Marketing Strategies: TGI Fridays vs Nando's Restaurant

This report provides a comprehensive analysis of hospitality marketing, focusing on the comparison of marketing strategies employed by TGI Fridays and Nando's restaurants. The introduction highlights the significance of the hospitality sector and the role of marketing within it, particularly for a global brand like TGI Fridays. The report explores the responsibilities of marketing in a business context, encompassing management functions, customer satisfaction, and the strategic use of the marketing mix. It also examines the interrelationship between marketing and other functional units, such as finance, human resources, production, and purchasing. The core of the report presents a detailed comparison of the marketing mix elements (price, product, place, promotion, physical evidence, and process) of TGI Fridays and Nando's. This includes an examination of their pricing strategies, product offerings, distribution channels, promotional activities, and the overall customer experience. The report concludes with a summary of key findings and insights, offering a comparative perspective on how these two restaurant chains approach marketing to achieve their business objectives.

HOSPITALITY MARKETING
ESSENTIAL

Table of Contents
INTRODUCTION...........................................................................................................................3
LO 1.................................................................................................................................................3
P1 Marketing responsibility in business.....................................................................................3
P2 Relationship of marketing with other functional unit............................................................4
LO 2.................................................................................................................................................5
P3 Comparison between marketing mix of two firms................................................................5
LO 3.................................................................................................................................................9
P4 marketing plan.......................................................................................................................9
CONCLUSION..............................................................................................................................11
REFERENCES..............................................................................................................................12

INTRODUCTION
Hospitality sector is the major industry that contributes greatly in generating revenue in
the nation. Present study is based on TGI restaurant which is the global brand and has branches
in many location. Study highlights responsibility of marketing in restaurant firms. The study
describes relationship between two different department of company. Furthmore, marketing mix
of TGI is compare with Nando restaurant.
LO 1
P1 Marketing responsibility in business
Marketing can be described as tool of promoting brand and managing the sales globally
(Litvin, Goldsmith and Pan, 2018).
Role and responsibilities of marketing is as follows-
Management function
Marketing management has responsibilities to perform various functions like planning,
organising, directing, motivating, co coordinating and controlling. It is recommended that all
these functions are properly carried out by TGI FRIDAYS so that its marketing system to
functions are carried out properly(Hua, 2016).
Giving customers what they need: TGI FRIDAYS to increase its business will market about the
needs of consumers that what they require. As satisfying customers needs and wants is the
easiest way to increase profits and sells more products. TGI FRIDAYS does market research
about what the taste and habits of consumers and after that make any changes requires so that it
can improve its sales.
Fulfils customers requirements profitably
Marketing shape and implement marketing strategies which have contribution to the
economy(Litvin, Goldsmith and Pan, 2018). The job of marketer is to fulfils the requirements of
buyers but with the desired amount of profit earned. Restaurant fullfils the needs of buyers but
the aim is to increase profit. Everyone needs the low prices products as it is the human nature so
lower prices solves the needs of buyers. They have skills which attracts customers, builds sales
and increase profits. Management process of TGI FRIDAYS ensure satisfying consumer’s
needs.
Pricing, promotion and distribution of ideas, goods and services

Marketers set various pricing strategies to increase the sales. Markets set prices according
to the situation in market in boom periods the prices et will be high as compare to off season.
Marketer do promotional activities to increase the sales of company like advertising of products
and services which are been offered by restaurant. They started giving various offers and
discounts so that it attract more customers. They form different distribution channels so that the
services offered can be easily reached to consumers at proper time. TGI FRIDAYS offers home
delivery services also so for that marketers assists in choosing which distribution channel will be
convenient and cost friendly so that services offer can reach in desired way and also benefit the
organisation.
Relationship marketing
It focuses on customer relations that when customer visit the restaurant they are greeted
and welcomed in a desired way. They are treated in such a way that they come again and again
and build long term connection with them. To maintain long terms relations with customers
restaurant provide special facilities to consumers and give discounts and offers etc. all these
activities help TGI FRIDAYS in building loyal customers to its organisation.
P2 Relationship of marketing with other functional unit
Marketing with finance
There is a strong relation between marketing and finance as for doing any activity finance
is required. Both they are interrelated and are responsible for generating profit. So for marketing
finance is related as company forms various marketing strategies to increase the sales of products
or services so for that finance is required by the company. For that company makes new financial
policies so that they can have enough budget for marketing and other activities (Fyall and et.al.,
2019). More finance spend by the TGI FRIDAYS on marketing of its goods and services more
effectively the marketing function will perform.
Marketing with human resources
The relation between these units help in motivating behaviours of customer -contact,
employees and this impact on behaviour of organisational performance. Mrketets inform HR
department about the needs of marketing ie, more employees are required for marketing which
are should be covered and how much persons are required in which area(Fyall and et.al., 2019).
And after considering marketers advice HR department of TGI FRIDAYS hires persons which
have knowledge and experience of marketing and who can perform the task very well. HR

conducts interview and hire the candidates according to requirements after they are hired next
task performed is that they are given training so that they learn the objectives of organisation and
what is their role in that.
Marketing with production
The role of production function is that it focuses on creating new products, managing the
quality and quantity of products and making arrangement for deliveries and marketing function
concentrates on satisfying the needs and wants of customers. It assist in increasing sales of
restaurant and as when sales are increased the production process also increased.
Marketing with purchase
There is a relation between marketing and purchasing. As by effective marketing through
television and social media more awareness about the products and services is created. More
information is reached to customers as more customers are attracted towards that. Thus by
effective marketing more goods are purchased by consumers which indirectly increases the sales
of TGI FRIDAYS.
LO 2
P3 Comparison between marketing mix of two firms
TGI Friday is the family dining restaurant which is operating in around 870 locations. It is
well designed restaurant that works to serve consumers well. Its objective is to raise number of
guest in restaurant and make them satisfied by providing satisfactory services.
Nando is the private restaurant, it offers fast food and dining services to its consumers
across the world. It serves chicken and related cuisine to consumers across the world.
TGI FRIDAY Nando's
Price The prices charge by the restaurant
for its foods and restaurants rooms
are not so high. They provide good
quality products and services at
reasonable prices. The pricing
strategy followed by restaurant is
skimming prices which means that
firm lower the prices to attract more
The prices charged by this restaurants
are high as compare to other
competitors in the market. They charge
high prices for its goods and services
but promises to provided premium
quality services to customers. Pricing
strategy followed by the restaurant is
premium as it is clear from the name

customers and after it has captured
the market high prices are charged.
Chicken soup= 7.4-9.8USD
Beer=4.3USD
Whole chicken= 4.3 USD
Mutton=12.3-16USD
that it charge high prices as compare to
other restaurants in the market.
Beer=2-2.5 USD
Whole Chiken=4.2 USD
Products The products offered by this
restaurant is of good quality. It
offers quality foods to customers at
reasonable prices. The products
offered are burgers, Desserts, soups,
seafood, salads etc. The products is
capable of satisfying the needs of
customers. All types of foods and
beverages are provided to consumers
at reasonable prices. It provides
beverages, desserts, dining, services
to consumers across the world.
Various types of products are been
offered by the Nando's , they offer
products of high quality. The food
products offered by them are
Appetizers, burgers, chicken, alcoholic
beverages, etc. it main focuses on
chicken. The prices charged for the
services is high as compare to other
restaurants, but no other competitor
can offer the quality products like of
this restaurant. It provides wide range
of chicken products to consumers
alone with other cuisine.
Place T.G.I. Fridays have spread its
presence in most parts of United
States(Murphy, Gretzel and
Pesonen, 2019). It has expanded its
international presence at global
market with almost nearly nine
hundred locations in more than sixty
countries. The restaurant is situated
in the posh area and the view from
the restaurant is amazing. The rooms
Nando's has its reach worldwide
properties. The group has showed its
growth with time. Starting from the
US, restaurant has focused on western
countries as the group targets exclusive
segment of the society. Restaurant
provide premium quality to consumers
so the location set by the restaurant is
also good(Murphy, Gretzel and
Pesonen, 2019). The Nando's located

are facing road area from which
whole city view is visible and this
attracts more customers.
It is situated in Piccadilly, London.
It provides online and physical both
kind of services to its guests. Apart
from this, it has its own application
from where consumers can place
their order online (Palmatier, 2018).
at beach side near airport so it is easy
assailable for travellers to come and
use the services.
Nando’s restaurant is located in Angel
in London. It provides home delivery
services to consumers.
Promotion TGI FRIDAY uses various
promotional strategy to increase its
market share. The main focus on
promoting the restaurant with online
travel agencies. They made
agreement between the travel agency
that the travellers they are bringing
the travel agency will made them
stay in the TGI FRIDAY restaurant
as per the agreement(Parsons and
Lepkowska-White, 2018).
It provides special discounts to its
consumers on new year and
Christmas. Furthermore, It offers
vouchers to its regular consumers to
retain them in restaurant for longer
duration.
Nando's restaurant is the known name
in the hospitality industry, and unique
promotional strategy is used by them.
Well dedicated team and staff focuses
on to bring out new and unique
marketing indulgence(Hua, 2016).
It provides happy tour facility to some
lucky guest and also there is special
menu and discounts for kids birthday
parties.
Physical
evidence
The restaurant had red and white
stripped awning and blue paint it
also had Tiffany lamps, it has
wooden floors, Bentwood chairs and
The Nando's restaurants and resorts
have great reach and presence of its
working properties across the world.
The group has also tied up with many

table clothes are stripped. There are
some decotrative elements in the bar
like brass rails and stained glass.
TGI FRIDAY believes in giving
best ambience through its decoration
which includes some significant
memorabilia like propeller and
racing scull.
It has branches in Africa, America,
Asia, Australia etc.
restaurant booking chains and websites
so that its reach can be increased and
evidence in the market. When it comes
to exclusive hospitality market, ‘The
Nando's ’ comes among famous
restaurant places(Parsons and
Lepkowska-White, 2018).
It has branches in many locations such
as Botswana, South Africa, Asia,
United Kingdom, Canada etc.
Process TGI FRIDAY has developed its own
training program for the employees
and managers in order to understand
the importance of customer service
and experience. The restaurants has
walk in as well as pre booking
services(Baker and Magnini, 2016).
Restaurant accept online and manual
both payment modes. Consumers
can place their order online.
The systems and processes of the
Nando's groups are considered as one
of the best management restaurant
chains in the world. Due to reliable
processes and maintained supply chain
management of the group helped in the
minimization of operating cost(Baker
and Magnini, 2016).
Nando’s restaurant is taking assistance
of order stick and place it on
consumer’s table. That is why guests
of this restaurant are highly satisfied
with the services or process of
company.
People As it is established for young crowd
the wait staff is also young, and are
energetic anf follows a dress code of
the restaurant. The staff also
celebrates birthday of customers by
cutting cake and singing a special
birthday song. The quality which
restaurant looks in the employee are
code of integrity and his
The business of Nando's worldwide
only depends on the loyal customers
and upcoming market customers. The
restaurants group has successfully
served in Running support desk,
customer services, and organizing
different entrainment events for
customers. These are some of the
strong bases of Nando's success.

commitment towards job.
Employees wear specific uniform
which is provides by TGI Friday.
They make warm welcome of
consumers and ensure that they get
immediate services according to
their requirements.
Employees are given special training
regarding offering services to guests
and welcoming them. They have
knowledge about products hence
people are bale to serve consumers
well.
LO 3
P4 marketing plan
Mission- To create an amicab;e hospitality environment which maximises the service quality and
provide comfort to customers. Provide adequate and advance mode of communication to support
the informational and business needs of customers
Objective- The objectives of restaurant is to increase the sales by 30% till the end of year 2019.
SWOT analysis of TGI FRIDAY:
Strengths: Business environment is clean and tidy. Prices charged are cheaper than competitors.
Business has a good brand image. Quick services offered to customers.
Weaknesses: The availability of funds is limited. Offering products which are already available
in the market. Not providing good training to staff ie, showing wait staff that how to attend the
tables. Food quality is normal not very much premium.
Opportunities: Restaurant can provide different variety of foods . Restaurant can start delivery
services of foods. If main competitor close down than restaurant can expand its market.
Threats: Competing restaurant located nearby can be a threat to TGI FRIDAY. New restaurant
opening in the area can become a major threat for the restaurant.
PEST analysis of TGI FRIDAY:
Political: Things which impacts the restaurant are tax reforms and health regulations. So it is
necessary to determine that tax changes and health regulations which affect the business and
after that organisation can decide how to react best to that(Dzhandzhugazova and et.al., 2016).
Economic: Economic factors such as minimum wage rates and health of economy are two
factors which impact the working of restaurant. If wage rates are low restaurant can save its cost.

Social: Any change in the taste and preference of consumer can impact the business. Culture
followed by people. So before expansion market research is must for TGI FRIDAY.
Technological: Technology is growing very rapidly, and these advances sometimes impacts the
running of company. Restaurant should make use of smart technology as payment from mobile
should be adopted.
STP
Segmentation: geographic segmentation is applied by firm (Dzhandzhugazova and et.al., 2016).
There are several ways by which company can expand its market ie, city, country, state or
region. The restaurant will expand its market by city to city.
Targeting: Targeting strategy followed by the restaurant is mass/undifferentiated marketing.
This idea assumes that the consumers have similar needs with respect to a particular product or
services and hence targeting is done to a larger customer base (Perreault, 2018).
Positioning: Positioning strategy followed by the TGI FRIDAY is cost positioning. Ie, skimming
price policy is used by the restaurant which means that in starting the lower prices are charged
but after some time high prices are charged from the customers.
Marketing mix 7Ps
Price: The pricing policy will be set in such a way that minimum prices are set by the
organisation so that it can attract more customers(Bowie and et.al., 2016).
Products: The products which will be providing to the public will be of high quality and will be
different from other competitors.
People: The restaurant will target young customers. And for expanding the business restaurant
will give training to employees sob that they perform well in business expansion (Cacciolatti and
Lee, 2016).
Process: Depending on the needs of consumers the restaurant will supply the products. Advance
technology will be used by the business so that it can produce more output with less inputs.
Physical evidence: The TGI FRIDAY has good environment and brand image which helps in
attracting new customers and retaining old customers. Having good ambience can attract the
consumers towards the restaurant.
Promotion: The restaurant will do promotion of its products and services by the use of social
media platforms such as Facebook, Instagram etc.

Place: Business will expand its market to outskirts of the city as there is less competition there.
Son expanding to this place will be beneficial for TGI FRIDAY(Bowie and et.al., 2016).
Analysis of budget
Budget is the main thing before making an expansion. The restaurant will analyse that
how much funds are available to them so that can easily expand its business. If enough funds are
not available then restaurant will issue its share in market so that they can get capital for
expansion, and make new financial policies (Hapsari, Stoffers and Gunawan, 2017).
CONCLUSION
Study can be summarised as marketing is essential it plays a vital role in increasing the
sales of firm or increasing market share. By using effective marketing tactics such as giving
discounts, promoting through social media can help business in attracting new consumers and
retaining them in business for longer duration. Marketing planning is the tool which is helpful in
managing the system and operations of company in effective manner.

REFERENCES
Books and Journals:
Baker, M.A. and Magnini, V.P., 2016. The evolution of services marketing, hospitality
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and firm performance: The moderating role of market orientation, marketing strategy and
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Dzhandzhugazova, E.A. and et.al., 2016. Innovations in hospitality industry.International
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Hapsari, C., Stoffers, J. and Gunawan, A., 2017. The Influence of Perceived Cultural and
Business Distance on International Marketing Strategy Decisions; A Case study of
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Contemporary Hospitality Management. 28(9). pp.2052-2079.
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Murphy, J., Gretzel, U. and Pesonen, J., 2019. Marketing robot services in hospitality and
tourism: the role of anthropomorphism. Journal of Travel & Tourism Marketing. pp.1-
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Palmatier, R.W., 2018. Advancing marketing strategy research.
Parsons, A.L. and Lepkowska-White, E., 2018. Social media marketing management: A
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Online:
Hospitality Marketing Essential. 2019. [Online] Available Through
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