The KFC (Kentucky fried chicken) company is an American company that deals with fast-food with its headquarter located in Louisville, Kentucky, specializing in fried chicken. The KFC industry is the second-largest restaurant and founded by Colonel Sander for about 70 years (Hussain, 2014). In the United States, the KFC has over 5,000 units, and two-third are wholly-owned and franchised. The KFC firm operates in joint ventures and has continued to hold places that will help gain market shares with increasingly competitive fast-food market. It has become worldwide with the provision of fried chicken and has expanded its menu in offering salads, desserts, sandwiches, soft drinks, wraps, and French fries. The KFC aims to expand the business, increase market shares, sales, and profits.

Strategies

The most effective marketing strategy that KFC may apply is demographic segmentation that serves the targeted market locally. This strategy targets both youth and young adult's wants and needs. Their fried chicken is a favorite dish to everyone and can locate their chain in a kiosk, colleges, stores, and parks to attract customers and creating awareness of their product. KFC has the strongest competition locally and internationally; therefore, using the internet marketing approach can help the market reach globally. The company can advertise its product through an ad on every social media platform and even develop an app where consumers can place their orders. Both domestic and global marketing differs because of uncertainty; laws and regulations to be followed are challenging.

Benefits of a diversification strategy

The diversification strategy benefits domestically and globally by creating new products and services in the market. This helps the company sell more products to established markets or existing consumers that provide a valid path to fast growth. However, the strategy helps both the global and domestic markets to access a high number of customers, but the cost of running the company will outstrip its potential revenue (Bowen, Baker, & Powell, 2015). The diversification strategy is essential to the long-term viability of the company.

Reference

Hussain, S. H. A. R. A. F. A. T. (2014). The impact of sensory branding (five senses) on consumer: A case study on KFC (Kentucky Fried Chicken).International Journal of Research in Business Management,2(5), 47-56.

Bowen, H. P., Baker, H. K., & Powell, G. E. (2015). Globalization and diversification strategy: A managerial perspective.Scandinavian Journal of Management,31(1), 25-39.

Question

I'm not sure if this is a service that they offer, that could generate sales too, but most fast-food restaurants in my area are providing delivery services.Also, I notice that in some rural areas, KFC has partnered with Pizza Hut and Taco Bell. Were you able to find any other countries that offer KFC and which ones KFC is as successful as they are in the US?