXPERIENCE PROBLEM AT KFC
Congrats to @Tommy40022840 for coloring her fool heart out and winning the first annual
Colonel Harland D. Sanders Adult Coloring Competition! Coloring is supposed to be meditative,
especially when you crush the competition. Her prize is a custom portrait in her Colonel best.

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CUSTOMER EXPERIENCE PROBLEM AT KFC

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CUSTOMER EXPERIENCE PROBLEM AT KFC
8 replies 20 retweets 163 likes
  KFCVerified account @kfc Sep 25
School is back in session. Screenshot this GIF for some Colonel Sanders graduation advice to get
you through the months ahead.
24 replies 41 retweets 150 likes

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CUSTOMER EXPERIENCE PROBLEM AT KFC
Appendix 2: KFC Facebook posts screenshots:
Close

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CUSTOMER EXPERIENCE PROBLEM AT KFC
Profile pictures
1 of 46
KFC
Like This Page · 15 October ·
2w

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CUSTOMER EXPERIENCE PROBLEM AT KFC
ه
Manage
2w
Jeremy Mazzarella Trump for the new Colonel. “Our chicken is the best chicken. Our breasts
are YUUUUUGE! Can’t get it anywhere else. Not even GINA.”
Manage
2w
Michael Pollak George Can’t stand ya.
Manage
2w
Kyle Cobb I declare this: THE CHICKEN OF GEORGE!!!!
Manage
2w
Aland M Sangawe
سەرت وەکوو پارچە ڕانێک ئەبینم 
Manage
2w
Christian Jenkins I personally think logistically KFC is better off getting an unknown actor
that resembles colonel sanders naturally to play the part just like the dos equis guy the
original one of course. This person could be the face of the franchise and they wouldn't have
to keep doling out big bucks to high profile stars.
Elle Thompson Your cookies SUCK!!!! Please bring back the dessert buckets!!
Manage
Manage

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CUSTOMER EXPERIENCE PROBLEM AT KFC
2w
Todd Abrams I'll do it for an apple pie and a cup of Mr. Coffee. 😎
Manage
2w
Martha Hall Bring back pictures of the original and stop with all of the stupid commercials. I
would worry about product instead of dumb commercials, last 2 or 3 times I bought KFC it
was to greasy to eat and tasted old. Used to be my favorite.
Manage

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CUSTOMER EXPERIENCE PROBLEM AT KFC
Appendix 3: Fast Food industry revenue graph
Appendix 4: Brand values of top 10 fast food brands internationally in 2018 (USD mn):

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CUSTOMER EXPERIENCE PROBLEM AT KFC
Appendix 5: Online survey questionnaire:
Question 1: What is your age, (years)?
a. 10-20
b. 21-30
c.31-40
d. 41-50
e. 51+
Question 2: What is your annual income (000’s USD)?
a. 0-50
b. 51-70
c. 71-90
d. 90-100
e. 100+
Question 3: What is your gender?
a. Male
b. Female.
c. Others
Question 4. What is your profession?

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CUSTOMER EXPERIENCE PROBLEM AT KFC
a. Service
b. Professional
c. Own business
d. Student
e. Retired
Question 5. How often do you visit KFC?
a. Very often
b. Often
c. Sometimes
d. Hardly
e. Never
Question 6. What is your favourite item(s) in KFC?
Question 7. Which are your favourite KFC outlets?
Question 8. Do you find any difference between food and service qualities between outlets?
a. Very often
b. Often
c. Sometimes
d. Hardly

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CUSTOMER EXPERIENCE PROBLEM AT KFC
e. Never
Question 9: To what extent do you recommend KFC to others?
a. Very often
b. Often
c. Sometimes
d. Hardly
e. Never
Question 10. How often do you order KFC items online?
a. Very often
b. Often
c. Sometimes
d. Hardly
e. Never

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CUSTOMER EXPERIENCE PROBLEM AT KFC
References:
Antia, K. D., Mani, S., & Wathne, K. H. (2017). Franchisor–Franchisee Bankruptcy and the
Efficacy of Franchisee Governance. Journal of Marketing Research, 54(6), 952-967. (©
2017, American Marketing Association Journal of Marketing Research PrePrint,
Unedited All rights reserved. Cannot be reprinted without the express permission of the
American Marketing Association.)
BBC.com. (2018). Retrieved from https://www.bbc.com/news/world-asia-india-19893520
Horton, H. (2018). The Telegraph.co.uk. Retrieved from
https://www.telegraph.co.uk/news/2018/02/20/kfc-chicken-shortage-causes-chaos-police-
tell-customers-stop/
Ibisworld.com. (2018). Retrieved from https://www.ibisworld.com/industry-trends/global-
industry-reports/hotels-restaurants/fast-food-restaurants.html
Kfc.com. (2018). Retrieved from https://www.kfc.com/
Khan, M. A. (2014). Restaurant franchising: Concepts, regulations and practices. Apple
Academic Press. (© 2015 by Apple Academic Press, Inc. Exclusive worldwide
distribution by CRC Press an imprint of Taylor & Francis Group, an Informa business No
claim to original U.S. Government works Version Date: 20140924 International Standard
Book Number-13: 978-1-4822-2349-1 (eBook - PDF)
Statista.com. (2018). Retrieved from https://www.statista.com/statistics/273057/value-of-the-
most-valuable-fast-food-brands-worldwide/

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CUSTOMER EXPERIENCE PROBLEM AT KFC
Tan, Q., Oriade, A., & Fallon, P. (2014). Service quality and customer satisfaction in Chinese
fast food sector: A proposal for CFFRSERV. Advances in Hospitality and Tourism
Research (AHTR), 2(1), 30-53.(DOI: Advances in Hospitality and Tourism Research
(AHTR), 2(1): 30-53, 2014 An International Journal of Akdeniz University Tourism
Faculty ISSN: 2147-9100)