Marketing Strategy for Chick-fil-A: Expanding Franchise in the UK Market

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This document discusses the marketing strategy of Chick-fil-A as they plan to bring their franchise to the UK market for expansion. It includes an examination of the marketing environment, statements and justifications of SMART objectives, a clear STP strategy and perceptual map, a competitor analysis, and a marketing strategy using the 7Ps.

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Marketing
Management

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Table of Contents
INTRODUCTION ..........................................................................................................................3
MAIN BODY...................................................................................................................................3
An examination of the marketing environment......................................................................3
Statements and justifications of 2/3 SMART Objectives. .....................................................5
A clear STP strategy and perceptual map...............................................................................5
A competitor analysis.............................................................................................................8
Marketing strategy using the 7P’s..........................................................................................9
CONCLUSION .............................................................................................................................11
REFERENCES .............................................................................................................................13
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INTRODUCTION
Marketing management identifies or evaluate the market opportunities to come up with
suitable kind of strategies to explore respective opportunities in profitable manner. In that
regards it is very much crucial to implement marketing programme and continuously evaluate
effectiveness of marketing mix in best way. Respective assignment is rely on Chick- fil- A which
is one of the largest American fast food restaurant chain and specialist in chicken Sandwiches in
marketplace headquartered is in College Georgia. Respective report is based on gaining
competitive advantage as respective organisation looking to bring their franchise in the UK
market place for expansion. For gaining better outcomes for an organisation it is important to
utilize tools such as SWOT analysis, STP, Porter's five force model and PESTEL analysis to
examine each and every attributes in positive manner.
MAIN BODY
An examination of the marketing environment.
Marketing audit is a wide and comprehensive area of examination of organisational
marketing works and activities, goals and objectives. After implementation of audit an
organisation can be able to evaluate the efforts are planned and managed or not (Adams, Freitas
and Fontana, 2019. ). In context of respective administration by using SWOT analysis they can
be better vallate the internal environment while looking to bring franchise in UK marketplace.
Macro/micro analysis:
SWOT Analysis
This is defined as strategic planning tools that is used by organisation in order to identify
strengths, weaknesses, opportunities and threats which is related with project planning or
business competition (Chitty, D'Alessandro and Gray, 2019). In order to survive and sustain at
competitive market, it is essential to know about internal as well as external factors for gaining
positive outcomes. Chick-fil-a is private fast food chains operating business in American market.
It is planning to bring franchise in UK that is part of market expansion. They are as follows:
Strengths Weaknesses
Service- It has strength in terms of
customer services which leads to
success at market. As it provide fast
Poor Geographic Coverage- Chick-
fil-a has weakness in terms of
geographic coverage as it is presented
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services to their people. Many of
restaurant work on self service but
respective works on customer service
which is different from others (SWOT
analysis of Chick-fil-A, 2019). This
increases number of consumers at
restaurant and enhance profit margins
in an effective and efficient manner.
Ambience of Restaurant- There are
many restaurant which does not allow
customer to spend more time after
having their food. In context of Chick-
fil-a which has unique ambience that
uses warm colours, writing on walls,
employee photos and so on. Ambience
helps in attracting large number of
consumers towards restaurants. It is
very important for respective
restaurants to keeps on innovating their
place.
in USA only. This does not form part of
big league in fast food sector. In USA,
it is operating in more than 1600 places
to provide food as well as services to
their people in an appropriate manner.
As it lack in other place which is
weakness for it to increase their market
share and high profit margins in
appropriate manner.
Customer Retention- There is growing
of fast food industry where consumers
have no dearth of choices (Dai and et.al
., 2019.). There is no consumer loyalty
in terms of fast food as respective
organisation is selling items at
expensive prices which is challenging
to retain users. The taste and
preferences of consumers keeps on
changing which lead problems for
restaurants chain to fulfils requirements
of people in proper manner.
Opportunities Threats
Healthy Fast Food- There is highly
growing publicity against health risks
of consuming fast food. In this context,
Chick-fil-a has an opportunity to focus
on healthy fast food and open new
segments for business in order to
increase customer base. They should
use high quality ingredients while
Scandals About Chicken- The
numerous scandals at fast food uses
chicken as primary ingredient in terms
of quality as well as quantity of using
chicken (Deepak and Jeyakumar,
2019.). This creates problems in mind
of customers and many choose to avoid
such outlets.

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preparing food for their people in most
appropriate manner.
Focus on Fast Food Restaurants- Due
to poor services to customer at fast food
joints has shifted customer preference
to Chick-fil-a restaurant where it focus
on high quality of services. It is an
opportunity for respective organisation
to open up new restaurants and focus
on providing fast food services to their
consumers in effective as well as
efficient manner (Ellram and Murfield,
2019.).
Disease- Due to use of excessive
chicken in fast food leads to rise in
diseases. As bird flu is highly
increasing that creates problems in bird
and if such are consumed by people
leads them to suffer from various types
of disease and effect their health
condition.
Competition- There are various
competitors of Chick-fil-a such as
subway, Burger King and McDonald's
which focus on providing same types of
food and services. This is the threats for
respective organisation to operate their
business at competitive market place.
So from the above analysis it has been analyse that Chick-fil-A is one of most leading
organisation but it is very much crucial for every organisation to bring changes in their strategies
and tactics as changes are very crucial to remain competitive.
Statements and justifications of 2/3 SMART Objectives.
For an organisation it is very much crucial to build objectives that are SMART in nature,
in context of Chick-fil-A they looking their franchise into UK marketplace in order to gain
competitive in marketplace.
To expand business operations in UK market within a year in order to enhance market
share by 20%.
To implement promotional strategies within six months in order to enlarge consumer
base by 15%.
A clear STP strategy and perceptual map.
Segmentation, targeting and positioning One of significant and familiar approach most
usually applied in marketing models (Gaul and Baier, 2019.). By using respective tools
organisation focused on commercial effectiveness, by opting one of best consumer base for the
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organisation by using marketing mix and positioned market in order to reach at large no. of
consumer base.
To illustrate potential market position
Segmentation:
In context of Chick-fil-A they segment their market on various bases in order To serve in
best way to consumers in positive manner:
Mom's:
In context of Chick-fil-A they by focusing on Mom's that are consider one of most
important kind of decision makers in regards of family meals. To target the needs of consumers
they recently launched the Mom's Valet services that helps to young mothers to order food as per
their choice and preferences to inside at a reserved table. So in context of respective organisation
they divide their market on basis on different categories of mothers and their food preferences.
Families:
In context of Chick-fil-A they always targets segment their food on the basis of different
families. The stores of Chick- Fil-A are based on the host friendly actions or sponsor friendly
activities to attract consumers in positive manner . As per the concern of family regarding sanity
their restaurant are so much bright and clean that without any kind of worry families can come
here for breakfast ( Mgölgeci and Kuivalainen, 2019). Their segment market is families that are
liked to eat at place with sanity and special choice in regards of non vegetarian food to satisfy the
wants of special groups positively.
Target market:
Their main target market is the rich class people they target families by providing family
friendly themes as kids who visited their stores at very much young age and gradually grows up
and become loyal consumers (Gómez-Suárez, Yagüe and García-Gumiel, 2019,). As brand
become strong enough by focusing on Mom's and Families and one of best favourable brands
among the Millennials. Their target consumers that are most tech savvy as generations precede
them by making up a good portion of social media to reach at large no. of consumer base
positively.
Positioning of market:
For an organisation it is very much significant to position their products and services as
per target market that are most faithful in nature to gain sustainability in marketplace. Respective
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organisation position their products by focusing on needs of middle and upper class people.
Further people that are may be frugal and have high disposable income for edible products on
continuously.
Perpectual Map:
It is a visual representation of level of perception of consumers related to specific
attributes of an organisation such as for their product, brand, services or ideas (Grant, 2019.). In
context of Chick-fil-A they by using it easily segment base of consumers to reach at wide scale.
As per the Perpetual map the respective organisation come into the category of Lower costs and
extremely conservative by buying products in bulk and using one of most highly advance
technology to remain competitive in marketplace.
Illustration 1: Perceptual map, 2019

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A competitor analysis
Competitor analysis is one of best strategy by which organisation identify their fierce
competitors and collect information about their products, sales and marketing strategies
(Kouropalatis, Giudici and Acar, 2019). By using the Porter's Five force model organisation
can elaborate the competitors strength and weaknesses for enlarge business opportunities In
proper way that are as follows:
Porter's Five force model:
Respective tool proved beneficial in context of organisation to determine one of best
tools and strategies to beat fierce rivalries and accordingly mould oneself accordingly.
Competitive rivalry:
Chick-fil-A is one of the most leading organisation from the last 150 years in market
place with a large no. of rivals in market that are Unilever, Krafts Foods and Goods DANONE.
Their level of competition is very much high in regards of heterogeneity, evolution within sector
and barriers related to enter into marketplace.
Bargaining power of suppliers:
Powerful suppliers in the marketplace possess the power to gain potential value for
themselves to demand high price by limiting quality and quantity regarding products and
services. There are various kinds of conditions imposed by suppliers which includes the increase
in price by compromising in quality and quantity. In context of Chick- fil- A the bargaining
power of suppliers is strong if it is more concentrated then industry to selling it.
Bargaining power of Buyers:
They take kinds of steps in order to satisfy their consumers needs in proper manner, as
they possess the high bargaining power that highly influence on level of profitability. Therefore
choosing clients plays very much crucial role in order to obviate the circumstances to reliance on
consumers.
Threats of Substitutes:
In the marketplace there are no. of substitutes products and services are existed in
marketplace as replacement of some products of Nestle such as Boiled water and pasteurized
milk. They by acclaimed that some crucial kinds of things that are not healthy for the consumers
resulting decrease in sales. Therefore it is potential for them to showcase features of products in
front of consumer which enables in their decision making process.
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Threat of new entrants:
It is in favour of organization that are already existed in the market to create barriers for
new entrants to enter into marketplace. Just couple of new entrants gain success in respective
industry as they require to understand the wants of consumers that needed adequate time
(Leonidou and Hultman, 2019.). As recent rivals understand and aware about both present and
emerging wants of their consumers .so the threat of new entrants in comparison to the other
fields is low in food and beverages industry.
To highlight how the organisation will stand out from the competition:
The major factors in front of respective organisation that will helps to stand out from
their fierce rivals that are they are one of most popular brand name in marketplace by using
strong supply chain (Logemann, Cross and Köhler, 2019. ). The operated from the last 150
years in market also specialised in some product one of them is Chicken sandwiches that are very
much popular within the people. They segmentation of market also very much strong as they
target families and millionaires to offer products as willingness of consumers.
Marketing strategy using the 7P’s
Marketing mix refers to the set or chains of human activity used by an organisation to
promote their brand name or products in marketplace. Here are the 7Ps of marketing mix of
Chick-fil-A as they are looking to bring their franchise in the UK market for expansion business
opportunities.
Marketing Mix Chick-fil-A
Product Respective organisation is leading brand name in field of food joints
based out of USA. They offer large no. of products from breakfast to
dinner, by offering kinds of sausage, eggs, nutritional food items and
many more. In their beverage list includes the iced tea, juices, soft
drinks and milkshakes. They also divide section of food for children's
such as nuggets and other kinds of appealing items.
Price In their pricing strategy they makes annual revenue of 8 million USD
and they fix their prices slightly higher in comparison to the other
brands in market. They by aligning pricing with strategy in order to
target certain class of people of higher income group that always
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demand something different and offering something new. By using
the franchise strategy they by fixing appropriate kind of price easily
established in UK marketplace.
Place They occupied a wide geographical presence in the whole world by
opening their outlets for enlarge business opportunities positively.
Due to charging higher pricing from consumers they able to position
oneself as an economic value quality fast food brand. They
constituted their outlets in USA, Canada and south Africa (Naudé
and Sutton-Brady, 2019.). They operate their franchise by giving
training and development to their employees resulting opened
various chains in New york city, Manhattan and Columbia. To
enlarge opportunities in UK marketplace they open outlet in main
market to potentially operate business activities.
Promotion Chick-fil-A use one of pretty kind of promotional tool which is
online mode to advertise and enlarge business opportunities in
positive manner. They use public relations, email marketing and TV
to bill boards to reach at large no. of people. They put efforts to
encourage people to visit their nearest outlet of respective
organisation on their promotional event named as Cow appreciation
day. As they are great brand name in market by using online and
tools to promote products they establish themselves in market
potentially.
Process Respective organisation use extensive franchise and then proceed
through the rigorous training and development season that takes huge
time for enlarge business opportunities (Nguyen, Melewar and
Hemsley-Brown, 2019.). By framing specified rules and regulations
in regards of franchise that helps to decide who can apply or not for
it. To expand in market of UK they provide extensive kind of
training sessions to put one of their best efforts while franchise their
products into other market.

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People Chick-Fil-A by targeting people of high income group and youth is
their potential consumer base in regards of food and pricing offered
by them. They always believes to keep their employees happy by
paying them higher salary and other benefits in comparison to the
other fast food joints for gaining potential outcomes.
Physical evidence In context of Chick-fil-A they have one of biggest physical evidence
that is their restaurants and outlets. The distinctive factor of
respective organisation is customer service and ambience with
consumer service that enchant consumers. By using uniformity as
using franchise a big family in order to gain potential outcomes.
Explain how you will use or adapt the tools of the marketing mix to gain an entry into the
UK market.
Marketing mix is very much significant attribute to build great understanding about all
aspect to gain new marketplace. Respective tool in context of Chick-fil-A it helps to define the
consumer base with their preferences helps to buy their products to gain competitive advantage.
While enlarge business opportunities into new market it is significant to define potential market,
consumer base and many more attributes (Noci, 2019). It defines the product benefits and
availability of respective products for gaining potential outcomes. It describes about functionality
of that products that offered by respective organisation after evaluating needs of consumers . It
proved beneficial to elaborate about the packaging and design it is not related with physical
product packaging but it is a simple to use interface app framing to enlarge business
opportunities in UK marketplace. It by observing the competitors helps to select one of best
price to consumers as per their level of speciality such as in context of Chick-fil-A they are
specialised in chicken sandwiches in the whole world. Respective tool enables to opt one of best
tool to promote and sales the products and services in market that aimed to reach at large no. of
consumers (Palmer and Truong, 2019). So it has been concluded that marketing mix is one of
crucial technique for organisation to examine or measure each and every aspect in proper way.
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CONCLUSION
From respective assignment it has been concluded that marketing and related activities
plays very much crucial role for an organisation to get aware people about organisational
products and services. It is very significant for a firm to find out opportunities to enlarge
business either by emergence of new product or by entering into new market. Before expansion
in other marketplace it is essential to collect necessary knowledge and information such as
potential consumers, price range on which products offered and one of best promotional tool for
organisation so on. To collect such kind of information organisation needed some important tools
that are SWOT and PESTLE, Porter five force model and STP to analyse micro and macro
environment, competitors analysis, segmentation of market respectively. By using such factors
organisation accordingly can frame tactics to obtain potential outcomes from them.
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REFERENCES
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