KFC entered the Indian market in the 1990s after economic liberalization. It opened its first restaurant in Bangalore in 1995 targeting the upper middle class. KFC uses market segmentation based on geography, demographics, and psychographics to target urban youth and middle to upper classes. It employs pricing, promotion, and social media strategies to compete against other fast food chains in India.

1. MARKETING STRATEGY
IN INDIA
Presented By-
VIBHOR AGARWAL
BBA 2nd c

2. BACKGROUND OF KFC
 KFC is based in Corbin, Kentucky, U.S. and is the
world’s most popular chicken restaurant chain.
 Founded by Colonel Harland Sanders in in the early
1930s by cooking & serving food for hungry travellers.
 In 1952 Sanders started franchising his chicken
business & named it as KENTUCKY FRIED
CHICKEN.
 KFC is part of Yum! Brands, Inc., the world's largest
restaurant company in terms of system restaurants, with
more than 36,000 locations around the world.
 KFC operates more than 15,000 units in 109 countries
and territories around the world.

3. CONTINUE…..
Every day, more than 12 million customers are
served at KFC restaurants.
 KFC is world famous for its Original Recipe
fried chicken -- made with the same secret blend
of 11 herbs and spices
Customers around the globe also enjoy more than
300 other products -- from KFC
 The company is ranked #239 on the Fortune 500
List, with revenues in excess of $11 billion in
2008.

4. KFC’s Entry in INDIA
KFC was the first fast food multinational to enter
INDIA , after the economic liberalization policy
of the Indian Govt. in early 1990s.
KFC received permission to open 30 new outlets
across the country
KFC opened first fast food outlet in Bangalore in
June 1995 by targeting upper middle class
population.
PepsiCo planned to open 60 KFC and Pizza Hut
outlets in next 7 yrs in the country.

5. ISSUES
Govt. was criticized for granting permission to
multinational food giant
Nutritionists highlighted the high rates of
obesity, hypertension, heart disease and
cancers
Monosodium Glutamate (MSG) controversy

6. SWOT ANALYSIS

7. STRENGTH
World’s largest restaurant company in terms of
system restaurants, operates more than 15,000
units in 109 countries and territories around the
world.
KFC is world famous for its Original Recipe fried
chicken -- made with the same secret blend of 11
herbs and spices
Ranks highest among all chicken restaurant
chains for its convenience and menu variety.
Generate $1B each year

8. WEAKNESS
 LACK OF KNOWLEDGE ABOUT THEIR CUSTOMERS.
 LACK OF FOCUS ON R&D.
 MSG FLAVOUR IN CHICKEN.
 NO PRODUCT INNOVATION.

9. OPPORTUNITY
RETAIL BOOM IN INDIA
INDIANS YOUTH ARE ADOPTING WESTERN
CULTURE
INCREASING TRENDS TO TAKE MEAL OUT OF
HOMES.

10. THREATS
HIGH CALORIE FOOD.
CHANGING HEALTH TENDS OF CUSTOMERS.
POLITICAL PARTIES PROTESTING FOR JUNK FOOD
PROTEST SUPPORT FROM FAMOUS PERSONALITIES
LIKE ANIL KUMBLE,ADITI GOVITHRIKAR,JOHN
ABRAHAM ETC

11. MARKETING CONCEPTS
NEEDS – a consumer needs food
WANTS – they want chicken or other non-veg
DEMANDS – but they demands KFC’s fried
chicken

12. TARGET MARKETS
As the outlets of KFC are in posh area and
prices are too high (overhead expenses-rent,
air-conditioning, employees),
KFC targets upper and middle classes, youth
Target market depends upon size and growth
rate of population.

13. MARKET SEGMENTATION
Geographic segmentation : In India KFC focuses
how geographically its customers demand
different products.
Demographic Segmentation: In demographic
segmentation, the market is divided into groups
based on an age, gender, family size, income,
occupation, religion, race and nationality.
Psychographic segmentation: in this
segmentation ,the market is divided into middle
class & upper class

14. Kfc gives more priority to family.
Kfc menu consist of more than 30 products.
Kfc open their outlets on reachable places.
Kfc offers free home delivery.
Kfc posses a western culture because some of the
Indian people are also following their culture.
Kfc following societal marketing techniques.

16. PRICING STRATAGY
Their products are priced high and target the
middle to upper class people
KFC adopt the cost base price strategy.
 Pricing of the product includes the govt. tax and
excise duty
 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.

17. PROMOTION
Advertising
Sales Promotion
Public Relations
Events and Experiences
Coupons, Discounts and Bundled packages

19. SOCIAL MARKETING
Face book
Twitter
Google+

20. COMPETITION
We can compare the price of their products with
McDonald, dominoes and pizza hut.
 If the competitor provides the same product at a
lower price then the organization usually lowers the
price of its product too.
 In the case of kfc, fried chicken is its main selling
point and controls a monopoly over the Indian fast
food market (only with fried chicken).
 It prices its burgers, French fries and soft beverages
with relation to its competitors.