Comprehensive Marketing Analysis Report: Chick-fil-A's UK Strategy

This report provides a comprehensive marketing analysis of Chick-fil-A's potential expansion into the UK market. It begins with an introduction to marketing management and the company, followed by a thorough audit of the marketing environment using PESTLE analysis to assess political, economic, social, technological, environmental, and legal factors. A detailed competitor analysis compares Chick-fil-A to rivals like McDonald's and Burger King, examining their strengths, weaknesses, and pricing strategies. The report then explores segmentation, targeting, and positioning (STP) strategies, and concludes with a marketing strategy incorporating the 7Ps: product, price, place, promotion, people, process, and physical evidence. The report aims to provide a strategic framework for Chick-fil-A's successful market entry and growth in the UK.

Marketing
Management

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
An audit of the marketing environment......................................................................................1
A competitor analysis..................................................................................................................3
TASK 3............................................................................................................................................5
Segmentation, targeting as well as positioning (STP) strategy along with perceptual map. .....5
TASK 4............................................................................................................................................7
Marketing strategy which includes 7P’s ....................................................................................7
CONCLUSION................................................................................................................................9
REFERENCES..............................................................................................................................10
Books & Journals......................................................................................................................10

INTRODUCTION
Marketing management refers to a significant procedure of planning, decision making,
monitoring and controlling each and every element of the organisation in reference to marketing.
It define as the methodology which mainly supports every activity as well as functionality which
includes the whole procedure of distribution of product and services. Chick-fil-a in the present
report is considered as the base organisation established in the year 1967 which is a fast food
chain. The company was introduced by S.Truett Cathy with the aim of providing food items to
the individuals (Atwal and Williams, 2017). For expanding the whole market share, management
team of the company adopt franchising method within the market of UK. In order to conduct a
business expansion, market analysis is done to gather all the information and requirements. Apart
from this, STP methodology is used by the managers to examine potential marketplace.
Furthermore, 7P's is done to determine the elements in an effective manner.
TASK 1
An audit of the marketing environment.
The auditing of marketing is evaluated as systematic, wide range and autonomous
evaluation of plan and strategies, business activities, goals and objective. The marketing auditing
activity is always conducted by the third person and not by the leaders and mangers working in
an organisation. In the current relation of Chick-fil-a, they are running fast food chain in
America as they are offering large number of chicken sandwiches and other products to their
potential customers. It is evaluated that firm have 2400 restaurant operations inside the
boundaries of US and their sales index according to their outlet are examined which is about 5m
dollars in the year of 2016. Out of this it is evaluated that presently among 60, 459 American
states have various outlets which are very popular among the teenagers. Now in the present time
firm have achieved success in their operations at America now they have made plan in order to
expand their business activities in UK (Bagozzi and et. al., 2018). Before stepping towards
expansion of business activities there should be proper evaluation of factors operating in macro
environment in order to identify level of competition and demand factor. With the examination
of all factors operating at macro level Managers can formulate effective plans and strategies
related to marketing in order to fight competition at market place. In relation with PESTLE
investigation the macro factors operating in UK is explained below in effective manner as:
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Political factor: This factor is linked with various government and political rules and
regulations which can affect the overall business procedures of firms. It is evaluated that all the
rules and regulations which are linked with excellence of food standards and products, hygiene
factor and other aspects which are to be followed by the managing team of work place who are
dealing in the similar industry. In the current business report, it is examined that the political
framework within UK is very stable which provides various opportunities to firm which is
known as Chick-fil-a. this will help firm in order to carry put all their business activities in an
effective manner. On the other side UK governance is having their pressure in order to offer
healthy food products otherwise there can be negative impact that product might affect sales and
profitability of overall industry (Deepak and Jeyakumar, 2019). Thus firm should plan strategies
in order to compose their menus with healthy food products.
Economic factor: This factor of macro environment is being associated with the effects
of present conditions and trends in the economy. It is identified that business activities of fast
food chain are being exaggerated by the recession in the business economy. This result in
affecting the overall sales and profitability index of firm which operating their business activities
in the boundaries of UK. Thus will the assistance of these options it will help Chick-fil-a in order
to expand their business operations. As the conditions in the economy are stable so there are
various opportunities gained by the managing team in order to achieve growth in their
operations.
Social factor: This factor is linked with identification of the social surroundings which
puts a limit on the functioning of business activities with the fast food segment. The social trends
are influencing the behaviour of clients which are affecting business functioning. In relation with
the UK economy the youth are very busy with their lifestyles with result in making them choose
dining in various restaurant such as Chick-fil-a rather as they feel burden in order to cook food at
their home. This will help firm in order to carry out their business activities in positive working
environment within the boundaries of UK. Mangers should also ensure healthy food products in
order to satisfy need and demands of customers (Felix, Rauschnabel and Hinsch, 2017).
Technological factor: It is the most important factor while executing business activities
in fast food sector. By executing changes in technology there will be maximisation of sales and
profitability ratio of firm. The success factor behind Chick-fil-a is adopting current technologies
in order to satisfy need and demand of their client. The persons in UK are more technical by
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nature thus they prefer to order their food online. This also help business in order to adopt
changes in their business process thus enhancing profit.
Environmental factor: This factor is related with natural environment and magnitude of
the ecological propensity on both business and customers. In the present era persons are more
connected with environment thus they apply the rules and regulations which are imposed by
government bodies. Thus customers want that firm should follow all rules in order to have safe
and healthy environment (Gummesson, 2017). This will also help Chick-fil-a in order to capture
attention of customers who their consume their products.
Legal factor: This factor is related with various rules and regulation which are designed
by government on executing various business operations. The health laws are related with
availability of junk food which are available at diverse places. The alteration in legal terms and
condition & nutritive values are the most common factors which are being exaggerated by the
law thus affecting negatively returns of Chick-fil-a. If there are changes in in employment
condition, food managing technique then it will result in performing business activities
effectively.
TASK 2
A competitor analysis
The framework of Competitors investigation is related with the strong points, weak field,
plans and strategy of the present business industry. The study is composed of both the defensive
and offensive investigation in order to examine the prospects so that business can achieve
success in their operations and the weak factor which are blocking their activities (Homburg,
Jozić and Kuehnl, 2017). The models related with competitor’s investigation is the best way to
make comparison of Chick-fil-a's products with other competitors who are executing their
business activities in similar industry.
There are various junk food outlets which are executing at market area named as Five
Guys, Burger King, McDonald's, Subway etc. and these are giving same food products as
compared with Chick-fil-a. These business are giving tough competition to the other firm who
are dealing in the similar industry by achieving high market shares in United Kingdom.
The model of competitor investigation is valuable for Chick-fil-a in giving high
competition to the rivalry firm who are having proper skill and knowledge about the strategies
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and plan which are used by the rivalry firm. The business should have flexibility in their
activities so that they can easily adopt themselves according to the market trend. The competitor
analysis table of Chick-fil-a is described below as:
Aspect / Feature Chick-fil-a McDonald's Burger King
Stronger Points They are offering
qualitative food
products and also
ensuring hygiene
elements.
The firm have their
presence across the
globe thus development
of strong brand
appearance.
They have retained
loyal customers thus
gaining higher market
shares.
Weak Points The existence & use of
various social media
tools are not effective
and they also have very
inadequate items in
their display menu.
There publicity of food
items have negative
impact thus existence of
unhealthy menu.
There targets people
are narrow thus their
market campaign are
scattered.
Pricing strategy
adopted by firm
The have used
competitive strategy
related to pricing.
They used emotional and
bundling price strategy.
They have implemented
marketplace concerned
with pricing strategy..
Origin Country American American American
Targeted Clients It is best place for
members of the family
and children who want
to consume fast food.
The family who have
money for spending at
dining.
The professional and
working people on
spent money on quality
food.
Industry/ Firm fast food franchising Junk foodstuff franchise Business having
operation in fast food.
Established year 1967 was base year Established in 1940 1954 was the starting
year
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There are various competitors of Chick-fil-a who are operating their business activities
in UK thus firm need to formulate plans and strategies in order to ensure difference in their
operation from the other unit who are dealing in the junk food industry. This will be beneficial or
firm in order to make their presence for longer interval at market place. The firm known as Mc
Donald’s and Burger king have developed strategies by which they have gained customers
attention thus establishment of strong brand image at market area. They also have negative
aspects as they are not able to establish higher revenues from their business activities.
The firm will gain competitive advantage as they are offering healthy & hygiene food
products to their customers in order with other firm dealing in similar sector. This result in
ensuring healthy food products consist of lower calories which makes a person fit and healthy.
Chick-fil-a have designed their menu for offering food products to all age groups thus making a
difference from their competitor firm (Johnsen, 2018). The pricing strategy which are used by
the competitor firm are analysed by Chick-fil-a in order to set the prices of their products. Thus
this result in achieving competitive advantage by making a difference in their activities.
The decision related to marketing activities are mainly exaggerated by the elements
which are complex and are having their presence in the environment. In the present era there is
high competition in fast food sector thus Chick-fil-a should develop strategies in order to capture
attention of customers thus enhancing their market shares. In order to expand business activities
at other unit there should be research carried out in order to collect data from the market area
thus using the best strategies in order to achieve competitive gains. All these factors are using for
Chick-fil-a in gaining competitive expansions.
TASK 3
Segmentation, targeting as well as positioning (STP) strategy along with perceptual map.
It is define as a market segmentation procedure where whole market is segmented into
different small market which is based on the potential and capabilities of customers. With the
help of this, marketing team of Chick-fil-a will be able to modify their strategies and policies
according to the requirements. This will also assist in grouping individuals who have same
characteristic and features, so that it become easy for the company to promote and produce goods
and services accordingly (Kienzler and Kowalkowski, 2017). Apart from this, segmentation help
an organisation in order to educe their risk by providing goods and services to the customers as
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per their requirements. Furthermore, it is said that segmentation is categorised into four main
types which includes demographic, geographic, psychographic and demographic. All these
elements includes individuals with different characteristics and attributes. In reference to the
current report, it has been said that the management team of Chick-fil-a decides to bring a new
franchise within the market of UK. For this, market segmentation is conducted by the marketing
team so that who wants to bring a franchise in the marketplace of UK. Therefore, it is required
by the management team to segment the whole market on the basis of behavioural and
demographic segmentation. In the context of demographic segmentation, managers categories
the whole market on the basis of age, gender, income level and so on.
Apart from segmentation, target market refers to the process of selection of capable and
potential customers to those organisation wants to sell their goods and services at the
marketplace. In the present context of Chick-fil-a, customers who are targeted by the company
are kids, family, youngsters or teenagers from both middle and high class society. They are the
individuals who visit to the hotels on a regular basis.
At last positioning refers to the strategy which helps in attracting the customers and
acquire their mind in an effective manner (Kotler and et. al., 2018). It is the capability of an
organisation in order to influence and attract them towards their products and services. In
reference to Chick-fil-a, managers of the company position its brand by proving them high
quality food products within reasonable price. Along with this, company consider all the hygiene
factors while manufacturing goods and services in an effective manner. This will assist in
attracting large number of users towards their organisation and as a result increase their overall
market share and profitability at the competitive market.
Perceptual Map:
It has been said that perceptual map define as a graphical or visual representation which
shows the perception of their capable and potential customers. The perception of individuals are
associated with specific features, attributes, characteristic of an organisation related to the goods
and services. With the assistance of perceptual map, marketers of the company will be capable to
examine the position of company along with the views, ideas and thoughts of the end users about
Chick-fil-a. Perceptual map for the chosen organisation are as follows:
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TASK 4
Marketing strategy which includes 7P’s
It is said that every business organisation have their objective and aim for which their
whole business functions is conducted. According to these objectives, management team of an
organisation develop strategies and policies to attain them. In reference to the chosen
organisation which is Chick-fil-a, main objective of the company are as follows:
 To increase the whole profitability and performance by almost 15% within next 1 year.
 To increase the market share of the company in next 2 year by 20%.
Marketing strategy refers to a approach which is adopted by the management team so that
they will be able to accomplish their goals and gain competitive advantages (Rinallo, Bathelt and
Golfetto, 2017). It includes all those factors of marketing mix which will help in increasing the
understanding of what kind of goods & services will be provided by the company in order to
satisfy their needs and wants. In reference to Chick-fil-a, management team of an organisation
decides to expand their business functions by adopting franchising method. All these elements
are going to be discussed as follows:
Elements Description
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Product It define as the object available for the users in order to consume by them
and satisfy their needs and wants. In context of Chick-fil-a, different
types of dishes and products are offered by the company which includes
sandwiches and chicken dishes. In addition to this, management team of
the company consider all the hygiene factors while manufacturing goods
and services.
Price It refers to the amount which is willingly pay by the user in order to
consumer the product and services. If we talk about the pricing strategy
adopted by Chick-fil-a, they adopt competitive pricing so that they will be
able to beat the competition by offering low or affordable price products.
With the assistance of this, large number of individuals will be attracted
towards the company.
Place It define as the place where goods and services of an organisation is being
sold to the customers. Both physical as well as online platforms are being
used by the management team in context of Chick-fil-a. In order to grab
huge profitability, managers decide to do business expansion within the
marketplace of UK (Wierenga and Van der Lans, 2017).
Promotion It is the method with the help of which, company will be able to promote
their product and services in order to attract large number of customers.
In the present context of Chick-fil-a, managers adopt digital technology
for promoting their goods and services. With the help of this, managers
will be able to grab attention of customers across the whole wide world.
People It define as the factor, where each and every individual is accountable
towards their work. It includes activities such as marketing, finance, sales
and so on. For this, managers of the company decides to provide training
sessions to their employees on a regular basis so that they will be able to
produce appropriate and positive results in an effective manner.
Process It define as the procedure where goods, services and commodities deliver
to the consumers in an effective manner. In the present context of Chick-
fil-a, management team of the organisation adopt new and upgarded
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technologies so that they will be able to prepare high quality goods and
services. With the help of this, they can retain their potential customers
for a long period of time (Ziemba, Jankowski and Wątróbski, 2018).
Physical Evidence It is the element which consist of every element which can be seen and
identified by the customers in an effective manner. In the present context
of Chick-fil-a, it is said that the physical outlets of the company is highly
attractive and unique which grab attention of large number of customers
towards the. Along with this, staff members consider all the elements
which is related with the hygiene and cleaning facilities.
Therefore, it has been said that all these elements of marketing mix assist in performing
business functions in an effective manner. Along with this, managers will be able to develop
appropriate strategies and policies so that all the aims and objectives will be attained properly
and within given time frame.
CONCLUSION
As per the above mentioned report, it has been concluded that it is very essential for the
management team to perform all there marketing functions in an effective manner at the
competitive marketplace. It has also been said that before entering into the new market place
managers must conduct environmental audit so that they can produce goods and services as per
the requirements of individuals. It has been said that, in order to maintain sustainability at the
competitive marketplace, managers need to satisfy needs and wants of customers in an effective
manner. Furthermore, by using STP approach, marketplace is distinguished on the basis
demographic and behavioural segmentation.
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REFERENCES
Books & Journals
Atwal, G. and Williams, A., 2017. Luxury brand marketing–the experience is everything!.
In Advances in luxury brand management (pp. 43-57). Palgrave Macmillan, Cham.
Bagozzi, R. P. and et. al., 2018. Marketing-Management. Walter de Gruyter GmbH & Co KG.
Deepak, R. K. A. and Jeyakumar, S., 2019. Marketing management. Educreation Publishing.
Felix, R., Rauschnabel, P. A. and Hinsch, C., 2017. Elements of strategic social media
marketing: A holistic framework. Journal of Business Research. 70.pp.118-126.
Gummesson, E., 2017. From relationship marketing to total relationship marketing and
beyond. Journal of Services Marketing. 31(1). pp.16-19.
Homburg, C., Jozić, D. and Kuehnl, C., 2017. Customer experience management: toward
implementing an evolving marketing concept. Journal of the Academy of Marketing
Science. 45(3). pp.377-401.
Johnsen, T. E., 2018. Purchasing and supply management in an industrial marketing
perspective. Industrial Marketing Management. 69. pp.91-97.
Kienzler, M. and Kowalkowski, C., 2017. Pricing strategy: A review of 22 years of marketing
research. Journal of Business Research. 78. pp.101-110.
Kotler, P. and et. al., 2018. Marketing management: an Asian perspective. Pearson.
Rinallo, D., Bathelt, H. and Golfetto, F., 2017. Economic geography and industrial marketing
views on trade shows: Collective marketing and knowledge circulation. Industrial
Marketing Management. 61. pp.93-103.
Wierenga, B. and Van der Lans, R. eds., 2017. Handbook of marketing decision models (Vol.
254). Springer.
Ziemba, P., Jankowski, J. and Wątróbski, J., 2018. Dynamic decision support in the internet
marketing management. In Transactions on Computational Collective Intelligence
XXIX(pp. 39-68). Springer, Cham.
Zimmerman, A. and Blythe, J., 2017. Business to business marketing management: A global
perspective. Routledge.
Online
Fast Food Industry PESTEL Analysis, 2019. [Online]. Available through:
<https://notesmatic.com/2016/09/fast-food-industry-pestel-analysis/>
PESTEL analysis of the UK, 2019. [Online]. Available through:
<https://www.howandwhat.net/pestel-analysis-uk/>
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