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Marketing Management

Assignment
Adapting Marketing to Changing Scenario

Arnav Dhaka - 44141


Aryan Chakraborty - 44142
Ashish Arun Killekar - 44143

Ashish Nogia - 44144


Submitted to Ashit Gupta - 44145
Dr Yogesh Mahajan Ashwani Bansal - 44146
Avantika Bhandari - 44147
Battula Supraja - 44149
Bhargav Avadhanula - 44151
Bhaskar Sundaraseshan - 44152
Bhavini Priyamvada - 44154
Chetna Chuphal - 44157
Introduction
Founded in 1954, Burger King is the second-largest fast-food hamburger
chain in the world with about 18,000 restaurants in more than 100
countries.

The home of the grilled, juicy and ever so delectable Whopper, joined the
fast-food QSR bandwagon in India in 2014. Ever since. It has been
expanding its reach, customer base and social media following.
As of 31 March 2021, Burger King India had 265 stores.
Burger King India (BKI) is the master franchisee of the BURGER KING
brand in India. It is a relatively newer entrant in the Chain QSR space and
is one of the fastest growing international QSR chains in India during the
first five years of operations based on number of restaurants.
BKI has an exhaustive menu across price points, especially the entry level
segment, which along with its positioning (for millennials) should aid in
scaling up of new stores in existing as well as new clusters.

Burger King has always had the brand archetype of a jester, this brand
personality is consistently evident in the communication of the brand be
it in TVCs, digital ads, print or social media.

With a wide range of offerings for the Indian palate, the company has
made its presence strongly felt in a market that is very competitive. This
project will look at various dimensions of its marketing management to
understand what the company has done till now, ponder over the
potentials of the future and offer some solutions.
Digitization and connectivity
Burger King is expanding its long-standing relationship with SAP
(Multinational software corporation) by incorporating the company's
cloud-based procurement apps and business network. The combination
would result in a digital network that will help companies better control
their spending across their entire supply chain.
Burger King will start the project in Korea, where it
will implement SAP's business suite (S/4HANA),
which includes an operational database system and
a cloud-based computing platform, as well as SAP's
cloud-based procurement and supply chain
platform.
According to SAP, by combining the technologies, the organization will be
able to swiftly extract relevant insights from its supply chain data and
utilise this knowledge to make better-informed decisions that will "propel
their businesses forward."
Burger King worked with Rovio Entertainment, the makers of the Angry
Birds brand, to deliver a web-based augmented reality (WebAR)
experience for Burger King's 'King JR' kids' meals.

The ease of use of WebAR, as


well as its widespread
availability across hundreds of
Burger King locations, provided
a wonderful chance to
communicate and engage with
customers while also improving
their user experience.
Customization and Customerization
For the Indian Palate
In an industry full of limited-time promotions and offers, Burger
King India has launched ‘Stunner Menu’ at Rs.50. The menu is
customized specially for the Indian market. The brand designed
the new menu with new formats and new products and is an
equivalent of the quote ‘great value at accessible prices.’

Customerization has
always been a
characteristic of
Burger King. When
service providers use
our name, remember
our previous
purchase, or make an
attempt to learn the
name of our
granddaughter-in-
tow, we appreciate it
greatly.
Customers want it
“their way” because
more and more they
can get it that way!

The Menu has also been changed to adapt to


the Indian palate.
Customization across the world
Burger King Harnesses the Power of
Personalization with Dynamic Creatives

Burger King launched successfully the first dynamic creative


optimization (DCO) campaign for the fast-food chain’s customers in
Germany. The incredible success and measurable results of the
innovative campaign highlight the importance of data-driven
advertising solutions and the partnerships between agencies and
companies.
Based on a detailed psychographic segmentation, developed by
Vizeum, Grabarz & Partner created more than 1000 different
advertising media creatives that address in detail different users’
personalities and individual preferences so that the creatives are
matched to the right person and delivered at the right time. The
banners were controlled fully automatically using DCO. In this way,
users were shown only the ad content which matched to their specific
needs and in the appropriate tone of voice. In addition, the banners
were delivered based on users’ geographic location data, time of the
day and device used. Following the personalization approach, the ad
copy, banner background and product offered were adapted to fit the
personality of the user.
Covid related campaigns
They added that they never thought
they would be asking their customers
to do this, but people need help right
now. "We never thought we'd be
asking you to do this, but restaurants
employing thousands of staff really
need your support at the moment. So,
if you want to help, keep treating
yourself to tasty meals through home
delivery, takeaway or drive thru.
Getting a Whopper is always best, but
ordering a Big Mac is also not such a
bad thing. Take care, Team Burger
King UK."

Burger King India promoting


vaccination on Independence Day

Burger King India's ad campaign


promoting safe dine-outs via
sanitization.

Burger King Italy has added a


humorous element of social
distancing with the introduction of a
new Whopper triple-loaded with
onions to keep others at a safe
physical distance amid the pandemic
Market Challengers
Depending on where Burger King is
present, some of its international
competitors, within India include:
McDonald's
Wendy's
KFC
Local competitors include:
Jumbo King
Burger Singh.

Burger King held 4% market share of the


Competitors are not restricted to total market share in the QSR space in
the above players but also brands India in FY20
that sell fast-food in other varieties
like:
Subway
Pizza Hut
Domino's

The challenges are not restricted to


increasing competitors within the
fast food industry but also:
Improving and maintaining food
quality
The consumer shift to a
healthier lifestyle
Strategic quicker payments
make customers more reluctant
to go to these chains in physical
mode
D2C - Disintermediation
Upon closely looking at the Fast Food Industry we decipher that there are two
types of intermediaries that stand in the ways of Burger King & its consumers,
supply intermediaries and service intermediaries.

Supply Intermediaries include:


Import brokers: Charge a hefty fee for importing raw materials from
different countries
Raw Material Suppliers: Often lead to a shortage, variance in taste, price
cornering & jacking.

Service Intermediaries Include:


E-Commerce aggregators: Take a percentage of orders for bookings
Delivery Partners: Take a fee for delivery

At first look, it may seem that these intermediaries help bridging supply gaps
and bring customers closer. But ultimately they add up costs and put
additional layers between the consumer and the chain

Factors affected by intermediaries


Increase costs for restaurants
Increase costs for consumers
Increase the distance between
consumer & chain
Collect consumer data.

Some of the opportunities for Burger King:


Sourcing from local vendors instead of international markets
Vertical Integration of businesses
Promotion of a company-owned bookings, delivery & complaints forum
e:g. McDonalds
CRM Techniques
Burger King has experienced ups and
Burger King tests loyalty downs during its respective reign as
program as part of digital push one of the fast food greats. Indeed, the
brand bounced between Average and
Burger King customers in Los Angeles,
Gifted categories several times over the
Miami, New York City, New Jersey and
past few years according to Gartner’s
Long Island will be able to earn rewards
Digital IQ Index: Restaurants. That said,
points for every dollar that they spend.
its new loyalty program comes at a
Members can also rack up points for
good time, as customers are looking for
orders from Burger King’s website or
ways to save money more than ever. In
app. The program’s testing right now is
fact, promotions of deals and discounts
primarily in the burger chain’s digital
catapulted from 15% adoption to 47%
channels
"The Guest TracSM programme is a in the restaurant industry. Loyalty
very valuable tool for us to get programs also focused on financial
feedback first-hand from our benefits as quick-service mavens like
customers, to measure how we are McDonald’s sought to capture loyalty
doing, and to take action in order to from increasingly price-conscious
address any concerns that our customers. This in mind, it makes sense
customers might have." that Burger King would want to spend
time “testing, learning and solving this
The introduction of Burger King’s Royal
year.”
Perks test follows an announcement
from archrival McDonald’s on
Wednesday that it’s entering the next
phase of its own loyalty program tests.
Upselling and Cross Selling
Every time you order at Burger King, there are
two kinds of questions that you get asked:
"Would you like to have some fries or coke
with what you ordered?"(Cross-selling)
"Would you like a medium or larger
version of what you ordered?" (Upselling)

Burger King found that cross-selling items was


the key to increasing their Average Order Users with more than 2 things in their
Value (AOV) from their website. Burger King cart were identified via Web Push
was searching for a platform that would allow triggers, and these add-ons were
them to proactively market appropriate items pushed through overlays. As a result,
to purchasers (cross-selling) across their BK saw a Conversion Rate increase that
online and mobile web channels, while also was 25% higher than the industry
engaging website visitors with attractive average.
content highlights that would motivate them
along their purchase path.
To boost cross-selling engagement, Burger
King began employing Web Push Notifications
and Banner Management.

Upselling is used by BK to get a taste


of a new menu item or to finish a
meal; the vast majority of upsells at all
brands were for a combo or a special.
However, profit remains the primary
goal, as suggestive sells result in
better check averages.
Pricing
Burger king follows pricing of Burger King's prices are in line with
Market-oriented pricing strategy market behaviour and demand.
and bundles pricing strategy as With McDonalds as its main
well. competitor, Burger King has
concentrated on providing better
When creating value meals for its
quality and taste at more cheap
clients, Burger King implements
costs also offering coupon codes.
the bundling business model.
You could have a cheeseburger,
fries, and a beverage for less
money than if you bought each
product separately. Customers
will tend to buy more because of
the enticing prices, and
Burger  King  may even combine Burger King is concerned about its
difficult-to-sell items with fast- prices in India, as people in India are
moving products to expedite their price sensitive. As a result, the menu
sales. of this food chain in India is diverse,
serving Indian flavors, enticing more
Indian clients.

Price bundling leading


to a saving of Rs. 5
Inferences
After researching about the king of all food joints, Burger King, and
after studying all its marketing strategies and campaigns both pre,
during, and post COVID-19, we could successfully conclude that the
organization has taken the time-off in stride and has employed and
engaged in a lot of upcoming and eye-ball grabbing marketing
strategies to which even the customers have responded
enthusiastically, in India. Given below is a comprehensive list of
inferences we collated throughout our study:

Burger King has unveiled a new graphic style that will be used
across all consumer touchpoints. This is the first comprehensive
rebranding of the company in over 20 years.
The fast-food behemoth aspires to pay honor to its legacy while
keeping the digital experience in mind with a more minimalist,
modern emblem at the focus of the effort.
They want to use rebranding to show their dedication to "digital-
first expression," as well as food quality and environmental
sustainability. Since the epidemic began in 2020, the company has
joined a growing list of companies that have unveiled new visual
identities.
Burger King saw same-store sales decline 7% in Q3 2020, and the
visual refresh's modern approach and prioritization of digital could
help the chain mitigate the decline further. In kind, Restaurant
Brands International plans to modernize more than 10,000 drive-
thrus with digital screens that integrate with restaurant loyalty
programs and offer remote, contactless payments.
Conclusion
The global pandemic of the Burger King's shift to a new
coronavirus (COVID-19) has normal will be a long and
caused changes in advertising, painstaking process. While this
marketing, promotional, and may not be the fast-paced
media spending, pushing environment in which the
businesses and brands to rethink restaurant is accustomed, taking
existing and future advertising advantage of the opportunity to
and marketing initiatives in order alter its marketing strategy is
to retain a consistent stream of critical.
revenue.
Simple restaurant marketing
actions such as developing
content, optimizing your web
presence, exploring partnerships,
and preparing for the re-launch
can help Burger King maintain its
dominance. This also entails
getting guests ready for a new era
of dining.

While businesses are currently It's time to implement the best


attempting to set the correct tone and most remarkable marketing
during a global health emergency, campaign to use and put the best
the future foreshadows market foot forward. It's time for Burger
change, more competition, and a King to win back the world with
requirement for innovative and some savvy marketing and get
absolutely aggressive marketing rewarded loyalty in the months
strategies. and years ahead.

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