KFC opened its first restaurant in China in Qianmen, Beijing in 1987.

Location strategy

Location is the primary factor in hotel management, and so is restaurant chain management. The correct location of chain stores is not only a prerequisite for its success, but also a prerequisite and foundation for realizing the standardization, simplification and specialization of chain stores. Therefore, KFC attaches great importance to the location of fast food restaurants. The location decision-making is generally a two-level approval system. With the consent of two committees, one is the local company and the other is the headquarters. Its site selection success rate is almost 111%, which is one of KFC's core competitiveness.

the location of KFC is selected according to the following steps.

★ Division and Selection of Business Circle

1. Division of Business Circle

When KFC plans to enter a certain city, it will first collect the information of this area through relevant departments or professional investigation companies. Some materials are free, and some materials need to be bought. After buying all the information, we began to plan the business circle.

Business district planning adopts the scoring method. For example, there is a large shopping mall in this area. If the turnover of the shopping mall is RMB 11 million, one point will be counted, and RMB 51 million will be counted as five points. How many points will be added for a bus line and a subway line? These scoring standards are a more accurate empirical value averaged over the years.

business districts are divided into several categories by scoring. Take Beijing as an example, there are municipal-level commercial types (Xidan, Wangfujing, etc.), district-level commercial types, fixed-point (target) consumption types, community types, social and commercial dual-purpose types, tourism types and so on.

2. Choosing a business circle

means determining which business circle to focus on and what are the main goals. In the selection criteria of business circle, on the one hand, we should consider the restaurant's own market positioning, on the other hand, we should consider the stability and maturity of business circle. Different market positioning of restaurants attracts different customer groups, so the choice of business circle is different.

For example, Malan Lamian Noodles and KFC have different market positioning and different customer groups, which are two "intersecting" circles. Some people eat KFC and Malan Lamian Noodles, while others may never eat KFC and specialize in Malan Lamian Noodles, and vice versa. The location of Malan Lamian Noodles is certainly different from KFC.

KFC and McDonald's have similar market positioning, and the customer groups basically overlap, so the choice of business circle is the same. As you can see, some places are on both sides of the same street, with McDonald's on one side and KFC on the other.

the maturity and stability of the business circle are also very important. For example, the Planning Bureau said that a certain road needs to be opened and where to set up an address. In the future, it may become a mature business circle, but KFC must wait until the business circle is mature and stable before entering. For example, how good the benefit of this store will be after three years, which will not help today. Is it necessary to lose money in these three years? It costs millions of dollars for KFC to invest in a store. Of course, it must be a relatively stable principle to ensure a successful one.

★ Calculation and selection of gathering points

1. Determine where the most important gathering points are in this business circle.

For example, Xidan in Beijing is a very mature business district, but it is impossible for Xidan to be a gathering place anywhere. There must be the most important gathering place for guests. The principle of opening a KFC store is: strive to open a store in and near the most crowded places.

In the past, the old saying goes, "One step is worse than three cities". The address of the store is one step away, and there may be a 31% difference in business. This is related to the moving line of people (the line of people's activities). Someone may come here and turn, so this place is where the guests can't go. It's not far from an alley, but the business is much worse. All these should be taken into account when choosing the site.

What is the pedestrian flow line like? In this area, which direction people go after getting out of the subway, and so on. These are all sent to pinch the meter and measure it. Only after a complete set of data can we determine the address accordingly.

for example, the measurement of the flow of people in front of the store is to record the flow of people passing by at the place where the store is planned to open, and measure how many people pass by the place in unit time. In addition to the pedestrian flow on the sidewalk where the location is located, it is also necessary to measure the pedestrian flow in the middle of the road and across the road. Those in the middle of the road are only cyclists, not drivers. Whether the traffic across the road is counted depends on the width of the road. Even if the road is narrow, the road width exceeds a certain standard, which is generally the isolation belt, so customers can no longer come to spend, so it is not counted as the traffic across the road.

KFC site selection personnel will input the collected data of people flow into special computer software, and they can calculate that the investment here should not exceed how much, and the store cannot be opened beyond how much.

2. When selecting the site, we must consider whether the main moving line of people flow will be stopped by competitors.

because people's loyalty to the brand has not yet been said, I eat KFC and get tired of seeing McDonald's, as if this has not happened yet. As long as you are in front of me, I am very tired today. Why do I have to walk another 111 meters to eat something else? I am here first. I won't move forward unless there are so many people here that I can't find a seat.

But the flow of people has a main line, which will have an impact if the competitor's gathering point is better than KFC's location. It doesn't matter if they are the same. For example, there is a KFC store at the intersection of Beitaipingzhuang in Beijing. If it is 111 meters to the west, it is inappropriate for competitors to open another western-style fast food restaurant, because the main passenger flow comes from the east and then opens there, a large number of passengers will be stopped by KFC, and the benefit of opening a store will not be good.

3. The choice of gathering points affects the choice of business circle

The choice of gathering points also affects the choice of business circle. Because whether there are major gathering points in a business circle is an important symbol of the maturity of this business circle. For example, a new residential area in Beijing has a large number of residents and a high population quality. However, according to the survey, we can't find the main gathering point in this area, so we may not open a store at this time. When the community is mature or more mature, we will know that one of them is indeed the main gathering point.

in order to plan the business circle well, the development department of KFC has made great efforts. As far as Beijing KFC Company is concerned, its development department staff have traveled all over Beijing all the year round, and they are familiar with this place where buildings and roads change greatly every year and local people are easy to get lost. This often happens. Beijing KFC Company received a phone call from a customer and suggested that KFC set up an office in his place. As soon as the developer heard the address, he could casually tell whether the local business environment was suitable for opening a store. In Beijing, KFC has successfully opened 56 restaurants according to the business circle divided by its own investigation.

Long-term goal

★ The issue of growth is very important to any company. Any successful enterprise must have long-term goals, attract outstanding talents to join and contribute to the community, and companies that cannot determine strategic goals will be eliminated quickly.

This is especially true as a franchise enterprise. Of course, all franchisees of KFC join in order to enjoy the good development prospect of KFC. The establishment of long-term goals depends on the examination of the company's external environment, the confirmation of the company's mission and the expectation of the ability platform needed to complete the company's mission.

in the early 1991s, when Mr. Su Jingshi, the president of KFC China Company, came to China, he explained to his employees the long-term goal of KFC: to make the brand of KFC in China the first brand in the catering industry in China, even the most popular brand in the world. During the development of the company, Mr. Su Jingshi worked with managers at all levels to constantly publicize and expound this goal. Every new employee at Kendeji knows this goal on the first day of work. This makes all employees of KFC have a blueprint for the development of the company, and a vision of * * *. Everyone knows what KFC will be like in the future.

★ KFC has the strength to achieve such a long-term goal.

1. Although KFC is coming to China for the first time, it has enough strength to fully develop the China market and achieve the long-term goal with its years of global expansion of thousands of branches and international management experience.

2. The long-term goal of KFC is feasible.

This is based on a rigorous analysis of China's society, its structure, market and customers. As a mid-range fast food, without a mature business circle, it will not be able to support the passenger flow required for its daily operation. Therefore, the number of mature business districts in major cities in China in the next few decades will determine the market development potential of KFC. Based on the optimistic estimation of China's economic prospects and development momentum, KFC predicts that it will have a broad development space in China.

in addition, the opportunity for KFC to enter the China market is very good. At that time, the catering industry in China, especially the franchise catering industry, was far from mature. As the first international franchise catering giant to enter China, as long as we seize the opportunity to develop hard, we can completely become the first brand in China's fast food industry.

3. The long-term goal of KFC is consistent with the characteristics of its franchise.

KFC, as a franchise industry, is different from many other industries in that it is highly risk-averse. Because once the restaurant chain has established a good corporate image, it can make all chain stores enjoy the benefits. But correspondingly, once any store has problems, the whole brand will be affected. So its ability to resist risks is very fragile.

KFC is constantly exploring new markets in China, but since it is a franchise, it must try its best to avoid risks and ensure that the brand will not depreciate due to expansion, which is always a process of brand appreciation. That is, no matter how to expand, we need to operate steadily. The combination of the two is included in KFC's long-term goal of becoming the first brand in China's catering industry.

★ After more than ten years of development, KFC has become the largest and fastest-growing fast food enterprise in China; According to a questionnaire survey conducted by the world-renowned AC Nielsen research company in more than 31 cities in China, KFC is widely known and loved by consumers in China, and is recognized as a brand that customers patronize most, ranking first among the top ten internationally renowned brands. KFC can be said to have a double harvest in market share and reputation, which is closely related to the correctness and feasibility of its long-term goal formulation.

Up to now, China's catering industry has made great progress, international chain catering giants have rushed to China, and domestic catering industry is also eager to try. However, the market potential of China's catering industry is still very large. The long-term goal of KFC becoming the first brand of China's catering industry is still applicable, guiding KFC to a new journey.

in the eyes of all employees of China KFC, the development of more than 411 stores now is only a part of the expected long-term goal, not the final result. Just like a small seedling, after more than ten years of cultivation, it takes root and grows leaves, and gradually becomes a big tree, full of vitality and boundless future.

if you look back? Mr. Su Jingshi set this long-term goal at the beginning of KFC's entry into China, which is far-sighted. The established long-term goals will directly affect business planning, talent management, performance management and other aspects of the enterprise. Obviously, KFC's long-term goal also indicates that its "localization" strategy is imperative, otherwise it will not be able to meet the problems of KFC's shortage of human resources and raw material sources in its rapid growth in China.

marketing

★ standardized service

"CHAMPS" promoted by KFC worldwide? The championship plan is one of the main essences of KFC's successful performance. Its content is:

C? Cleanliness maintains a beautiful and tidy restaurant;

H? Hospitality provides sincere and friendly reception;

A? Accuracy ensures accurate supply?

M? Maintenance maintains excellent equipment;

P? Product Quality insists on high-quality and stable products;

S? Speed: Pay attention to quick service.

The "Champion Plan" has very detailed and operational details, and requires every employee of KFC in every restaurant around the world to strictly implement unified and standardized operations. This is not only a code of conduct, but a strategy of KFC enterprises. It is the crystallization of KFC's decades of experience in fast food service management.

★ Market Positioning

KFC mainly targets family members. The promotion focuses on young people who are more receptive to foreign cultures and new things, and all food, services and environment are targeted. This is because young people prefer the light dining atmosphere of western-style fast food, and hope to influence the presence of family members of other age groups. In addition, KFC also spends a lot of energy on children's customers. There is a children's dining area in the store as a birthday celebration area for children, and colorful decorations catering to children's hobbies are arranged. Toys are also available as gifts on holidays. On the one hand, we hope to cultivate children's habit of fast food from snacks, on the other hand, we hope that through the drive of children, we can attract the whole family members to the store to receive warm service. When a child grows up, KFC may become a part of his life.

KFC has always wanted to create a happy atmosphere for the whole family to eat together, emphasizing this added value. This will leave a deep impression on people. They have a lot of good memories that happened in KFC. When guests come to the restaurant, they first feel the taste of food. The food is not delicious, no matter how cheap it is. No matter how good the service is and how beautiful the decoration is, the guests will not like it. The market advantage of KFC is the unique taste of its chicken food, which is positioned as "a world-famous chicken cooking expert" and "the delicious chicken is cooked in KFC", which is also the biggest difference between KFC and McDonald's. Its fried chicken series products, such as original chicken, spicy chicken wings, crispy chicken leg hamburger, boneless chicken fillet, etc., have golden crispy outer layer and tender and juicy inner layer? It is widely praised by customers for its unique delicious taste. KFC has also continuously strengthened its selling point of "chicken cooking expert" in various advertisements.

China people love to eat chicken, and chicken ranks first among chicken, duck and fish. Compared with other foreign fast food, chicken products are more in line with China people's tastes and more easily accepted by China people. This can be seen from the fact that McDonald's quietly broke its unified menu of "Beef Burger" in the global market and introduced "Mai Spicy Chicken" and "Chicken Leg Burger" similar to KFC in the China market.

KFC is not satisfied with its current success. Instead, it is constantly searching for China people's tastes with great manpower and financial resources, what products they like from KFC, why they like KFC and so on. To adjust services, adjust food, and even launch new products.

as the saying goes, "it's hard to adjust the opinions of many people". Whether it's delicious or not, everyone has his own values. How to prove it? Turn around. Delicious may mean that if 111 people come to eat, 81 people think it is good, then it can be considered that it has been accepted in positioning.

For example, the newly-launched "Lotus Fresh Vegetable Soup" is carefully prepared from nutritious raw materials such as vegetables, eggs, mushrooms, skirts and carrots. Adding "Furong Fresh Vegetable Soup" to KFC's staple food-chicken food, or other catering foods such as salad, mashed potatoes and corn, makes China consumers enjoy more complete and more in line with their eating habits. This soup food specially caters to the tastes of consumers in China, and even its name has China characteristics. It was carefully developed by KFC through investigation and research to meet the needs of consumers in China.