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Burger Shack: Fast Food Market Analysis

Burger Shack is a leading fast food chain in Karachi, Pakistan with 7 locations. While the fast food industry is highly saturated and competitive, Burger Shack has developed brand loyalty through its unique recipes and sauces and good customer service. However, it has weaknesses such as limited space in outlets and information online. Opportunities for growth include expanding to other cities, developing a mobile app, and adding more deals and product lines. The objectives are to improve customer service, quality, and brand loyalty.

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Moiz Bhatti
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0% found this document useful (0 votes)
129 views3 pages

Burger Shack: Fast Food Market Analysis

Burger Shack is a leading fast food chain in Karachi, Pakistan with 7 locations. While the fast food industry is highly saturated and competitive, Burger Shack has developed brand loyalty through its unique recipes and sauces and good customer service. However, it has weaknesses such as limited space in outlets and information online. Opportunities for growth include expanding to other cities, developing a mobile app, and adding more deals and product lines. The objectives are to improve customer service, quality, and brand loyalty.

Uploaded by

Moiz Bhatti
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as DOCX, PDF, TXT or read online on Scribd

Name: Moiz Ahmed

ERP: 17303

Burger Shack

Mission Statement
Pioneering the art of burger-making and gourmet in Pakistan, The Burger Shack strives to provide
premium quality fast food, without the hefty price tags. We are your next-door, quick service, take away
restaurant that just will not quit. So, resistance, is clearly futile. Try the Burger Shack and give your taste
buds all that they deserve.

Situation Audit:
Market Factors
The Fast-Food industry is one of Pakistan’s most saturated industries as of date having a total customer
of 160-200 million and ranking as the 2nd largest industry of Pakistan. On average there are
approximately 100 new market entrants within this industry each year boasting an annual growth for
the industry at a staggering 20%. setting the trend. The primary target market for Burger Shack can be
said to be individuals which are SEC-B and above. Those who are working men and women or
households with superior income willing to go High School and University students are also targeted
because their hectic schedule coupled with a good place to visit with friends makes it an attractive
option. They also offer drive through services aimed at those customers who want to grab a quick bite to
eat but do not have the time to dine however this can be said to eb their secondary market.

Due to Pakistan boasting one of the youngest populations globally, the consumer here is quite fickle in
nature when it comes to brand preferences and this is exemplified when it comes to food especially fast
food. Though it is argued that the success in the fast-food market is a gamble it is safe to say that there
is potential within this industry.

Burger Shack can be termed as one of the leading fast-food chains in Karachi (Pakistan). They have a
total number of 7 chains in Karachi. Their food quality is very good, and prices are not very expensive,
but they have huge potential to become the top burger chain in Karachi.

Environmental Factors
After the lockdown, most of Burger Shack’s target audience has become more inclined towards dinning
out. Specially the students who in or above SECB prefer to eat out with the friends. Another factor is
that after the lockdown the prices of the certain raw materials has certainly increased, because of which
Burger Shack had to increase their product prices specially of the burgers.

Competitive Factors
As discussed earlier the fast-food industry in Pakistan is not concentrated and many local brands are
operating which have similar products with different taste in Karachi. Some of the major competitors of
Burger Shack are: Burger o’clock, HOB, 2guys bistro, Moos n’ Clucks, Howdy, Oh my Grill, Burger Lab,
Kaybees. As there are many local brands of fast-food in Karachi there must be something unique about
Burger Shack to get the competitive edge. They have a unique taste (specially of sauces) and good
customer service (fast delivery) which has made them one of the top brands in Karachi. There are very
low barriers to entry in the fast-food industry.

Self-Analysis
Overall, Burger Shack has performed well in making themselves as the top fast-food chains in Karachi.
They have developed brand loyalty through their unique taste and customer service. They have unique
recipe of burgers and sauces which makes their taste good. They have good brand image, and their
quality of products is great. Two things which are not good for burger shack are that they have very
limited space in outlet and very limited number of deals in their menu.

SWOT Analysis
Strengths Weaknesses
 Very good brand image  Prices are same as their competitors, so
 High brand loyalty no competitive edge with respect to
 Good market positioning prices.
 Great customer service  Not dominant social media presence.
 Attractive locations  The market share is low because of too
 Attractive outlet themes many competitors.
 Limited information on the website.
 Only available in Karachi.

Strategic Opportunities
Burger Shack is only located in Karachi. They can expand to big cities like Islamabad, Lahore, and Multan
where the demand for premium quality fast-food is high. They can develop an application where
customers can place orders online and can also give the reviews of the product. By developing
application, they can have the record of the customer reviews. They should also advertise on the
traditional platforms like billboards. They can also add more deals in their menu (family deal, student
deals, evening deals etc).

Alternatives
There are certain alternatives for Burger Shack. One is the product development, because they have
competent and active professionals and good product making machinery to develop products. And
other is the diversification: matching the purchasing power of the majority of audiences.

Objectives
 Improve the customer service.

 Improve the product quality.

 Develop brand loyalty among existing customers.


Retail Mix:

Store design and


Customer Service:
display:
-Very responsive
-Aesthetic design
customer service.
-Limited space
-Fast delivery.
-Comfortable sitting

Pricing: Retail Mix Merchandise assortment:


-Prices are somehow -Chicken Burgers, Beef
same as the burgers, Fried Chicken,
competitors. Tacos, Quesadillas, Hot
-Priced according to Dogs, Nachos, Wings,
SECB and above. Wraps, Fries and Shakes

Communication mix:
-Ads on social media. Location:
-Website optimization. -7 outlets in Karachi.
-Marketing through -Food courts of shopping
Foodpanda and careem. malls.
-Word of mouth -Posh Areas.

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