Nando's Brand Management Report: Target Market, Strategies, and Equity

This report provides a comprehensive analysis of Nando's, an international food chain specializing in Portuguese-style chicken dishes. It begins with a background of the company, its founding, and its evolution based on customer preferences. The report identifies Nando's primary target market as the younger generation (18-35 years old) and secondary target market as those aged 55-75. It then delves into the effectiveness of Nando's brand strategy, examining product attributes, benefits, and values used for brand positioning. The report also discusses Nando's brand identity, including its logo and tagline, and how it has leveraged brand equity. Finally, it explores Nando's relationships with its target markets, including sales promotions, R&D, and social media engagement. The report uses various academic sources to support its findings and includes figures for revenue analysis.

Running head: BRAND MANAGEMENT
BRAND MANAGEMENT
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1. Background of Nando’s
Nando’s is an international food chain organization, which is headquartered in
Johannesburg, South Africa. The concerned organization came to existence in the year 1987 and
was founded by Fernando Duarte and Robert Brozin. The current owner of the organization is
Dick Enthoven. The concerned organization specialized in manufacturing and serving the target
customer groups with Portuguese-style chicken dishes with various peri-peri marinades
(Nandos.com 2019). The evolution and growth of the organization is based on the development
of the dishes in accordance to the changing tastes and preferences of the customers. The different
modifications that are undertaken by the concerned organization are dependent on the assessment
of the needs of the customers.
The branding strategies that are undertaken by the concerned organization have assisted
the same in making most of the target customers aware of the product offerings and the brand.
According to a survey, it was found that the revenue of Nando’s increased by 13.9% which has
assisted in upholding a steady growth in the markets (Zhang and Niu 2015). The
developments in the chicken recipes and the wider promotion of the propositions have assisted
the company in making the customers aware of the brand offerings. In this relation, the report
will discuss the target market of the organization and the different strategies that are planned by
the same to establish a strong brand.
2. Target market of the brand
The primary target market of the concerned organization, Nandos', is the people from the
young generation or Gen- Y whose age ranges from 18 to 35 years (Nandos.com 2019). The

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target market of the organization is people who are interested in Chicken meals and delicacies.
On the other hand, the concerned organization also targeted people whose age ranged between
55-75 years old as their secondary customers (Nandos.com 2019). It has assisted the
organization in maximizing the customer base with diversity in the propositions. On the other
hand, the concerned organization aimed at providing affordable and good quality products and
services. The development in the products and services has assisted the organization in
upholding the effectiveness of the standards for meeting the expectations of the customers. The
segregation of the primary target market and the secondary target market has assisted the
business in drawing the attention of huge number of customers towards the product offerings.
Lu, Gursoy and Lu (2015) stated that the delineation of the target customers assists an
organization in enhancing the rate of customers. In this relation, the delineation of the target
market has assisted the concerned organization in delineating the needs of the customers and
thereby developing the line of products to retain the loyalty of the customers.
3. The effectiveness of the brand strategy
The brand strategy of an organization assists the same in making the customers aware of
the product and service offerings of the same. In this relation, the concerned organization
undertook different measures for developing the brand position in the respective Australian
markets (Rashid and Ghose 2015). The strategies are being discussed in this section and
compared with brand identity, which will provide a lucid view of the operations that are
undertaken by the business.
3.1 Identification and evaluation of brand positioning strategies
Product attributes

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The concerned organization, Nandos’, has taken steps to develop the brand based on the
delineation of their expertise in manufacturing Portuguese-style chicken dishes (Nandos.com
2019). The brand is positioned for the customers who are interested in the authentic Portuguese
dishes. On the other hand, the uniqueness of the chicken recipes acted as a brand- positioning
element for the organization. It has also assisted the concerned organization in drawing the
attention of huge amount of customers. The different modifications that are undertaken by the
concerned organization is based on the smooth functioning of the systems and the delineation of
the product attributes to suit the needs of the customers. Huang and Cai (2015) stated that the
product attributes work as an important strategy for drawing the attention of the intended
audience while operating in diverse international markets. In this relation, the concerned
organization has taken steps to position the brand after evaluating the demand faced by the same
in the diverse Australian markets. Anselmsson, Vestman Bondesson and Johansson (2014)
stated that positioning the brand in the diverse markets assists an organization in maximizing the
rate of awareness among the target customers. Therefore, the concerned organization has taken
steps to identify the demand faced by the same while operating in the Australian markets and
thereby position the brand to target the interested customers.
Benefits
The organization aimed at making the target customers aware of the authentic and fresh
chicken that is utilized by the same for the recipes. It has added to the brand positioning of the
business through maximization of trust and loyalty among the target customers. Han, Nguyen
and Lee (2015) stated in a study that more than 86% of the Australian customers are driven
towards the quality of the products over the pricing structure. The delineation of the quality
standards that are followed by the concerned organization has assisted the same in positioning

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their products or the brand effectively in the Australian markets. Therefore, the concerned
organization has taken steps to make the customers aware of the food and beverage safety
standards that are followed by the same to continue the effectiveness of the operations.
Beliefs and values
The concerned organization aimed at providing the customers with a family like
experience. The delineation of the core value of the organization related to “sense of family” has
assisted the same in enhancing the rate of brand positioning in the Australian markets
(Nandos.com 2019). The safety and security of the foods that are prepared by the organization
has assisted the same in positioning the brand more effectively while considering the quality
based needs of the Australian customers. Cha, Yi and Bagozzi (2016) stated that the delineation
of the values assists an organization in managing the brand positioning operation in accordance
to the needs of the same. Therefore, the brand positioning strategies relating to the delineation of
values has assisted the business in drawing the attention of the potential customers towards
the product offerings of the same.

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3.2 Brand identity and brand positioning of Nando’s
Figure 1: Logo of Nando’s with the tagline
(Source: Nandos.com 2019)
The logo of the organization portrayed a chicken with a heart, which might be anticipated
as a symbol for the chicken lovers. On the other hand, the tagline “A taste of Portugal”
delineated the expertise of the organization in preparing Portuguese-style chicken dishes
(Nandos.com 2019). The tagline of the organization formed an important element of the brand
identity, which assisted in making the customers aware of the proposition made by the same.
On the other hand, the logo created an impression relating to the chicken lovers. It has assisted
the concerned organization in making the target customers aware of the specific pro duct
offerings and thereby the motto of the organization in preparing Portuguese-style chicken dishes.
Šerić, Gil-Saura and Ruiz-Molina (2014) stated that the enhanced brand awareness assists an

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organization in drawing the attention of the customers towards the product offering for the
smooth functioning of the systems. In this relation, the concerned organization has taken steps to
develop suitable brand image to attract the attention of the target customers and thereby
position their offerings in the Australian markets.
4. The manner in which the brand equity has been leveraged
The brand equity of the concerned organization was leveraged through the tagline, which
indicated the authenticity of the Portuguese chicken dishes that are prepared by the organization.
The delineation of the expertise of the organization through the tagline has assisted the
organization in appealing to the interests of the target audience. On the other hand, the
delineation of the theme in the tagline assisted the organization in creating a perception of the
unique product offerings in the minds of the customers. Communication of the expertise of the
organization in preparing the authentic chicken dishes and making the customers aware of the
unique processes has assisted the business in gaining a huge base of loyal customers. Therefore,
the leveraged brand equity assisted the organization in enhancing the scopes of
commercialization.
5. Relationships with the target markets
Zhang and Niu (2015) stated that the relationship with the target market through different
PR activities assists an organization in upholding the loyalty of the customers. In this relation,
the concerned organization facilitated different sales promotional techniques to draw the
awareness of Generation Y. On the other hand, the owner of the business facilitated a suitable
functioning R&D to identify the changing preferences of the customers (Nandos.com 2019).
The identification of the changing preferences of the target customers has assisted the company

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in bringing forth modifications in the recipes. The primary target market expects different offers
and discounts while making a buy of the product offerings. In this relation, the concerned
organization was able to adhere to one of the basic necessities of the primary target group of
customers relating to price of the product offering. It has assisted the business in upholding a
positive relation with the customers. On the other hand, the owner of the organization developed
resources to facilitate communication with the primary group of customers through active
involvement in the social media platforms (Nandos.com 2019). It has assisted the business in
upholding the effectiveness of the operations while developing resources as per the demand of
the target groups. Therefore, the concerned organization has taken steps to develop the offerings
adhering to the expectation of the customers.

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References
Anselmsson, J., Vestman Bondesson, N. and Johansson, U., 2014. Brand image and customers'
willingness to pay a price premium for food brands. Journal of Product & Brand
Management, 23(2), pp.90-102.
Cha, M.K., Yi, Y. and Bagozzi, R.P., 2016. Effects of customer participation in corporate social
responsibility (CSR) programs on the CSR-brand fit and brand loyalty. Cornell Hospitality
Quarterly, 57(3), pp.235-249.
Han, S.H., Nguyen, B. and Lee, T.J., 2015. Consumer-based chain restaurant brand equity, brand
reputation, and brand trust. International Journal of Hospitality Management, 50, pp.84-93.
Huang, Z.J. and Cai, L.A., 2015. Modeling consumer-based brand equity for multinational hotel
brands–When hosts become guests. Tourism Management, 46, pp.431-443.
Lu, A.C.C., Gursoy, D. and Lu, C.Y., 2015. Authenticity perceptions, brand equity and brand
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Nandos.com., 2019. Nando's | The official worldwide home of Nando's. [online] Nandos.com.
Available at: https://www.nandos.com/ [Accessed 5 Apr. 2019].
Rashid, S. and Ghose, K., 2015. Organisational culture and the creation of brand identity: retail
food branding in new markets. Marketing Intelligence & Planning, 33(1), pp.2-19.
Šerić, M., Gil-Saura, I. and Ruiz-Molina, M.E., 2014. How can integrated marketing
communications and advanced technology influence the creation of customer-based brand

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equity? Evidence from the hospitality industry. International Journal of Hospitality
Management, 39, pp.144-156.
Statista (2019). Nando's Group Holdings revenues 2010-2018 | Statistic. [online] Statista.
Available at: https://www.statista.com/statistics/652683/nando-s-revenue-united-kingdom-uk/
[Accessed 5 Apr. 2019].
Zhang, H. and Niu, Z., 2015, June. A holistic model of brand equity management for hotel
companies: Understanding the role of employees in brand building. In 2015 12th International
Conference on Service Systems and Service Management (ICSSSM) (pp. 1-5). IEEE.

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Appendix
Figure 1: Revenue of Nando’s from 2010-2018
(Source: Statista 2019)