Burger King

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A Graduate Campaign class group presentation. We presented it to LatinWorks on how to increase sales for Burger King with the help of $1 double cheeseburger.

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Burger King

  1. 1. Burger King
  2. 2. Burger to Bun Ratio Bun. Price. BURGER.
  3. 3. Problem  Quick-service restaurant traffic declined 3% during 3Q  Burger King posted a 4.6% decline in same- store sales in the U.S. and Canada during the same time period  Reason: rising level of unemployment and underemployment among industry’s targeted demographic (John Chidsey, BK CEO)
  4. 4. Solution  Increasing SuperFans visits by one more time a month will increase revenue by 19%  Use double cheeseburger as vehicle to drive more customers to Burger King
  5. 5. Consumer Profile SPANISH-DOMINANT BK SUPER FAN  Skews 25-34  Account for 42% of visits  Skew male  HHI < $45K  Blue collar  Some high school  Traditional, self-made man, closer to country
  6. 6. Strategy  Hispanic targeted, but not exclusive  Initially in Austin market only  Show the value of double cheeseburger without comparing it to other fast food restaurants  Turn the Burger King visit into an enjoyable experience that is rewarding and inviting to families  Selective Attention Theory
  7. 7. Tagline/Overarching Idea: MORE BURGER
  8. 8. Six Tactics
  9. 9. Tactic #1:  Incentive to increase monthly visit from 4 to 5  Appeals to those SuperFans who always order from Value Meal  Opportunity to build more BK SuperFans  Ability for BK to differentiate themselves from other fast food restaurants Loyalty Program
  10. 10. Loyalty Program  How it works:  Cards will be available at cash register  Must eat five value meals in a calendar month before receiving the 6th free  Will be promoted through in-store signage and table tents
  11. 11.  89% of the Hispanic population have cell phones  52% of Hispanic respondents recalled viewing mobiles ad, with 59% responding to them  Enjoy living in the “now” and discovering value Tactic #2: Text Opt-In
  12. 12. Text Opt-In  How it works:  Customers send a text message to opt-in to the program  Mobile coupons will be sent out at 10AM on randomly selected weekdays each week  The mobile coupons will have a code to provide to the cashier to receive the promotion  Recipients will have until 11:59PM that day to redeem the coupon
  13. 13.  75% of Hispanic SuperFans have children  Insight showed that Hispanic SuperFans see Burger King as “an opportunity to have a family outing”  However, only 39% of the Spanish-dominant SuperFans visit BK with their children  Research showed that Hispanic families with children under age 12 dine-out for breakfast (33% of time), lunch (40%), and dinner (46%) Tactic #3: More Burger Family Day
  14. 14. Family Day  How it works:  Every Sunday (inside only)  Buy 3 double cheeseburgers, get 1 free  New “More Burger” games will be available in the dining area, including an oversized checkers board  Invitations will be sent out to Hispanic households inviting them to their nearest BK for Family Night along with in-store displays and weekly advertisements in the coupon trader
  15. 15. Tactic #4: Bus Wrap  Lower income = higher public transportation use  Acts as moving billboard  Routes through predominantly Hispanic neighborhood
  16. 16. Bus/Bus Stop Wrap  Wrapped to look like big cheeseburger/reflects More Burger theme  Bus stop wraps on heavily trafficked areas  Creates spectacle
  17. 17. Tactic #5: Drive Thru Promotion  HSF is blue collar, but does have job  Eats out on lunch break a lot (Jenna fill in stat about lunch)  Value oriented/likely to try their luck
  18. 18. Drive Thru Promotion  3D Burger  Timer tells drivers when last free burger was given away  Anticipate W.O.M.  Will run additional radio commercials announcing promotion
  19. 19.  Hispanic SuperFan has kids  Like to go out to eat as a family  Kids are more technologically adept Tactic #6: Network Game Download
  20. 20. Game Download  Download to phone for free  Works as regular game on phone  In-store plays on network  Phone acts as a controller via Bluetooth  Does not require a lot of space in stores
  21. 21. Game Play  Player is on burger line  Cook flips burgers to sandwich maker  Must catch patties on bun before they fall to the ground  Network play: several people right for burgers
  22. 22. Flowchart
  23. 23. Other Decisions  Nationwide TV commercials  Expansion on radio spots  Low position in-store ads
  24. 24. Metrics Impressions Bus wrap ads: 1 wrapped bus=94,000 riders/month Radio spot: Listenership increase predicted by Univision Network game: Download # Comparative Sales Drive-thru promotion, More Burger Family Day Coupon Redemption Text-message coupons, Loyalty card program
  25. 25. Conclusion  “More Burger” speaking to the value  Six tactics to be executed soon and down the path, targeting on Hispanic SuperFans  Austin as test market with potential to go nationwide

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