Marketing Plan for KFC

This report provides a detailed analysis of the marketing plan for KFC, including external and internal analysis, SWOT analysis, promotion strategies, and budgeting. It also discusses the competitive advantage of KFC and its STP analysis. The report is suitable for marketing students and professionals.

Marketing

Executive summary
The report would provide the knowledge regarding the marketing plan which includes
the external analysis of the market and the internal analysis of market as well. These would
provide the education regarding the marketing strategy of KFC.

Table of Contents
Executive summary .....................................................................................................................2
INTRODUCTION.......................................................................................................................5
Pestle analysis ........................................................................................................................5
Porters five forces analysis.....................................................................................................6
Swot analysis ..........................................................................................................................6
Promotion................................................................................................................................7
Budget.....................................................................................................................................7
Competitors analysis for porters four corner analysis.............................................................8
Competitive advantage............................................................................................................8
STP analysis ...........................................................................................................................9
4 ps of marketing.....................................................................................................................9
CONCLUSION..........................................................................................................................10
REFERENCES..........................................................................................................................11

INTRODUCTION
The marketing plan is prepared in report and it would provide the knowledge regarding
the marketing of the KFC. KFC is the American fast food restaurant chain and it is providing
the products like the chicken sandwiches and many more. KFC was founded in the 1930 and it
was founded by the sanders curt and cafe. The company is spreading in then other global
countries which by the help of the supply chains.
Social atomisation is the key challenge for societies which will use the social media for
marketing of products and also company is participating in the social activities as well. Social
media is the tool for the individual and also the company is using the online gaming as well.
So it will encourage the employees and customers will be attracted towards company for
working in the effective way.
Pestle analysis
Political factor
Political factor effect the KFC company because they are selling food which is
unhealthy for the people (Chaffey and Ellis-Chadwick., 2019). Government rules always force
them to make healthy food for which can decease their popularity in the market.
Economical Factor
KFC is a multinational company, and they are operating their business is in all over the
world companies profitability affect when labors rates of any company increase or decrease.
When it increases they have to pay more to their employees and if it decreases then they have
to pay less to the employees.
Social factor
Every restaurant who are providing fast food to their customers they always struggle
with the social issue because this is unhealthy for the people who are eating fast food and this
also affect on the KFC they have to struggle from this issue.
Technological
KFC company is taking advantages of the new technology, and they are adopting the
new technology for the staff and employees (Keegan., 2017). Company believes that if they
are improving the environment for their workers it means they are improving services for the
customers to, so they are focusing on the technology trends for their employees, so they can
provide better services to the customers.

Legal Factor
KFC is operating their restaurant in more than 120 countries, so they have to follow
all the legal rules and regulation of the government. They are having all the legal rights.
Environmental
KFC has a very complicated past which is related to their paper supplier has affected
the personal opinion of the brand. The paper company was linked with the deforestation which
was having negative impact on the earth's health. This also contributes with the endangerment
of the wildlife and slimier species who are already on the brink of extinction.
Porters five forces analysis
Competitive rivalry is the high in market because people are facing the strong
competition. Fast food is the growing because many old companies are already in the market.
Many companies sell the products like the fries and salads as well (Kerin and Hartley., 2015).
These healthy products would attract customers.
Threat of new entrant is medium because there are rules and regulation in market
which would help them to enter the market. Market is also including the old companies which
are ruling it the market and is ruling the market and attracting the customers.
Bargaining power of suppliers is low because majority of the raw material is the
agriculture products and many other products are prepared at the outlets. Due to the less
variety of the products company would not afford to increase the prices of product. Suppliers
of company are changing constantly because many of the suppliers are taking the advantage of
the need of company.
Bargaining power of buyers is high because customers are visiting the restaurants at
daily basis and customers would visit the other restaurants as well. So company would not
raise the price of products and customers would not visit the restaurant when the prices are
high.
Threat of substitute products is high because the products are prepared at the outlets
and once the recipe is copied the other people would also use the products like company. So
company is dealing with the products like the threat of the substitute product and it is affecting
the sales of the company as well.
Swot analysis
Strength

 KFC is multinational company, and they are having huge reputation in the world, I
rank 2 after the McDonald.
 They are strongly emerging in the china where all other brands were fail to expand
their business in china.
 KFC is the combination of the 3 company which is Taco bell, Pizza Hut.
Weakness
 There suppliers are not treatable (Kotabe and Helsen., 2020), and they can break their
trust anytime of they get better offer from the other companies.
 There food are unhealthy and this is affecting on the customer's health which is
negative point for this company.
 They are having lack of strong marketing team so it is impotent for them to adopt some
employees who do their brand marketing
Opportunities
 They are proving home delivery through the online application of the KFC which is
increasing their business more.
 They are having opportunities to expand their business in India because they are
getting more demand of this company in the market, so they should expand more in the
country.
Threats
 There is huge market share distance between the KFC and MacDonald
 Competitors are increasing in food and beverage industry which is creating problem
for KFC.
 Trends towards the healthy food
Promotion
Promotion and the advertising is must for the companies because it would make the
product successful and it would help company to rotate the product in market. Company is
using the social Media for the promotion because it is used by the people at the large scale and
it would help company to work in the effective way . Company would provide the discounts
and offers and the news is reached by the customers by the help of the social media like the
face book and the twitters as well. Sales promotion is also quite important for the company

because it would make the products successful in the market and for fighting the competition
in the market.
Budget
Finance department of the company is setting the budget for the other department of
company and these would help the company to measure the key performance indicators. The
working of the departments would be analyzed by monitoring the work and the department in
the effective way (Kotler and et.al., 2017). The work is monitored by the way of the feed
backs and reviews from the customers which are consuming the products. Reviews and
surveys are conducted by then company at the on the social media and these would be
analysed by the way of the feedback of customers on the social media.
Competitors analysis for porters four corner analysis
These four corners analyses would include the drivers, management assumption,
strategy and capabilities. These model would include the knowledge regarding the competition
in the country and also it would provide the knowledge regarding the strategies which are used
by the company. Sam chicken is affecting the KFC by the way of the strategic and tactical
goals which are affecting the company. Management assumption would be giving the shape to
the strategy and it would provide the strengths and weakness of the competitors. Strategies and
capabilities would provide the knowledge regarding the external forces as well.
Competitive advantage
Porters generic strategies is used by the company for working in the effective way. It
would include the cost leadership strategy (Kotler and et.al., 2018). In these strategies it would
be concentrating on the cost of the products. Cost of the products is set by the company and
the cost is quite high as compared to the other competitors and these would affect company
sales. Kfc is focusing on the awareness of the brand to the customers which would increase the
sales.
Differentiation strategy is concentration on the different feature of products. Kfc is
having the products but it can be made by the any other company and threat would rule the
market. So the company would use the strategy by the way of the innovating the products with
the latest strategies and these would attract the customers in the effective way. Kfc has build
the brand image and these would affect the sale and productivity because brand image is the
only factors which would attract the customers.

Focus strategy is focusing on the cost and the different features in the products. Cost is
high and these must be lowered by the company while the different features in products is
done by the employees which are preparing the products and also use the latest strategies as
well for attracting the customers.
STP analysis
Segmentation:
Segmentation helps business to approach more organised groups which have
individuals with similar interests and characteristics. It allows organisation to provide products
and services as per specific needs of customers. KFC can use following segmentations for
achieving its profitability goals.
Demographic: In the segmentation of market demographic segmentation and organisation will
concentrate on the family, size and income of customers which can buy the products. KFC
products are targeted mainly to young people of age group 22-33 years or small families with
medium age group so that majority of customers can be addressed.
Geographic segmentation: In the geographic segmentation it will concentrate on the tourist
spot and the commercial areas and university canteen are the places which can attract
customers. This segmentation can also be used by KFC in classifying its products and
marketing aspect. For instance KFC outlets are present all over the world however in some
parts its BBQ chicken is categorised as one of the best selling KFC products while in some
countries which have more vegetarian population, popcorn nuggets and other veg products are
classified. Thus for achieving greater success organisation used to adopt different marketing
strategy for each geographic location.
KFC is divided among the various global countries like Africa, America and Asia. The
menu of the KFC is changed as per the places because customers are changing from the
various other regions in the effective way. For example in market other countries people are
changing and the people form the divides regions and countries so the taste is also different.
Some would enjoy the products but some would not enjoy the products. KFC has brought up
the vegetarian products for the customer which are in the India.
Psycho graphic segmentation: It will focus on the life style and personality of customers. On
the basis of this segmentation KFC will target individuals who lives separately or which are

lonely. The university students who are also among target population because all these groups
can lives quite isolated from social groups and thus through KFC products they can find a
chance to find quality time with themselves as well as their friends.
Behavioural segmentation: the behaviour of customers will include the occasion on the
valentine days. Company will launch products for the valentine days and also offer discount as
well. Under behavioural segmentation KFC targets its customers on the basis of various
behavioural factors such as loyalty, occasion, benefits and usage. For instance for encouraging
customer loyalty organisation gives various discount coupons or attractive benefits. It also
introduces new specific combo offers on special festival occasions such as New Year or
Christmas or particular cultural festival of geographical location. It helps organisation to build
strong brand value and to target more potential customer segment.
Targeting:
In the targeting of market people will focus on the customers which are able to buy the
products on the large scale. KFC will use demographic segment to increase its profitability
and to generate the greatest customer value. Targeting of the market and customers is done as
per the customers which are going to consume the products in the effective way (Wilson and
et.al., 2016). For instance in Asian markets KFC is including the targeted market of the
vegetarian customers and also non vegetarian customers. Majority of the customers which are
visiting the restaurants would be the young adults and children as well. These are needed on
the market size and the growth of the company in the country. Company objective and
resources are specified and the marketing strategies of the company. ON broad scale KFC
targets demographic segments.
Positioning:
Positioning will arrange the product and occupy a clear and distinctive place in relative to the
competing products in mind of customers. Once the company has decided to enter the selected
market and it will focus on the product position In the market. Product position is analysed by
the place of products in the consumer minds. Positioning of the KFC is strong in market
because in company has build the brand image of ruling the market by the way of the non veg
dishes like the chicken. KFC has build the strong image and it would also build the image in
the market on the basis of the vegetarian dishes. There are large numbers of customers which

are consuming the vegetarian products and it has attracted all the types of customers. KFC is
providing the products in market at the large cost and with the high cost as well.
4 ps of marketing
4 ps of marketing includes the price, product, promotion and place.
Product: Product of the company is more efficient and effective Because the product is
prepared according to the ned of the product and these would not affect the company sales.
Products are prepared by analysing the market. Company would use the latest technology and
improvise the products as per the customers need. KFC provides a wide range of products so
that its target customers can have lots of option. For instance along with the options for non-
vegetarian food the organisation also have services such as healthy food choices or take away
services to its customers. It helps organisation to capture broad market segments and gain
competitive advantage.
Place: Place at which the product is stored is more important because the place must be near
for the customers and customers would feel comfortable for visiting the place. Place must
have all the facilities which are necessary for the customers. KFC outlets are located at places
which used to have more customer traffic so that people can easily access the services. For
instance along with the separate outlets organisation also have service outlets in malls. The
restaurant have standard interior which represent the quality services of the organisation. KFC
is available in nearly all corners of the world so that its customers can find it in part of the
world and even if they are away from their home country they can use services of the
organisation.
Promotion: Promotion of the product is important because customers are known about the
features of the product by the way of promotion. Promotion would increase the sales and these
would also increase the productivity as well. For enhancing the sales KFC uses effective
strategies for promoting its services. Along with social media and conventional marketing
approaches, it also uses discount coupons, customer loyalty programs to promote its services.
For improving the effectiveness of promotional events the organisation also consider cultural
aspects into consideration. Like on festival seasons it uses cultural tag lines or culture based
advertisements so that people can feel emotional connectivity with the organisation.
Price: Price of the product must be suitable for the customers which are buying the products.
Price of products must be set according to the targeted market and these would as affect the

sales as well (Shaw., 2016). Price is set by company as per the features and by using the latest
technology as well. KFC have moderate prices for its products so that families and young age
group people can easily afford them. Along with this organisation also offers some of its
delicious food buckets in combo or low prices so that its sales can be increased. Since KFC
works in various parts of the world it does not follow standardised prices. The pricing strategy
of the organisation depends upon income of its target population as well as economical
stability of its geographical segment.
CONCLUSION
From the above report it would conclude that the company is using the marketing plan
for implementing the marketing strategies. Report would also provide the knowledge
regarding the increase in competition in market and the strengths and weakness of company.
Market analysis is done on the basis of the segmentation, targeting and positioning of the
product in market. The company has set the price of the products high so the company must
look after the customers and the market which would affect the sales of the products. Growth
strategies would affect the sales of the products and the productivity as well.

REFERENCES
Books and journals
Chaffey, D. and Ellis-Chadwick, F., 2019. Digital marketing. Pearson UK.
Keegan, W. J., 2017. Global marketing management. Pearson India.
Kerin, R. and Hartley, S., 2015. Marketing: the core. McGraw-Hill.
Kotabe, M. and Helsen, K., 2020. Global marketing management. Wiley.
Kotler, P. and et.al., 2017. Marketing for hospitality and tourism.
Kotler, P. and et.al., 2018. Marketing management: an Asian perspective. Pearson.
Shaw, S., 2016. Airline marketing and management. Routledge.
Wilson, A. and et.al., 2016. Services marketing: Integrating customer focus across the firm.