Chick-fil-a Marketing Plan: Analyzing UK Market Expansion Strategy

This report provides a comprehensive marketing plan for Chick-fil-a's expansion into the UK market. It begins with an executive summary and introduction, followed by a detailed analysis of the internal and external business environments using SWOT and PESTLE analyses. The report then outlines marketing objectives, employing the SMART framework to define specific, measurable, achievable, relevant, and time-oriented goals. It also covers the STP strategy (Segmentation, Targeting, and Positioning) to identify the target market and position Chick-fil-a effectively. A competitor analysis is included to assess the competitive landscape, along with a discussion of the marketing-mix strategy. The report concludes with recommendations for successful market entry and expansion in the UK, providing valuable insights into the challenges and opportunities faced by Chick-fil-a.

Marketing Management

EXECUTIVE SUMMARY
Marketing management relates top managing all the marketing activities of a company so
that it can reach to its target markets and successfully sell its products or services to the
customers. It is important to effectively managing the marketing strategies of company so that
market situation can be analysed and customer needs can wants can be assessed which help the
company in attracting more number of customers and increase its sales. This report discusses
about the marketing plan of Chick-fil-a wherein the internal and external market business
analysis is done along with development of business plan so that it can successfully expand in
UK.

Table of Contents
EXECUTIVE SUMMARY.............................................................................................................2
INTRODUCTION...........................................................................................................................4
MAIN BODY...................................................................................................................................4
SWOT analysis.......................................................................................................................4
PESTLE analysis....................................................................................................................5
Marketing objectives..............................................................................................................6
STP strategy............................................................................................................................7
Competitor analysis................................................................................................................8
Marketing-mix strategy of company......................................................................................9
CONCLUSION..............................................................................................................................12
REFERENCES..............................................................................................................................13

INTRODUCTION
Marketing management relates to managing the activities that are related to marketing so
that the changing market demand can be analysed and goods and services that can help in
achieving maximum customer satisfaction can be produced. It thus involves the processes and
plans which can help the company in attracting more customers by the way of advertising,
promotions and sales (Al Fahad and et. al., 2015). In this report Chick-fil-a is taken which is an
American fast food chain founded in 1967 by S. Truett Cathy. The company earns average
revenue of over $4m and has its existence in 48 states of America out of the 50 states. The
company is planning on expanding its market in UK so that a large market can be captured and it
can become one of the fastest growing fast food chains. In this report the analysis of internal and
external business environment will be done using PESTLE and SWOT. Further Porter five forces
will also be done so as to determine the competitiveness of industry along with formulation of
business strategy so that company can expand in UK market successfully.
MAIN BODY
It is important to audit the market in which expansion of company has to be done so that
the internal and external environmental factors that can affect the business can be systematically
analysed. It is important for Chick-fil-a to analyse its internal environment along with external
business environment which is given below:
Micro analysis
It relates to the analysis of micro environmental factors which affect the operations and
functions of business and which can be change and controlled so that efficient decisions can e
made. For analysing the micro environment SWOT analysis is done which is strategic
management tool that help in determining the internal strengths and weaknesses of business that
can help the company in making strategies so that strengths can be used for its advantage while
weaknesses can be minimised (Bhandari, 2018).
Strengths
 High quality and fast customer service
that give high customer satisfaction.
Weaknesses
 The company only cover areas in USA
which leads to its low brand visibility

 The employees of company are highly
skilled and they keep on improving the
experiences of customers.
in market.
 The food offered is relatively expensive
which leads to low customer retention.
Opportunities
 The company can expand in the
uncaptured markets internationally.
 Increase the food varieties in the menu
and opting for healthy fast food.
Threats
 The company face competition from
McDonalds, KFC etc.
 The increasing prices of raw material
required to prepare food.
Macro analysis
Macro environmental factors are those which cannot be changed or controlled but affect
the efficiency of business and its decision making. In order tr analyse the macro environmental
factors PESTLE analysis is done which is a tool that helps businesses in analysing the external
business environmental factors which affect the operations and strategies of company. It is thus
important to analyse these external factors by Chick-fil-a so that it can expand in UK market.
 Political: These are the factors related to governmental rules and regulations like tax
rates, trade tariffs etc. UK is usually politically stable which can help Chick-fil-a in
expanding its business in the country. However, the uncertainty in Brexit can create
problem in its expansion as the trade barriers can become tighter and the supply of raw
materials from UK can become difficult (Deepak and Jeyakumar, 2019).
 Economical: These are related to economic conditions of a country like its GDP,
unemployment rate etc. As UK is economically strong and the people have high
purchasing power they can easily afford products offered by Chick-fil-a. However, due to
Brexit the economic conditions of UK is getting affected which will create problems for
Chick-fil-a in arranging funds from the market.
 Social: These are related to people of society of a place like their culture, living standard
etc. The people in UK have high living standard that can help Chick-fil-a in selling its
products at profitable prices. However the increasing consciousness of people towards
unhealthy food means that the company can find it difficult to attract customers.

 Technological: It relates to technological advancements and level of R&D in a country.
UK is technologically advanced nation that can help Chick-fil-a in having easy and cheap
access to innovative techniques that can make work more efficient. However as the
customer tastes and preferences keep on changing the company needs to invest in R&D
so that they can continue to increase customer experience.
 Legal: These factors are related to the legal structure of country that are to be followed by
businesses so that they can work legally and gain the trust of customers. There is a
difference in USA and UK laws which means that the company will have to work under
the laws of UK so that it can work legally in market. With Brexit the laws of UK can
become strict which can affect its business in the country (Grewal and et. al., 2016).
 Environmental: These factors are related to the environmental conditions of a country
like availability of resources, water etc. It is important that the environmental conditions
of UK are analysed so that food can be kept safe and secure and healthy and safe raw
materials like chicken and bread can be acquired to make final products.
Marketing objectives
It is important that marketing objectives are formed by the businesses so that they can
clearly define the targets they have to achieve along with the time within which they have to
achieve these targets. It also help all the members related to the company to use the company
resources and their skills and abilities to achieve these targets on time. SMART objectives can be
formulated by company so that the effectiveness and success of company in market can be
increased. Smart objectives are specific, measurable, achievable, and relevant and time oriented.
Specific: It relates to what company has to exactly achieve so that clarity can be made about
these objectives. Measurable: It means that the objectives that are formed must be such that they
can be measured so that improvement and progress of company can be known. Achievable: It
means that the objectives must be possible to be achieved and must not be arbitrarily set.
Relevant: It means that the objectives must be relevant in such a way that they can help in the
progress and growth of company. Time oriented: It means that the objectives must be set within
a specified deadline so that work can be continuously done towards achieving them on time.
Following are the objectives that are to be achieved by Chick-fil-a through its expansion in UK
market:
1) Increase the customer base of company by 30% within 3 months

Justification: From the above SWOT analysis it can be said that the company can expand in UK
market and offer its products to the customers which are high in quality and are prepared by
using high end technology (Ramanathan and et. al., 2017). Also the employees of company are
highly skilled and continuously aim at improving customer satisfaction that can help it in
attracting a large number of customers in UK. Also the external business environment the
company can reduce its prices so that a large number of customers can be attracted in UK.
2) Increase loyalty of customers towards company by 10% within 3 months
Justification: The company can use various strategies so that the loyalty of customers towards
company can be increased. This can be done by displaying the ingredients that are used by
company in preparing food so that customer’s trust regarding the quality of food can be
achieved. Also with the help of social media platforms and taking the support of sponsorship of
famous personalities of UK the company can gain the loyalty of customers. Also with the help of
increased promotions and advertising a strong brand image of company can be built that can help
it in attracting more number of customers.
3) The company can introduce healthy fast food items in menu within 6 months
Justification: As the people in UK are becoming more conscious about their health and are
attracted towards healthy food it means that the company needs to introduce healthy fast food in
its menu so that more number of customers can be attracted by company (Soundar, Micro Macro
Assets LLC, 2017). This can be done by including vegetable sandwiches, use of whole grain
bread etc. so that people can be provided with healthy food that can help in gaining huge
customer satisfaction.
STP strategy
In order to strategically expand in the market it is important that the company use this
model so that right target customers can be reached at right place and at right time and help in
increasing the sales of company. Following are the stages that are involved in this model:
 Segmentation: It is related with the segmentation or division of large market into smaller
segments based on certain characteristics so that the target customers can be identified by
the company. For Chick-fil-a to expand its market in an efficient manner the
demographics and lifestyle of people are the characteristics based on which it should
segment the UK market. This helps the company in determining the market area which

can be covered by it where it can offer its products so that the target customers can be
reached (Stead and Hastings, 2018).
 Targeting: It is important that after segmentation of market the target customers are
selected by the company where it can offer its products. This will include targeting the
people who can afford high quality of food and are attracted to the chicken meals that are
offered by Chick-fil-a. This is important to be done so that the customers that can help it
in increasing its sales can be reached efficiently. The targets chosen by company must be
easily accessible so that its products can be reached to the customers and also it must be
sufficiently large so that profits can be earned by company.
 Positioning: It is related with positioning the products in market so that target customers
can be made aware about the products which are offered by it that can help in increasing
its sales. Advertising, promotions etc. can be used by Chick-fil-a so that it can reach to a
large number of customers and position its brand in the market so that its sales can
increase. In UK the company can position its products by offering its products at low
prices so that it can also deal with its competitors like McDonalds, Burger King etc.
Competitor analysis
In order to efficiently expand in the market it is important that the competitors of company
present in market are efficiently analysed so that the impact they have on the business can be
evaluated so that effective strategies can be formulated to deal with competition. Following are
the steps which must be followed in order to analyse competition in market:
 Defining the industry: It relates to identifying the industry of the business which for
Chick-fil-a is food and beverage industry. The company offers fast food to its customers
and give them fast and high quality services so that the experience of customers can be
increased. The company takes the order from customers and prepare the means as per
their orders and deliver it to them with high efficiency and following high quality
standards (Hua, 2019).
 Determining competitors: There are many competitors f Chick-fil-a in the fast food
industry in which it deal like Burger King, McDonald’s, KFC etc. All these restaurants
aim at increasing the customer satisfaction by increasing the quality of service and
providing the customers with efficiency which increase the competition for the company.

 Determining customers: The customers of these industries who are ready to grab their
orders quickly and do not come to spend quality time in these restaurants. Also these
people majorly belong to the working class people who try to get fast services and get
their food on time. It is thus important that Chick-fil-a improve its customer service so
that food can be offered to its customers at fast rate.
 Key success factors of business: The key factors that can help the business in being
successful are low price of the meals offered by company, fast service, customer
satisfaction etc. It is important that Chick-fil-a identifies these factors so that it can work
towards improving them which can help in increasing the success ratio of business in UK
(Möller and Halinen, 2018).
 Ranking the key success factors: The success factors must be ranked based on their
importance and contribution towards the success of business so that the most important
factors can be emphasised on. For chick-fil-a the ranking of these factors can be done as
fast delivery of services, high quality of food, customer engagement and so on. These
factors must be considered so that they can help in increasing the sales of company so
that profitability of company also gets increased.
 Rating of competitors: It is important that the competitors of company are ranked based
on the level of threat they pose to the company. McDonalds, KFC, Burger King etc.
which are the competitors of Chick-fil-a must be ranked based on the level to which they
create competition for the company.
Marketing-mix strategy of company
In order to efficiently expand the business in market it is important that marketing mix
strategy is applied by the company so that it can promote its products and services which can
help in attracting customers (Mehmet and Clarke, 2016). This strategy must be applied by Chick-
fil-a so that it can strategically expand its business so that the target customers can be offered the
products and services that can help in enhancing customer satisfaction. It will also help in
gaining a competitive advantage in the market by appropriately determining the 7Ps of the
marketing mix strategy:
Basis Definition Chick-fil-a strategy
Product These refer to the items or services The company deals in fast food industry

which are offered by the companies to
their customers so that their needs and
wants can be satisfied and company can
earn huge profits.
and offer chicken sandwiches and
burgers to their customers along with
beverages. High quality chicken meat is
used in the preparation of burgers so that
high value can be created for its
customers. While its expansion in UK the
company can modify its products based
on the tastes and preferences of
customers like including beef meat or red
meat in their sandwiches so that more
customers can be attracted by company in
UK.
Price It refers to the amount of money that is
to be paid by customers so that the
company products and services can be
availed. Price of items depends on the
pricing strategy which is followed by
company in order to attract its
customers (Gonzalez-Zapatero,
Gonzalez-Benito and Lannelongue,
2016).
The company offers its products at
comparatively high prices which means
that the company only focus on the
premium class of society. It is thus
important that economic pricing is used
by Chick-fil-a so that its sakes can
increase. As the company is expanding
its business in UK it is important that it
offer its products at low prices and high
quality so that a large market can be
captured and also a brand image can be
established.
Promotion These are the policies which help in
promoting its products in the market so
that a large number of customers can be
attracted and profits of company can be
increased.
Chick-fil-a can promote its products
through advertising on various platforms
like social media, print media,
promotions and offers etc. so that the
customers can be attracted and sales of
company can be increased. In order to

promote its products in UK market the
company can take help of technologies
like online marketing, social media etc.
so that the target customers can be
reached and also it can help in knowing
about their tastes and preferences.
Place It is the place or areas where products
of company can be sold so that the
target customers can be reached and the
company products and services can be
made available (Baker, 2016).
Chick-fil-a offers its products through
well-designed outlets which have perfect
ambience for its customers so that they
can feel welcomed and refreshed. The
company also has online delivery
facilities where customers can place their
orders through their online app and the
orders can be delivered at the place of
their customers. In UK the company can
use the same places to reach to their
customers. The outlets must be opened
by company at places which are crowded
and the working class society and
youngsters can be targeted.
People These are the employees of company
who continuously work towards
enhancing customer satisfaction by
offering high quality of products and
services to customers so that their
demands can be effectively satisfied.
Chick-fil-a can hire local people in UK
so that the trust of people can be achieved
and company can expand its business
successfully. It is also important that
employee engagement is given high
importance so that better relations can be
formed with them and their work
performance can be improved. The
company must give high remuneration to
people in UK so that its reputation can

increase in market which is beneficial in
reaching to its target customers.
Process It relates to the process which is
followed by the company so that they
produce the final products and services
and make them available to customers
(Chang, Wang and Arnett, 2018).
Chick-fil-a prepares food as per the
orders received from their customers and
emphasize on giving efficient and fast
delivery servicers so that high value can
be created for their customers. While
expanding in UK the company can follow
the same process and offer its customers
better ambience in its outlets so that they
can become loyal towards the company.
Physical
evidence
It relates to everything that can help the
customers in making physical contact
with the company.
The physical evidence which is related
with Chick-fil-a are the food, ambience
of the outlets where they purchase their
orders, bills, carry bags etc. In UK it is
important that the physical evidences are
strategized based on the customers so that
they can be highly satisfied with the
company products.
CONCLUSION
From this report it can be concluded that in order to expand the business of company it is
important that proper analysis of the business environment is done so that strategies that can help
in attracting customers in new market can be formulated. The objectives of company must be
clearly determined and SWOT and PESTLE analysis of business must be done which can help it
in analysing its capability to achieve its objectives. Competitor analysis is another tool that can
be efficiently used so that the competitors present in market and their impact on business can be
evaluated so that effective steps can be taken in order deal with the competition. With the use of
STP and 7Ps the company can effectively reach to the target customers and increase its sales in
market.

REFERENCES
Books and Journals
Al Fahad, A. and et. al., 2015. Marketing audit: A systematic and comprehensive marketing
examination. International journal of scientific & Technology research, pp.215-221.
Bhandari, M., 2018. Competitive Analysis of Canali v/s Intra Organisation Competitor Brands at
Genesis Luxury Pvt. Ltd. NIFT.
Deepak, R.K.A. and Jeyakumar, S., 2019. Marketing management. Educreation Publishing
Grewal, D. and et. al., 2016. Evaluation of Subsidiary Marketing Performance: Combining
Process and Outcome Performance Metrics. In Data Envelopment Analysis (pp. 491-
513). Springer, Boston, MA.
Ramanathan, U. and et. al., 2017. Role of social media in retail network operations and
marketing to enhance customer satisfaction. International Journal of Operations &
Production Management .37(1). pp.105-123.
Soundar, S., Micro Macro Assets LLC, 2017. Comprehensive system and method for providing
sales and marketing acceleration and effectiveness. U.S. Patent 9,674,364.
Stead, M. and Hastings, G., 2018. Advertising in the social marketing mix: getting the balance
right. In Social Marketing(pp. 29-43). Psychology Press.
Hua, H., 2019. Mobile marketing management: Case studies from successful practices. CRC
Press.
Möller, K. and Halinen, A., 2018. IMP thinking and IMM: Co-creating value for business
marketing. Industrial Marketing Management, 69, pp.18-31.
Mehmet, M.I. and Clarke, R.J., 2016. B2B social media semantics: Analysing multimodal online
meanings in marketing conversations. Industrial Marketing Management, 54, pp.92-106.
Gonzalez-Zapatero, C., Gonzalez-Benito, J. and Lannelongue, G., 2016. Antecedents of
functional integration during new product development: The purchasing–marketing
link. Industrial marketing management, 52, pp.47-59.
Baker, M.J., 2016. What is marketing?. In The Marketing Book (pp. 25-42). Routledge.
Chang, Y., Wang, X. and Arnett, D.B., 2018. Enhancing firm performance: The role of brand
orientation in business-to-business marketing. Industrial Marketing Management, 72,
pp.17-25.