PROJECT REPORT ON A STUDY OF CONSUMER PERCEPTION TOWARDS PRODUCTS AND SERVICES OF KFC

Submitted In Partial Fulfillment of the Requirement of the Degree of Bachelors of Business Administration

SUBMITTED TO: Lect. Suvneet Bhandari

SUBMITTED BY: Nishi Narula

EXECUTIVE SUMMARY
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In this final report of Research Methods and Techniques, this project report begins with an introduction. Then a brief introduction of the fast food industry. Statistical analysis of the gathered data and finding of this project is also part of this report. In the end team members tried to make some recommendation regarding KFC customers. In order to accomplish this task, initially research proposal report had been generated .we applied the whole research process on to it, starting from the very first step of setting the objectives for my research to the results obtained .we went through a lot of steps. After setting the objectives, we have selected a sample. After selecting a sample from which primary data & the required information was to be extracted. The research instrument used for this purpose was questionnaires; questionnaires remained the main focus of this research. Whole data was then analyzed statistically. We conducted a total survey of 35 questionnaires and put the primary data into SPSS. Then the questionnaire analysis was done with the help of the frequencies extracted from the SPSS. In the end the results in the form of conclusion were drawn and finally recommendations were made according to that analysis. Kentucky Fried Chicken (KFC) Malaysia is a major Quick Service Restaurant (QSR) operator in Malaysia and has been established for just over 20 years now. It serves mainly chicken related items, but offers side dishes to its consumers as well. Lately, more and more Malaysians have been opting for a healthier eating diet as a large number of them have become more health conscious. This has opened the door for KFCs main competitors, such as McDonalds, to come out with a new range of healthier products, allowing them to mount a greater challenge on KFC Malaysias current position as Malaysias leading fast food operator. As a response to the advancement made by KFCs competitors in providing healthier fast food, KFC are to introduce a new set of healthier products that would be mainly targeted at health conscious people, living in Malaysia. Its target market would largely be based on segmentation of age, where it would be focused on customers in the age group of between4 to 40 years old.

Introduction of Company
KFC Corporation, based in Louisville, Kentucky, is the worlds most popular chicken restaurant chain, specializing in Original Recipe , Extra Crispy TM, and Colonels Crispy Strips chicken with home style sides and five new freshly made sandwiches. Every day, nearly eight million customers are served around the world. KFCs menu everywhere includes Original Recipe chickenmade with the same great taste Colonel Harland Sanders created more than a half-century ago. Customers around the globe also enjoy more than 300 other productsfrom a Chunky Chicken Pot Pie in the United States to a salmon sandwich in Japan. KFC continues reaching out to customers with home delivery in more than 300 restaurants in the United States and several other countries. And in quite a few U.S. cities, KFC is teaming up with invented what is now called home meal replacement selling complete meals to harried, timestrapped families. He called it, Sunday Dinner, Seven Days a Week. Today, the Colonels spirit and heritage are reflected in KFCs brand identity the logo features Colonel Harland Sanders, one of the best-recognized icons in the world. other restaurants, Taco Bell and Pizza Hut, selling nearly fifty years ago; Colonel Sanders

KFC specialized in chicken and they says,

No bodys cooking like KFC today and we are the chicken experts

There is no competitor for spicy chicken which is made by KFC

Introducing New Product

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KFC

Pricing Issues
PRICING POLICY FOR PRODUCT OF TWISTER Manufacturing cost 5% marketing cost (PER UNIT) Total cost 15% G.S.T +15% RETAIL MARGIN Total retail Price PRICING STRATEGY FOR DEAL 6 Manufacturing cost 5% marketing cost (PER UNIT) Total cost 15% G.S.T +15% RETAIL MARGIN Total retail Price RS. 140/RS. 25/RS.165/RS.55/RS.220/RS. 100/RS. 5/RS.105/RS.25/RS.140/-

M issio n state m e n t
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T o b e th e le ad er in w e stern sty le q u ic k se rv ic e re stau ra n ts th r frien d ly se rv ic e, g o o d q u a lity fo o d an d c le an tm o sp h ere a

Goals of KFC
Build an organization dedicated to excellence. Consistently deliver superior quality and value in our products and services. Maintain a commitment to innovation for continuous improvement and grow, striving always to be the leader in the market place changes. Generate consistently superior financial returns and benefits our owner and employees. To establish in India our position as leading WQSR (Western Quick Service Restaurant) chain, serving good value. Innovative chicken-based products. Consistently, providing a pleasant dining experience, with fast friendly, in a clean and convenient location. At all times we must be dedicated to providing excellent and delighting customers.

KFC History
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KFC is an internationally renowned fast food industry in the world. They have the main ambition to increase & maintain the quality in fast food industry. Their aim is to capture the fast food market. Basically they want to provide their products to anyone that is why they expanding their branches in all over the world. They want to increase their profit through giving maximum satisfaction & other better facilities to people that they want. Now after catching such a marvelous position in the International Market, KFC is introducing a new item Boneless Fried Chicken, with even more attractive and charming taste. Company overview: Colonel Harland sanders, born September 9, 1890, actively began franchising his chicken business at the age of 65. Now, the Kentucky fried chicken business he started has grown to be one of the largest retail food service systems in the world. And colonel sanders, a quick service restaurant pioneer, have become a symbol of entrepreneurial spirit. More than two billion of the colonels finger lickin good chicken dinners are served annually. And not just in America. The colonels cooking is available in more then 82 countries around the world. When the colonel was six, his father died. His mother was forced to go to work, and young Harland had to take care of his three year old brother and baby sister. This meant doing much of the family cooking. By the age of seven, he was a master of a score of regional dishes. Ate age 10, his first job working on a nearby farm for $2 a month. When he was 12, his mother remarried and he left his home near Henryville, Ind., for a job on a farm in Greenwood, Ind. He held a series of jobs over the next few years, first as a 15-year-old streetcar conductor in New Albany, Ind., and then as a 16-year-old private, soldiering for six months in Cuba. After that he was a railroad fireman, studied law by correspondence, practiced in justice of the peace court, sold insurance, operated an Ohio River steamboat ferry, sold tires, and Operated service station. When he was 40, the colonel began cooking for hungry travelers who stopped at his service station in Corbin, KY. He didnt have a restaurant then, but served folks on his own dining table in the living quarters of his service station. As more people started coming just for food, he moved across the street to a motel and restaurant that seated 142 people. Over the next nine year, he perfected his secret blend of 11 herbs and spices and the basic cooking technique that is still used today.
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1930 In the midst of the depression, Harland Sanders opens his first restaurant in the small front room of a gas station in Corbin, Kentucky. Sanders serve as station operator, chief cook and cashier and name the dining area "Sanders Court & Caf."

1969 The Kentucky Fried Chicken Corporation is listed on the New York Stock Exchange.

1971 More than 3,500 franchised and company-owned restaurants are in worldwide operation when Heublein Inc. acquires KFC Corporation.

2002 Tricon Global Restaurants, Inc., the world's largest restaurant company, changes its corporate name to YUM! Brands, Inc. In addition to KFC, the company owns A&W All-American Food Restaurants, Long John Silvers, Pizza Hut and Taco Bell restaurants.

2006 More than a billion of the Colonel's "finger licking' good" chicken dinners are served annually in more than 80 countries and territories around the world

KFC India KFC is the worlds No.1 Chicken QSR and has industry leading stature across many countries like UK, Australia, South Africa, China,USA, Malaysia and many more. KFC is the largest brand of Yum Restaurants, a company that owns other leading brands like Pizza Hut, Taco Bell, A&W and Long John Silver. Renowned worldwide for its finger licking good food, KFC offers its signature products in India too! KFC has introduced many offerings for its growing customer base in India while staying rooted in the taste legacy of Colonel Harland Sanders secret recipe. Its signature dishes include the crispy outside, juicy inside Hot and Crispy Chicken, flavorful and juicy Original Recipe chicken, the spicy, juicy & crunchy Zinger Burger, Toasted Twister, Chicken Bucket and a host of beverages and desserts. For the vegetarians in India, KFC also has great tasting vegetarian offerings that include the Veggie Burger, Veggie Snacker and Veg Rice
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meals. In India, KFC is growing rapidly and today has presence in 11 cities with close to 50 restaurants. After a series of jobs, in the mid 1930s at the age of forty, Colonel Sanders bought a service station, motel and cafe at Corbin, a town in Kentucky about 25 miles from the Tennessee border. It is here that Sanders began experimenting with different seasonings to flavor his chicken which travelers loved and for which he soon became famous. During the next nine years he developed his secret recipe of 11 herbs and spices and the basic cooking technique which is still used today. Sander's fame grew. He sold his chicken on the highway! But when the highway was removed, he sold up and traveled the United States by car, cooking chicken for restaurant owners and their employees. If the reaction was favorable Sanders entered into a handshake agreement on a deal which stipulated a payment to him of a nickel for each chicken the restaurant sold. By 1964, from that humble beginning, Colonel Harland Sanders had 600 franchise outlets for his chicken across the United States and Canada. Later that year, Colonel Sanders sold his interest in the United States operations for $2 million. The 65-year-old gentleman had started a worldwide empire using his $105 social security cheque. Sadly, Colonel Harland Sanders passed away on December 16th, 1980 aged 90. His legacy lives on with KFC restaurants all over the world. KFC now stretches worldwide with more than 13,000 restaurants in more than 80 countries and territories around the world serving up the Colonels Original Recipe. It is a $13 billion brand based out of Kentucky and is the leading QSR around the world which is based in Louisville, Kentucky. Yum! Brands own 5 brands, out of which KFC is the largest brand within the Yum! Portfolio, founded by Colonel Harland Sanders in the year 1938.

VALUES OF KFC
Focus all our resources to our restaurants operation because that is where we serve our customers. Reward and respect the contributions of each individual at KFC.
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 Expand and update training with time and be the best we can be and more. Be open, honest and direct in our dealings with one and other. Commit ourselves to the highest standard to the personal and professional integrity at all times. Encourage new and innovative ideas because these are the key to our competitive growth.

Reward result and not simple efforts.

Dedicate ourselves to continuous growth in sales, profit and size of organization. Work as a team.

PHILOSOPHY OF KFC

The CHAMPS Program

Champs stands for our belief that the most important thing each of us can do is to focus on the customer. It stands for our commitment to provide the best food and best experience for the best value. CHAMPS stand for the six universal areas of customer expectation common to all cultures and all restaurants concepts.

THE CHAMPS These are: Cleanliness, Hospitality, Accuracy, Maintenance of Facilities, Product Quality, Speed of Service CHAMPS is the philosophy to ensure that the customer has the consistent quality experience in every restaurant, everyday, on every occasions and you will be playing role in delivering CHAMPS to our customer

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Entry For the current Indian market for fast food, it is not difficult for a fast food restaurant to enter the market. However, it would be extremely difficult to take over already running major fast food chains' dominancy in India or even make a significant amount of profit. While there are enough people in urban India for any restaurant to survive, KFC holds the first-mover advantage into the 'non-veg food specialty food segment' that gives them free reputation. Customers, especially children who are used to going to KFC as a treat or reward from their parents or grandparents, are not going to want to go to other restaurants theyve never heard of. The brand name is already established. Also, there is already a large variety in the numerous western-style dining places in India, such as McDonalds, Pizza Hut, Domino's and Subway, and any new fast-food entrants would just be presenting something very similar to whats already there. While small Neighborhood restaurants generally have low barriers to entry, these are the barriers to entry for similar restaurant businesses to enter the fast-food chain market. Buyer/Supplier Bargaining Power The customers of KFC, especially as individual buyers, have almost no bargaining power because if only one customer threatens to no longer eat at KFC, the store is not going to lower its price because the cost of losing one customer is not very great. The suppliers, like the buyers, have very little bargaining power. In terms of food, KFC, upon its move into India, urged many of its U.S. suppliers to also extend branches into India. KFC also began helping local suppliers by giving them technological support to improve their products. This is a brilliant strategy because the supplies that KFC would otherwise need to import from the

U.S. can now be obtained domestically, and if the U.S. suppliers decide to raise their prices, KFC can easily switch to the local suppliers. This gives us a brilliant strategy. With this strategy, KFC created competition among its suppliers, lowering the supplier bargaining power. In terms of
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human resources, labor cost is extremely low because the supply of non-skilled workers great exceeds the demand for them. With so little buyer and supplier bargaining powers, KFC is able to have a very tight control over its prices and expenditures. Substitutes and Complements As mentioned above, there are a few major competitors in the fast-food industry in India for KFC, namely McDonalds, Pizza Hut, Domino's and Subway. The substitute

products, in this case, would be burgers, pizza, and sandwiches. Though they are competitors, their primary products differ greatly from each other, in that they sell, chicken, burgers and fries, pizzas, and sandwiches, respectively. Traditional Indian dining, home-cooked meals, and grocery stores with ready-to-eat foods are also substitutes, as families could choose any one of these over fast food for a meal. from street vendors count as substitute goods. While other fast foods serve as substitute to KFC, they can also serve as complements for fast foods as a whole. If the general price of fast foods goes up,KFCs price rises as well, and the same can be said of the quantity sold of these products, which make them complements to each other. KFC also sets up stores located near popular tourist attractions, so tickets to these tourist spots are also complementary goods because the more people tour these attractions, the more customers KFC will get. Rivalry Unlike what one would expect, KFC has little rivalry with similar fast-food chains in India. The primary reason is that their core products are different, as in they sell different kinds of fast foods with very different tastes and styles. For example, if KFC raised its price for chicken by a small amount, Indian chicken lovers who may not be as accepting to pizzas (many Indian people strongly dislike the taste of cheese) are not going to switch to Pizza Hut just because the price for KFC increased. In addition to that, these restaurants have such different target customers that the fluctuation of price for one restaurant is not going to affect the others. For example, a full meal at KFC ranges about Rs. 100, whereas a full meal at Pizza Hut can cost over Rs. 300. The
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These

substitutes are definitely considered healthy as compared to the fast food chains. Even foods

drastic difference in price assures no price competition between these restaurants. KFC Original Recipe 6 cups Crisco Shortening 1 eggs well beaten 2 cups Milk 2 cups Flour 2 teaspoons ground pepper 3 tablespoons salt 1 teaspoon MSG 1/8 teaspoon Garlic Powder 1 dash paprika 2 Frying Chickens cut into 6 pieces Place shortening into the pressure cooker and heat over medium heat to the shortening reaches 400F. In a small bowl, combine the egg and milk. In a separate bowl, combine the remaining six dry ingredients. Dip each piece of chicken into the milk until fully moistened. Roll the moistened chicken in the flour mixture until well coated. In groups of four or five, drop the covered chicken pieces into the shortening and lock the lid. When pressure builds up cook for 10 minutes.

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Promotions
In India KFC not advertise there products too much because people KFC due to its reputation in other countries. They promote their products through special packages.They promote there products through billboard, pamphlets and through other promotion strategies

Current target market

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Segmentation KFC has divided the market of India into distinct groups of customers with different demands, tastes and behavior who require separate products or marketing mix. In India the niche marketing is being used for particular classes of people. They have made segments of the market on the following bases.

Demographical Behavior Geographical By using these three bases they segmented the market as under.

DEMOGRAPHICAL BASIS In demographics their first segment is consisted of the income factor i.e. high income, average income and low income.

BEHAVIOR In behavioral aspect they segmented the market on the basis of quality, taste and price. Following are the different possible segments in this regard. Taste conscious Quality conscious Class conscious Combination of price and quality

GEOGRAPHICAL BASIS On the basis of the geographical factor we have divided our market in three main segments. Urban areas Sub urban areas
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Profile criteria:
1. Gender: KFC is for each gender both male and female. 2. Income: Everyone can use the KFCservice upper and middle class . 3. Age: age limitation for using this product above 15 4. Occupation: By profession also everyone can use this product means businessman student

workers and other peoples.

5. Education: It has no need more education that why the person who know something can

easily enjoy with this product.

6. Family life cycle: KFC is suitable in every stage of life like single married couple and also

those who have children can use this product.

7. Lifestyle: This product is used in every level of social class like upper, middle class. 8. Attitude: When the customers once buy this product after that they can use the product

continuously.
9. Purchasing decision: Often KFC changes the purchasing decision of customers because of its

good attributes.
10.

Geographic region: Geographically KFC is used in every part of the country as well as

all over the world. Product positioning

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Customer perceive this product as a unique product that other are not giving . Attitudes The attitudes of the public is very good people like our this new product like others. Purchasing process: Many people come from home to eat this , and some make impulse decision as they saw it . Market Coverage Strategy KFC will be using differentiated market coverage strategy. It means that different marketing mix will be used for different age groups.

TARGET MARKET FOR FAST FOOD

After evaluation of various segments, KFC has decided to target the market of Urban and Sub-urban Areas of Pakistan. Product usage People are educated and they want variety in their diet. Normally people of rural areas dont take fast food. On the other hand people of urban areas take fast food. Income of the people of urban areas is normally high and they can afford to purchase such products, which are slightly higher in price as compared to prevailing prices of local food in the market. People of Urban Areas are more quality conscious than the people of Rural Areas. In Urban Area there lived people from every walk of life and profit generation is easier than in Rural Areas.

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 Population density is higher in Urban Areas as compared to Rural Areas, so the number of customers are more in Urban Areas.

COMPETITIVE ANALYSIS
Competitors You cannot enjoy the business without competitors. No organization can afford to ignore there competitors. It is very important for a marketing managers to monitor the activities of there competitors, what they are doing? KFC adopted such sort of strategy that there is no competitor for spicy chicken, which is made by KFC. KFC beats its competitors through the revising marketing strategy at every movement but the main competitor of KFC are Mc Donald COMPETITIVE ADVANTAGE KFC Spicy Products Indian people like spicy products instead of boiled food Arabian Rice and Zinger Burger Free Delivery McDonalds Burger and French Fries

Big Mac Charges for home delivery

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Chicken is eaten by every community Local Staff and Highly Qualified because local staff can better deal with the customers KFC uses Top to Bottom and Bottom to Top Approach in Management. KFC is Co branding with Walls

Beef is banned in some community Its Staff consist of simple Graduates and give them training McDonalds Uses Top To Bottom Approach. No such Case.

ECONOMIC ANALYSIS OF MARKET A market in this context refers to a number of all actual and potential buyers of a product (Kotler et al 2003). These buyers have a need to satisfy their needs through exchange (Graphic 1). These needs make up the demand for particular products and services. Several components must be considered, as all these components have a direct or indirect impact on KFCs success. Changes in the below described components over the last couple of years have led to big changes in peoples attitudes towards healthy food. It explains why Australians today want to eat healthy and nutritious-rich food in order to keep themselves healthy and that KFC must adjust their range of product and their company image to appeal to these new expectations, people have. Macro environment
Graphic 1

Communication

Industry
(a collection of seller)

Product / service Money Information

Market
(a collection of buyers

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KFC operates in a larger macro environment of forces that creates opportunities, but also threats. (Kotler et al 2003). A company such as KFC usually cannot influence trends in the macro environment, as they affect people and organisations on a larger scale. However, KFC has to carefully examine macro environmental trends and must create competitive responses to such trends. There are six major macro environmental forces KFC has to take into account.

Micro environment The microenvironment consists of all forces that are close to KFC, and on which KFC has an impact. They directly affect KFCs ability to serve its
KFC Company Competitors

customers. (Kotler et al 2003). Three major components influence KFCs micro environment: Competitors Because the fast food market in India is highly competitive, KFC faces a wide
Consumers Micro Environment

Graphic 3 (Source: Kotler et al 2003)

number of direct and indirect competitors. KFCs main competitors are fast food chains such as McDonalds and Dominos, which are already well established throughout India. McDonaldss in particular is a direct competitor, as they have already successfully introduced their Salads plus line (http://www.theage.co.in), which directly targets healthy food conscious Indians. But, there are a number of other competitors that is also focusing on chicken types products. All this competition makes it quite difficult for KFC to maintain or even broaden their
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customer base. However, with the introduction of a new and healthy product range, KFC can differentiate itself from most competitors and will gain a competitive advantage. Customers KFCs customer market consists solely of the consumer market (Kotler et al 2003). KFCs products are bought by individuals (males, females, singles, and families). Therefore, the product range KFC offer should appeal to as many people within this consumer market as possible, to ensure that the maximum amount of products can be sold. The characteristics of these individuals and a segmentation of them are discussed later in this report. Strengths and weakness of competitor Strengths: 38 products, Attractive Outlets, Huge Marketing, Budget, More entertainment for kids Weaknesses: Same type of Menu, No Home Delivery How they compete their competitors ? It is found that KFC compete its competitors by five ways: KFC compete its competitors through marketing strategy They offered different packages at different events like ramdan offer, midnight offer etc. KFC compete there competitors by providing good services They must hired the hard selling persons to market their product in the market and motivate their employees for the sake of organizations and employees do well and they compete there competitors KFC has quality products and through these quality products they compete their competitors

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ENVIRONMENTAL FACTORS AND OPPORTUNITIES

Political : The operations of KFC are affected by the government policies on the regulations of fast food operation. Currently government are controlling the marketing of fast food restaurant because of health concern such as cardiovascular and cholesterol issue and obesity among the young and children in the country. Governments also control the license given for open the fast food restaurant and other business regulation need to follow such as for a franchise business. Good relationship with government in giving mutual benefits such as employment and tax is a must for the company to succeed in any foreign market. Economic: Though for last 1 year their was economic slowdown all across the globe but the sales of KFC and other fast food chains did not slow down to that extent that of other sectors in. The GDP (Purchasing Power Parity) is estimated at 2.965 trillion U.S. dollars in the year 2010. The GDPper Capita (PPP) was 2700 U.S. dollars as estimated in 2008. The GDP- real growth rate in 2007 was 8.7%. India has the third highest GDP in terms of purchasing power parity just ahead Japan and behind U.S. and China. Foreign direct investment rose in the fiscal year ended March 31 2007 to about $16 billion from just $5.5 billion a year earlier. There is a continuous growth in
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per capita income; Indias per capita income is expected to reach 1000 dollars by the end of 2007-08 from 797 dollars in 2006-07. This will lead to higher buying power in the Hands of the Indian consumers. So taking into considerations the economic factors of India KFC is safe. The only danger to it will be if there is a terrorist attack in India and the victim is KFC. Socio cultural: India is the second most populous nation in the world with an approximate population of over 1.1billion people. This population is divided in the following age structure: 0-14 years 31.8%, 15-64 years 63.1% and 65 years and above 5.1%. There has also been a continuous increase in the consumption of fast food in India. The social trend toward fast good consumption is changing and India has seen an increase of 90% fast food consumption from the year 2002- 2007. This increase is far greater than the increase in the BRIC nations of Brazil (20 per cent), Russia (50 per cent) and China (almost 60 per cent). Thus this shows a positive trend for fast food industries in India. Technological: The Indian fast food Industry is heating up with a lot of foreign players entering the Indian market. The technological knowhow and expertise will also enter the Indian market with an increase in competition. With the lower rates and increase technology the fast food counters are attracting youth by giving them attractive deals. For e.g. KFC and Dominos pizza. For a fast food restaurant, technology does not give a very high impact on the company and it is not a significant macro environment variables. However KFC should be looking to competitors innovation and improve itself in term of integrating technology in managing its operation. For example in inventory system, supply chain management system to manage its supply, easy payment and ordering systems for its customers and wireless internet technology. Implementation of technology can make the management more effective and cost saving in the long term. This will also make customer happy if cost savings results in price reduction or promotional campaign discount which will benefits them from time to time. Environmental:

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As one of world largest consumer of beef, potatoes and chicken, KFC always had been critics for world environmentalist. This is because high consumption of beef causing the green house effect by methane gasses coming from the cows ranch. Large-scale plantation has effect the environment and lost of green forest opening for plantation activities. Vegetarian environmentalist criticizes the fast-food giant for cruelty to animals and slaughtering. In America, once KFC want to introduce whale burger causing uproar because whales are endangered species. Before using paper packaging, KFC once had been criticized for being insensitive to pollution because of using ne based packaging for its food products. Imagine millions of people purchase from fast food operator and how is the impact to world environment by throwing away those hard to recycle packaging. Our world is getting concern on environment issue and business operating here should not just care for profit, but careful usage of world resources for sustainable development and care for environment safety and health for our future generation. Critics and concern from all public or activist should be review and support if necessary to ensure we play our social responsibility better. Legal factors: As a certified fast food operator, there are many regulations and procedures that KFC should follow. For example is the Halal certification that becomes a concern to Muslim consumers. KFC should protect its integrity and consumer confidence by ensuring all materials and process are as claimed or must followed. Other legal requirement that the business owner should follow as stipulated in laws are such as operating hours, business registration, tax requirement, labor and employment laws and quality & environment certification (such as ISO) in which the outlet has been certified. The legal requirement is important because the offenders will be fined or have their business prohibited from operating which can be disastrous.

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K CIn ia F d

- B GM t ix C ar

C p ris y B n le s oe s C ic e h kn

K se ru h rs

?
Vg e Ta h li

C ic e h kn Bc e uk t

Boston Consultancy Group (BCG) Matrix Question Mark: Currently KFC have launched a new product in the market. They have also tried to come into the beverages market by launching its new brand of shakes called KRUSHERS. As it is a fairly new product it comes in the category of the Question Mark in the BCG Matrix. It has a low market share thus brings low revenue. KFC is advertising a lot to popularize this product so there is a lot of expenditure on it. This product is individually not bringing any profits and is a cash drain for the company. Company may decide to completely remove this product from the market if it does not do well soon and start bringing in revenue. DOG: KFCs Veg Thali comes under this category. Although company had launched this product much earlier, it has still failed to become a success. As KFC is known more for its non-veg food, this also results in low demand for this item. It has a low market share and although low on expenditure (as company does not spend on its promotion), it does not bring in much revenue as demand is low. The product is mostly CASH NEUTRAL. CASH COW: KFCs Chicken Bucket is the most successful product of the company. It has the highest market share amongst all the other products. It has good demand in the market and brings in huge sales
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revenue. The development and other expenses are also low and thus this product is a CASH SIRPLUS for the company. STAR: The star product of the company is its crispy Boneless Chicken. It has a high market share and brings in high revenue. But it also has high developmental expenditure involved. The profit therefore is generally not very high brought in by this product. This product is CASH NEUTRAL for the firm. The company is trying make this product a cow as well, by reducing the expenditure

Summary of current situation

SWOT analysis mean strength, weakness, opportunities and threats and the SWOT analysis of KFC are: STRENGTHS Goodwill and reputation: The company certainly has earned a good name and reputation by its previous products and services in the market. It is even more recognised in other markets outside India, where the company is among the leading fast food giants. The brand is recognised and trusted in India for its quality products, price, and customer service. It therefore has a good head start and enjoys a good chance of becoming a leader in Indian fast food industry.

Employee Loyalty: Employee Loyalty is one of the major strengths of KFC. The turnover rate in the company is amongst the lowest in the industry.

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Customer Loyalty: Despite gain by Boston Market and Chick-fill A, KFC

customer base remained loyal to the KFC brand because of its unique taste. KFC has continued to dominate the dinner and take out segment of the Industry.

Ranks highest among all chicken restaurant chains for its convenience and

menu variety. It generates $1B revenue each year. WEAKNESSES KFC was losing market share as other Chicken chain increased sales at a KFC share of Chicken Segment sales fell from 71 percent 1999 , to less than Huge competition in this segment. India is still mostly a vegetarian dominated cultured society. South India is

faster rate. 56 percent in 2009 , a 10 -years drop of 15 percent.

especially very much so. This may reduce the market share of the company. KFC has not yet invested much on R&D, and innovating new products for Indian Markets. This may lead to failure of their products as they are not in line with the Indian mind set, peoples taste and preferences and their likes and dislikes. This may prove fatal for the company. OPPURTUNITIES New Markets: Globalisation has opened doors for new markets for the company. As the developed markets are mostly saturated, the developing countries like India and China promises a good market and generation of demand in the future. With more than 70% of the markets in india being unexplored and un organised, KFC has a good scope of expanding its operations in the country.

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Cross Culture: Generally there is a good acceptance of American culture of fast food in India. People are opening up to fast foods more regularly in their daily lives and not just keeping it a once in a month affair. Thus Indian mindset is fast changing.

Large Youth population: India has a very large share of youth population a compared to other countries. More than 60% of the population is under the age of 30yrs. As the young generation are more open to fast foods and demand it more, this is a good news for the company. New variety: Company can also come up with new variety in the menu like Pizzas,

garlic breads to attract more customers. THREATS

Competition: Competitor companies like McDonalds are fast catching up

with the market.McDonalds with sales of more than 19 billion in 1999, accounted for 15 percent of the sales of the nations top 100 restaurant chains. Organisations like PETA People for Ethnic Treatment for Animals have given a bad name to the company which may prove disastrous to the image of the firm. Currently, KFC is under massive attacks from animal organisations, questioning the way KFCs suppliers are threatening the chicken, before they got slaughtered. Anti KFC campaigns, such as the one from PETA are affecting KFCs brand

image in a negative way and result in direct dollar losses, as less people are consuming KFC chicken Saturated US Market: Now KFC cannot rely on just its home market to generate sales. As the US markets are already saturated and leave no or little scope for growth, company necessarily needs to look at offshore foreign markets to generate sales and keep up the profits.

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MARKETING STRATEGIES OF KFC

There are different strategies adopted by KFC for different events. They market their products on different events and in different activities as they are helping SOS village. According to KFC, kids become the future permanents customers and we know very well that without any marketing strategy no marketing program and no product is successful because we depend upon customers, customer not depend on us. KFC is following Niche Marketing and Societal Marketing techniques.
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KFC possess a western culture because some of the Indian people are also following that culture. KFC are moving from Divisional Level to the District level by opening branches KFC also offer free home delivery. KFC open their outlets on reachable places. KFC menu consists of more than 30 products. KFC gives more priority to Family.

MARKETING Since 1982, KFCs All-American salute to Mothers national card contest has been KFCs way of honoring moms and their families for making mothers Day KFCs biggest sales day of the year. The contest encourages children to creatively express their feelings for their moms by making a homemade card and give them chance to compete for more than $10,000 in cash and prizes. Educational packets, including language, history and art exercises highlighting Mothers Day, were sent to thousands of schools nationwide. There are 4 Ps of Marketing: PRODUCTION PRICING PROMOTION PLACEMENT

1. Production: Basically the product is anything that be offered to a market for attention, acquisition, use, or consumption that might satisfy a want or need. KFC is specially dealing in the chicken products; Basically, KFC has the special raspy for chicken products that is why, KFC known as a chicken specialist allover the glob. KFC target the Asia and east side because they observe that they people are like the chicken products, so they enter in the market due to the demand of their chicken products. KFC product variety of product in the chicken, those products are:
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Products:

Original recipe chicken Extra Tasty CrispyTM chicken Hot WingsTM pieces Tender Roast chicken Chunky Chicken pot pie Kentucky Nuggest Colonels Crispy Strips Honey BBQ sandwich Original Recipe Sandwich Tender Roast Sandwich Triple Crunch Sandwich Triple Crunch Zinger Sandwich

Brand:

There are three brands of the KFC: 1)

2)

Taco bell Pizza Hut Long john silvers

3)

2. Pricing: KFC during pricing their products keep the different points in the mind like they adopt the cost base price strategy. Pricing of the product includes the Government taxes and excise duties and then they come at final stage of determine the price of their products. KFC prices of products are a bit high according to the market segment and it is also compatible to the stander of their products.

3. Promotion:
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Promotion is one of the necessary plates in any form of business or in other words you can say that promotion is the key of success. If you promote your product at the right time. KFC also known the importance and significance of promotion so they uses the bill boards the major source of advertisement and one of the most important thing that they uses media especially the newspapers to promote their products. They are also creating awareness among the masses about their existing product range as well they tell us about the future product. Marketing efforts to be taken by the restaurant: Paste delivery posters at petrol pumps, flats, colleges, plazas, and departmental stores. Distribution of delivery flyers in residential areas, markets, plazas and institutions (as per the plan) Visit offices and business places.

4.Placement: In the case of the KFC the placement of the product is not important but the placement of the restaurant is important. The products of the KFC is cooked at the sport and then served after that. KFC Cavalry branch opened in June 1998, in the main commercial zone of Cavalry Grounds near the Jinnah Flyover. The restaurant is a three-story building including the basement (where the chicky play area is located). It is ideally located in the center of a main commercial and
32

residential area of Lahore. The area that KFC Cavalry caters for is the residential and office area of Cavalry Grounds and Cantt, as the main target market. Another branch the KFC opened in the Lahore is in Garden Town (opposite to Barkat Market). KFC also target the Faisalabad and open its branch in D ground. Now we can easily judge that the KFC target the place for their restaurant, which is well known and is in the Porsche area where the income level of the people is high then the middle class level. Because the prices of the KFC products is high with comparison to the local products manufacturer who are dealing in the same kind of product in which KFC is dealing but the prices of the KFC is high due to special taste, high quality, and due to international brand, it is the world recognized fast food restaurant all around the world. So, for the placing strategy, KFC chose the well income class area for their restaurants. Product Issues General description:Features: Quality Control Over Ingredients Every Chicken Tested K & Ns state-of-the-art Quality Assurance Lab monitors the entire integration process from livestock to feed and on to preparation of ready-to-cook and cooked products. Every Chicken Certified HACCP K & Ns ensures food safety by implementing the international HACP (Food Safety System) and enjoy the unique privilege of being the first and only HACCP certified company is India producing chicken and chicken products. Free from diseases and bacteria, drug residues and other contaminants.

Quality Assurance Certificate

Director General ( Research ) has issued quality assurance certificate for the chicken used by KFC.

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Packaging
We are asked as many questions on our packaging as our products by our customers. The packaging for KFC products is chosen according to performance against three key criteria:

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Heat Retention Moisture removal Grease absorption The packaging material and carton design are all adapted to maximise performance against these three criteria. Recycled Paper All our clamshells and chicken boxes contain as much recycled material as it is legally allowed. By law we are required to have virgin fibre board in any part of the packaging that is in contact with food. Any virgin fibre comes from board suppliers who use pulp bought from managed forest in Scandinavia. This ensures that any wood cut for paper production is replaced with new plantings. Environmental concerns Over and above ensuring our packaging is supplied via recycled or renewable resources; KFC are enthusiastically complying with the new environmental directives on recovery and recycling of packaging waste. Litter We at KFC UKI are aware of our responsibilities to the Management of Litter and all our packaging carries the Keep your Country Tidy signs

Branding This research measured and compared the brand identity of Kentucky Fried Chicken (KFC) in India. Brand identity was defined as the customer impressions of four different KFC identity elements - properties, products, presentations, and publications. A survey of young consumers in the countries (n = 795), showed that the respondents were more apt to eat within KFC
35

restaurants, and spend more time doing so, than the Americans. The Chinese also had much more positive impressions of KFC. Brand identity impressions were correlated with overall customer satisfaction and with future patronage intentions for both groups. These findings support a model where differences in cultural frames of reference lead consumers to actively localize the brand identity of this nominally globalized product. Promotion Issues Sales promotion For the sales promotion KFC introduced their goods like watches , keychain, e.t.c to the customers.

ADVERTISEMENT

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The advert titled Pool was done by OGILVY & MATHER, New Delhi advertising agency for KFC ZINGER BURGER (KFC company) in INDIA. It was released in the June 2009. Business sector is Fast food outlets & restaurants.

One of KFC's latest advertisements is a commercial advertising its "wicked crunch box meal". The commercial features a fictional black metal band called "Hellvetica" performing live, the lead singer then swallows fire. The commercial then shows the lead singer at a KFC eating the "wicked crunch box meal" and saying "Oh man that is hot". In 2007, the original, non-acronymic Kentucky Fried Chicken name was resurrected and began to reappear on company marketing literature and food packaging, as well as some restaurant signage.

Chapter 2 Review of Literature

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Organ Jerome N. Nov. 1996 In its decision in Meghrig v. KFC Western, Inc., the United States Supreme Court concluded that section 7002(a)(1)(B) of the Resource Conservation and Recovery Act does not authorize private parties to recover cleanup costs associated with contaminated land, but only authorizes injunctive relief. This means owners of contaminated land must choose whether to seek injunctive relief under RCRA or cost recovery action under CERCLA or state common law or statutory claims. This article analyzes and critiques the Meghrig decision and discusses how owners of contaminated land should evaluate and decide among the options available to them for seeking relief. Krug, 2001. An initiative to seek new opportunities, a striving desire to achieve superiority, an expanding enterprise and a vision: determinants which aid in defining the competence culture of Kentucky Fried Chicken. The global fast-good industry while apart of various segments creates a competitive market, one that chains are pushing to become superior. My analysis of KFC illustrates this goal through various companies, illustrating desire to grow the company and franchise the restaurant base throughout the world. The creator of KFC, Colonel Sanders, originated and produced a unique and marketable product which became superior amongst the chicken segment

Zufiqar Raheela, September 2007,This report focus on KFC marketing strategies, its marketing environment , demographic factor ,marketing factors. We designed a report to provide a brief description about its marketing mix & its major competitors in Pakistan. We also discuss four Ps of marketing & their marketing tools. In addition to it, this report includes a research base survey on KFC. We all have tried our level best to fulfill all the requirements mentioned to us. Now its depend upon the reader to read it carefully and understand what we want to communicate. This report provides a brief knowledge about KFC in Pakistan. Mintzberg, 2008 KFC is one of the largest franchise company. One of the branch of KFC consists of 100 employees. This business report critically underpin the issues which emerge during the processes, designs and supply chain of the business. It will also unveil that how can KFC become the market leader and gain the competitive advantage over all the rivals. It also
38

reveal that brand name like KFC can increase the productivity, market share avoid wastage. How can it become the cost effective specially, in this highly competitive environment. Thimmesch Adam B.,March 9,2011,The U.S. Supreme Court has long held that the Dormant Commerce Clause of the U.S. Constitution prohibits states from assessing their sales and use taxes against vendors that do not have a physical presence in their jurisdictions. States have sought to limit that Constitutional restriction on their power for years, but its validity with respect to sales and use taxes has not been seriously challenged since the early 1990s. Late last year, however, a state-court decision KFC Corporation v. Iowa Department of Revenue applied the physical-presence test in a way that served to effectively reject that Constitutional mandate. This Article evaluates the KFC courts physical-presence analysis, discusses the apparent source and scope of the courts rationale, and explains that KFC can only be interpreted as a direct repudiation of the Courts physical-presence rule. The Article concludes with a brief defense of the ongoing validity of that rule despite many calls to the contrary. Industry Overview Fast food is the term given to food that can be prepared and served very quickly. While any meal with low preparation time can be considered to be fast food, typically the term refers to food sold in a restaurant or store with low quality preparation and served to the customer in a packaged form for takeout/take away. The term "fast food" was recognized in a dictionary by MerriamWebster in 1951 The capital requirements to start a fast-food restaurant are relatively small, particularly in areas with non-existent or poorly enforced health codes. Small, individually-owned fast-food restaurants have become common throughout the world. Fast food restaurants with higher sit-in ratios, where customers can sit and have their orders brought to them are known as fast casual restaurants Overview of KFC We, the student s of University of Management & Technology. Were given a research work to measure the customer satisfaction level of KFC. We conduct our research on the customers of KFC. A sample of 35 was taken.

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Introduction of KFC KFC Corporation, or KFC, founded and also known as Kentucky Fried Chicken is a chain of fast food restaurants based in Louisville, Kentucky. KFC is a brand and operating segment, called a "concept" of Yum! Brands since 1997 when that company was spun off from PepsiCo. Target Market of KFC As the outlets of KFC are in posh area and prices are too high (overhead expenses-rent, air -conditioning, employees), so KFC targets upper and middle classes. Target market depends upon size and growth rate of population, Company resources and structural attractiveness of market segment.

Hectic Lifestyle of individuals Persons who have hectic lifestyle & spend more time at work, KFC provides them less stress about waiting for food.

Quality Conscious People who are more conscious about the quality of the food, KFC provide them quality food.

Placement of Outlets Due to KFC placing itself close to schools, colleges, cinemas and markets which are mostly populated by the young and those who are in a hurry, KFC enjoys a large number of footfalls everyday. In addition, they also have outlets close to non-vegetarians (mostly Muslim populated areas) KFCs Strategies

Given the competitive nature of fast food joints, KFC uses the Push Strategy (pushing product through advertisements, promotions etc) to help them create.

Awareness
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Awareness is established among masses about new promotional schemes on various items of KFC via banners and billboards. Customers are informed about different price ranges, deals and their associated timings via advertisements even on home delivery services by providing deal brochures along with the food supplied. Their customers representatives are also advertise various deals and promotional schemes. Be different

KFC has customized the products with local touch e.g. soups and spices are added with the regional trends Sound attractive

KFC sounds attractive not only in food, but also provides interesting and innovative toys with family deals. It also provides attraction to the visiting kids by providing play area for the kids. KFC also provides Internet facility for their customers. Pricing Strategy KFC globally enters the market using market skimming. Their products are priced high and target the middle to upper class people. Gradually they trickle down the prices focusing on the middle to lower class people to penetrate both sides of the market. Cost Based Strategy KFC price their product keeping different points in view. They adopt the cost based price strategy. Pricing of the product includes the govt. tax and excise duty and then comes the final stage of determine the price of their product. The products are bit high priced according the market segment and it is also comparable to the standard of their product. In the cost based method we include the variable and fixed cost.

Chapter 3 RESEARCH METHODOLOGY

In this chapter we include what is our research design, sample size & what is our population. After this we include results of our research work than findings & customers suggestions as well. Data Source
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We used both primary and secondary sources of data

Secondary Sources Internet

Primary Sources Questionnaire

Population In our research convenience sampling method is being used and to select our research sample, the target respondent has been selected using random sampling. Target audience has been selected mainly from KFCs. The primary data are those which are collected fresh and for the first time and thus happen to be original in character. The secondary data are those which have already been collected by someone else and which have already been passed through the statistical process. The methods of collecting are to be originally collected, while in case of secondary data the nature of data collection work is merely of compilation We used both primary and secondary sources of data PRIMARY SOURCE- In case of this report I collected the primary data during the course. The data was collected through the survey method where the respondents were required to fill up the questionnaires. SECONDARY SOURCE- Secondary data means the data already available, which has already been collected and analyzed by someone else. It includes the published data available in the form of: Various publications Journals Books, magazines, Newspapers Internet

During my project work I did collected the secondary data from all these sources. TOOLS USED IN SURVEY The various tools used in conducting the survey are as follow: Observation Method
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Questionnaire Personal Interview METHOD: Observation method is the most commonly used

OBSERVATION

method.Obsevation becomes a scientific tool and the method of data collection for the researcher when it serves a formulated research purpose systematically planned and recorded and is subjected to checks and controls on validity and reliability under the observation without asking from the respondent INTERVIEW METHOD: The interview method of collecting data involves presentation of oral verbal stimuli and reply in terms of oral verbal responses. Personal interview method is the face to face contact to the other preson.This method is particularly suitable for intensive investigation. QUESTIONNAIRE METHOD: This method of data collection is quite popular in case of big queries. In this method a questionnaire is presented to a concerned person with a request to give answers of the questions. The general form of questionnaire can be either structured or unstructured. Structured questionnaires are those in which there are definite, concrete and predetermined questions. When these characteristics are not present in the questionnaires, it is termed as unstructured. The questions included can be in the form of closed ended which involves choice of answers or it can be open ended questions which asks for the respondents personal opinions and views. Sampling Method Convenience sampling will be used for drawn sample. Sample Size Sample size 50 is selected in order to conduct this research.

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Analysis & Interpretation

Results of the study 1: you like fast food

Frequency Valid No Yes Total 1 49 50

Percent 2.9 97.1 100.0

Table no:1(: you like fast food)

Graph no:1(: you like fast food) Interpretation:

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Fast food is known as a quick service restaurant, in daily routine tough life people will like to buy fast food to preserve their time. As per our research 97.1% respondents of our sample size like fast food & 2.9% respondents do not like fast food.

2: Most preferred fast food

Frequency Percent Valid Burger Pizza Sandwich Total 21 12 2 35 60.0 34.3 5.7 100.0

Valid Percent 60.0 34.3 5.7 100.0

Cumulative Percent 60.0 94.3 100.0

Table no:2(Most preferred fast food)

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Graph no:2(Most preferred fast food) Interpretation Every person has its own taste & preferences. Our research shows that 60% of the respondents prefer to buy burgers, 34.3% like pizzas and only 5.7% prefer to buy sandwiches.

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3: How often do you visit KFC.

Frequency Percent Valid Occasionally Monthly Weekly Total 14 12 9 35 40.0 34.3 25.7 100.0

Valid Percent 40.0 34.3 25.7 100.0

Cumulative Percent 40.0 74.3 100.0

Table no:3(: How often do you visit KFC)

Graph no;3(: How often do you visit KFC?) Interpretation: According to the survey results, 40% of the respondents visit KFC occasionally, 34.3% visit monthly and 25.7% of the respondents visit KFC weekly.

4: KFC product prices reasonable

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Frequency Percent Valid No Yes Total 20 15 35 57.1 42.9 100.0

Valid Percent 57.1 42.9 100.0

Cumulative Percent 57.1 100.0

Table no:4(KFC product prices reasonable)

Graph no:4(KFC product prices reasonable)

Interpretation: It shows that 42.9% respondents think that the prices of KFCs products are reasonable while the other 57.1% says prices are not reasonable.

5: You visit KFC.

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Frequency Valid Alone Family Friends Total 1 12 22 35

Percent 2.9 34.3 62.9 100.0

Valid Percent 2.9 34.3 62.9 100.0

Cumulative Percent 2.9 37.1 100.0

Table no:5(You visit KFC.)

Graph no:5(You visit KFC.) Interpretation: Mostly people visit KFC with friends.which is 62.9% of our research.34.3% respondents of our sample size visit with family and only 2.9% visit alone.

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6: you recommend to your friends & family to visit KFC

Frequency Percent Valid No Yes Total 5 30 35 14.3 85.7 100.0

Valid Percent 14.3 85.7 100.0

Cumulative Percent 14.3 100.0

Table no:6(you recommend to your friends & family to visit KFC)

Graph no:6(you recommend to your friends & family to visit KFC) Interpretation: 85.7% respondents say that they will recommend others to visit KFC and 14.3% will not recommend.

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7: deal you prefer the most.

Frequency Percent Valid Lunch Time Mid Night Total 20 15 35 57.1 42.9 100.0

Valid Percent 57.1 42.9 100.0

Cumulative Percent 57.1 100.0

Table no:7(deal you prefer the most.)

Graph no:7(deal you prefer the most.) Interpretation: 57.1% respondents prefer to visit KFC at lunch time while 42.9% prefer to visit at night.

No 8: KFC offers a variety of menu items for those that want lower fat
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Frequency Percent Valid No Yes Total 25 10 35 71.4 28.6 100.0

Valid Percent 71.4 28.6 100.0

Cumulative Percent 71.4 100.0 Table no:8(KFC offers a variety of

menu items for those that want lower fat)

Graph no:8(KFC offers a variety of menu items for those that want lower fat)

Interpretation: According to our research 71.4% respondents says that KFC is not offering a verity of menu items for those that want lower fat & only 28.6 % respondents say that KFC is offering menu items for those who want lower fat

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9:Dine out performance of KFC is good

Frequency Percent Valid Strongly Disagree Disagree Neutral Agree Strongly Agree Total 1 4 13 14 3 35 2.9 11.4 37.1 40.0 8.6 100.0

Valid Percent 2.9 11.4 37.1 40.0 8.6 100.0

Cumulative Percent 2.9 14.3 51.4 91.4 100.0

Table no:9(Dine out performance of KFC is good)

Graph no:9(Dine out performance of KFC is good) Interpretation: 40% respondents are agree on the statement that dine out performance of KFC is good, 37.1 % have neutral consciences on that.8.6% respondents are strongly agree that KFC dine out performance is good while 11.4 % respondents are disagree with it

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10: KFC provides neat & clean environment

Frequency Percent Valid Strongly Disagree Disagree Neutral Agree Strongly Agree Total 1 4 5 15 10 35 2.9 11.4 14.3 42.9 28.6 100.0

Valid Percent 2.9 11.4 14.3 42.9 28.6 100.0

Cumulative Percent 2.9 14.3 28.6 71.4 100.0

Table no:10(KFC provides neat & clean environment)

Graph no:10(KFC provides neat & clean environment) Interpretation: 42.9% respondents agreed upon the statement that KFC provides neat and clean enviroment,28.6% are strongly agree on that where as 14.3% has neutral consciences on this statement, 11.4% are disagree and 2.9% are strongly disagree that KFC provides neat and clean environment.

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12: That waiting time in KFC is minimum to take the deal

Frequency Percent Valid Strongly Disagree Disagree Neutral Agree Strongly Agree Total 1 6 14 11 3 35 2.9 17.1 40.0 31.4 8.6 100.0

Valid Percent 2.9 17.1 40.0 31.4 8.6 100.0

Cumulative Percent 2.9 20.0 60.0 91.4 100.0

Table no:12(That waiting time in KFC is minimum to take the deal )

Graph no:12(That waiting time in KFC is minimum to take the deal) Interpretation: 40% respondents have neutral opinion that, waiting time in KFC is minimum to take deals.31.4% are agree and 8.6% are strongly agree.17.1% disagree and 2.9% are strongly disagree.

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13: KFCs staff takes care of its customers

Frequenc y Percent Valid Strongly Disagree Disagree Neutral Agree Strongly Agree Total 1 4 8 16 6 35 2.9 11.4 22.9 45.7 17.1 100.0

Valid Percent 2.9 11.4 22.9 45.7 17.1 100.0

Cumulative Percent 2.9 14.3 37.1 82.9 100.0

Table no:13(KFCs staff takes care of its customers)

2.9% 17.1% 11.4%

22.9%

45.7%

Interpretation: 45.7% respondents are agree that KFCs staff takes care of its customers.17.1% are strongly agree.22.9% have neutral opinion.11.4% are disagree and 2.9% are strongly disagree with this statement. 14: KFC provide s a best birthday partys arrangement
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Frequency Percent Valid Strongly Disagree Disagree Neutral Agree Strongly Agree Total 1 11 11 9 3 35 2.9 31.4 31.4 25.7 8.6 100.0

Valid Percent 2.9 31.4 31.4 25.7 8.6 100.0

Cumulative Percent 2.9 34.3 65.7 91.4 100.0 Table no:14(:

KFC provide s a best birthday partys arrangement)

Graph no:14(: KFC provide s a best birthday partys arrangement) Interpretation: 25.7% respondents are agree that KFCs provides best birthday partys arrangement, 8.6% are strongly agree.31.4% have neutral opinion.31.4% are disagree and 2.9% are strongly disagree with this statement.

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15: KFC provides hygienic food to its customers.

Frequenc y Percent Valid Strongly Disagree Disagree Neutral Agree Strongly Agree Total 1 1 9 18 6 35 2.9 2.9 25.7 51.4 17.1 100.0

Valid Percent 2.9 2.9 25.7 51.4 17.1 100.0

Cumulative Percent 2.9 5.7 31.4 82.9 100.0

Table no:15(KFC provides hygienic food to its customers)

Graph no:15(KFC provides hygienic food to its customers) Interpretation: 51.4% respondents are agree that KFCs provides hygienic food to its customers, 17.1% are strongly agree.25.7% with this statement. have neutral opinion.2.9% are disagree and 2.9% are strongly disagree

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16:KFC provides appropriate parking facility.

Frequency Percent Valid Strongly Disagree Disagree Neutral Agree Strongly Agree Total 11 8 6 7 3 35 31.4 22.9 17.1 20.0 8.6 100.0

Valid Percent 31.4 22.9 17.1 20.0 8.6 100.0

Cumulative Percent 31.4 54.3 71.4 91.4 100.0

Table no:16

Graph no:16 Interpretation: 20% respondents are agree that KFCs provides appropriate parking facility 8.6% are strongly agree.17.1% have neutral opinion.22.9% are disagree and 31.4% are strongly disagree with this statement

17: On a scale of 1 to 4 where 1 represents excellent and 4 represent poor. rate KFCs Chicken Burger
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Frequenc y Percent Valid Excellent Good Satisfacto ry Total 17 14 4 35 48.6 40.0 11.4 100.0

Valid Percent 48.6 40.0 11.4 100.0

Cumulative Percent 48.6 88.6 100.0

Table no:17(On a scale of 1 to 4 where 1 represents excellent and 4 represent poor. rate KFCs Chicken Burger)

Graph no:17(On a scale of 1 to 4 where 1 represents excellent and 4 represent poor. rate KFCs Chicken Burger) Interpretation: Our research shows that 48.6% says that KFCs chicken burger is excellent.40% say that it is good while remaining 11.4% respondents are satisfied.

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18: On a scale of 1 to 4 where 1 represents excellent and 4 represent poor. rate KFCs Twister

Frequency Percent Valid Excellent Good Satisfactory Poor Total 1 17 16 1 35 2.9 48.6 45.7 2.9 100.0

Valid Percent 2.9 48.6 45.7 2.9 100.0

Cumulative Percent 2.9 51.4 97.1 100.0

Table no:18(On a scale of 1 to 4 where 1 represents excellent and 4 represent poor. rate KFCs Twister)

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Graph no:18(On a scale of 1 to 4 where 1 represents excellent and 4 represent poor. rate KFCs Twister) Interpretation: Our research shows that 2.9% says that KFCs twister is excellent.48.6% say that it is good while remaining 45.7% respondents are satisfied.2.9% respondents says that twister is poor. 19: On a scale of 1 to 4 where 1 represents excellent and 4 represent poor. rate KFCs Family Feasts

Frequency Valid Excellent Good Satisfactory Poor Total 4 16 10 5 35

Percent 11.4 45.7 28.6 14.3 100.0

Valid Percent 11.4 45.7 28.6 14.3 100.0

Cumulative Percent 11.4 57.1 85.7 100.0

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Table no:19(On a scale of 1 to 4 where 1 represents excellent and 4 represent poor. rate KFCs Family Feasts)

Graph no:19(On a scale of 1 to 4 where 1 represents excellent and 4 represent poor. rate KFCs Family Feasts) Interpretation: Our research shows that 11.4% says that KFCs family feast is excellent.45.7% say that it is good while remaining 28.6% respondents are satisfied.14.3% respondents says that twister is poor. 20: On a scale of 1 to 4 where 1 represents excellent and 4 represent poor. rate KFCs Nuggets

Frequency Percent Valid Excellent Good Satisfactory Total 16 13 6 35 45.7 37.1 17.1 100.0

Valid Percent 45.7 37.1 17.1 100.0

Cumulative Percent 45.7 82.9 100.0

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Table no:20(On a scale of 1 to 4 where 1 represents excellent and 4 represent poor. rate KFCs Family Feasts)

Graph no:20(On a scale of 1 to 4 where 1 represents excellent and 4 represent poor. rate KFCs Family Feasts) Interpretation: Our research shows that 45.7% says that KFCs nuggets are excellent.37.1% say that it is good while remaining 17.1% respondents are satisfied.

21: On a scale of 1 to 4 where 1 represents excellent and 4 represent poor. rate KFCs Family Feasts

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Frequenc y Percent Valid Excellent Good Satisfactor y Poor 4 18 9 4 11.4 51.4 25.7 11.4

Valid Percent 11.4 51.4 25.7 11.4

Cumulative Percent 11.4 62.9 88.6 100.0

Total 35 100.0 100.0 Table no:21(On a scale of 1 to 4 where 1 represents excellent and 4 represent poor. rate KFCs Family Feasts)

Graph no:21(On a scale of 1 to 4 where 1 represents excellent and 4 represent poor. rate KFCs Family Feasts) Interpretation: Our research shows that 11.4% says that KFCs hot shots are excellent.51.4% say that it is good while 25.7% respondents are satisfied.11.4% respondents says that nuggets are poor. 22: On a scale of 1 to 4 where 1 represents excellent and 4 represent poor. rate KFCs Fish Burger

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Frequenc y Percent Valid Excellent Good Satisfacto ry Poor 11 12 11 1 31.4 34.3 31.4 2.9

Valid Percent 31.4 34.3 31.4 2.9

Cumulative Percent 31.4 65.7 97.1 100.0

Total 35 100.0 100.0 Table no:22(On a scale of 1 to 4 where 1 represents excellent and 4 represent poor. rate KFCs Fish Burger)

Graph no:21(On a scale of 1 to 4 where 1 represents excellent and 4 represent poor. rate KFCs Fish Burger) Interpretation: Our research shows that 31.4% says that KFCs fish burger is excellent. 34.3 % say that it is good while 31.4% respondents are satisfied. 2.9% respondents say that it is poor.

23: On a scale of 1 to 4 where 1 represents excellent and 4 represent poor. rate KFCs Wings
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Frequenc y Percent Valid Excellent Good Satisfacto ry Poor 5 14 12 4 14.3 40.0 34.3 11.4

Valid Percent 14.3 40.0 34.3 11.4

Cumulative Percent 14.3 54.3 88.6 100.0

Total 35 100.0 100.0 Table no:23(On a scale of 1 to 4 where 1 represents excellent and 4 represent poor. rate KFCs Wings)

Graph no:23(On a scale of 1 to 4 where 1 represents excellent and 4 represent poor. rate KFCs Wings)

Interpretation:

Our research shows that 14.3% says that KFCs wings are excellent. 40% say that it is good while 34.3% respondents are satisfied. 11.4% respondents say that it is poor.

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24:On a scale of 1 to 4 where 1 represents excellent and 4 represent poor. rate KFCs Rice Frequenc y Percent Valid Excellent Good Satisfacto ry Poor Total 5 11 11 8 35 14.3 31.4 31.4 22.9 100.0 Valid Percent 14.3 31.4 31.4 22.9 100.0 Cumulative Percent 14.3 45.7 77.1 100.0

Table no:24(On a scale of 1 to 4 where 1 represents excellent and 4 represent poor. Rate KFCs Rice)

22.9 %

14.3 % 31.4 %

31.4 %%

Graph no:24(On a scale of 1 to 4 where 1 represents excellent and 4 represent poor. rate KFCs Rice) Interpretation:

Our research shows that 14.3% says that KFCs wings are excellent. 31.4% say that it is good while 31.4% respondents are satisfied. 22.9% respondents say that it is poor.
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25: Gender

Frequency Percent Valid Male Female Total Table no:25(Gender) 19 16 35 54.3 45.7 100.0

Valid Percent 54.3 45.7 100.0

Cumulative Percent 54.3 100.0

45.7% 54.3%

Graph no:25(Gender)

Interpretation:

54.3% are males visit KFC and 45.7% are females.

26: Age
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Frequency Percent Valid Under 20 21 to 34 35 to 44 Total Table no:26(age) 13 18 4 35 37.1 51.4 11.4 100.0

Valid Percent 37.1 51.4 11.4 100.0

Cumulative Percent 37.1 88.6 100.0

11.4% 37.1%

51.4%

Graph no:26(age) Interpretation:

Here are 21 to 34 years old people visit KFC are 51.4%. 35 to 44 years old people visit KFC are11.4% and under 20 visits KFC are 37.1%

FINDINGS
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From the whole research the team members have got following major findings.

Likeness of fast food is there among the people & almost one third of the population.
On average males visit KFC more often than females.

People do agree that price of KFC is economical

As per findings people having age between 21 to 34 have more interest to visit KFC. According to our survey people like the taste & quality of KFCs chicken burger. As per the finding we conclude that people of Ludhiana like burgers more often than

other fast food like sandwiches, pizza etc.

As per the finding people of Ludhiana like the ingredients of KFC. As per the findings we conclude that people of Ludhiana agree that KFC is providing

neat & clean environment. As per the findings we conclude that people are agree that KFC providing hygienic food.
As per the findings we conclude that people prefer to visit KFC occasionally (like

monthly, weekly etc.) as compared to other fast foods.

RECOMMENDATIONS

KFC should provide parking facility to its customers it becomes a competitive edge for

KFC.
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 Some products of KFC like twister, family feast, hotshots, wings, rice are good not excellent. KFC should increase the best level of taste for all these products. KFC should provide a place for birthday parties. KFC provide low fat menu. KFC management to take care of quality of service and make sure you have proper equipment to serve the orders. You should please STOP coming up with new products if you dont have the capacity and resources to offer those.
KFC should further uphold its quality standards, deliver superior customer service and

create values.

References
1. "KFC Kentucky Fried Chicken | grilled twister 2. Doug Bennett, Jr. "Kentuckys Colonel Sanders". The Courier-Journal.

http://www.courier-journal.com/foryourinfo/010305/010305.html. Retrieved October 28, 2007

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3. KFC, "Yum 2010 Annual Report" (PDF).

http://www.yum.com/annualreport/docs/annualReport08.pdf.
4. http://www.scribd.com/doc/19080033/Kentucky-Fried-Chicken-KFC-Marketing-Mix-

four-Ps.
5. Nation's Restaurant News.

http://findarticles.com/p/articles/mi_m3190/is_n8_v25/ai_10403447/. Retrieved 2007-0824. 6. ^ "KFC Resurrecting Old Kentucky Fried Chicken Name, With New Image" 7. http://www.KFCresearchandmarkets.com/research/759b86/kfc_benchmark_anal

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QUESTIONNAIRE Name: Age : Gender: Male Female

1. Do you like fast food? Yes No

2. Which kind of fast food you buy more often? Burger Pizza Sandwich

3. How often do you visit KFC? Occasionally Monthly Weekly

any other 4. Do you find KFC product prices reasonable? Yes No

5. You often visit KFC? Alone Family Friends

6. Do you recommend to your friends & family to visit KFC? Yes No

7. Which deal you prefer the most?

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Lunch Time Mid Night

8. Do you think KFC offers a variety of menu items for those that want lower fat? Yes No

9. Do you think KFC provides the best fast food? Strongly Disagree Disagree Neutral Agree Strongly Agree

10. Do you think Dine out performance of KFC is good? Strongly Disagree Disagree Neutral Agree Strongly Agree

11. Do you think KFC provides neat & clean environment? Strongly Disagree Disagree Neutral Agree Strongly Agree

12. Do you think that waiting time in KFC is minimum to take the deal? Strongly Disagree
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Disagree Neutral Agree Strongly Agree

13. Do you think KFCs staff takes care of its customers? Strongly Disagree Disagree Neutral Agree Strongly Agree

14. Do you think KFC provides a best birthday partys arrangement? Strongly Disagree Disagree Neutral Agree Strongly Agree

15. Do you think KFC provides hygienic food to its customers? Strongly Disagree Disagree Neutral Agree Strongly Agree

16. Do you think KFC provides appropriate parking facility? Strongly Disagree
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Disagree Neutral Agree Strongly Agree

17. On a scale of 1 to 4 where 1 represents Excellent and 4 represent poor. How would you rate KFCs Chicken Burger? Excellent Good Satisfactory

18. On a scale of 1 to 4 where 1 represents excellent and 4 represent poor. How would you rate KFCs Twister? Excellent Good Satisfactory Poor

19. On a scale of 1 to 4 where 1 represents excellent and 4 represent poor. How would you rate KFCs Family feasts? Excellent Good Satisfactory Poor

20. On a scale of 1 to 4 where 1 represents excellent and 4 represent poor. How would you rate KFCs nuggets? Excellent Good Satisfactory
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Poor

21. On a scale of a1 to 4 where 1 represents excellent and 4 represent poor. How would

you rate KFCs Hot shots? Excellent Good Satisfactory Poor

22. On a scale of 1 to 4 where 1 represents excellent and 4 represent poor. How would

you rate KFCs Fish Burger? Excellent Good Satisfactory Poor

23. On a scale of 1 to 4 where 1 represents excellent and 4 represent poor. How would you rate KFCs wings? Excellent Good Satisfactory Poor

24. On a scale of 1 to 4 where 1 represents excellent and 4 represent poor. How would you rate KFCs Rice? Excellent Good Satisfactory
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Poor

25. Monthly income Dependent less than 20,000 21,000 to 30,000 31,000 to 40,000

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