Assignment Date 16 March 2020

Burger king marketing mix (4P) analysis :

 Product :
the product strategy in Burger king can be explained as follows :
Burger King offers the different variety of menu from snacks to meal for different age groups.
Burger King’s menu has a wide offering of burgers, potato fries, beverages and milkshakes etc.
Burger King serves burgers in both veg and nonveg categories. Sides and beverages are value
added to Burger King for burgers consumers. Salad and veggies are introduced considering diet-
conscious consumers. Recently Burger King has focused on its dessert category food containing
milkshakes, Oreo shake, cookies and ice-creams. Value meals and Kids meals are some combos
to compete with McDonalds combo packs. Burger King has managed its operations in the more
efficient way with maintaining the quality the p
roduct offerings in its marketing mix overall globally. Following are some food categories of
Burger King offerings:
• Burgers
• Chicken and fish
• Sides
• Salads and veggies
• Beverages
• Sweets/Desserts
Hence these are the important products offered by Burger King.

 Price :

Below is the pricing strategy in Burger King marketing strategy:

Burger king follows pricing of Market-oriented pricing strategy and bundles pricing strategy as
well. Burger King has prices comparable to market behaviour and demands. With main
competition with McDonalds, the Burger King has focused more on its better quality and taste
with affordable prices. Operational cost is also one of the important challenges to maintain its
cost pricing strategy for Burger King’s outlets. As Burger King’s value-added meals and
beverages are ways to generate more revenues for Burger King. In revenues, Burger King stands
2nd globally. In India, Burger King is concern about its prices and Indian consumers are price
sensitive. Hence in India, the menu of this food chain is diversified serving Indian flavours
resulting in attracting more Indian customers.

 Place :

Following is the distribution strategy of Burger King:

The Burger King has strong supply chain network globally. As headquarters situated Florida in
the US, all operations are distributed region wise. As the suppliers of burgers, beverages and
desserts are decided by the standards and quality of Burger Kings quality control dept. Burger
King has set up food outlets in most of the metros in India as targeting demanding customers.
Burger King has highest no of restaurants in the US. Geographically their higher presence is in
western countries.

 Promotion :

The promotional and advertising strategy in the Burger King marketing strategy is as
follows:

Burger king applies various way to markets their products. Advertisements in print media like
newspaper, magazines and hoardings. The food content is among its more focused advertising
strategy of Burger King. Burger King also organises or sponsors different events to reach to
more customers. Offering more value-added menu for the main course during the time of
ordering is also one of the strategies of Burger King. More discounts o0n application based
ordering, distributing discount coupons during the first visit for the second visit will help to
generate the customer base. Digital marking is now emerging promotional strategy of the brands.
Customer analytics helps Burger king to strategized its marketing to reach the targeted customer.
Burger King is also publicizing their products digitally using SME and other techniques to reach
to mass.

Assignment Date 23 March 2020

Marketing concepts and tools :
Defining marketing :
Marketing as a societal process by which individual and groups obtain what they need
and want through creating, offering, and freely exchanging products and services of value with
others.
Core marketing concepts :
Targets markets and segmentation
A marketer can rarely satisfy everyone in a market. Market segments can be identified by
examining demographic, psychographic, and behavioral differences among buyers.
Company orientations toward the market place
1. The production concept
The production concepts hold that customer will prefer products that are widely available
and inexpensive managers of production oriented business concentrate on achieving high
production efficiency, low costs, and mass distribution.
2. The product concept
Others business are guide by the product concept, which hold that consumers will favor
those products that offers the most quality, performance, or innovative features.
3. The selling concepts
The selling concepts holds that consumers and business, if left alone, will ordinally not
buy enough of the organizations products.
4. The marketing concepts
The marketing concepts hold that the key to achieving its organizational goals consists of
the company being more effective than competitors in creating, delivering and communicating
superior customer value to its chosen target markets.
5. The societal marketing concepts
The societal marketing concept hold that the organization task is to determine the needs,
wants, and interest of targets markets and to deliver the desired satisfaction more effectively and
efficiently than competitors in a way that preserves or enhances the consumer and the society
well being.

Marketing Plan
A marketing plan is an operational document that outlines an advertising strategy that an
organization will implement to generate leads and reach its target market. A marketing plan
details the outreach and PR campaigns to be undertaken over a period, including how the
company will measure the effect of these initiatives. The functions and components of a
marketing plan include the following:
 Market research to support pricing decisions and new market entries
 Tailored messaging that targets certain demographics and geographic areas
 Platform selection for product and service promotion—digital, radio, Internet,
trade magazines, and the mix of those platforms for each campaign
 Metrics that measure the results of marketing efforts and their reporting timelines
Ansoff Product Market Matrix
Understanding the Ansoff Matrix
The matrix was developed by applied mathematician and business manager H. Igor
Ansoff and was published in the Harvard Business Review in 1957. The Ansoff Matrix’s helped
many marketers and leaders understand the risks of growing their business.
The four strategies of the Ansoff Matrix are:
 Market Penetration: It focuses on increasing sales of existing products to an existing
market.
 Product Development: It focuses on introducing new products to an existing market.
 Market Development: Its strategy focuses on entering a new market using existing
products.
 DiversificationProduct DiversificationProduct diversification is a strategy employed by a
company to increase profitability and achieve higher sales volume from new products.
Diversification: It focuses on entering a new market with the introduction of new
products.
Definition of Strategic Business Unit
A strategic business unit or SBU operates as an independent entity, but it has to report
directly to the headquarters of the organisation about the status of its operation. It operates
independently and is focused on a target market. It is big enough to have its own support
functions such as HR, training departments etc. There are several benefits of having an SBU.
This principle works best for organisations which have multiple product structure. The best
example of SBU are companies like Proctor and Gamble, LG etc. These companies have
different product categories under one roof. For example, LG as a company makes consumer
durables.
It makes refrigerators, washing machines, air-conditioners as well as televisions. These
small units are formed as separate SBUs so that revenues, costs as well as profits can be tracked
independently. Once a unit is given an SBU status, it can make its own decisions, investments,
budgets etc. It will be quick to react when the product market takes a shift or changes start
happening before the shift happens.
Michael Porter Strategic
 Michael Porter, an economic researcher, examined the competitive behaviors that
comprise successful businesses. In the early 1980s, he set out to uncover the ways companies
maintain long-term advantages over their competitors. Through this work he created Porter’s
Generic Strategies, three interconnected concepts that most organizations use to develop key
operating procedures and outmaneuver competitors. Understanding the ins and outs of Porter’s
techniques will offer burgeoning entrepreneurs insight into the mechanisms that create and
dictate most business models.
1. Cost leadership
As its name might imply, cost leadership allows a competitive edge by manipulating
production costs. It does this in two important ways:
 Charging lower prices to increase market share. This is done by casting
the company as a low-cost alternative, which increases both sales and the company’s
profile.
 Reducing costs to increase profits. With fewer expenses on the books,
organizations can move money into other avenues, like salaries or product research.
One real-world business who has championed Cost Leadership is Wal-Mart. The
conglomerate has built its model partly on low prices, continually promising to beat those of its
competitors. Executives are able to do that because Wal-Mart has an especially efficient supply
chain, often sourcing products from less expensive foreign markets.
2. Differentiation
Price is an important consideration when attracting customers. However, the
Differentiation method looks to develop product uniqueness and attractiveness to engage
customers. Once again, there are a number of concepts involved in this approach, and each one is
all about playing to customers’ perceptions. That might include promoting a product’s durability
and general utility, which appeals to a customer’s sense of value. It could also involve touting the
support system for a service or product, which creates a certain air of accountability. Finally,
there is also the notion of brand image, creating meaningful connections with customers to
ensure long-term loyalty. Companies that differentiate want to meet customers’ unique needs,
and are rewarded with premium prices.
To properly implement the Differentiation strategy, a company needs the following:
 Marketing and promotions teams. These individuals are on the frontlines
of defining a brand and emphasizing its uniqueness.
 Delivering high-quality products. Customers won’t stay loyal if the reality
doesn’t meet the company’s promises.
 Ongoing research and innovation. Only by pushing technological
boundaries can a company hope to maintain relevancy.
One of the more successful examples of the Differentiation approach is McDonald’s.
Over the years, the fast food giant has used technology and research to gain consistently loyal
customers, including efforts to reduce wait times and marketing directly to children.
3. Focus
 In many ways, both Cost Leadership and Differentiation are all about appealing to the
widest customer base possible. The Focus approach, however, eschews mass appeal, instead
layering efforts toward one niche market. Companies who choose to adopt this strategy are
taking a deliberate risk. On the one hand, by engaging a specific demographic – many of which
are often underserved – the company is able to captivate an increasingly loyal pool of consumers.
Unfortunately, research has shown that catering to only a select group of people might prove
unattractive to those outside the group. Thus, these companies become almost solely dependent
on the spending habits of a very small percentage of people.
Within the Focus strategy, there are two distinct variants:
 Cost Focus: Here, companies are looking to find a cost advantage in their
intended market segment.
 Differentiation Focus: These companies work to find as unique of a
market as possible in order to maximize efforts.
Regardless of the specific variant, Focus is all about balancing the relationship between
production costs and delivery. Cost Focus intends to find those markets where costs are optimal,
while Cost Differentiation emphasizes the buyer’s unique needs.