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This essay discusses the strengths of Burger King using a 4Ps analysis of their product, price, place, and promotion strategies. Burger King offers a diversified menu beyond just hamburgers, including chicken, salads, drinks, and desserts. They also focus on attractive product design and restaurant aesthetics. Burger King keeps prices low through interesting bundled menus that are cheaper than individual items. They have expanded their place by growing to over 14,000 stores worldwide and offering delivery services. Significant money is also spent on promotional advertising campaigns through various media.
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Case study
ASSIGNMENT
Case: Burger King (Mini Case)
(J. David Hunger)
ORIGINALLY CALLED INSTA-BURGER KING, the company was founded in Florida in 1953 by Keith Kramer and Matthew Burns. Their Insta-Broiler oven was so successful at cooking hamburgers that they required all of their franchised restaurants to use the oven. After the chain ran into financial difficulties, it was purchased by its Miami-based franchisees, James McLamore and David Edgerton, in 1955. The new owners renamed the company Burger King. The restaurant chain introduced the first Whopper sandwich in 1957. Expanding to over 250 locations in the United States, the company was sold in 1967 to Pillsbury Corporation.
The company successfully differentiated itself from McDonald’s, its primary rival, when it launched the Have It Your Way advertising campaign in 1974. Unlike McDonald’s, which had made it difficult and time-consuming for customers to special-order standard items (such as a plain hamburger), Burger King restaurants allowed people to change the way a food item was prepared without a long wait.
Pillsbury (including Burger King) was purchased in 1989 by Grand Metropolitan, which in turn merged with Guinness to form Diageo, a British spirits company. Diageo’s management neglected the Burger King business, leading to poor operating performance. Burger King was damaged to the point that major franchises went out of business and the total value of firm declined. Diageo’s management decided to divest the money-losing chain by selling it to a partnership private equity firm led by TPG Capital in 2002.
The investment group hired a new advertising agency to create (1) a series of new ad campaigns, (2) a changed menu to focus on male consumers, (3) a series of programs designed to revamp individual stores, and (4) a new concept called the BK Whopper Bar. These changes led to profitable quarters and re-energized the chain. In May 2006, the investment group took Burger King public by issuing an Initial Public Offering (IPO). The investment group continued to own 31% of the outstanding common stock
Business Model
Burger King was the second largest fast-food hamburger restaurant chain in the world as measured by the total number of restaurants and system wide sales. As of June 30, 2010, the company owned or franchised 12,174 restaurants in 76 countries and U.S. territories, of which 1,387 were company-owned and 10,787 were owned by franchisees. Of Burger King’s restaurant total, 7,258 or 60% were located in the United States. The restaurants featured flame-broiled hamburgers, chicken and other specialty sandwiches, french fries, soft drinks, and other low-priced food items.
According to management, the company generated revenues from three sources: (1) retail sales at company-owned restaurants; (2) royalty payments on sales and franchise fees paid by franchisees; and (3) property income from restaurants leased to franchisees. Approximately 90% of Burger King Restaurants were franchi ...
Burger King Campaign.
The document outlines a 360 degree marketing campaign launched by Burger King to promote the opening of new restaurants in the Middle East. The campaign aimed to convince customers that Burger King's flame-broiled burgers were bigger and better than competitors like McDonald's. Tactics included an iPhone app to customize burgers, an in-store escalator decal, a Guinness World Record burger attempt, and online ads. The result was that Burger King became a more serious competitor to other fast food chains in the Middle East.
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Burger King launched a marketing campaign featuring a time-lapse video of a Whopper burger molding over 34 days. This highlighted BK's removal of artificial preservatives. The "Moldy Whopper" campaign received over 1.7 million YouTube views and significant social media engagement. While some experts praised BK's authenticity, others felt showing a rotting sandwich could backfire. Overall responses were mixed but awareness of BK's preservative removal was high. The campaign was innovative but may not increase sales as much as the Impossible Whopper launch.
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Burger King is a global fast food chain known for its varied menu and quality food. It uses several marketing strategies to attract and retain customers across its locations worldwide, including competitive pricing, product customization through slogans like "Have It Your Way", and loyalty programs that make customers feel like royalty. After expanding aggressively starting in 2008, Burger King now has over 14,000 stores in nearly 100 countries. It carefully analyzes customer behavior and demographics to tailor its offerings, promotions, and store locations to best meet demand in different markets. Through consistent marketing efforts, Burger King aims to create lasting brand recognition and customer satisfaction on a global scale.
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Burger King launched a viral marketing campaign called "Whopper Virgins" in 2008 to promote its flagship Whopper burger. The campaign involved taste tests between the Whopper and McDonald's Big Mac with people in remote areas who had no familiarity with American fast food. While the campaign generated buzz, it was also criticized as being culturally insensitive. Additional elements like TV ads and print supported the viral campaign. Experts note the campaign could have been more effective with better search engine optimization in its viral strategy. Personal selling is recommended as another promotion tool for Burger King to build customer relationships and solve problems to help integrate its promotion mix.
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Service Marketing Story -
* Brief introduction on the company
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Burger King faced challenges in the Philippine fast food market due to lower brand awareness and a lack of visibility compared to competitors like Jollibee and McDonald's. Market research including a survey and focus group found that while burgers and pizzas were the most popular fast food items, Jollibee had the highest brand recall. Factors like food quality, price, and service were most important to customers when choosing a restaurant. The research also revealed opportunities for Burger King to improve its menu options and add family-friendly items and services.
Is burger king's fast food philosophy failing
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Bk
Burger King hired advertising agency Crispin Porter + Bogusky (CPB) in 2004 to help boost declining sales. CPB launched unconventional viral marketing campaigns like Subservient Chicken, where visitors could command a chicken via webcam, and metal band parody CoqRoc to promote new chicken products. These viral videos received over 20 million views in the first ten days and 100 million orders of chicken fries in the first month, successfully increasing awareness and sales among younger audiences. While some criticized the campaigns' crude humor, CPB's viral approaches proved more effective than traditional TV ads at engaging customers and generating buzz around Burger King's products and brand.
Burger king's
Burger King was founded in 1954 in Miami, Florida and introduced the iconic Whopper sandwich in 1957. It was acquired by Pillsbury in 1967 and continued expanding, introducing important menu items and innovations. Grand Metropolitan acquired Pillsbury in 1988 and Diageo acquired Grand Metropolitan in 1997, eventually selling Burger King to private equity firms in 2002. Burger King went public again in 2006 and was acquired by 3G Capital in 2010. The company focuses on driving sales in North America through improved marketing, remodeling stores, and operational changes while also expanding internationally through strategic partnerships.
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Frederick, the marketing director of Pemberton food company, must determine whether to launch their new Krispy Natural cracker brand nationally after a successful test market. The test market saw strong results in Columbus where Krispy was new, but more modest gains in the Southeast where it was an existing brand. However, sustaining the discounts and promotions used could be difficult nationally. Competitors may also respond aggressively. Frederick's recommendations include increasing advertising spend, emphasizing the improved taste and nutrition of Krispy Natural, developing a catchy tagline, and optimizing distribution to handle increased capacity and reduce costs to compete against major brands like Frito-Lay entering the market. Overall test results support a national rollout if these strategies
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Report presentation
- 1. Colin 2461427 Date: 28 June 2019 Subject: BIS Tutor: Gerry Mc Cann
- 2. attract This essay will discuss the strengths of Burger King from 4P’s analysis; there are product, price, place and promotion. All of the factors mentioned in the essay are key point of operation model of Burger King.
- 3. Introduction Burger King was established in earlier in 1953 by Keith J. Kramer and his several of family members (Don, 2018). After developing of few years, the brand became more famous so that grow into the second largest burger chain in the US after McDonald's. Nowadays, Burger King success to have over 14000 stores all over the world (Robert, 2019). In this essay, it will discuss how Market Competitiveness it is according to 4Ps analysis.
- 4. Body of report (Source, dandad.org) (Source, cba-design) (Source, free-management-ebooks)
- 5. product Burger King has diversification, which is not offer only one type of hamburger. For example, people general eat chicken, salads, drinks, as well as desserts in the restaurant (Roberta, 2017). In this way, Burger King success to make limiting numbers of products to become unlimited choices. Apart from it, Burger King also famous for its unique product design. On one’s hand, the firm design the interesting exterior food and package to attract customers. On the other hand, the employers also considered about design of the whole restaurant. Therefore, the employer of Burger King is not only focusing on tangible profit directly, but also pay attention to the invisible reputation it could bring by good services and tidy environment. That is one of the factors of success which Burger King has.
- 6. price Secondly, the firm also take care of the price of products. For example, as people go to the Burger king, we general see that the interesting number of price, such as €1.99 or €2.99 (Hollie, 2018). Moreover, there are all kinds of bundle menu in the Burger King (Ken, 2016). In order to attract customers, the buddle always cheaper than people purchase separately. Generally speaking, the price in Burger King is quite low which make up the profit of whole restaurant.
- 7. place Furthermore, Burger King extends their services to delivery, no longer just allow people eating in the restaurant. Rather than direct distribution, delivery takes up a significant part of profit. With economics globalization, Burger King built thousands of stores and set up delivery services.
- 8. promotion Finally, Burger King spends lot of money on promotion. In order to create their awareness, Burger King focuses on advertisement. Through past few years’ development, Burger King usually makes some unique advertisement which is appearing on the Internet or TV (Hannah, 2019).
- 9. Conclusion In conclusion, Burger King’s success due to the combination of several of factors, those are diversification, unique price and delivery as well as advertisement. In the near future, Burger King could continue develop with these strengths.
- 10. Bibliography Don, D (2018) ‘Short History of Burger King’ available at https://www.thebalancesmb.com/history-of- burger-king-1350968 [Accessed at 09 December 2018] Robert, L (2019) ‘Burger King Corporation’ available at https://www.britannica.com/topic/Burger- King-Corporation [Accessed at 02 April 2019] Roberta, G (2017) ‘Burger King’s Marketing Mix (4Ps) Analysis’ available at http://panmore.com/burger-king-marketing-mix-4ps-analysis [Accessed at 06 February 2017] Hollie, B (2018) ‘MEATY DEAL Burger King brings back King of the Day offer where a burger costs £1.99’ available at https://www.thesun.co.uk/money/7062732/burger-king-king-of-the-day-offer- burger-costs-1-99/ [accessed at 21 August 2018] Ken, H (2016) ‘Burger King Bundle is actually a good deal’ available at https://www.chron.com/entertainment/restaurants-bars/article/Burger-King-bundle-is-actually-a- good-deal-6787438.php [accessed at 27 January 2016] Hannah, E (2019) ‘Burger King removes 'racist' ad showing man trying to eat with giant chopsticks’ available at https://www.theguardian.com/business/2019/apr/09/burger-king-removes-racist-ad- showing-man-trying-to-eat-with-giant-chopsticks [09 April 2019] Picture source: https://www.dandad.org/awards/new-blood/2018/burger-king/3383/whopper-world/ https://www.cba-design.com/fr/en/what-we-do/burger-king-new-concept