Burger King’s marketing mix aims to maximize competitiveness against a wide variety of players, specifically, major competitors like McDonald’s and Wendy’s. These efforts support the company’s long term goal of achieving the top position in the fast food restaurant industry.
a) Product
Figure A. Which Fast Food Chain Has the Best Burger & Fries?
Burger King, as a quick service restaurant, it is classified as offering food, a non-durable good. Since its beginnings, and as its name says, Burger King’s main product has always been the hamburger, with which has stand out over its main competitors McDonald’s and Wendy’s (see Figure A). With increasing customer demand, and increasing competition, the quick service restaurant introduced chicken
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The quick-service restaurant has characterized itself for having prices that attract the lowest household incomes baby boomers, with some schooling degree. Burger King uses market-oriented pricing strategy as its primary approach to pricing. This pricing strategy involves setting prices based on current market conditions, including supply and demand circumstances as well as the pricing of competing firms. BK product value is very low, therefore, in order to increase such value, managers give low prices in order to increase such value among customers. Burger King’s secondary pricing approach is the bundle pricing strategy. For example, customers can buy value meals and kids meals at bundle prices that are more affordable than buying food items separately. As part of the same strategy, currently BK offers the 2 for $6 Whopper and the 2 for $4 Croissan’wich. Potential buyers go to BK with the intention of receiving more food with less spending. BK uses pricing strategies in order to increase the number of in-restaurant customers. This component of the marketing mix shows that Burger King mainly considers market conditions to determine its …show more content…
Hence, their service is not limited to the restaurants, although it relies almost entirely on the physical presence of its restaurants. Customers can now order ahead through the company’s website, or have it delivered to their homes. Hence, while at the outlet, customers receive limited service, they are assisted by the cashier, a physical person, in the ordering process, but the customer is responsible of picking up its order and putting the tray away once
There are hundreds of thousands of Burger Kings across the United States, and they all have cheap food. For one person, Burger King can cost as low as a dollar before taxes if that person eats off of the dollar menu. However, since the food is so cheap, it is not as good quality. It also does not taste as good as more quality food. Instead, the meat is a low grade and often contains fillers to lower the price of the meat (Sporleder and Goldsmith). The staff is often paid a very low wage, and they are not very friendly. The restaurant offers a cheap fast food joint atmosphere, followed by an aroma of French fries, fryers, and grease. Burger King, like many fast food restaurants, has meals that appeal to children, along with play rooms kids can have fun in. This is so they can appeal more to families, generating more
From a study completed by Chicago-based Research International USA completed a study called “Fast Food Nation 2008. The panel consisted of 1,000 respondents of ages 16-65 who provided their inputs with an online survey which was conducted between March 13 through 2008. Which was based on results on fast food restaurants like McDonald’s, Burger King, and Wendy’s are gaining popularity even through the economic hardship and recession. Marketing strategy has become more of influence on kids and young American’s. As population grows and the demand increases of fast food restaurants are expanding their stores to capturing more consumers. Fast food chains are also willing to change their menus to continue to gain and retain repeating customers. With each generation that passes, brings fast food chains into more homes and continues impacting lives.
Internal resource is the first consideration that can lead to sustainable competitive advantage and Resource –Based View (RBV) is a theory that usefully helps a firm focus on internal resources (Kraaijenbrink, Spender & Aard, 2010). According to RBV (Valuable, Rare, hard to imitate and non-substitutable), companies have different tangible and intangible resources, these resources can be transformed into unique ability, this special ability cannot flow between firms and rival firms and difficult to reproduce. These unique resources and abilities are the source of enterprise sustainable competitive advantage. In this part, Starbucks and Apple are worth to be analyzed by RBV.
Whole Foods Market, which is in the Grocery Store and Health Food Store industry, is one of America’s most prominent organic grocery store on the market. The supermarket chain has established a competitive advantage amongst other grocery stores, as it assures consumers that all foods are free of preservative, additive, and pesticides. The grocery store has gained such a profitable following, that it Amazon acquired it in August 2017, boosting Whole Foods Market’s digital and physical competitive advantage. In fact, most researchers have concluded that such an acquisition may eliminate any opportunity for other grocery store chains to compete against Whole Foods Market (Formichelli, 2017). Whole Foods Market’s key to success
Subway effectively competes with burger chains and others that are in the fast-casual segment of the market. Including healthier meals into its menu and giving much attention to obesity and diabetes have supported consumers' choice for Subway (Tarantino, 2005). However, Subway has not been satisfied thus far; instead, more intensified efforts have been made to improve business during the dinner hour. Additional menu options have also been added to answer competitors' trends and to place more focus on the children's segment.
Burger King delivers value to their customers through their products, prices, and place and promotion strategies - (“BK doesn’t just promise value, they actually deliver value”). Burger king has been in existence for 60 years and is growing rapidly in many other countries. Burger King delivers quality, great tasting food which satisfies ones need or wants and captures the value of customers even before the first purchase is made. Burger King has products very unique from other competitors such as KFC and McDonalds. The difference is that Burger King does not limit their customers in terms of what they eat. For example, when I spoke to a customer also big fan of Burger King, he mentioned that the sauces are left public for the customer to decide on which sauce to have rather than giving the customer one kind of sauce such as McDonalds and KFC. The cold beverage is also self-help service in which customers can help themselves to a bottomless drink. This way the customer feels free to choose what satisfies the need or want.
Customers buy when they feel it is necessary giving them the upper hand on the industry. Bargaining power of suppliers: In the quick- service restaurant, the suppliers vary. They really do not rely distributors as large restaurants do. Threat of new substitutes: The restaurant industry is segmented into many parts: full service restaurants ($120 billion); quick- service restaurants ($110 billion); away-from-home managed institutions, examples: food services for schools and hospitals ($21 billion); and other food industries ($106 billion). (Marshall Jones, 1999). Rivalry among competi...
There are many things you can converse about when comparing these two topics. The first topic to compare is the price of the food at each restaurant. All in all, Mcdonald’s is cheaper than Burger King in several ways. Mcdonald’s
The purpose of this paper is to introduce you to the fast food industry, how it is everywhere in the United States and increasingly spreading globally. The majority of the fast food restaurants in the United States are dominated by hamburger fast food restaurants. Amongst the burger segment, McDonald’s is the number one leader in the burger industry, followed by Burger King, and Wendy’s respectively (Oches, 2011).
Fast food restaurants are popular among the consumers nowadays. Many fast food restaurants are trying to serve the needs in the market as people seek for quick and convenient place to eat. Due to the fact that there are a huge amount of fast food chains available in the global market, fast food companies have to strive for success. Just by providing quick and convenient style of eating for the customers is not sufficient to stay competitive. This is why it is interesting to study and learn about a fast food company that stands out in such a competitive environment. What has KFC China been doing to become successful? What marketing strategies did they use to dominate the market? We shall find out in the following sections.
Another strength is Burger King’s franchise development having 90% of its restaurants franchised. The franchise concept allowed the company to grow with minimal capital expenditure and receive royalties and fees. Burger King went above and beyond and created a new model of its restaurant to attract mo...
Now days , the customers so awareness of the fast food industries and its ingredients like no effected, no allergy, fresh, pure and others food which will be available on time in related area. Such sort of features are provided by burger fuel and the government policy of china is also welcoming to the foreign investor. It means the government policy is favorable for the foreign investor and franchisor. For instance, the competitors like burger kings, KFC are there in china. Therefore the burger fuel also enter into the Chinese market thorough the franchise and local partnership. Franchising is a rapidly increasing model for business expansion in the retail sectors like fast food industry and it is going to be making their own market in growing service sector of the Chinese economy in the years to come. The growth of modern retail trade has been the driving force behind it. The old age population are very low in china but the active population is very high at the age group 25-54 years is 47.2% (male 327,130,324/ female 313,029,536). Therefore, the target age group is18-35 years, employed and those people are eager to eat at outside. The burger fuel is also totally focus to
An evaluation of the restaurant’s strengths, weaknesses, opportunities and threats served as the foundation for this marketing plan. The plan focuses on the restaurants marketing strategy, suggesting ways in which it can build on new customer relationships, and development of new food products and targeted to specific customer groups.
· Burger King Corp. that offers an array of value-priced offerings and makes kitchen and drive through upgrades
Fierce and growing competition – big fast food companies like Burger King and Kentucky Fried Chicken are constantly competing with McDonalds for customers and trying to take the spot as the top fast food chain.