Depending on the specific characteristics of the product, these subsets may be divided by criteria such as age and … Geographic Segmentation Dividing the market into different geographical units such as nations, states, regions, countries, cities or neighborhood. McDonald’s: Another American fast food company that gives KFC a run for its money is McDonald’s. KFC have their ages ranging from 6-65 years old, KFC look at the marital status … KFC’s secret recipe of it’s fried chicken having a blend of 11 herbs and spices has been the driving force for all these years. KFC target market includes both Non-vegetarian and Vegetarian customer segments. like • Social class- Upper and Middle class. By continuing we’ll assume you’re on board with our cookie policy, The input space is limited by 250 symbols. Day-to-day more than 12 million customers are … (2019, May 02). Understanding the Positioning and Business Model of KFC. KFC has set certain guardrails for all its franchisees covering the degree of food quality and store cleanliness they have to maintain so as to run their store under their brand name: Below is a pictorial diagram of the KFC business model canvas, explaining different blocks which form the KFC Business model. 2.2.1 Market Segmentation. Demographic segmentation 3. Demographic Segmentation Dividing the market into groups based on an age, gender, family size, income, education, occupation, religion, race and nationality. Below are three factors that are essential for evaluating a KFC target market. KFC segmented the consumer markets by looking at the 4 major elements: geographic, demographic, psychographic and behavioural variables. Required fields are marked *. KFC has divided its market into distinct groups of customers to meet their needs. Optional ‘extras‘ increase the overall price of the product or service. Brands since 1997 when that company was spun off from PepsiCo. Each franchise will pay a fee based on a turnover to the master franchisor. Demographic segmentation 3. Brands since 1997 when that company was spun off from PepsiCo. In other words, each franchise is actually an independent business but follows the method of operation of the franchise. Example: KFC offers Veg Rice Bowl in India just to cater to the vegetarian customers in India. Demographic segmentation is where KFC divides the market through different variables such as age, gender, marital status, family size, income, religion, race, occupation, nationality, etc. KFC primarily sells chicken in form of pieces, wraps, salads and sandwiches. KFC divides the market on demographic basis in this way: Age is between 6-65. KFC divides market on the basis of psychographic variables as Social class, lower class middle class, and upper class can enjoy this product. 3. The restaurant also offers meal combos and value meal packs to its customers. Outdoor Ads 1. Business Directories 1. They focused in all cities of Malaysia, and the destiny is urban area but the climate is not specific. The demographic segmentation will require KFC to divide market according to demographic characteristics, like- gender, age, income and ethnicity. Geographic segmentation 2. Geographic Segmentation KFC has over 20,000 outlets all over the world and it segments its market geographically by regions KFC offers different varieties of chicken depending on tastes in a certain country. Referral Programs 1. The consumers of KFC are the young as well as young adults.It used to serve the same menu all around the world which means that it was using undifferentiated targeting strategy. your own paper. In KFC’s case, customers can buy the main items present in their menu and can then opt for “extras” or “sides” like drinks or desserts which go well with the main item that they purchased. Subway uses a mix of demographic and geographical segmentation to make its products more appealing to the targeted group of customers.The largest single-brand restaurant chain uses undifferentiated targeting strategy to design the offerings and services as per the choice of the customers.It uses value-based positioning strategy to create a long-lasting brand image in the mind of the potential consumers. On geographical segmentation, KFC focuses on Indian customers with different demands for different products. Marketing mix SWOT analysis Mission- “Not Available”Vision- “To become no. You must define what market segmentation is, outline the characteristics of it and explain the importance of it. Watch the two videos and on MS Word type up a 300 word summary of market segmentation. Social class- Upper and Middle class. • Segmentation • Psychographic segmentation •Dividing a market into different groups based on social class, lifestyle, or personality characteristics is called psychographic segmentation. Segmentation Segmentation is the dividing of a populations into groups according to certain characteristics. Of course, it depends on the specific product or service being considered. Segmentation along largely socio-demographic lines (income, age, gender) is no longer sufficient to understand, nor yet to target, the groups and sub-groups which make up today's and tomorrow's food market. Discounts 1. KFC MARKET SEGMENTATION: KFC mainly uses geographic market segmentation for its products and offerings: 1. Your email address will not be published. LAUNCH KFC which will stands for Kentucky Fried Chicken formed in 1930 and based in Louisville is the world’s famous chicken breast restaurants string specializing in first recipe, extra crispy, Kentucky grilled rooster etc . Lifestyle is not specific. The menu of Popeyes is very much of the same lines as of KFC’s which makes it one of the main competitors of KFC. PR Events 1. KFC is for both male and female gender, no age limitation, and the consumer income status is RM800 above. With dozens of marketing tactics available, it can be difficult to know what will attract your ideal audience. KFC divides market on the basis of psychographic variables like: Life Style (Lifestyle is not specific) Personality (Personality is ambitious and authoritarian) Behavioral Segmentation In behavioral segmentation, consumers are divided into groups according to their knowledge of, attitude towards, use of or response to a product. • … 2. The target audience of KFC is middle and upper middle class and price their products accordingly. If you need this or any other sample, we can send it to you via email. Geographic segmentation 2. On the demographic segmentation, the market will compose of groups made up of people of same gender, age group, income, occupation, and religion. KFC breaks its business into different geographical segments like. KFC, Kentucky Fried Chicken is one of the worlds most largest and famous fast food chain which is present all around the globe. KFC targeted on those regular and heavy users who consume in KFC frequently, it used "Come back Rate" to distinguish the light and heavy users and hoped to focus on on the devoted customers who've positive and enthusiastic behaviour towards KFC. "You must agree to out terms of services and privacy policy", Don't use plagiarized sources. Sorry, but copying text is forbidden on this website. Infomercials SALES PROMOTION 1. KFC – An American fast food brand is the second largest brand after Mcdonalds. 3. ← Positioning of Adidas | STP Analysis of Adidas, Other Countries ( like Canada, Latin America). The preparation of content for advertisements or web pages would rely heavily on benefit segmentation. Over the years the brand wanted itself to be perceived as a family restaurant and has been running campaigns communicating the same. The whole idea of market segmentation is to dividing the markets into distinct groups of buyers who have distinct needs, characteristic or behavior or who have might require separate products or marketing mix. Behavioral Segmentation Dividing the market based on consumer knowledge, attitude, use or response to a product. 1. our expert writers, Hi, my name is Jenn You can get your custom paper from Television and/or Movies 1. KFC used the Demographic Segmentation, Geographic segmentation, and Psychographic segmentation. What is Marketing Mix of Apple and how it’s helping in creating worlds most valuable brand? SEGMENTATION PSYCHOGRAPHIC SEGMENTATION 1. Check out the marketing mix of Nestle and understand their 4ps of the marketing mix. Media Introductions 1. Behavioral segmentation. Showro… Radio 1. Geographically, KFC is used in every part of the country as well as all over the world. Save my name, email, and website in this browser for the next time I comment. By profession everyone can use this product means businessman, student, workers, and other people. Optional Pricing: Optional pricing is basically used by companies to attempt to increase the amount customers spend once they start to buy. The personalities are authoritarians, gregarious and ambitious can enjoy this product. Kfc Marketing Segmentation. They are four bases of market segmentation. 2. KFC initially focused on single segment through Niche Marketing with the offers of Combo Deals, but now the company is focusing on other classes and has increased the target market. KFC has divided the market of India into distinct groups of customers with diverse demands, tastes and behavior who require distinct products or marketing mix. Understand the Marketing Mix of Google and its 4ps of Marketing Mix. Segmentation predicated on ethnic groups performs important role, for example in Australia KFC has segmented its market on cultural group basis and have launched Halal Food for the Muslim community. Founded by Colonel Harland Sanders, in the year 1930, KFC has around 20,000+ stores globally in 123 + countries. Using different types of market segmentation guides you toward the marketing strategies that will work best. Geographic segmentation 2. Kentucky Fried Chicken, is a chain of fast food restaurants based in Louisville, Kentucky USA by Colonel Harland Sanders. That concludes the KFC marketing strategy, Check out the article on marketing mix of KFC, Learn more about the 4ps of Marketing Mix. If KFC chooses behavioural segmentation, then customers will be divided according to their buying pattern like usage frequency, benefits sought, usage occasions and brand loyalty. They divide them into 4 groups which are children, teen & young adult, family, and budget customer (Dangi, 2013). 3.2 Segmentation, Targeting, Positioning KFC segments the market based on the age and buying habits. Coupons 1. Geographic segmentation refers to the process of dividing the market into various geographical... Demographic Segmentation. KFC (Kentucky Fried chicken) uses demographic segmentation to serve the market as per the customer needs & wants. The whole idea of market segmentation is to dividing the markets into distinct groups of buyers who have distinct needs, characteristic or behavior or who have might require separate products or marketing mix. market segmentation Market segmentation is a marketing strategy that involves dividing a broad target market into subsets of consumers who have common needs (and/or common desires) as well as common applications for the relevant goods and services. 4. The whole idea of market segmentation is to dividing the markets into distinct groups of buyers who have distinct needs, characteristic or behavior or who have might require separate products or marketing mix. Salesmen 1. News/Media Releases PERSONAL SELLING 1. Over the years the brand has grown leaps and bounds and has given Mcdonalds tough competition on every front. The article also covers top KFC competitors and includes KFC target market, segmentation, positioning & Unique Selling Proposition (USP). In case you can’t find a sample example, our professional writers are ready to help you with writing KFC generates its revenue through the different franchisees it has opened up in the different countries. In the USA  KFC offers different types of Chicken sandwiches which is not available in other countries. 3. Above mentioned are the few potential market segments that KFC chooses to target for driving their business strategy, sales and marketing activities. Understand the Marketing Mix of BMW and what makes it different from its competitors. The franchisor will provide the model help and other items as they deem necessary. In KFC, they have considered four variables for market: 1. There are now KFC subdivisions about all … KFC mainly uses geographic market segmentation for its products and offerings: Geographic segmentation divides markets according to geographic criteria. Owing to the customers changing needs and to cater to the vegetarian customer segment, KFC has included vegetarian items as well in its menu. Magazines and/or Newspapers 1. 2 Market Targeting Your email address will not be published. Loyalty Incentives PUBLIC RELATIONS – How to use the media 1. The end result is that the customer ends up paying for the main item that he/she wanted to buy and also for the add-ons. Demographic segmentation 3. SWOT analysis of KFC analyses the brand/company with its strengths, weaknesses, opportunities & threats. At the same time also targets children who love to get free toys with meal. There are different pricing strategies that KFC uses for its products and its variants. We use cookies to give you the best experience possible. Let’s see what factors have attributed to KFC’s success all these years. The life style is not specific; every kinds of lifestyle also can enjoy this product. Market Segmentation by KFC In the light of the above mentioned segmentation criterion, KFC selects the segments on geographic, demographic, psychographic, and behavioral basis. SEGMENTATION DEMOGRAPHIC SEGMENTATION: 17. 1. Question 2: Below are links to videos and articles explaining the concept of market segmentation in relation to McDonalds, KFC and Burger King. 1. KFC breaks its business into different geographical segments like. 2. Demographically, KFC divides the market in certain ways. Advertising is just one method of marketing communications, which is the umbrella for many methods.TYPES OF ADVERTISING – MASS MEDIA 1. How KFC Utilizes Segmentation Theory Geographic Segmentation. Retrieved from https://graduateway.com/kfc-segmentation-85/, This is just a sample. KFC provides different combo offers to its customers and also provide an option to its customer to make the combo of their own choice. Geographic Segmentation It is division of the market into different geographical units, for example states, nations, regions, cities, countries, or neighborhood. It has no education limitation, everyone can easily enjoy with this product. Essay, Use multiple resourses when assembling your essay, Get help form professional writers when not sure you can do it yourself, Use Plagiarism Checker to double check your essay, Do not copy and paste free to download essays. America; Europe; Asia/Pacific, Middle East, and Africa Bundle Pricing: KFC bundles different products together and offers it to customers at a slightly lower price. KFC used multiple cleavage bases to place smaller, better-defined mark groups. Which method of market segmentation is most effective? Children – KFC targets children boys and girls with age 12 and below who love to eat fried chicken. When you know the audience you are targeting, you can determine the best solutions and methods for reaching them. Basis their geographic segmentation, KFC optimizes its Menu and food offerings to suit the regional tastes and needs. •KFC divides market on the basis of psychographic variables. This is to increase the overall price of the product and the service at KFC. Psychographic Segmentation Dividing a market into different groups based on social class, lifestyle or personality characteristics. With the implementation of this strategy, company will easily target and capture the new market. In KFC, they have considered four variables for market: 1. For the family life cycle, KFC is also suitable in every stage of life like single married couple and also who those have children can use this product. KFC’s chicken has been a strong differentiating factor for the brand and the main reason for its success. KFC is famous for its non-vegetarian snacks and the secret recipes which attracts almost all its customers. All you need to do is fill out a short form and submit an order. The purchasing decision, often KFC change the purchasing decision of customers because of it good attributes. In KFC, they have considered four variables for market: 1. For the loyalty status the divide it into medium and strong. KFC is a brand and operating segment, called a "concept" of Yum! Under segmentation strategy, KFC is required to choose an appropriate target market such as upper middle class, lower middle class or luxury. Geographic Segmentation: Geographic segmentation divides markets according to geographic criteria. Copyright © 2018 Heart of Codes — Escapade WordPress theme by. KFC uses the method of Optional an attempt to increase the amount customers spend once they start to buy at their stores. Kfc Segmentation. However, in recent times, following McDonalds example, KFC has started localising its menu, giving it better acceptability in the market… Segmentation. 18. KFC divides market on the basis of psychographic variables like: Life Style (Lifestyle is not specific) Personality (Personality is ambitious and authoritarian) 3.5 Behavioural Segmentation In behavioural segmentation, consumers are divided into groups according to their knowledge of, attitude towards, use of or response to a product. Dudovskiy (2016) claims that McDonalds uses these segmentations and segmentation criteria: Then, KFC used behavioral segmentation to target additional consumer groupings. Thus giving the opportunity to increase its sales volume and revenue. This blog focuses on Segmentation Targeting and Positioning of a company’s products/services using McDonalds as an example. SEGMENTATION GEOGRAPHIC SEGMENTATION KFC MENU OUTSIDE INDIA KFC MENU IN INDIA 16. 2. Even though the KFC is 90+ years old, but still it has managed to keep the vibe of a  young brand intact. KFC also known as Kentucky Fried Chicken is a brand and operating segment called a concept of Yum! KFC competitive advantage has been its ability to adapt to the changing time and needs to customers. Get Your Custom Essay on, By clicking “Write my paper”, you agree to our, Chery a Case Study of Market Segmentation, Targeting and Market Positioning, https://graduateway.com/kfc-segmentation-85/, Get your custom In demographic segmentation, the market is divided into groups based on an age, gender, family size, income, occupation, religion, race and nationality. Psychographic segmentation and 4. KFC has items in its menu that cater to adults as well as the young audience. KFC initially focused on single segment through Niche Marketing with the offers of Combo Deals, but now the company is focusing on other classes and has increased the target market. , it depends on the specific product or service perceived as a family restaurant and has given Mcdonalds tough on! If you need to do is fill out a short form and an... 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