An analysis of the use of sales promotion in organizations marketing

plan: A case study of KFC in the UK

Abstract:
The research is focused on analysing the use of sales promotion activities in the
marketing plan of an organisation by taking the case of KFC for UK market. Different
sales promotion strategies will be covered in the research along with the sales promotion
strategies of KFC restaurant will be covered in the research work. Primary data will be
used, which is collected through questionnaires for analysing the impact of sales
promotion activities on the sales of the organisation along with the conception of
customers for those activities. At last, the research will concluded with some
recommendation that would benefit the organisation in the light of sales promotion
strategies.

Abstract:................................................................................................................... 1
1.0 Introduction:......................................................................................................... 3
1.1 Research Background........................................................................................... 3
1.2 Organization Background...................................................................................... 4
1.3 Rationale for Choosing this Topic............................................................................5
1.4 Aims and Objectives of the Research........................................................................5
1.5 Research questions.............................................................................................. 6
2.0 Literature review.................................................................................................... 6
2.1 Introduction....................................................................................................... 7
2.2 The consumers response towards the sales promotion..................................................8
2.3 Why there is a need of sales promotion and what is it?..................................................9
2.4 Kinds of sales promotion.......................................................................................... 9
2.5 Consumer sales promotion:.................................................................................. 10
What are the needs and benefits?............................................................................. 10
2.6 Types of consumer sales promotion........................................................................11
Price deal:......................................................................................................... 11
Rewards programs:............................................................................................. 11
Quantity deals:................................................................................................... 11
Price pack deals.................................................................................................. 11
Coupons:.......................................................................................................... 12
Checkout dispensaries:......................................................................................... 12
Online-couponing:.............................................................................................. 12
Rebates............................................................................................................ 12
Point of sales promotion:...................................................................................... 12
Sample of the products......................................................................................... 13
Kids corners...................................................................................................... 13
Sales promotion of KFC:......................................................................................... 13
3. 7 Conclusion..................................................................................................... 13
3.0 Research Methodology.......................................................................................... 14
3.1 RESEARCH DESIGN........................................................................................... 15
3.2 RESEARCH APPROACH...................................................................................... 16
3.3 Primary research.................................................................................................. 17
3.4 Data collection method and Analysis......................................................................19
3.5 Primary data collection.......................................................................................... 20
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3.6. Data analysis method......................................................................................... 20

3.7 Limitation of secondary and primary data...............................................................21
3.8. Validity of secondary data................................................................................... 21
3.9. Population and Sampling.................................................................................... 22
3.10. Ethical consideration....................................................................................... 22
4.0 DATA ANALYSIS AND FINDINGS.........................................................................23
4.1 Introduction..................................................................................................... 23
4.2 Findings of Questionnaires.................................................................................. 24
5.0 Conclusion, Recommendations & Limitations..............................................................45
5.1 Conclusion of the Research.................................................................................. 45
5.2 Recommendation for KFC................................................................................... 46
5.3 Limitations of the Research Study.........................................................................47
References.............................................................................................................. 48
QUESTIONNAIRE................................................................................................... 51

1.0 Introduction:

1.1 Research Background

To conduct any research it is imperative to review the already available literature by

academicians and scholars related to the topic or industry. This works as a guide to conduct
the present research. This research broadly relates to sales promotion, marketing mix of KFC
for UK market. The effect of sales promotion on the buying behaviour of consumer and
increase in sales due to it are also required to be covered in the research since the buying
decision making process of consumer is also important to understand. The literature will be
searched under three broad categories: Sales promotion activities, Perception of consumer
towards sales promotion activities with respect to KFC, appropriate sales promotion mix
(Stuart, 2005).
Sales Promotion Activities: They can be for distribution channel people (like distributors),
selling staff or customers. Sales promotion for distribution channel members is known as
trade sales promotion whereas sales promotion targeted towards customer is known as
Consumer sales promotion (Goldstein and Lee, 2005).
Perception of Consumer towards sales promotion: Generally, sales promotion results in
temporarily rise in sales figure for a specified period. Some consumer gets attracted towards
price, some towards quality, some towards brand etc. So, understanding the perception of
consumer for fats food industry is important.
Sales promotional mix: There are different sales promotions strategies for targeting both
customers and distribution channel members. Having an appropriate mix is important as huge
cost involved in each kind of sales promotion (Kerin, 2012).

1.2 Organization Background

Kentucky Fried Chicken commonly known as KFC is the 2 nd biggest fast food chain in the
world having its headquarter in Louisville, United States. KFC specialises in Fried Chicken.
Besides, KFC has increased its offerings to wraps, burgers and Salads. The Company is

having more than 18000 outlets spread across 120 territories and countries. KFC is the
subsidiary of Yum! , which is a restaurant company.
KFCs first store was opened at Preston in 1965.Since then; KFC has spread its operations in
UK to around eight hundred location. Some restaurants are company operated and some are
franchisee based.
Presently, KFC has around eight hundred fast food restaurant in Ireland and UK. The UK
operations of KFC is run by around eight thousand employees with ownership divided into
seventy per cent franchised and remaining thirty percent equity. The average turnover of KFC
outlet in UK is 1.2 and 1.8million. The yearly sale is around sixty thousand metric tons of
chicken. KFCs growth is mainly the result of opening of various drives thru outlets which
saves much on ground of retail space.

1.3 Rationale for Choosing this Topic

In this competitive world, sales promotion has become a crucial factor in the marketing mix
of an organisation. There are various reasons of using sales promotion via, popularising the
brand, launching new product or service, fighting competition, clearing old or obsolete stock,
increasing market share etc. A company may have the best in class product or service but it is
of no use until people are aware of those products or service. Apart from that there are so
many strategies for sales promotion both for customers and distribution channel members that
selection of an appropriate mix is very important since heavy cost is involved in each
decision of sales promotion activity. The effect of sales promotion may be for short term like
increasing sales or long term, building of brand image (Kilter, 2005).
Studying the sales promotional activities of KFC will provide a greater insight into the field
of sales promotion and marketing by large. The research will also help in understanding the
short term and long term role of sales promotion activities in the marketing plan of the KFC
(Hochbaum et. al, 2011).
1.4 Aims and Objectives of the Research
The prime aim of this research is to analyse the effect of sales promotion strategies on KFC.
In addition to this, the research will also have following objectives which it tries to fulfil.
1. To study the buying behaviour of customers for buying KFC products in United
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Kingdom market and the factors that stimulates them.

2. To examine the environmental factors of the market which have effect on the buying
decisions of customers of KFC?
3. Identifications of sales promotions strategies of KFC for increasing the demand of
product in the UK market.
4. To analyse the effect of sales promotion activities adopted by KFC on its sales figures
in short and long run for UK market.
The above mentioned aims and objectives will be covered by getting answers of the
following research questions.

1.5 Research questions

Research questions set a concise and clear cut path to perform the qualitative and quantitative
research considering the sales promotion activities of KFC. In this research work the research
questions which will be answered are as follows-

1) What are the sales promotion activities used by KFC?

2) Whether the impact of sales promotion strategies of KFC is for short term or long
term?
3) What factors affects the buying decisions of buyers with respect to fast food industry?
4) What will be the best possible mix of sales promotion strategies for KFC to get
optimum brand awareness with minimum cost involvement so as to cover the
maximum market areas?

Therefore, the researcher in this research will try to find the answers of the research questions
so as to achieve the aims and objectives of the research.

2.0 Literature review

2.1 Introduction
Literature review has become an important part of the researches being carried out day by
day, it facilitate the researchers to study about the research and to study about it. In the
present research we are going to discuss about the effective sales strategy and the various
consequences with respect to it. KFCs strategies and various planning techniques for
carrying out an effective research and increase their business will also be discussed here. The
main motive for this research is sales promotion, using the present literature we will be able
to develop some questions and would also answer them. The merits and demerits which
companies are having with the sales promotion is an important point to focus upon, along
with all these we will discuss the KFCs strategic planning and effect and relation of the sales
promotion with it. In the present research the literature review will act as the building block
or functional unit or we can also assume it as a base for the research (Ozersky, 2012). The
section will also be focusing on detecting the presence of tools of sales promotion and how
they are being used by the marketers
Literature review acts as a guide to carry out the research it shows the way and help to know
the base, objective, method of research etc. It has been considered as an effective and one of
the most precious tools of the research. It provides the right way for the research which is
being carried out. Let us discuss about the research which is being carried out presently. As
discussed earlier the motive is to find out the tools and also to know various aspects of it.
How the customers mind is affected and attracted towards the sales promotion, how the
decision making of the customer is governed (Papp, R., 2000), So many researchers have
been made in different parts of the world related to this topic in the past and are still being
made. How the consumer decision making and their purchasing behaviour can influence the
sales promotions. Three famous personalities Laffy, M., Espinosa, L., Moore, J. and Lodree,
A., 2003 remarked a very important matter that the selling of goods and services of a
company or organization starts with the consumers and also ends on them. It is mostly
dependent on their buying behaviour. Having a great knowledge is an important key to gain
success in anything; same point is to be applied here.
The various schemes like announcement of lucky draws, 100% financing at the zero interest
are some of the greedy things are offered to the customers from time to time. The new future
8

plans are also made by the companies; they set various goals for the welfare. The comparison
is the thing which everyone want to do with the other, the companies also keeps an eye on the
decisions, functionality of the companies for making them best of all. KFC is focusing over
the attraction of the customer to make its brand image in developing country so that market
shares than other food chain can be enhanced in developing country. In this study main aim is
to find out the factors that affect the consumer behaviour in developing country towards the
international food chain. KFC is facing competition with McDonald and pizza hut which is
also serving various locations in the world.
2.2 The consumers response towards the sales promotion
Consumers response is a very crucial part of sales promotion, however around 80% it
depends over this factor for the functionality of sales promotion. The two most important part
of the sales promotion from the consumers point of view is the maintenance and designing
of the sales promotion. The consumer should definitely focus on these two factors so that
they may not get cheated (Morsel, 2010).
There are also certain things which the marketers should focus on while making a sales
promotion the first one is the response of the consumers and second one is effect of sales
promotion the particular offerings. In the past years the study has been made on long as well
as short term retention (Neset, Eileen, and Christopher, 2008. On the other hand the branding
also makes the consumer assure of buying the services and the products of a particular
company. As high and better is the branding more will be the customers. This has been
observed in the recent time that the branding of the companies and the products help in
making a loyal and regular set of the customers (Levy, 2006). These customers will prefer to
use the companys products and services at the time of healthy competition. The various
researches have been made in order to have more and more knowledge about the sales
promotion, such a healthy research was made by Shrestha of Nepal. He focused on the
consumers benefit which he gain from the sales promotion as the competition is going to be
more tougher and tougher in the coming years the consumers only get the benefit of only two
things first one is of price that is the reduction or discount offered by the company and other
one is of the quality of the products, leaving the two all the remaining ones goes to the
companies (Oliver, 2005). There is a need of more advantages for the customers so as to get
the maximum benefits. Because of only a few benefits the repurchasing decreases. And this
does not result into the formation of new customers. In another research made in Nigeria the
customers were not easily provided with the SIM card, customers raised their voice against it
9

and at last they won. And this further leads to the dissatisfaction of the customers with the
company.
2.3 Why there is a need of sales promotion and what is it?
The various marketing activities are governed by sales promotion. The promotional sale has
been divided under the seven parts. The basic aim of the dales promotion is to exceed the
speed of the slow moving products in the market. According to the previous researches there
are two types of sales promotion (Karim, and Heckman, 2005).one is the discount which is
offered by the trade and another is which is offered by the consumers. The difference between
the trade discount and the customer discount forms the sales promotion.

2.4 Kinds of sales promotion

Now we are onto the different parts of the sales promotion, under this section the parts and
their objectives will be discussed. So let us begin with the trade allowances.
2.4.1 Trade allowancesThese are widely used by the stockers for the stocking of the products; the technique of the
sales promotion is helpful in the services like that of bulk. For ex: a retailer selling the SIM
cards and other mobile accessories gets the products likes cards, earphones, chargers and
many other accessories in a cheaper rate , after some time they sell these products in the full
price to the customers. This is also termed as channel stuffing; this coin was termed by Robin
Colin IN 1900. In channel stuffing a company sells a more number of the products which are
above its capabilities. In the other parts of the world it is termed as dumping. Second part
which we are going to discuss is trade contest. KFC is changing its business operating
pattern to make customers more engaged with business and also to be loyal customers.
2.4.2 Trade contest:
Every company wants to sell their products and services as much as they can, for this they
keep some street boys or the vagabonds. These boys help the company in selling their
products; some of them become permanent sellers. During the period of selling the products,
the reward is usually issued to the retailer with the highest selling of the products. In response
to it certain rewards are to be issued to him from the manager of the company. The amount
given to the each retailer is recorded and they become a [art of the competition, the
competition of selling the most number of products. This competition takes place between the
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same level of the retailers it is also a point to look upon the store and its location (Ogwo,
2013).
2.4.3 Dealer holder:
A bonus is usually provided to the retailers who purchase the products of a company in bulk,
it is also known as dealer holder. The aim of this is to hold up the customers towards their
company rather than other company (Feighery, 1996)
2.4.4 Training programs
Before starting any work there is a need of the proper training for it, various companies have
focused on this issue very deeply. The deep and proper knowledge should be in the mind of
the retailers before selling the products to the customers. For instance the knowledge for
selling the medicines like mfg date, expiry date are not enough to carry out the task other than
these other keys about the medicines are also important. Same thing arises in the case of
automobiles selling, there also you need to do a lot of research and should also have the depth
knowledge of it.
The next generation is now being more advanced, making themselves to work in the auto
dealership sector. They search it from the various sources like internet and many more
sources.
2.4.5 Discount on trades:
These are also known as functional discounts; these payments are usually given to the
channel for doing some specific work. These discounts are mostly for the persons like
wholesalers, retailers etc. these are given or issued to these persons to increase the sale of the
companys products. It can be assume that as large is the discount large is the selling.
2.5 Consumer sales promotion:
What are the needs and benefits?
Along with the trade sales promotion, consumer sales promotion is also a crucial part of the
sales promotion. The field of sales promotion is a big one, having vast aspects of sales
promotion in it (Grimes, William, 2012). These helps in the stocking process of the products;
this is mostly beneficial to the traders and dealers too. The discount on which there is a keen
view of customers are mostly offered at the time of the festivals like Easter and many more.
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The most probable reason for the increase in the demand of products by the customers has
been discussed earlier that as more as the discount as more as the selling of the products.
Customer sales promotion also helps in the maintenance of the product in the world market.
The fall in sales is usually seen when there the additional scheme related to it ends. The
customers behaviour may decrease as well as can increase the branding of the company and
its products. So there is a need of to keep the need of customers in the mind, the companies
also have understood this point very well.
2.6 Types of consumer sales promotion
Price deal:
Sometimes the company looks for attracting more and more customer towards them for this
they start offering the discounts at the base price. They even takes the discount to limit o
nearly 50%, this changes are usually done by changing the list of manufacturing, retail price
or the list price. There are several of reasons for the lowering of the prices such as for
increment in short term sales.
Rewards programs:
Consumers

are provided with the coupons, rewards and various other things when they

purchase some articles from the company. These schemes are for a short time only this is also
for attracting the customers. This further helps in the buying behaviour, some companies have
the facility of issuing the loyalty cards to some of the loyal customers (Lindale, 2009). By
using this card either the company offers some discount to the customers or they can add
some points into their account which can be used in the future shopping purposes (Aaseng,
2001). This card is also used for the verification purposes such as during the issuing and
withdrawing the cheque.
Quantity deals:
In these deals there is also a plan for the reduction of the prices for the products these all are
for providing the maximum benefits to the customers .Various companies have various plans
for it, in some companies there is a formation between the customers and the company
management to share these deals and discounts. This increased the consumers trust over the
company for longer time period.

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Price pack deals

Along with all the benefits there more for the customers to get through the companies
customers sometime are in more advantage than the companys offers more at the same price
(Smith, Andrew, 2011. For ex on a packet of tea, the earlier price was 200 for 1kg after some
time the company offers some extra tea for the consumers they offers 25%extra and much
more schemes. The motive is same for all these, to earn and increase the sales promotion.
Coupons:
A document which can be used as a means of exchanging the document with the product is
termed as a coupon. The main feature of this document is that it also helps in the discount
related aspects. The question arises that where do these coupons come from? Let us make
you know that this document is usually issued to the customers by the manufacturers (Binney,
2012). The various means of distributions are like cell phones, newspapers etc. having the
coupons have another advantage too this advantage is of getting the products in a cheaper
price. In this healthy competition coupons are a source of income to the manufacturer.
Checkout dispensaries:
In the case of checkout, a coupon is issued to the customers. It I an important tool, if a
customer want to repurchase the products. Various products like powder are used to issue a
coupon to the customers.
Online-couponing:
There are two folds advantages of online couponing first one is the awareness and other one
is collection. Other than these merits the various advantage are related to it. The discount is
offered by the company at a high rate.
Rebates
The companies allow the many back guarantee for some people and customers, from them
MIR is the main important. This facility lets a consumer to order the products through the
mails. It has been said by Crow in 2008 the main motive of the rebates is to provide the
customers with the discount, for the purpose of attracting the more customers and also to
raise the efficiency of the product by fixing the price of the products (Collingwood, 2008).
The slight fall in the price of a particular product results in the decrease of overall prices of
the entire products.

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Point of sales promotion:

This is the technique of selling the product of the company at the same place, they attract the
customers attention through various methods like discount, lucky draws etc. these are
usually carried out at the time of special occasions like that of festivals, marriages etc. the
various things they have usually with them to sell are chewing gums, cold drinks, magazines,
tobacco etc. these all things together cover a lot of space on the counter, consumers get
attracted by it and start the purchasing of the products in a bulk quantity (Sharon, 2010).
Sample of the products
The sample of a products help in making the mind to buy a product or in ignoring it, it is
mostly given to the customers for the checking purposes, this further decide that the
following product will be a successful one or not(Horovitz, 2004 ).
Kids corners
After all of the discounts the discounts are offered to the kids on their items such as candies,
wear etc. in big restraints also it has become common that with two regular meals one would
be provided free of cost.
Sales promotion of KFC:
KFC is a worldwide accepted company known for its best meals. There are many specialties
of KFC but the most liked by the customers is their clean environment for the eating
purposes. Because of all these qualities adopted by it is now one of the worlds best
companies. This company has marked a tremendous success in just a quick lap of time. Along
with all these now we discuss about its business strategies, which are known for its success
all over the world. The company offers around 100 existing deals online presently (Solace,
2009). The KFC group of companies has widely used coupons codes which can be used in
any KFC centre of the world. The loyalty coupons, discounts, sales combo, surveys are its
some of the specialties. Loyalty coupons are provided to the customers for their welfare
purposes, after collecting the three coupons these are needed to be submitted on the counter
of KFC, for the future discounts on other meals. In the case of survey discount the customers
are provided with the 20% off on the next meal, if they order it online. Other offers like
combo packs are for the specific purposes of the customers. KFC also provides free gifts for
the kids to make emotional touch with them and making their family members more engaged
with the business.

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3. 7 Conclusion
It is concluded by analysing all the above information that consumer behaviour is shaped
with various kinds of factors and also influence time to time with the change of the
environmental factors. Sales promotions have impact over the consumer behaviour which is
highly influenced consumer behaviour. Business activity and events have major impact over
the shaping of positive attitude towards the company image and its services. KFC is focusing
over the development of brand communication by using different modes so that large group
of customers can be targeted. Emotional marketing is also beneficial mode of communication
and developing distinct image in the mind of customers. It is critically analysed that
consumer behaviour depends over the intensity of information flow in market through easy
mode of communication. If Company is focusing over the development of the
communication tools for making effective communication, it will be on the apex of the
industry level.

3.0 Research Methodology

This chapter is one of the most important chapters of the research report. The selection of the
research will be dependent completely upon the analysis of the use of sales promotion in
organizations market plan which is specific to the case study of KFC in the United Kingdom.
The research methodology provides a detailed analysis of the various methods, tools and
techniques which are available for conducting a research and selecting the best out of it in
accordance to the topic of research (Zikmund, 2000). The use of an appropriate method of
conducting the research aids in increasing the reliability and the validity of the research data.
The purpose of research, research study and various sample selection methods as well as data
analysis method will be discussed. The study of reliability and validity issues will also be
studied in the chapter. This part will help in providing a better understanding concerning the

15

topic of research. The study will also be carried out in a well-defined and structured manner.
This part of the research will include the research approach research strategy, research design,
data collection methods, data analysis methods and the ethical considerations as well.

3.1 RESEARCH DESIGN

According to Kumar, (2010), the research designing can either be descriptive or exploratory
in nature. The descriptive research aims at gathering the required information concerning the
research topic which is the analysis and the use of sales promotional in the organizations
marketing plan which is concerned with KFC. The descriptive research is concerned with the
formation of an assumption which is formed by the researcher which is even termed as
hypothesis. The aim of the study is to check the hypothesis. This approach is generally used
when the variables concerning the research are very clear with the situations (Rosemary,
2005). Also the information required to analyse the research is quite preside as well. On the
other hand the exploratory research pays heed on gaining the qualitative results and is limited
to a specific but small number of respondents. Moreover, descriptive research is concerned
with the quantitative study of the provided samples of the concerning population. Descriptive
research is an effective tool understand the factors which are concerned with the decision
making process of the customers which is in this case is concerning the products of KFC.
Exploratory research at the same time is regarding the collection of qualitative data about
KFC. This particular approach to research is not dependent upon the assumptions or even the
ideas formed before (New man and Benz, 1998). This approach is very relevant and affective
when there is no information available about the topic of research or even when only little
information is available. For this particular data an amalgamation of these two approaches
will be appropriate. There are certain areas where insignificant information is available about
the company KFC. This is a more flexible as well as unstructured in its nature. The data is
even qualitative. The use of exploratory research will be done for different reasons which are
as follows:

To clearly define the issues which are concerned with the marketing issues of KFC?

Aids in the generation of impetus for new products, generation of feedbacks, pre
testing of the questionnaire.

Affective analysis of the marketing strategies of KFC and their impact on the market
16

share of the company.

Even the evaluation of the customers preferences and attitudes towards the products
of the company which will help in understanding the marketing strategies formed by
KFC are effective or not.

3.2 RESEARCH APPROACH

There are various philosophies which gave rise to different research approaches. There are
some approaches which gained more popularity rather than others. In the perception of
Sunders, Lewis, Thornhill, (2000), some of these approaches are as follows:

Empirical approach: this approach is divided by three approaches which can be

widely divided into quantitative and qualitative approach, inductive and deductive and
objective and the subjective approach.

Non empirical approach

Secondary research
The secondary research is concerned with the existing data which is available about topic and
KFC. The literature part of the research report will be formed with the help of this secondary
research which is gathered from the works of different academicians and scholars.

The

secondary research and drawing the important parts of it is the initial stage of any research.
The secondary information about KFC is available from various articles, advertisements,
newspapers and some other sources. The marketing strategies of the company are given a lot
of importance. The value of the secondary research is even enhanced as it provides the
researcher the relevant as well as valid information which aids in evaluation of the demand of
the products of KFC and help in understanding the market of the food industry which is
specific to KFC in this case.
ADVANTAGES OF SECONDARY DATA:

This data requires minimal search for the information.

It requires less amount of time.

The availability of this data is either at no cost or at very less cost (Easterby-Smith,
17

Thorpe, and Lowe, (2002).

The data can be gathered at a very small amount of time.

The secondary data is always collected for a particular purpose and the data is valid as
well as relevant.

The data gathered will be specific to KFC which will provide structure to research.

It is often observed that the information which is related to the company directly requires a
lot of research and at times it is even difficult to find this information. At times the data
related to the company is even not available (Panneerselvam, (2004). Also, the data can either
be related to a particular year or subject of work which makes the data irrelevant for use. The
data can be collected from various sources such as books, government organizations,
journals, articles, websites, magazines, newspapers, and publications to name a few. To make
the data related to KFC more effective and valid a mixture of data will be taken from
different sources of secondary data.

3.3 Primary research

3.3.1 Qualitative approach
This data is collected for the first time and is only concerned with the current topic of study.
This data is useful for the evaluation of the descriptive data by the written or oral observed
behaviour of the selected respondents. It can be described as the way of conducting research
which is in the favour of the topic of research and provides meaning and phenomenon of
observation. The data is always very difficult to quantify. The figures and the statistics are not
completely denied by this approach but are always used at the second place. The research
methods used are:

Interview
Interviews are the most commonly used tool of the research approach and it distinguishes
with the oral and the written questionnaires. The questionnaires are often termed as the part
of different subsets of the huge range of interviews process (Saunders, Lewis and Thornhill,
18

2003). The researches define the process of interview as an event of speech in which the
interviewer gathers the information from different respondents and even the related
information of the respondents.
The researcher is free to conduct different types of interviews and the researcher must select
one which is best suited to the research study. The interviewer has the option to conduct free
interview where the researcher has the option to redirect the interview. This method of
interview goes in accordance to the flow which means that the questions are unstructured and
are formed in accordance to the answers of the respondents. On the contrary there is an
interview which is structured or systematic in its working (Miles and Huberman, 1994). For
this interview the questions which are to be asked to the respondents are already planned and
pre tested before putting them to use. Also, there is option of conducting semi structured
interviews with the interviewer in which some of the questions are pre planned and some
questions go with the flow. It is to be noted that the interview may or may not be individual
as the interview can be taken in the groups. The reason for conducting the interview can also
differ from one research to another one in a diverse manner. The effective use of the
participatory observation involves the voluntary attention and intelligence and works in
accordance to a pre-set objective or the objects set by the organizations for the accumulation
of the information. In this particular research the observation is directed towards the
organization KFC by keeping the theoretical work in reference.
Survey
It is very difficult for the researcher to gather information from end number of respondents
and also this is a very costly process (Presser, 2004). To remove this hazard the help of the
effective tool called survey is made by which the opinions of the customers or the
respondents become clear.
Benefits of qualitative research
There are several benefits of conducting the qualitative research. The area of study is well
explored and evaluated. Any research becomes successful only when the quality of the
qualitative research is high and unbiased (Dawson and Catherine, 2002). By conducting the
qualitative research the marketing strategies of KFC will become clear and it will even aid in
providing recommendations to the company which are practical in nature.

19

Quantitative approach
The information which is accumulated with the help of questionnaire will be used for the
research with the effective use of the quantitative methodology and the results will be in the
form of facts and figures. The research methods used are:

Deductive approach
Deductive approach can be described as a scientific way by which a hypothesis is formed for
increasing the validity and the reliability of the data of KFC. When, this deduction id done for
the future prospective then it is termed as prediction. With the help of this method the results
can be easily compared and the observations could be made out.
Objective approach
In this research the application of objective approach will be evident as this method is far
independent when it comes to conducting the research and evaluating the data.

3.4 Data collection method and Analysis

Data collection method

The methods of data collection are widely divided into two which are the secondary data
collection methods and the primary data collection methods.
Secondary data collection
The secondary data is the one which is available already and have been used earlier in the
researches. This data can be from various sources. The data which is relevant to the KFC and
its marking strategies will be taken into consideration. Different sources of secondary data
collection are as follows:

Sales report:
This is the source of information which is highly observed by the
researchers and the retailers (Creswell, 2012). This will help the researcher
20

to gather relevant information about the brand KFC.

Customers report:
These reports can be searched in the customer forums and can help the
researcher to update the information to a great extent.

Articles:
They are a very important source of data collection and aid in fetching the
information which is not even available in various publications.

Books:
They act as the most relevant source of information and aids in the
accumulation regarding different aspects of marketing concerning the brand
KFC.

3.5 Primary data collection

Interview
As far as conducting the primary research is concerned the emphasis will be conducting face
to face interview with the selected respondents. For this purpose the employees of KFC will
be asked to fill up a questionnaire which will be concerning the topic of research (Mertens &
McLaughlin, 2004). The respondents will be explained the reason for conducting the research
and the facts wont be misguided in any way. The respondents will be set free to answer and
no limitations will be set on them.
Survey
The method of survey will be very useful for the current research. The questionnaires will be
formed in a structured manner and will have close ended questions. As the respondents are
explained the reason for conducting the research the truthful answers will be expected out of
them. This method will enable the researcher to collect the concerning information about the
research, marketing strategy and KFC. The questionnaires will be distributed to those who are
21

related with KFC in any which way.

3.6. Data analysis method

The effective use of qualitative and the quantitative data will be helpful in analysis of the
primary data. Even in this particular study an amalgamation of the qualitative as well as
quantitative data will be helpful in evaluation and the analysis of the questionnaire and
generation of the results from the interviews. As far as the qualitative methods are concerned
the method of interview will be evident and for the quantitative method the questionnaire will
be helpful. The answers from each and every respondent will be taken into consideration for
gathering the high quality information (McNiff & Whitehead, 2002). The distribution of the
questionnaire to the esteemed customers of the brand KFC will be generating the quantitative
data from the perspective of the customers also. The summation of both of these methods as
the tools for analysis will enable the researcher to reach to reliable, valid, truthful and
authentic results concerning the marketing strategy and KFC. The relation between the two
will also be understood in a better way.

3.7 Limitation of secondary and primary data

Although the primary and the secondary sources of data collection are used enormously in the
research and are the most commonly used methods of conducting the research but still these
methods have their own shortcomings. The secondary data is quite easy to gather but at the
same time the credibility of the research is always a question of doubt. Also, the information
available from the secondary sources is never complete. The information should always be
accurate and trusted one. The secondary data is also the past data and often becomes
irrelevant in the present situation. The secondary data is often observed to be unclear,
unstructured and false. The primary data even takes a lot of time and money which acts as its
biggest limitation.

3.8. Validity of secondary data

The validity of the secondary source of data is always a question of doubt. This information
should always be appropriate and well-constructed. Double checking and pre testing the
data is always being helpful. The questions formed will include the information which will
be concerned with the brand KFC. The manner in which the data is collected will be
22

extremely important. The information will be latest and will enlighten the current scenario.
The process of collecting the data will be clear and wont have any dilemmas.
The validity of the qualitative research at the same time will be ensured, evaluated and
analysed. The data must be verified internally as well as externally (Merriam, & Associates,
2002). The internal validity can be described as the degree to which the further explain
nations and measurements of marketing strategy of KFC are studied in the best way
possible.

3.9. Population and Sampling

For conducting the study the size of the respondents must be considered as the questionnaire
is distributed among these respondents. These respondents help in gathering the perception
they have about the brand KFC and different aspects of marking the company is engaged in.
There are end numbers of people who visit KFC for dining out. The population will be
limited to the customers of the United Kingdom. For purpose of conducting the research it is
impossible to evaluate the answers of this endless population because of which the sampling
method will be used. A total of 150 people will be provided with the questionnaire. This
sample will be a combination of the customers who enter at KFC at different times of the day
by which the data can be evaluated in a better manner. As far as sampling methods are
concerned there are various methods of sampling such as stratified sampling and random
sampling to name a few. Out of these methods section of the random sampling methods will
be appropriate for this particular research as the ransom sampling is supposed to be most
unbiased method of sampling and a true reflector of the results. Emphasis will be given on
obtaining the needful information from the questionnaire which will be having close ended
questions and the respondents will be asked to select from the answers provided.

3.10. Ethical consideration

To conduct any research the ethical considerations must be considered. These ethical
considerations provide a specific guideline in accordance to which the related research moves
forward. They even enhance the quality of the data accumulated and remove the concern of
validity and reliability. Without use of these set of rules the data collected and analysed is
considered to be false. It is extremely essential to collect the secondary information for the
research but the information should always be cited in an appropriate manner. The research
must be an original piece of work and should not be copied. The referencing part must be
23

given a lot of heed. The respondents must be well informed about the research and the reason
because of which the research is being conducted (Oliver, 2010). Also, the data which is
gathered from the questionnaires must not be manipulated in any which way. These ethical
issues will also be followed in this particular research.

4.0 DATA ANALYSIS AND FINDINGS

4.1 Introduction
This chapter is very essential as it gathers the data from the selected methods and then
evaluation of the data gathered is done which results in reaching to the findings of the
research. In this particular chapter heed is paid to design a questionnaire be keeping the
aims and the objectives of the research report in mind. The evaluation of these objectives
will be made by the use of effective tools by which the conclusion will be drawn to the
existing research problem. In the questionnaire the primary survey of the customers who
are regular visitors of KFC will be made. The total number of visitors who will be
provided with the questionnaire will be 150. The analysis of these customers will be on a
weeks basis and the questionnaire will be handed to them. The customers will be set free
to answer on their own and the reason for conducting the research will be explained to
them. The questions formed will be concerned with the fulfilment of the aims of the
research which is to analyse the impact of the sales promotional activities of KFC
specifically to the customers of United Kingdom. The main objective while the formation
24

of the questionnaire will remain to evaluate the promotional strategies which are used and
by the brand KFC. It will even to understand the impact which these strategies have in
motivating the customers to make purchase at KFC. The promotional strategies even aid
in attracting the customers towards KFC. The sales promotion acts as an extremely
crucial tool for the organizations to boost up the sales and the profits earned.
With it there are many environmental factors which will be studied and examined which
have their diverse impact on the purchasing behaviour of the consumer of United
Kingdom. There are different promotional activities which are performed by the
management of the KFC the influence of these activities on the consumer of the
organization. At last, the dimensions of the sales promotion of KFC in the short as well as
the long run with the buying or the purchasing behaviour of the consumer will be
understood. To reach to the findings and achieve the objectives formed a sum total of
fourteen questions were developed which were answered by the customers. Also, to
understand the process in a better way the details about the customers were even asked
such as their age, sex and occupation. The sample size which was given preference was of
150 customers and the application of random sampling was done.

4.2 Findings of Questionnaires

The research will be divided into several questions which were asked from the
respondents from the medium of questionnaire. These questionnaires were distributed to
the customers who entered the KFC restaurant. It was made sure that the questionnaire
was distributed to random customers of different age groups at different times of the day
and the evenings. Emphasis was given to maintain a huge scope of timing concerning the
entry of the customers in the store because of which the interaction with different
customers was possible at varied time intervals. Some basic information was even taken
from the customers who were to understand the demographic division of the customers
of KFC. These demographic details are as follows:
1. Gender
A total of 150 respondents were asked to fill up the questions and it was observed that
about 108 respondents and the people entering in the restaurant of KFC were males
and only 42 of the customers of KFC were females. This means that out of 150
respondents a total of 72% of the KFCs customers are predominantly males and only
25

28% of the customers are females. By understanding the ration of male female who
prefer to dine at KFC the promotional strategies can be developed in a better way to
attract those set of customers. The diagram below describes this statistic in a
systematic manner;

Gender
80%
60%
Axis Title 40%
20%
0%

Males

Females

Gender

Number of people

Percentage

Male

108

72 per cent

Female

42

28 per cent

Total

105

100 per cent

Findings: More number of males visits KFC than females.

2. Age
It is observed that the people of different age have separate preferences and choices.
As far as the age of the customers is concerned the division was made in five groups
which consisted of different age. The division of the groups will be very helpful in
26

understanding the similarities and the differences among the customers. Some of the
groups will have similar preferences and choices of promotional strategies whereas
few will differ in their opinion and expectations from the promotional strategies and
the brand KFC. Moreover the actions of the buying behaviour of the people can also
be easily monitored and examined when the customers are divided into various age
groups and segments.
The different groups were divided as Group A: which has the customers who are
below than 16 years of age. This group was named as group and the teens. The total
number of respondents from this group was 14 and they constituted 9.33% of the
total. The second group was the Group B: which constituted of the customers between
the age group 16 to 25 years and was termed as youth. The total number of these
respondents was 56 which was the highest among all the customers and formed a total
of 17.33 %. The third group was the Group C: which had the people of the age group
25 to 35 years of age and this group had 42 customers and formed 28% of the total
customers who visited KFC. This group was called adult people group. The fourth
category belonged to the Group D: was made up of the mid aged people of age
between 36 to 45 years. The total numbers of respondents were 25 years of age and
constituted a sum total of 16.66%. The last group formed was the Group E: which had
the customers belonging to the age group of 46 to 55 years of age and was named post
mid aged people. The total number of respondents belonging to this group was 13 and
constituted of 8.6%.

Age groups

Category

Respondents

Percentage

Group A: Below16 years

Kids and the teens

14

9.33 per cent

Group B: 16 25years

Youth

56

17.33 per cent

Group C: 25 - 35 years

Adult people

42

28 per cent

Group D: 36 - 45 years

Mid aged people

25

16.66 per cent

Group E: 46 - 55 years

Post

Mid

aged 13

8.6 per cent

27

people
Total

150

100%

Number of people
120.00%
100.00%
80.00%
60.00%
Number of people

40.00%
20.00%
0.00%

Findings: the youths and adults visit KFC the most.

3. Have you visited KFC before?
This was the first question which was asked to the customers and it was not
astonishing that out of 150 customers only 2 customers were visiting KFC for the first
time and the others had been to KFC before. The two options were given to the

customers to select from and constituted of:

Yes
No

Category
Yes
No

Respondents
148
2

Percentage
98.66 %
1.4%

28

Visit to KFC
160
140
120
100

Column2

80
60
40
20
0

yes

no

Findings: Maximum people have visited KFC before.

4. How frequently do you prefer to visit KFC?
The frequency of visiting a restaurant describes about its popularity and likability
among the customers. When this question was put forward to the respondents the
answers were astonishing. The respondents were given four options to choose from.
These options were:
Every three days
In a week
Every fifteen days
Not sure
From 150 respondents 18 respondents answered every three days. In a week was answered by
a sum of 48 respondents. Every fifteen days was the answer which had the maximum
customers and about 76 respondents marked on this option which was astonishing. The least
was a total of 8 respondents who were not sure about their visits. Another surprising part was
that 76 respondents who visit KFC in every fifteen days were a mixture of adults and youths.
12% of the customers prefer to visit KFC in every three days. Within a weeks time the
restaurant is visited by about 32% of the customers. 50.66% of the customers prefer to visit
the place in a gap of every fifteen days. On the other hand it was a total of 5.33 customers
who were unsure about the frequency of their visit to KFC.

29

Frequency of visit

Respondents

Percentage

In every three days

18

12 per cent

Within a weeks time

48

32 per cent

Every fifteen days time

76

50.6per

cent
5.33

150

cent
100%

Not sure
Total

per

30

Frequency of visit to KFC

Axis Title

120%
100%
80%
60%
40%
20%
0%

Frequency of visit

Axis Title

Findings: 50% of the customers visit KFC in every 15 days.

5. Do you pay heed to the promotional schemes of KFC and place order accordingly?
When the respondents were asked that they pay attention to the promotional schemes
made by the company and then place the order in the restaurant about 138 customers said
yes as an answer. This question was having two options as an answer which were:

Yes
No

The remaining 12 customers had their own perspectives on the question and did not
order there food keeping in mind the promotional schemes. It refers that a total of
92% customers agreed that they prefer to go through promotional schemes and 8%
neglected it.

Heed on sales promotional schemes

Respondents

Percentage

Yes

138

92 per cent

No

12

8 per cent

Total

30

100%

31

Heed on sales promotion

160
140
120
100

heed on sales promotion

80
60
40
20
0

Yes

No

Findings: the customers pay attention on sales promotion schemes.

4. How much do you spend at KFC at once?
The spending power of the customers can be judged by the amount of money they spend at
the restaurant at one while dining out there. There were different slabs of spending which
were formed for the customers to select from and each customer answered in accordance to
their spending of that particular day at KFC. The data concerning the spending of the
customers are as follows:

Category

Respondents

Percentage

Below 5 Pounds

26

17.33 per cent

5-10 Pounds

67

44.67 per cent

10-15 Pounds

43

28.66 per cent

Above 15 Pounds

14

9.33 per cent

150

100%

32

By the evaluation of the data gathered it was observed that the maximum number of
customers belonged to the second category made which was from five to ten pounds. As,
about 67 customers or respondents choose this as an answer. This constituted of a sum of
44.67%. The customers who did spend less than 5 pounds were 26 and contributed
17.33% of the total. From ten to fifteen pounds was selected by 43 people who
contributed 28.66% of the total respondents. The lowest marked option was of above 15
pounds and was selected by fourteen people forming 9.33%. The graphical representation
of the same is follows:

Spendings by customers
160
140
120
100
80

Column1

60

Series 3

40
20
0

33

Findings: the customers pay 5-10pounds during their visit to KFC.

6. The last time you visited KFC did you spend the same amount of money or less?
To understand the process of buying of the customers this particular question was formed
which helped in understanding the spending pattern of the customers of KFC. This was a
detailed analysis of the expenditure made by the customers. To generate detailed
information the help of the organizational customer database was taken and the details
were drawn by entering the name of the customers or even the mobile number. Most of
the customers visited the same restaurant of KFC beforehand because of which the
process of generation of the data became a bit easier. The data even aided in
understanding the effect of the sales which were made after the process of sales
promotion applied to the organization. The results gathered were as expected as it was
found that the sales of the products offered by the organization increase in an incredible
amount when the sales promotional measures are taken by the company. This data pays
heed on the saes of the organization while the absence of sales promotional techniques.
The slabs of amount spent were kept the same as before. The data which was gathered is
as follows:
Category
Below 5 Pounds
5-10 Pounds
10-15 Pounds
Above 15 Pounds

Respondents
48
62
35
5

Percentage
32 per cent
41.33 per cent
23.33 per cent
3.33 per cent

It was found that before the implementation of the promotional strategies there were a
total of 48 respondents who belonged to the first category which was below 5 pounds and
constituted of 32% of the total customers. After the sales promotional strategy was
applied the number of customers reduced to 26 and the people started spending more on
the company. There were 67 people who belonged to the second category after the
application of sales promotional strategies which was before 62 and constituted 41.33%.
The third group had only 35 customers before the application of the promotional
strategies and contributed 23.33% which after the application of sales promotion
strategies increased to 43. Only five customers used to purchase products of KFC before
and contributed only 3.33% which later increased to 15 people. When the promotional

34

schemes were implemented the amount which the customers used to invest in the brand
even increased to a considerable amount.

Spendings before Promotional staretegies

45%
40%
35%
30%
Column2

25%
20%
15%
10%
5%
0%

Below 5 Pounds

5-10 Pounds

10-15 Pounds Above 15 Pounds

7. How do you perceive the promotional offer of the band KFC?

Knowing the customers opinion about the promotional offers is extremely important by
which formation of better and new strategies can be done which are suited with the
customers likings. The customers were provided various options to select from. These
options are as follows:

Excellent
Good
Average
35

Poor

It was observed that a total of 38 respondents thought the promotional strategies of the
company to be excellent. They formed 25.33% of the total customers of KFC. 58 respondents
thought that the promotional strategies formed were good and contributed to 28.66%. On the
other hand, it was 50 customers who thought the promotional strategies to be average and
formed a total of 33.33%. Moreover, there were only 4 customers who thought the, marketing
strategies and the promotions done by the company to be poor and comprised of 2.66%.

Rating scale

Respondents

Excellent

38

Good
Average
Poor
Total

Percentage
25.33per

58

cent
38.66

per

50

cent
33.33

per

cent
2.66

per

150

cent
100%

36

Number of respondents
120.00%
100.00%
80.00%
Number of respondents
60.00%
40.00%
20.00%
0.00%
Excellent

Good

Average

Poor

Total

Findings: the customers perceive the promotional offers at KFC to be good.

8. What according to you as a customer is the best way of promoting the products of
KFC?
The company takes into consideration various ways by which the products can be
promoted and the sales can be influenced of KFC. Out of all the promotional strategies
the most frequently followed are:

Economical price
High quality
Coupons and discounts
Enough quantity
37

Other gifts

These strategies were mentioned as options from which the customers were asked to select
one. This question was very crucial as it had the capacity to uncover the perspectives of the
customers which they had for the promotional strategies. This will even help in understanding
the preferences of the customers towards the promotional strategies. The customers were
asked to select one from the four options and then calculations were drawn out of them.

Rating scale

Respondents

Percentage

Economical Prices

72

48 per cent

High quality

13

8.66

Coupons and discounts

30

cent
20 per cent

Enough quantity

28

18.66

per

per

cent
Other gifts
Total

4.66

150

cent
100%

per

An economical price of the product was the first option and it was observed that
maximum number of respondents preferred to buy the product when the prices offered by
KFC are economical. A total of 72 respondents selected this option and constituted of
48%. The next option was of high quality. It is a fact that when the organization offers a
38

high quality of food the customers are automatically attracted to buy the products. A total
of 13 respondents agreed to it and constituted of 8.66%. The third option was of coupons
and discounts which were selected by 30 people constituting 20%. Enough quantity was
the fourth option and 28 respondents selected the same contributing to 18.66%. The
quantity of the food matters a lot to the people. The last option was any other form of
gifts which was selected by the minimum number of people and came up to be seven.
This even made 4.66% of the total.

Preferences of Pronotional Schemes

120%
100%
80%
60%
40%

Column2

20%
0%

Findings: economical process followed by coupons and discounts are the best
promotional schemes.
9. Do you inform about the offers going out at KFC to your friends and peer groups?
When the customers visit any restaurant they often talk about it with their friend,
relatives, community and other peer groups. This often brings new customers to the
organization. There were two options which were given to the customers of KFC to select
from. These two options are as follows:

Yes
No

39

Out of a total of 150 customers a sum of 137 customers stated that they inform about the
offers going on at KFC while there visit to their friends and other relatives the maximum
sharing of information takes place between the teenagers and the youths as they are more
curious to try at different restaurants. These people formed 91.33% of the total customers of
KFC. The customers who said No as an answer, was limited to 13 and they compromised of
8.66% of the total number of customers.

The tabular and the graphical representation of the same are as follows:
Category
Yes
No

Respondents
137
13

Percentage
91.33 per cent
8.66%

40

Sharing Information
160
140
120
100

Column1

80
60
40
20
0

Yes

No

Findings: word of mouth has its own place in spreading the promotional offers.
10. Would you like the offers to remain as a part of KFC culture?
This question will provide an insight about the likability of the customers towards the
promotional offers at KFC. The customers were given three options to select from. These
options are as follows:

Yes
No
Doesnt matters

A total of 135 respondents answered it as a Yes. This refers that these customers would like
the promotional offers to be a regular part of the organization and they are attracted with
these offered. No was an answer of very few respondents and these respondents were 13 in

41

number. On the other hand doesnt matter was selected by 2 people. These numbers
constituted to 90%, 8.6% and 1.33 % respectively.
Category
Yes
No
Doesnt matter

Respondents
135
13
2

Percentage
90per cent
8.6 per cent
1.33 per cent

Do you want offers to remain?

100%
90%
80%
70%
60%

Column2

50%
40%
30%
20%
10%
0%

yes

no

doesn't matter

Findings: the customers of KFC want the sale promotional schemes to be a part of KFC.

11. Which of the offers given by KFC do you relate yourself the most?
This question would help the preferences of the customers and even will help in
developing an understanding about the effectiveness of particular offers from the laid
options so as these options can be re implemented in the future as a part of sales
promotion schemes so as to increase the profits and market share of the organization. The
sales promotion schemes at KFC can be planned and well organized in future with the
help of this question. The different options which were given to the customers were
concerning the old sales promotion offers which were implemented at KFC either once or

42

twice in past and then no implementation was done. The offers given previously were as
follows:

Free toppings of your choice

One on one
Free eatables for kids under 5 years of age
Combo meals
Coupons for future order

Category
Free toppings of your choice
One on one free
Free eatables for kids under

Respondents
19
56
11

Percentage
12.66 per cent
37.33 per cent
11.73 per cent

5 years of age
Combo Meals
Coupons for future order

43
21

28.66%
14%

Among the total of 150 customers the option free toppings was selected by about 19 of the
customers. These customers comprised of a total of 12.66%. The next option given was of
one on one free which the most preferred option was and a sum of 56 respondents selected it
with a percentage of 37.33. The third option given was of free eatables for kids under the age
of 5 years and only 11 respondents selected it with a total percentage of 7.33. the combo
meals was the fourth option and was the second most preferred option as 43 respondents
agreed on the same. The total percentage of this option was 28.66. The last and the final
option were of free coupons for the future order and 21 respondents selected it with 14% as
its total.

43

Customers remembered
40.00%
35.00%
30.00%
25.00%
20.00%
15.00%
10.00%
5.00%
0.00%

Percentage

Findings: the customers like the offers of one on one free the most.

12. What are the main reasons which have impact on the purchase decision as a
customer?
Its the purchase decision of the customers which makes the customer to buy a
particular product or service. It is essential for all the organizations to understand the
buying behaviour of the customers. Different options were given to the customers to
select from and these options are as follows:
Cost
Advertisements
Taste preference
Brand name
Category
Cost
Advertisements
Taste Preference
Brand Name

Number of Respondents
63
53
22
12

Percentage
42 percent
35.33 percent
14.66 percent
8 percent

44

The answers to this question were very different from one another. The first option given to
the customers was that of the cost as cost is the most important factor which influences the
buying decision of the customers. A total of 63 respondents marked it and formed 42 percent
of the total customers which was the highest among all. Advertisements are often broadcasted
and displayed on the hoardings which attract the customers and motivate them to make
purchase. 53 respondents stated that the advertisements of KFC stimulate them to make
purchase and contributed about 35.33%. The taste buds play an essential role when it comes
to liking of the food. The taste preference is an important determinant which influences
buying and 22 customers agreed with it form it 14.66 percent of the total customers. The last
option was the brand name and was least marked by the customers as only 12 customers
selected it with a total percentage of 8% which refers that till the time the food is good and
economical at cost the customers do not pay importance to the brand name.

Factors influencing the purchase decision of the customer

45%
40%
35%
30%
Column2

25%
20%
15%
10%
5%
0%

Cost

Advertisments Taste prefernce

Brand name

45

Findings: pricing and the advertising of the sales promotional schemes stimulate the
customers to make purchase.
13. Do you feel that any other brand offers better promotional schemes than KFC?
KFC is having several competitors such as McDonalds, Burger King, Subway and Pizza Hut
to name a few. These competitors also offer different promotional schemes so as to attract
their customers. The customers being well aware today often compare the promotional
strategies of different companies with each other. This will even aid in formation of better
strategies in future. The customers were given four options out of which they needed to select
one. These options were as follows:

McDonalds
Burger King
Subway
Pizza Hut

Category
McDonalds
Burger King
Subway
Pizza hut

Number of Respondents
50
33
29
38

Percentage
33.33 percent
22 percent
19.33 percent
25.33 percent

By asking this question it was found that 50 respondents thoughts that McDonalds has better
promotional schemes and 50 respondents supported it with a total percentage of 33.33.
Furthermore, 25.33% was gained by Pizza Hut with 38 respondents. Burger king on the other
hand was preferred by 33 respondents which formed a total percentage of 22%. Subway on
the other hand was the least preferred brand for the promotional schemes among all with 29
respondents and 19.33%

46

Competitors
35.00%
30.00%
25.00%
20.00%
15.00%
10.00%
5.00%
0.00%

McDonalds

Burger King

SubWay

Pizza Hut

Findings: McDonalds is the brand with KFC needs to compete in terms of sales
promotions.
A total of thirteen questions were formed which reflected the different sides of the brand
KFC and the aspects related to the promotional strategies. The promotional schemes have
an immense impact on the sales of any of the organization. By conducting the
questionnaire the various aspects of the sales promotion concerning KFC were analysed.
It was found that the customers of the brand KFC are very price sensitive and the offers
such as one on one free attract a lot of customers. Every organization which competes
with KFC tries to offer the best to the customers and attract them because of which the
evaluation of the dimensions preferred by the customers is very essential so as the best
promotional strategies can be formed by the KFC. The questionnaire even proved to be
the best tool for finding the answers to the desired questions by which the sales and the
profitability of the organization can be boosted up to an incredible amount in a short
period of time.

47

5.0 Conclusion, Recommendations & Limitations

5.1 Conclusion of the Research

The previous chapter of data analysis helped immensely in developing an understanding
between the sales promotional strategies and the increase in the sales of KFC. When a
promotional strategy is applied not only the number of customers is increased but even
the quantity of purchase even gets a boost. By the study the comparison of the spending
of the customers were calculated which were before and after the application of the
promotional strategies and it was found that the sales increased in a considerable amount
after the sales promotional strategies (Chandon, Wansink, & Laurent, 2000). Also the
customers do inform their friends, relatives and peer groups about the on-going sales
promotion schemes which adds up to sales to a great extent. It was found that to increase
the sales the customers must be provided with the best promotional tools which make
them realise that they are getting a lot of benefits. Also it was observed that the
competition in the market of fast food is immense and to succeed the company must
come up with different and attractive strategies. It is the youths who relate a lot to KFC
and prefer spending the money on fast food. With it was even found that many of the
customers prefer to purchase the products when the products are priced very
economically and the quantity is more. Also, the spending above 15 pounds over the
food products was found to be the least. In order to keep with the demands of the
customers and compete in the sector of fast food it is a must for the brand KFC to offer
new and innovative promotional schemes. The company even has the option of giving
rebates to the customers rather than providing discounts as the customers will be more
delighted when they are given various rebates. The main findings by conducting the
research are as follows:

The customers are very sensitive to the price and the quantity of food provided at

KFC.
When the promotional strategies are implemented the sales gets a boost

automatically and the number of customers visiting KFC even increases.

When the customers are regularly given different offers than they tend to visit the

store more often.

The most desired offer by which the customers are tempted to make purchase is
one on one free and coupons.
48

The customers when given cash discounts are more tempted to make purchase.
The completion in the fast food market is increasing at a great level because of
which it is essential for the organization to innovate new strategies which are
acceptable by the customers and are stimulated to make purchase. The next part
of the research report will emphasize on practical recommendations which will
enhance the sales and will aid in development of effective promotional strategies
for KFC.

5.2 Recommendation for KFC

The basic reason for which any organization works is the increase in the profits or return
on investments. Same is the case with KFC as the organization wants its customers to be
loyal to the brand and make repeated purchase. Even the effective of positive word of
mouth by the customers will enhance the sales to a particular extent. The organization
must conduct trade off analysis at every single restaurant within a limited period of time.
Step 1- Identification of the customers who are more enticed by the discounts; this can be
done by using the MIS data, within the back end office of the company by analysing the
purchase behaviour of certain customers. It was found that the customers were attracted
the most with the offers such as one on one free and free coupon. Therefore, while
making purchase the customers must be given the discount coupons for the next visit.
The level of discounts must be based on the amount spent on the current visit (Blattberg,
& Neslin, 1990). Even the customers who visit the restaurant frequently and are loyal to
the brand must be provided with higher discounts which will encourage regular sales.
Even the customers who are highly price sensitive must be recognized and should be
given various offers at different times. The customers can even be provided with the
loyalty rebate which can be redeemed any time the customers desire. With it on the
purchase of more than 12 Pounds a free choice of shake or cold dink can be given to the
customers. To avoid confusions concerning the discounts the policies must be displayed
in the restaurant for the customers. Strategies of few of its competitors were considered
to be better by the customers and to overcome this brand KFC has a chance to develop
strategic alliances with the suppliers to get a competitive edge over the others.

49

5.3 Limitations of the Research Study

According to Stanworth, (1995), there are various limitations of the research study and
the research was made in lieu with these limitations. One of the biggest limitation lies
with the questionnaire as all the respondents might not answer all the questions of asked
in the questionnaire. Also, the respondent might lose patience while answering the
questions because of which gathering the needful and the correct information wont be
possible. Also, for the propose of avoiding any confusions the customers were asked
about different personal details such as mobile numbers, e mails and spending while
dining at KFC. Few of the respondents showed a negative attitude towards such
questions. Also, the spending at a restaurant is the matter of self-esteem and status of a
person because of which the customers might give false and misleading information
which will draw weird results. Time limit was yet another limitation of the research
study as the research took place in a very short period of time, during a festive season the
sales of the restaurant even observe an immense change and rapid sales. Also, the
research is just limited to the aspects of sales promotion whereas the sales are dependent
on numerous other aspects such as location of the restaurants, friendliness of the
employees, availability of the menu and some other factors. The presence of these
limitations made the study really precise and gave an ample amount of scope for the
future study.

50

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(1995).

The

franchise

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Entrepreneurship

or

APPENDICS A:

QUESTIONNAIRE
NAME
MOBILE
53

Questions askedWhat is your gender?

Male
Female
NUMBER

EMAIL
What is your age?

Below 16
16-25
25-35
36-45
46-55

Have you visited KFC before?

Yes
No

How frequently do you prefer to visit KFC?

Every 3 days
In a week
Every 15 days
Not sure

Do you pay heed to the promotional schemes of KFC and place order
accordingly?

Yes
No

How much do you spend at KFC at once?( in Pounds)

Below 5
5-10
10-15
15 and above

The last time you visited KFC did you spend the same amount of money or less?

Below 5
5-10
10-15
15 and above

How do you perceive the promotional offer of the band KFC?

Excellent
Good
Average
Poor

What according to you as a customer is the best way of promoting the products of
KFC?

54