Strategic Marketing In The Digital Economy: Digital Marketing

Executive Summary

The overarching purpose of this assignment is to critically evaluate the use different marketing tools used by a KFC for their marketing purpose and to demonstrate their ability to recruit and retain customers in digital and non-digital marketing spaces and the effectiveness of their strategies

Introduction

Kentucky Fried Chicken, most commonly known as KFC. It is an American fast-food restaurant chain that specializes in fried chicken. KFC is the second largest chain restaurant in the world after McDonald's. With almost 20,000 locations globally in 123 countries and territories according to December 2015.KFC is the subsidiary brand of Yum! Brands a restaurant that owns Pizza Hut, Wing Street, and Taco Bell (YUM BRAND ANNUAL REPORT 2018). KFC was founded by Colonel Sander. He began selling fried chicken at his restaurant in Corbin, Kentucky. Sander identified the importance of the franchising concept, and the first branch opened in Utah in 1952. Colonel used himself to brand KFC, and he became popular in American cultural history, and his image was used for branding KFC.

KFC was introduced to Britain in 1965 when KFC's restaurant was opened in Preston. There are now around 850 KFC’s in the UK and Ireland and over 25000 team members employed by KFC and its franchise. (KFC 2018)

Digital marketing has a major role in today's business era. Because the world is rapidly shifting from analog to digital. Nowadays, people are getting more information from digital content by using laptops, mobile phones, desktop computers, and so on. Companies are forced to concentrate more on digital marketing tools rather than traditional marketing tools for marketing purposes. While older generations will no doubt lament the demise of newspapers, Books, and traditional TV and radio broadcasts. Those born with the internet and mobile phones as a god-given right are already embracing the brave new world of digital consumption. The importance of digital consumption is faster versatile than traditional methods. Once digital technology was experienced, we started moving into the digital era. The important thing is that it makes potential marketers it also does to consumers. (Vijay Hanj 27 DEC 2015)

Digital Marketing Tools Used By KFC

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1. Social Media

KFC uses all popular Social Media for its advertising purposes, such as Facebook, Twitter, Instagram, and YouTube. By using social media, they can reach the youth easily, and they also give many gift certificates to followers and fans. That makes them always stay alert to tweets and Facebook posts.

A one-month-long KFC campaign distributed 20 tweets at KFC Colonel's Twitter and Facebook posts at different times, which contained a link to a secret page on the KFC website. The first fifty people with valid email addresses will receive a $5 gift card for a meal at KFC. The promotion is just one way in which KFC gets its huge fan base. The promotions activities of KFC are entertaining and encourage their customers to participate in it and make them buy it. Socail media had a huge role in KFC marketing. KFC also using social media for updating their customer.KFC also uses paid media for customers to find nearby open stores.

By using social media, KFC interacts with customers and engages in conversations with them, strengthening its brand.

2. Mobile Advertising

The world's second-largest fast-food restaurant has focused heavily on mobile advertising in the past to promote its new product and develop its brand. KFC makes sure that its consumers know about its new product and that their customers can find the nearest location to try the new product via a targeted mobile advertising effort.

Once the user taps on the KFC advertisement, the page is redirected to the page that contains the nearest KFC store address, location, and contact details. The landing page is extremely well structured. It provides the most useful information to customers, and it gives one last incentive to come to the shop. As mobile advertising continues to grow companies are scrambling to consumers via smartphones

3. Electronic Billboard

KFC also uses electronic billboards for their advertising purpose. An electronic billboard is one of the best advertising methods that can be used by companies because it is more flexible. The firms don’t want to spend money on putting colour posters around the cities, creating copies digitally, send as many copies as they want. Electronic billboards are fast. Once the ad is created, they can be sent electronically to billboard upload within minutes, and they are changeable if the business gives any offer or discount.

Traditional marketing tools used by KFC

1. Television

KFC started advertising on television in1996 with a budget of 4 million us dollars (Rood, George JAN-5-1969). To fund nationwide advertising campaigns, the KFC advertising co-op was established. By giving ten votes to the franchise and three votes for the company. KFC hired its first advertising agency, Leo Burnett. The campaign in 1972 was the 'Get a Bucket of Chicken, have a Barrel of Fun 'jingle performed by Barry Manilow. At that time, KFC was the largest advertiser in the US.

KFC's TV commercials focus more on brand building and strengthening an emotional bond with our customers. KFC Hong Kong's new ad video, featuring a string of insights into our daily lives, aims to encourage teens to break free from peer pressure. The 30-second video sheds light on what seems to be an increasingly prominent issue among Hong Kong's youth.

KFC’s First Tv Commercial

The success of every enterprise depends on marketing and advertising campaigning (Davis2010). The most influential advertisement of KFC is one featuring Sanders. He is licking his fingers while conversing with the viewers regarding the secret recipe. The advert shows a bucket of products and features a happy family enjoying the chicken from KFC on Sunday. The most attractive feature of the ad is the well-designed and colorful packaging of the products and the color of the chicken. KFC chicken has been made from the best recipes. The ad makes the viewers buy chicken, as it creates an appetite. Thus, KFC sells significantly through their advertising.

2. Newspaper

The newspaper is the traditional marketing tools. But in this digital marketing era, newspapers have their own promotional value. KFC used the newspaper as a marketing tool to apologize for its recent chicken shortage. It has taken out a full page on a newspaper The sun and metro on Feb 23. The ad shows an empty KFC bucket with a letter switched to the spell FCK. The advertisement was created by Mother Advertising Agency (Molly Flemming, 23 Feb 2018).

KFC made the advertisement on offline media. However, the advertisement went viral on social media when images were shared across online media.KFC was surprised by its fans and competitors by this advertisement.

3. Billboard

KFC billboards are visible from space(The Guardians 2016). We can find KFC advertisements everywhere in towns, highways, streets, shopping malls, etc. Billboard advertising makes an instant impression on people. Billboard advertisements can reach a huge number of people every day. The other advantage of billboard advertisement is that it is low cost and more effective. Billboards are a great way to reach the masses-to reach where they live, commute, work, and socialize. Unlike other mass advertising media such as TV or radio, Billboard advertisements can't be switched off. Or with magazine print advertising, it can't be put down. Or with Internet advertising, it doesn’t disappear as quickly as it arrives(Cestrain 2014)

Conclusion

In summary, the effectiveness of digital marketing in this digital era is very important, especially the use of social media. Social media is the best advertising tool used by KFC and the most influential one. The best part is that advertising on social media is free, and its influence among people is very high. Social media helps companies build good relationships with consumers(Di Pietro et al. 2012).

It points out that using digital marketing tools KFC achieved many great benefits. It enables the company to interact with its audience and their needs. The digital marketing has taken the market industry slowly by overtaking traditional methods.

Reference

  1. Yum, brand form10 k, annual report filling 22-2-2018
  2. Rood, George (January 5, 1969).' Accidental Competitor in Chicken Game Is Winner'. New York Times.
  3. KFC Website 2018
  4. Vijay Hanj 27 DEC 2015
  5. KFC Add hope campaign case study by Michael organ2017
  6. Molly Flemming 23 Feb 2018
  7. (Cestrain 2014)
  8. DiPietro, R., Gustafson, C., Strick, S. & Crews, T., 2012. “The use of Social Networking Sites in the Restaurant Industry: Best Practices”, Journal of Foodservice Business Research, 15, 3, pp. 265-284.

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