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Burger King
Burger King
Burger King
70754163
5/11/2016
Burger King was founded in 1953 by Keith Kramer in Florida. The iconic
BKs Whooper burger was introduced in 1957.
In 2015, Burger King was present in 85 countries with 13 667 restaurants
and is the second fast-food chain in the US in terms of selling volumes.
However, Burger King was facing a fierce competition as the brand was
challenged by other fast-food players such as Wendys, Jacks in the Box,
Sonic Drive-In or even KFC. Furthermore, the fast-food industry was
challenged by the apparition of a new concept: fast-casual chains that
emphasized quality over low prices.
This paper will examine Burger Kings current marketing mix in order to
understand how the company could overcome new challenges raised by
direct and indirect competitors to be more profitable and to allocate
resources in a more effective way.
Issues
All around the world in more than 100 countries, Fast-food chains are
present, and in the US alone, 200 000 restaurants can be found! Not
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Analysis
Burger Kings core competency is flame-broiled hamburgers instead of
grill-fried ones. This competitive advantage has differentiated Burger King
from its competitors. Moreover, Burger King allows customers to customize
their burgers with various options to their liking, as shown by the Have it
Your Way campaign. As a fast food chain, Burger King offers hamburgers,
cheeseburgers, chicken and fish sandwiches as well as Fries, Salads, Hash
browns, Onion rings, Coffee, soft Drinks, salads and desserts. Restaurants
also proposes breakfast items, a Kid menu and Value menu. The brands
signature burger is the Whooper.
In international markets, some adjustments are made to the menu. For
example, in Australia, some burgers feature beetroot.
BK prices are quite high compared to McDonalds and Wendys. However,
the company tried to lower its prices to be more attractive by launching
special promotions and value menu. The brand tried to maintain a balance
between value and premium products, but more budget-friendly offers
could be expected.
In 2015, BK had restaurants in the 50 states and in 85 countries all over
the world. However, 50% of its restaurants were in the US and only a very
few outlets existed in Africa and Eastern Europe. Concerning outlets
themselves, Burger King began a remodeling campaign to upgrade
restaurants in a more modern way, in order for people to spend more time
inside. However, even if sales improved from 10 to 15% in upgraded
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Recommendations
BK has to build a constant brand image and differentiation. Even if
competitors such as McDonalds tend to diversify a lot offering many
varieties, BK should focus on its core products, burgers, and its brand for
consumers to figure out the real flavor of the franchise.
However, it does not mean that BK shouldnt launch new products, but
those products should be consistent with the brand and its quality
standards.
In order to attract more at women and to adapt to the healthy trend,
Burger King should offer more diet friendly products and some
vegetarian options. It could be a low-calorie sider, a vegetarian burger,
garden salads, grilled chicken or fish sandwiches
Concerning the place, BK should continue the outlets upgrading to make
the brand experience coherent and pleasant all around the world. It has
been proven that this operation would increase profit by at least 10%s. In
order to strengthen its presence internationally, Burger King should allocate
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made outside North America. First, BK should win back market shares over
Europe and Asia, then they should invest and open new restaurants in
less-saturated high potential markets such as Eastern Europe or MiddleEast.
Burger King needs to make a great effort on promotion, to make their ads
less confusing and offensive, and more appealing. BK needs to have a
more consistent message in its communication efforts and increase its
social media presence in ways that will engage and connect with
consumers. To do so, I recommend Burger King to adopt an advertising
strategy that focuses more on products qualities such as generosity &
flame-grilled patties and to implement a funnier strategy on social media
where the audience is younger.
1000 words
Appendix
SWOT
Strengths
Weaknesses
Presence in 85 countries
Marketing controversies
Flame-broiled patties
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Opportunities
International expansion
5/11/2016
Threats
Fierce competition
Competitors Map