GROUP ASSIGNMENT COVER SHEET

STUDENT DETAILS

Student name: Đặng Lê Minh Student ID number: B1111916191

Student name: Từ Đăng Huy Student ID number: B1111916126 

Student name: Lê Thị Thanh Phương Student ID number: B1111916083 

Student name: Ngộ Thị Quỳnh Tiên Student ID number: B1111916171 

Student name: Khương Hồ Mai Anh Student ID number: B1111916119 

Student name: Trịnh Anh Nhã Trúc Student ID number: B1111916173 

UNIT AND TUTORIAL DETAILS

Unit name: Consumer Bahaviour Unit number: CB-S320WSB-1

Tutorial/Lecture: Class day and time: 15.30 – 18.45 Mon
Lecturer or Tutor name: Nguyễn Ngọc Quỳnh Thư
ASSIGNMENT DETAILS

Title: Group report - Texas Chicken

6th December,
Length: 2141 words Due date: 2020 Date submitted: 6th December, 2020

DECLARATION

I hold a copy of this assignment if the original is lost or damaged.

I hereby certify that no part of this assignment or product has been copied from any other student’s work or
from any other source except where due acknowledgement is made in the assignment.

I hereby certify that no part of this assignment or product has been submitted by me in another
(previous or current) assessment, except where appropriately referenced, and with prior permission
from the Lecturer / Tutor / Unit Coordinator for this unit.

No part of the assignment/product has been written/ produced for me by any other person except where
collaboration has been authorised by the Lecturer / Tutor /Unit Coordinator concerned.
I am aware that this work may be reproduced and submitted to plagiarism detection software programs for the
purpose of detecting possible plagiarism (which may retain a copy on its database for future plagiarism
checking).

Student’s signature: Đặng Lê Minh

Student’s signature: Từ Đăng Huy
Student’s signature: Lê Thị Thanh Phương
Student’s signature: Ngô Thị Quỳnh Tiên
Student’s signature: Khương Hồ Mai Anh
Student’s signature: Trịnh Anh Nhã Trúc
Note: An examiner or lecturer / tutor has the right to not mark this assignment if the above declaration has not been
signed.
 GROUP REPORT - TEXAS CHICKEN

1. Overview of the market

Vietnam is well-known as one of the “food markets” in the world. Literally, 20% of Vietnam’s
household’s monthly spending on food and drinks (Vietnamnet, 2019). Theoretically, with 33
million well-off and middle class in 2020, the fast-food industry has the potential to seek more profit.
However, according to Vietnam net Global, there is a downward trend in the growth rate of the fast-
food industry. Furthermore, customers tend to look for other alternatives. The revenues of five
leading fast-food chains in Vietnam including KFC, Lotteria, Jollibee, Pizza Hut and The Pizza
Company totalled VND 5 trillion (US$214 million) in 2018, up 13% compared to the previous year,
but significantly lower than 24% of the 2016-2017 period.

2. The SWOT analysis of competitors

Overall, Texas Chicken’s competitors are Jollibee, KFC, Papas’ Chicken, Popeyes, etc. Their direct
competitor would be a company which has a similar business size compared to them. In which case,
we choose Popeyes Louisiana Kitchen, which has a 3.2 billion USD revenue in 2017 compared to
about 800 million USD of Texas Chicken (The QSR 50, 2018).

2.1 Target market

Variables Characteristics Impacts

Geographic Urban area, malls, supermarkets Convenient for consumers

Demographic Gender: Unisex Mass customer reach

Age: 25-49 Vast market

Income: low, middle income Large portion of customers

Behavioural Light to habitable customers Expect a brand loyalty

Digital savvy Run online marketing campaign

Psychological Value Enjoy the exclusive Louisiana

 flavor

2.2 SWOT

A. Strength
B. Weakness
-Recognizable brand name from a famous
cartoon with 1800+ restaurants in almost all -Week online presence on social media
US states and has international presence in
20+ countries -Franchises are mostly at gas stations

-USP: Cajun-style gravy and Cajun-style rice

-Not leave strong impression globally
-Promotion: Advertising on radio and TV
with celebrities
-Distinctive stores outlook

C. Opportunities D. Threats

-Entry into emerging Asian markets -Rising ingredients’ costs

-Use Popeye the sailor man to enhance brand -Highly competitive industry
image
-Rising health consciousness among
-Introduce a healthy menu and more variety consumers

3. The SWOT analysis of Texas Chicken

Texas Chicken came to Vietnam in late 2012 to deliver their fried-chicken-specialized menu with a
promise of high quality and fresh chicken. In addition to different offers such as chicken wrap,
hamburger and biscuits, Texas has proven itself through friendly yet professional customer service.

3.1 Target market

Variables Characteristics Impacts

Geographic Ho Chi Minh City, urban area Easy to find the Texas Chicken restaurant,
people have rising need for fast food

Demographic Gender: Unisex Mass customer reach

 Age: 10-35 Vast market
Income: middle income

Behavioural Light to habitual customers Expect a brand loyalty

Psychological Value Value for money and fast service

3.2 SWOT

A. Strength
-Quality: Emphasis on fresh ingredients and
crunchy chicken skin (Texas Chicken
Vietnam)
-Menu: Bigger serving size of 8-piece-cutting
method, unlimited drink refill (Trần Thuận,
2019).
-Service: Staff warmly greet and recommend
customers with clear information
-Location: Mall (Aeon Mall), crowding
residential area (district 1 and 2), …
-Price: decent price with high quality and
large quantity per serving (Trần Thuận, 2019).
-Delivery: Now.vn and Baemin
B. Weakness
- Menu: Minimal flavor and lacking substitute
products compared to other brands
- Promotion: do not use many promoting
channels resulted in weak marketing system
- Website: only Facebook (Texas Chicken,
2019) and Instagram
- Brand logo: not impressive
- Minimal decoration without seasonal
influence

C. Opportunities D. Threats:
-Store expansion: -Strong competitors: KFC
+ Ha Noi, the capital city filled with + Earlier comer that has imposed
youngster and kids stronger brand image
+ Vung Tau, big cities and considerable + Better location and wider franchising
stream of visitors network
-Menu expansion: + Menu with Vietnamese cuisine
+ New Flavors adaptation
+ New preparing methods + Side service (Birthday organization)
+ Healthier, low-carb -Health concern
 + More substitutes: adding breakfast and -Environmental concern
lunch items, other drinks -Higher price (compared to VN street food)
-Marketing: -Diseases (such as H5N1)
+ Build a proper website -Covid 19 and delivery problems
+ Utilize more promotion channels
+ Launching new services:
Birthday, farewell parties

4. The research objective(s)

In comparison with other competitors (such as KFC, Jollibee,...) it takes people more effort to
recall Texas Chicken when fast food is mentioned, which implies that Texas Chicken would have a
harder time entering the customers' evoke set. Thus, the immediate objective is to improve public
awareness of the brand to make Texas Chicken more distinctive in the marketplace.

5. Theories (Mothersbaugh, Hawkins, Kleiser, Mothersbaugh & Watson, n.d.)

Chapter 7- Group Influences on Consumer Behavior

● Figure 7-2 (p.226)

● LO4: Discuss within-group communications and the importance of word-of-mouth
communications to marketers (pp.229-232)

Chapter 8- Perception

● Figure 8-1: Information Processing for Consumer Decision Making

Chapter 9- Learning, Memory, and Product Positioning

● LO3: Learning under low involvement (pp.320-327)

● LO5: Brand image and product positioning (pp.337-341)

Chapter 10- Motivation, Personality, and Emotion

● LO2: Motivation theory and marketing strategies (pp.360-365)

● Table 10-1: Physiological (p.355)
 ● Table 10-3: Extroversion (p.367)

Chapter 11- Attitudes and Influencing Attitudes

● LO2: Attitude components: cognitive, affective and behavioural component (pp.409-416)

● Figure 11-3: Peripheral route to persuasion (p.396)

Chapter 12- Self-Concept and Lifestyle

● Figure 12-2 (p.427)

Chapter 13- Situational Influences

● Figure 13-1 (p.473)

Chapter 14- Consumer Decision Process and Problem Recognition

● LO1: Types of consumer decisions (pp.498-501)

● Figure 14-1: Nominal decision making (p.499)

Chapter 15- Information Search

● LO4: Sources of information (pp.524-534)

● LO6: Marketing strategies based on information search patterns: Disrupt strategy (pp.539-
541)

Chapter 16- Alternative Evaluation and Selection

● LO3: Evaluative Criteria

● LO5: Decision rules for attribute-based choices

Chapter 17- Outlet Selection and Purchase

● LO4: In-store and online influences on brand choices (pp.601-609)

 6. Focus group

6.1 Profile of interviewees

Variables Characteristics Impacts

Geographic Ho Chi Minh City Convenient for in-store experience

Demographic Gender: Unisex Mass customer reach

Age: 18-20 Fast-paced life, enjoy the convenience of

fast food

Occupation: student at university Have spare money to pay for, need a place
to rest when do not have enough time to
come home

Behavioural Outgoing, group-oriented Following hot trend or beautiful places for

checking-in

Habitual customers Loyal to favorite brands

Psychological Care about the appearance and money Notice the package and the price
worth

6.2 Discussion Guide

Discussion guide is given in Appendix 1

7. Data analysis

7.1 Issue

Texas Chicken entered Vietnam in 2012, which was considered as a late entrant to the Vietnamese
market as its incumbents had soon established themselves for long such as KFC, Lotteria and
Jollibee. Because of the fierce competition in the fast-food segmentation and the faint marketing
campaign, most potential consumers do not know much about Texas, even not recognize them.
Hence, the urgent issue is how could Texas chicken increase its popularity in the market?

7.2 Information summary

What fast-food restaurants have you experienced?

Popeyes, Lotteria, McDonald’s, Jollibee, KFC, Texas Chicken, Papas’ Chicken, Gaxeo
Who do you usually go with?
Friends, family, sometimes alone
Which place do you often see the advertisement for fast food?
Not in many places. Mostly through friends’ recommendations.
What frustrations have you experienced at a fast-food restaurant? (In general)
The main problems regarding fast food restaurants are: the chicken is too dry or not crunchy enough,
out of sauce, slow service, the restaurant is too crowded.
What improvements do you want the brands to make?
The participants desired fast and careful service with personable employees, and the clean space.
Moreover, if they bought takeaways, they needed better wrapping in order to keep the food intact and
better paper cups. In terms of store experience, they wanted a separated playground for children, as
the kids tend to be noisy. They also wanted a clear direction for where the restroom is and it needed
to be clean and perfumed to create a pleasant experience.
Comments on the design
The mixed use of old and new logos induced confusion though not much change has been made.
Either of the logos are designed with a similar set of colors as competitors, hence, yield little
impression. Additionally, Texas Chicken deemed unprofessional by having its website which linked
directly to Facebook. This proved its inconvenience in finding the menu, the description of dishes
and confusing the candidates because of its large number of posts. Besides, the menu mainly consists
of chicken dishes which limits customers’ choice.
Comments on the dishes
The biscuits were commented as delicious and the chicken was juicy, not too oily, crispy and worth
the price. The package was complimented as good quality in preserving food and heat. However, the
Texas sauce was said to not go well with the chicken and there were limited sauce options. In
addition, for the new herb flavour, 3 out of 5 participants said it was cloyingly sweet and they
preferred the original taste.
The results of the “Imagine Texas as a chicken” activity

A colorful, energetic and talkative chicken, which looks like a cowboy with a gun in blue clothes.

Solution evaluation

Proposals Strongly Disagree Neutral Agree Strongly

disagree agree

Create Texas Chicken official 2 3

website

Add new trending dishes to 2 2 1

the menu

Use our designed logo instead 2 1 2

of the current one

Analysis

Based on the information summary, there are three salient points to be recognized. Firstly, only 2 out
of 5 members mentioned the Texas brand. The others said that Texas has no differences from other
well-known brands. In conclusion, Texas has not left much impression on the consumers. Secondly,
Texas Chicken is not successful in marketing through social media. It does not only have a weak
designed official website but its social media also gains inconsiderable interaction, even lower than
its competitors. Besides the main page - Texas Chicken Vietnam, it creates separate pages for each
store, creating inconsistency in promoting new products and campaigns due to different contents.
Last but not least, the response to Texas adding new dishes following the current trend is negative. It
implies that customers prefer to try Texas' unique offers rather than hot trend items.
 7.3 Insight

The Texas chicken frequently falls out of the consumer’s top-of-mind awareness.

First, compared to other brands that have dominated the market, customers believe that Texas
Chicken receives little attention due to their lack of uniqueness in the menu and service
categories.

Second, customers feel unattractive in the way Texas delivers its image to the market because of
the incompetence in managing social media such as the company's website, Facebook or Instagram.

8. Recommendation/action to be taken for the brand

8.1 Differentiate through services:

Based on what the participants complained about food and service when visiting fast-food
restaurants, Texas Chicken can impress customers by outperforming those general problems apart
from adding new flavors. One of the reasons to not focus on menu expansion is most participants
were pleased with the original taste. Second, the chance of creating a flavor that is not only special
but also can please more customers than the original flavor is not high. This is also supported by the
participants' negative and indifferent attitude towards the idea of creating new dishes for the menu.
Finally, service performance could be supported by interior decoration and organization such as
separating a kid-exclusive area.
8.2 Attract consumer through social media:
Create new website:
To increase the brand’s recognition, Texas Chicken should create an official website instead of only
Facebook to provide information for the customer and create an advertisement to attract attention.
With Facebook being the brand’s main information source, it causes the consumers to be easily
frustrated because the categories are not well-organized. Compared to Texas Chicken websites in
Malaysia, Indonesia, New Zealand,.. the categories are clearly divided into sections such as
introduction, news, promotion, gift vouchers, menu, store locations, delivery,... Satisfied experience
indicates customers’ willingness to return again (Jiang and Rosenbloom, 2005, p. 159).
In fact, consumers who experience positive customer service on social media spend an average of
21% more on that brand's products or services. Therefore, to create a positive experience for social
media users, brands should: respond to comments and questions immediately in a dedicated way and
organize categories systematically.
 8.3 Make new advertisement
Another way to attract more customers on social media is to produce a brand new advertisement.
Since recently the brand hasn't updated any advertisements, shooting a new ad by hiring celebrities
may generate a viral impact on customers. Texas Chicken should invite some celebrities like Quyen
Linh Binz for the advertisement because if Texas wants to expand the range of customers, Quyen
Linh will generate more family emotion which tempts customers to eat out with their families. Vice
versa, Binz will bring youth and energy which may easily attract the gen Z. Thus, purchases made by
consumers are relevant to advertising efforts (Machanda et al 2006) and lead to significantly
increased sales.

9. Limitations

The conducted focus group discussion was still limited by the thoughts, comments and experiences
of our participants, especially the potential bias derived from their similar background.

10. References

Case studies. (n.d). Popeyes Louisiana Kitchen: Red Stick Staredown: A Game of Chicken (2015).
The MMA. Retrieved from https://www.mmaglobal.com/

Church’s Chicken - Texas Chicken. (n.d). Marketing Strategy Yields Recipe for Success and Positive
Sales (2008). Franchising.com. Retrieved from: https://www.franchising.com/

DesignRush. (2019, March 12). DesignRush Announces The 3 Best Social Media Best Practices Of
2019 -- Plus, The Top 32 Social Media Marketing Agencies. Cision PRWeb. Retrieved December
06, 2020, from https://www.prweb.com/

Flores, L. (2008, September). The Branding Impact of Brand Websites: Do Newsletters and
Consumer Magazines Have a Moderating Role? ResearchGate. Retrieved December 6, 2020, from
https://www.researchgate.net/

Hashaw. (2019, March 29). The Effect of Celebrities in Advertisements. Chron.com. Retrieved
December 06, 2020, from https://smallbusiness.chron.com/
Mothersbaugh, D., Hawkins, D., Kleiser, S., Mothersbaugh, L., & Watson, C. Consumer behavior
(13th ed.). New York: McGraw-Hill Education.

News, V. (June 18). World fast-food revenues slow in Vietnam, struggling to lure local consumers.
Retrieved December 06, 2020, from https://vietnamnet.vn/

Q&Me, D. (2020, March 16). Food & beverage industry: Vietnamese consumer behaviors. Retrieved
December 06, 2020, from https://vietnamcredit.com.vn/

Texas Chicken (2019). TUI IU GÀ GIÒN TEXAS, TUI KHOÁI REFILL NƯỚC NGỌT MIỄN PHÍ.
Retrieved Dec 4, 2020, from https://www.facebook.com/

The QSR 50 (2018). QSR Magazine. Retrieved from https://www.qsrmagazine.com/

Trần Thuận (2019). Texas Chicken – 7 sự thật làm nên thương hiệu gà rán tại Việt Nam. list.com.vn.
Retrieved from https://list.com.vn/

Vietnamnet (2019). World fast-food revenues slow in Vietnam, struggling to lure local consumers.
Retrieved from: https://vietnamnet.vn/

11. Appendix

APPENDIX 1

Discussion guide

QUESTIONS OBJECTIVES
NTRODUCTION •Hello everyone, how are you today? •Introduce participants to the
discussion topic and make them
minutes •Well, my name is Lightning and I’ll be working with you
feel more comfortable sharing
guys for the next 2 hours.
their opinions with the group.

•Well, first of all, let’s introduce a bit about yourselves

(name, age, hobbies…)

•This discussion aims to gain inputs for Lightning Project to

understand consumer behaviors, needs and expectations.

•Welp, let us start.

ACKGROUND •Do you often eat out? •General habit and consumption
of customers.
minutes When? Where?

•What kind of food do you like? To be more specific? (the

name, how it tastes…)

•What fast-food restaurants have you experienced?

•Who do you usually go with?

OLLOW-UP •How can you find a restaurant to eat? (on sight, by •How do young people decide
friends/family, on Facebook, Baemin…) /choose a restaurant/food to eat?
minutes
What source do you think is credible? •Who /what source influences
them?
•Which place do you often see the advertisement for fast
food?
•What do you think about fast food? •How do young people
understand and perceive fast-food
Do you think fast-food restaurants as a place to enjoy your
restaurants?
meals?
•How do they enjoy fast-food
•How much are you willing to pay for a meal in a fast-food
restaurants?
restaurant?

•What frustrations have you experienced when going to a

fast-food restaurant?
•What frustrations have you experienced when going to a
fast-food restaurant?
ROBE •Do you know TC? Have you ever come there to have a •What are customers’ feelings
meal? about TC?
After nom nom a
...) What is your opinion about TC? •Gauge reactions toward the
product/ service.
-30 Minutes •Close your eyes for a moment and imagine a super
delicious fried leg/ wing chicken, how does it taste? (spicy,
crunchy, salty, sweet…)

•What do you think about our nom nom? Is it good or bad?

What improvements do you want us to add to the product?

•Here is a TC restaurant, do you have any opinion about the

design/ general view of it?

About our logo, is it attractive to you?

If not, what do you recommend?*bảng nhỏ bên dưới

•Tell me how you would like them to improve in terms of

color/images/logo?

What should be more and what should be less?

RAP UP •Anything confusing?

•Any more thoughts about what we looked at today?

•Anything else you’d like to add?

•Bye, have a great time!

APPENDIX 2