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Celebrating Progress, Spurring Passion: 2022 Yum! Brands Global Citizenship & Sustainability Report

The launch of the latest Yum! Brands Global Citizenship & Sustainability Report marks the important progress KFC has made against our goals and reignites our commitment to continue doing things the right way. 

Throughout the 2022 report, we share how KFC has continued making investments to our three brand impact pillars: People and Communities, Chicken and Nutrition, and Suppliers and Climate.

As the fastest growing QSR brand in the world, it’s more important than ever that we grow with purpose. Here are 5 KFC takeaways from the report:

Growing sustainably. Our global Building Green Standards and 11 Must-Haves continue guiding our restaurant development and how we innovate KFC openings, remodels and business operations. Solar power generation can now be found across corporate and franchise-owned KFC restaurants on every continent where our brand operates. 

Building skills, creating opportunities. KFC is feeding people’s potential by equipping underrepresented groups with life and technical skills, enabling them to more confidently seek and land new opportunities. In partnership with local non-profit partners, KFC markets including UK&I, Germany, Thailand and France are making meaningful differences in the lives of individuals and their families. 

Empowering women. KFC’s Next Generation of Women (NOW) Program, which launched in 2022 to accelerate women’s professional development and retention through executive coaching and mentorship, has been so successful that it is being rolled out to our sister brands. 

Striking a balance. All throughout the year, we’ll be testing a delivery channel hypothesis that may help KFC consumers in the UK&I choose more balanced menu items.

Working together. KFC is engaging our poultry suppliers on sustainability programs, including soy sourcing strategy. We released our first soy report for the UK&I market and a report for all Western Europe markets is in the works for 2023. 

Read the report to learn more about our commitment to growing in a way that is inclusive, sustainable and socially responsible: www.yum.com/citizenship

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The Global Growth Engine of KFC Powers On

Fresh off a major milestone, the category icon is eyeing 50,000 locations worldwide, with zero signs of slowing down.

KFC Global CEO Sabir Sami travels about two weeks of every month. A recent trip brought him to his home country of Pakistan, where a new store was reporting 10,000 transactions per week. It was still the opening month. Sami, a Yum! Brands vet since 2009 who’s worked at each of the world’s largest restaurant group’s flagships—Taco Bell and Pizza Hut included—during his time as GM of Yum! Canada, cautioned the honeymoon wouldn’t last forever.

Maybe it would level out at 6,000 or 8,000. Calmly, the operators disagreed. “They said, ‘no, no, no, no, we think it will plateau at 14,000 a week,’” Sami recalls. “That’s where they think it will go up to. That is insane numbers … It just shows the strength of the brand in every part of the world.”

COME HEAR SABIR SAMI SPEAK IN PERSON: KFC’s Global CEO is giving one of the keynotes at this year’s QSR Evolution Conference

The story of Colonel Harland Sanders selling fried chicken from a roadside restaurant in Corbin, Kentucky, is a well-worn piece of American fabric. At age 65, he began franchising with a $105 monthly Social Security check and opened the first partner unit in 1952 in Salt Lake City with Pete Harman.

There isn’t another restaurant, or retail brand for that matter, as visually aligned and recognizable as the Colonel and KFC. Norman Rockwell even painted Sanders and his famed white suit in the early 1970s. The portrait hangs in the brand’s Louisville, Kentucky, museum that adjoins the three-story colonial style building known colloquially as the “White House.”

But in the 1960s is when KFC’s larger imprint took its first steps. It was one of the original U.S. quick-service chains to expand internationally as it headed to the U.K., Mexico, and Jamaica.

These days, Yum! CEO David Gibbs refers to KFC International as one of the company’s “twin growth engines” (the other is Taco Bell U.S.)

Some recent statistics feel like entire history books for many. In 2023, KFC International opened nearly 2,700 new restaurants (2,682 to be exact, alongside 415 closures), reaching 10 percent growth as units opened across 96 countries. That’s a location every 3.3 hours. If you tried to wedge that number onto a U.S. map, KFC’s global expansion last year alone would outsize the entire domestic footprints of Jimmy John’s, Jack in the Box, Panera Bread, and Panda Express, just to count a few.

The big milestone, however, arrived in January as KFC crossed the 30,000-unit mark with an opening in Rome, Italy.

Percent of KFC system sales

• China: 27 percent
• U.S.: 14 percent
• Europe (excluding U.K.) 11 percent
• Asia: 10 percent
• Australia: 7 percent
• Latin America: 7 percent
• U.K: 6 percent
• Middle East/Turkey/North Africa: 6 percent
• Africa: 5 percent
• Thailand: 2 percent
• Canada: 2 percent
• India: 2 percent

System sales growth

• China: 20 percent
• U.S.: 2 percent
• Europe (excluding U.K.) 17 percent
• Asia: 8 percent
• Australia: 9 percent
• Latin America: 17 percent
• Middle East/Turkey/North Africa: 21 percent
• Africa: 15 percent
• Thailand: 13 percent
• Canada: 7 percent
• India: 19 percent

When you dig in, Sami says, is when you really begin to decipher the tangible scale and potential of KFC. More than 80 percent of 2023’s growth stemmed from 14 publicly trade franchisees. Of the 30,000 venues counted to start 2024, about 22 percent were built in the past three and a half years.

Again, fitting that into America’s fast-food landscape, those 6,600 or so locations would be good enough to represent the U.S.’s eighth-largest restaurant brand, behind Domino’s and a tick ahead of Pizza Hut.

What’s worth noting as well is 3,791 of KFC’s 29,900 restaurants at year-end 2023 were in the U.S. That domestic arm opened 34 locations and closed 161 as it continues a “Re-Colonelization” campaign that began in 2016 and centers on returning KFC to its quality roots, while also evolving its asset base toward Next Gen builds.

Sami says KFC should be in 150 countries by the end of this year. KFC Global chief development officer, Nivera Wallani, adds the 22 percent stat, in particular, is one that illustrates the tailwinds in KFC’s global business. Not only did the brand open all those restaurants, but it upgraded or renovates somewhere in the range of 4,000–5,000 per year.

India, Thailand, Africa, and Central and Eastern Europe all hit 1,000 during that stretch. Mexico is up to 500. Turkey 300.

In India, to microscope one example, KFC eclipsed that four-digit figure with Devyani International Limited, a Yum! partner for more than two decades. It took the brand nearly 25 years to build its first 500 locations there. The next 500 arrived in less than five. And to spotlight how much whitespace remains, India accounted for 2 percent of KFC’s total system sales last year, which counted $33.9 billion, with same-store sales growth of 7 percent versus 2022. Internationally, KFC’s comps lifted 9 percent in 2023 while the U.S. rose 2 percent. System sales hiked 14 and 2 percent, respectively.

The ultimate picture: A pathway to 50,000 global KFCs long-term.

Inside the growth

“It’s something we’re very proud of,” Sami says of reaching 30,000 restaurants. “Our consistency as a global brand and being in the corporate world for over 50 years, we clearly have a model that works. And it works because of the great partnerships we have with franchisees around the world. Many of our franchisees are second- or third-generation types of franchisees who understand what this business is all about.”

Additionally, he notes, KFC’s growth remains fueled by the reality it’s creating wealth for operators and careers for employees. Building north of 8,000 restaurants in the past five years allowed KFC to bring in 200,000 team members, “which is a staggering stat in itself,” Wallani says.

“So over the past three years, we are the fastest-growing retail brand in the world,” she explains. “And we expect to go ever faster.”

The equation for KFC Global drops into three buckets: strategy, model, and localization. That latter point, as you’d imagine, keeps management busy given the breadth of the chain’s reach. KFC’s localization, Sami says, gets down to the trade zone, not just the country. That’s one of the main reasons it works.

In Latin America last year, KFC targeted new consumers and dayparts using value offers. It also expanded nuggets. Africa boosted breakfast with fresh beverages, including signature coffees. Thailand bumped transaction growth with value offerings across all dayparts.

You can travel the globe and find KFCs that serve shawarma (Romania), Wraps, Twisters, even Poke Bowls. The spice levels don’t stagnate, either.

“If you travel to Africa, Asia, Europe, South America, Australia, U.K., you’ll see the strength of the brand,” Sami says. “And not just in terms of assets, but the consumer loyalty and affinity for the brand as well.”

Wallani adds fried chicken as a category is one of the fastest growing globally in terms of consumption. According to a report by Market Research Future, the worldwide takeout fried chicken market was valued at $6.85 billion in 2023. It’s estimated to scale at a compound annual growth rate of 5.5 percent from 2023 to 2032 and reach a valuation of $10.5 billion.

That’s just takeout.

“Whether it’s bone-in chicken or boneless chicken, I mean, that’s what we do. That’s in our DNA,” Wallani says. “That’s what we’ve done for a really long time.”

Wallani says KFC searches for some critical traits in global partners to guard that standing. No. 1, passion and commitment to grow the brand, “We’re not only a chicken business, but we’re a people business as well,” she says.

The second is capability. That means experience in hospitality or foodservice so KFC can rest assured restaurants are run by world-class operators “every single time,” Wallani notes. And lastly, while not unique to KFC’s model by any means, it does pulse here given the big picture. The brand seeks operators with capital to invest in KFC and drive that growth engine.

Speaking of that, though, a perhaps understated part of KFC’s journey circles back to what’s happened more recently. Wallani says KFC views units through an “80/20 rule.”

“When you consider restaurant design, menu, digital, what we try to do is keep a larger portion of that core to what works for the brand,” she says. “Because we’ve been doing this for many decades. And then, we localize and tweak a little bit for what’s relevant in every business unit or market, or as Sabir said, each particular trade zone.”

In other terms, KFC balances its DNA with a modern tilt, as well as adjusting market-to-market to address local consumer needs.

It’s not only about having franchise partners, but also getting scale to drive KFC’s economic model. “I think the challenge is you need to start planting the seeds and it takes time for the business to get scale and get growth. … Patience is working with local partners and investing for the long run,” Sami says. “Then once you start getting scale, then I think businesses take off in every single market. We are successful in almost every market we go into.”

KFC’s model can look a bit different based on CapEx trade zone to trade zone, from the volume of transactions to cost of commodities. One thing KFC and Pizza Hut boast is marketing-mapping data. Taco Bell International, Yum! announced in Q4, was planning to temporarily slow growth so it could stabilize comps in emerging markets and partner with franchisees to optimize site selection, leveraging the tool KFC and Pizza Hut deploy.

Wallani says market mapping helps identify potential growth, what the brand calls either “whitespace” or “info opportunities.”

“What this data-driven market mapping does, and you can just imagine the volumes of data that go in, whether it’s demographics, competitors, growth expectations, mobile data, anything that you can think of goes into this box and what it spits out is quite amazing,” she says.

Here’s where it evolves: This system doesn’t merely show KFC where to expand—it clarifies the type of asset the company should build for that trade zone; it pieces the jigsaw of Yum!’s innovation engine together.

“So we’re not only building an asset for the guest,” Wallani says, “but also optimizing that asset for our franchisee.”

KFC is one of the global leaders in this category. There is no cookie-cutter box. There are urban inlines, double drive-thrus, stores that fit into stone arches, and a One Bangkok flagship that’s going to be massive in scale and serve a tidal of visitors.

The 30,000th store that opened in Rome showcases double-sided kiosks and digital menu boards.

KFC Latin America markets recently began the rollout of kiosks using Yum!’s proprietary Tictuk platform (it acquired the Tel Aviv-based business in 2021) and plans to triple the restaurant count in 2024. “That’s the way we look at it,” Wallani says. “What’s the occasion? And then what is the right asset to go after that location?”

“It is easy to think of a restaurant as the four walls of the restaurant,” she adds. “And that’s not necessarily a bad thing—that’s where everything happens. But if you start to think about the restaurant as the center of the brand experience, where everything comes to life in the restaurant, it really gives our development team and our development engine the opportunity to work cross functionally across our brand and to accelerate our global strategy, of which development plays a role.”

The occasion for KFC changes globally. Of course, one of the most recognizable reflections is Japan’s Christmas affinity. KFC entered that market in the 1970s. In 1974, it launched the first KFC Christmas campaign, selling a bucket of fried chicken along with a bottle of wine. The original idea came when a foreign customer who visited KFC in Tokyo on Christmas said, “I can’t get turkey in Japan, so I have no choice but to celebrate Christmas with Kentucky Fried Chicken.” A local employee overheard the remark and used it as inspiration to launch the project and the tagline, “Kentucky for Christmas.”

Today, you’ll see Colonel statues dressed in Santa attire and Christmas-exclusive menu items like premium roast chicken that’s hand-prepared and stuffed with cheese and mushrooms. Preorders and reservations can begin as early as late October.

Sami says KFC’s agility, from assets to menu, hasn’t taken a day off. In markets like the U.K., Middle East, and India, it’s a chicken-on-the-bone business. Move to other parts of Europe and sandwiches, strips, tenders, and boneless offerings dominate.

In Australia, the U.K., and North America, drive-thru, and eating while driving overall, is a big phenomenon. Other areas, like India, don’t have many drive-thrus since a good portion of the population don’t drive and the traffic is so congested sites simply aren’t big enough to develop them. So those tend to be more inline hotspots where guests dine-in and enjoy the environment.

“There are many variations of the menu, the design, the team members who work for our stores, the franchisees, each of them has adapted to the local market,” Sami says. “The look and the feel of the brand is very similar, it’s still the KFC marketing elements in terms of the Colonel, the three stripes, the ‘Finger Lickin’ Good’ slogan, the colors are the same as well, the bucket is also very, very familiar in many markets as well.”

The evolution of message and culture

Whether it’s assets or message, KFC Global operates within the “R.E.D.” framework Yum! uses broadly to support a scalable model. It’s defined as a brand that must have something that is particularly Relevant (R) to a consumer need; that is Easy to get (E); and that stands out as Distinctive in the consumer’s mind (D).

There’s an old story of how KFC in South Africa used this guideline to reinvigorate sliding sales. KFC is about five times or so the size of McDonald’s there. About 10 million South Africans reported eating at KFC at least once in the past four weeks, according to a study by Eighty20.

Yet it endured a prolonged dip Yum! couldn’t quite crack. So the company sent CMO Ken Muench and another strategist over for a few weeks. They dug into culture. Checked out competitors. Sat in consumers’ homes for hours each day. Talked to local professors and artists. What the duo concluded was KFC worked when South Africa’s “Rainbow Nation” movement emerged in a post-apartheid era. The brand’s family position, buckets, and marketing around togetherness helped it capture a broader spirit. And sales exploded. But a new generation ushered in a mindset of individual goal chasing.

That learning inspired a repositioning around “independent success,” and speaking to a fresh core of customers. It’s been a rocketship since.

Wallani says “R.E.D.” for KFC Global boils down to “making the brand easily accessible and then distinctly KFC.”

“What also makes us really unique is the relationship we have with our franchisees and the culture that we built across our organization,” she says. “I would expect if you experienced it, it would feel very different and unique than other brands in our history.”

Sami agrees. Operating in so many countries attracts a plethora of voices, up and down the ladder. “The diversity of teams, franchisees, and employees that we have around the world makes us a really unique place to work,” he says. “… I was recently in Africa, Kenya, and South Africa, the sheer talent of people that we have and the passion for the brand in stores as well as the consumers, it fills your heart with pleasure and pride in the way we operate in those markets.”

Internally, about four years ago, Yum! decided to ratchet up its diversity and inclusion efforts when it came to staffing. Why was it when you visited KFC stores the majority of team members were women, but when you looked at above-restaurant leadership, they weren’t? Or why, in the U.K., most area coaches were Asian, yet not above that tier? “That just provoked the question to say, ‘Hey, wait a minute, there’s clearly some invisible barriers,’” Sami says. “I love the last two to three years we’ve started challenging some of these other paradigms and started unlocking opportunities for people, whether they’re women, people of color, people of minorities or disabilities, or other discrimination factors.”

KFC announced in March it achieved parity between women and men globally across its corporate offices, with women now constituting 51 percent of the collective team.

In terms of what’s next, there aren’t many constraints. Wallani says those 20,000 additional opportunities en route to 50,000 will cover everything from infilling markets like Australia and the U.K. to tackling runway in sub-Saharan Africa. “I would expect that instead of seeing us slow down, you’re going to see us ramp up,” she says. As this unfolds, the brand will continue to lean into community involvement, Sami says. That’s been an anchor of KFC’s development over the decades. In South Africa, KFC runs an “Add Hope” program that feeds children who are less privileged. That’s been going on 15 years and is the largest corporate feeding program in the country. It’s given $54 million from KFC and customer donations since 2009. The locals know it well, he says. “[It’s] seen as a brand that cares for the community,” Sami says. “It creates job opportunities. It creates educational opportunities. It creates wealth for franchise partners and our franchisees there are a part of the local communities. … Consumers see KFC in the holistic sense and say, ‘OK, this is a brand that does care and does the right thing.’”

Wallani adds KFC considers global scale a responsibility. “When it comes to our food, our planet, our people, we are making progress across each one of those to ensure that we are building with responsibility, with purpose, and that we’re not only using our strategy, which is our head and our tools, which is our hands, but we’re also using our hearts as we spread across the world,” she says.

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KFC Marketing Strategy: A Comprehensive Analysis

KFC, or Kentucky Fried Chicken, is known worldwide for its finger-lickin' good fried chicken. But what sets this fast-food giant apart from its competitors? The answer lies in its effective marketing strategy . In this article, we will explore the key elements that have contributed to KFC's success and made it a household name.

Understanding KFC's Marketing Strategy

At the heart of KFC's marketing strategy is a strong focus on branding , product innovation , and advertising techniques. By understanding the role these elements play in the company's success, we can gain valuable insights into what makes KFC tick.

The Role of Branding in KFC's Success

KFC has built a powerful brand identity that resonates with consumers worldwide. The company's logo, featuring Colonel Sanders, is instantly recognizable. But branding goes beyond a logo – it encompasses the overall image, values, and experience associated with KFC. The consistency in branding has helped KFC establish trust and loyalty among its customers.

When customers see the iconic red and white KFC signage, they immediately associate it with the delicious taste of their famous fried chicken. The branding efforts have been so successful that even the sight of the Colonel Sanders logo can make mouths water in anticipation of a finger-licking good meal.

Moreover, KFC's branding extends to the restaurant's interior design and customer service. The warm and inviting atmosphere, coupled with friendly staff, creates a memorable dining experience that keeps customers coming back for more. KFC has successfully created a brand that not only represents tasty food but also a sense of comfort and familiarity.

Related: Dyson Marketing Strategy: A Look at Home Appliance Go-to-Market Strategy and Branding

The Impact of Product Innovation

KFC is not just about fried chicken. The company has continuously introduced new products and menu items to cater to changing consumer preferences. From introducing healthier options to embracing plant-based alternatives, KFC has shown its commitment to keeping up with evolving trends and meeting the diverse needs of its customers.

One notable example of KFC's product innovation is the introduction of their Beyond Fried Chicken, a plant-based alternative to their traditional chicken. This move not only appeals to vegetarians and vegans but also to health-conscious consumers who are looking for more sustainable food options. By diversifying their menu, KFC has expanded its customer base and positioned itself as a brand that adapts to changing times.

KFC's commitment to product innovation is not limited to new menu items. The company also invests heavily in research and development to improve the quality and taste of their existing offerings. Through continuous improvement, KFC ensures that their customers always enjoy the best possible dining experience.

The Power of KFC's Advertising Techniques

Advertising plays a crucial role in creating awareness and driving sales for KFC. The brand's advertising campaigns are creative, engaging, and often evoke a sense of humor. Whether it's the catchy jingle or the humorous storytelling, KFC's advertisements stay top of mind and generate a strong emotional connection with consumers.

One of KFC's most memorable advertising campaigns was the introduction of their "Finger Lickin' Good" slogan. This simple yet effective phrase perfectly captured the essence of the brand and became synonymous with the joy of indulging in KFC's delicious chicken. The slogan became so ingrained in popular culture that it is still associated with KFC to this day.

KFC's advertising techniques also extend to social media platforms, where the brand engages with its customers in a fun and interactive way. From clever memes to engaging contests, KFC keeps its audience entertained and connected. By leveraging the power of social media, KFC has successfully created a strong online presence and fostered a community of loyal fans.

In conclusion, KFC's marketing strategy revolves around effective branding, continuous product innovation, and engaging advertising techniques . By staying true to its brand identity, adapting to changing consumer preferences, and creating memorable advertising campaigns, KFC has established itself as a global powerhouse in the fast-food industry.

Related: The Effective Lego Marketing Strategy: Building Success Brick by Brick

The Global Reach of KFC's Marketing

KFC's success is not limited to a single market – it has successfully expanded its reach to numerous countries around the world. So, what does it take to adapt marketing strategies for different cultures and address global trends?

Adapting Marketing Strategies for Different Cultures

KFC recognizes that cultural nuances can significantly impact consumer behavior. To succeed in different markets, the company tailors its marketing messages, menu offerings, and even store designs to suit local preferences. This localization approach has helped KFC position itself as a brand that understands and respects the customs and tastes of diverse communities.

For example, in India, where the majority of the population follows a vegetarian diet, KFC introduced a range of vegetarian options to cater to the local market. By offering dishes such as the Veg Zinger and Veg Rice Bowl, KFC was able to tap into the Indian market and attract a wider customer base.

In China, KFC adapted its marketing strategies to align with the Chinese New Year, a significant cultural event. They introduced special limited-edition menu items and launched festive campaigns to celebrate the holiday. This approach not only resonated with Chinese consumers but also showcased KFC's commitment to embracing local traditions.

The Influence of Global Trends on KFC's Marketing

As a global brand, KFC must monitor and adapt to global trends. From sustainability to convenience-driven consumer behavior, KFC identifies emerging trends and incorporates them into its marketing strategies. By staying ahead of the curve, KFC remains relevant and appealing to a wide range of customers worldwide.

One global trend that has greatly influenced KFC's marketing is the growing demand for healthier food options. In response, KFC introduced grilled chicken as an alternative to its signature fried chicken. This move not only catered to health-conscious consumers but also positioned KFC as a brand that values customer well-being.

Another global trend that has shaped KFC's marketing approach is the rise of social media and digital platforms. KFC leverages these platforms to engage with its audience, create viral marketing campaigns, and gather valuable consumer insights. By embracing digital trends, KFC has been able to connect with customers on a more personal level and maintain a strong online presence.

Furthermore, KFC recognizes the importance of sustainability and environmental responsibility. The company has taken steps to reduce its carbon footprint by implementing eco-friendly practices, such as using biodegradable packaging and sourcing ingredients from sustainable suppliers. By aligning its marketing messages with the global trend towards sustainability, KFC appeals to environmentally conscious consumers and showcases its commitment to a better future.

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The Role of Digital Marketing in KFC's Strategy

In today's digital age, no marketing strategy is complete without a strong online presence. KFC has embraced digital marketing techniques to engage with its customers in new and exciting ways.

But what exactly does digital marketing entail for KFC? Let's delve deeper into the various aspects of KFC's digital marketing strategy and how it has helped the brand thrive in the competitive fast food industry.

Social Media and KFC's Brand Image

KFC leverages social media platforms to connect with its audience and reinforce its brand image. Through entertaining and engaging content, KFC stays relevant and forms meaningful connections with its followers.

For instance, KFC's witty and humorous posts on Twitter have become a sensation, garnering thousands of retweets and likes. By adopting a playful tone and incorporating pop culture references, KFC creates a unique brand personality that resonates with its target audience.

Moreover, KFC's social media presence extends beyond just posting content. The brand actively interacts with its followers, responding to comments and messages, which further strengthens the bond between KFC and its customers. This approach helps drive brand loyalty and generate positive word-of-mouth.

KFC's Use of SEO and Online Advertising

KFC understands the importance of search engine optimization (SEO) and online advertising in reaching and attracting potential customers. By optimizing its website and running targeted online campaigns, KFC ensures its message reaches the right audience at the right time.

When it comes to SEO, KFC focuses on optimizing its website for relevant keywords, ensuring that it appears prominently in search engine results. This allows potential customers who are searching for fast food options to easily find and consider KFC as their preferred choice.

In addition to SEO, KFC also invests in online advertising to increase its brand visibility. Through strategic partnerships with popular websites and platforms, KFC's advertisements are strategically placed in front of its target audience, maximizing the chances of attracting new customers.

Furthermore, KFC embraces the power of data-driven marketing. By analyzing customer behavior and preferences, KFC can tailor its online advertising campaigns to deliver personalized messages to specific segments of its target audience. This strategic use of digital marketing channels contributes to increased brand awareness and customer acquisition.

In conclusion, KFC's digital marketing strategy encompasses various elements, including social media engagement, SEO, and online advertising. By leveraging these techniques, KFC has successfully built a strong online presence, connecting with its customers on a deeper level and driving brand loyalty. As the digital landscape continues to evolve, KFC remains at the forefront, constantly adapting its digital marketing efforts to stay relevant and continue its growth in the fast food industry.

Related: Liquid Death Marketing Strategy Case Study: Slaying the Beverage Industry with Killer Branding and Marketing

The Future of KFC's Marketing Strategy

What lies ahead for KFC's marketing strategy? Let's explore the emerging trends and the company's commitment to sustainability and ethical marketing .

Emerging Marketing Trends and KFC

KFC recognizes the ever-changing marketing landscape and continues to innovate. From embracing technology, such as mobile ordering and delivery apps, to exploring new ways to engage with Gen Z, KFC stays at the forefront of emerging marketing trends . This adaptability ensures that KFC remains relevant for years to come.

One of the emerging marketing trends that KFC has embraced is the use of social media influencers. By partnering with popular influencers who align with the brand's values and target audience, KFC is able to reach a wider audience and create a buzz around their products. These influencers often create engaging content featuring KFC's menu items, which not only increases brand visibility but also generates excitement and curiosity among consumers.

Another trend that KFC has tapped into is experiential marketing. The company understands that consumers are looking for more than just a meal - they want an experience. KFC has created immersive dining experiences, such as pop-up restaurants and themed events, where customers can not only enjoy their favorite KFC dishes but also engage with the brand in a unique and memorable way. These experiences not only create a sense of exclusivity but also encourage customers to share their experiences on social media, further amplifying KFC's reach.

Sustainability and Ethical Marketing at KFC

As consumer awareness of sustainability and ethical practices grows, KFC has made strides to address these concerns. The company has taken steps to source ingredients responsibly, reduce its carbon footprint, and contribute to local communities. By prioritizing sustainability and ethical practices, KFC not only meets consumer expectations but also differentiates itself as a socially responsible brand.

KFC has implemented various sustainability initiatives to minimize its environmental impact. For instance, the company has invested in energy-efficient equipment and technologies to reduce energy consumption in its restaurants. Additionally, KFC has partnered with suppliers who follow sustainable farming practices, ensuring that the ingredients used in their menu items are sourced responsibly.

Furthermore, KFC is committed to giving back to the communities it operates in. The company actively supports local initiatives and charities, focusing on areas such as education, hunger relief, and disaster response. By engaging in philanthropic efforts, KFC not only strengthens its relationship with local communities but also showcases its commitment to making a positive social impact.

Related: Lululemon Marketing Strategy - A Closer Look

Final Thoughts on KFC's Marketing Strategy

In conclusion, KFC's effective marketing strategy has played a pivotal role in its worldwide success. Through a combination of strong branding, product innovation, and engaging advertising techniques, KFC has built a loyal customer base. Furthermore, by adapting its marketing strategies for different cultures, embracing digital marketing, and staying ahead of emerging trends, KFC continues to thrive in an ever-changing marketplace. As the company looks to the future, its commitment to sustainability and ethical marketing only solidifies its position as a leading global brand.

Frequently Asked Questions About KFC's Marketing Strategy

What type of marketing does kfc use.

KFC employs a blend of traditional and modern marketing strategies to connect with its audience across different platforms. This includes engaging in digital marketing efforts through social media, search engine marketing, and content marketing to interact with customers online.

Additionally, KFC invests in traditional advertising channels such as television, radio, and print to maintain widespread visibility. The brand also undertakes experiential marketing campaigns that create unique, branded experiences to foster a deeper emotional connection with its audience. Furthermore, KFC practices localized marketing strategies, tailoring its menu items and marketing messages to suit the cultural and regional preferences of its diverse global markets, ensuring relevance and appeal across various demographics.

What are the 4Ps of KFC marketing strategy?

The 4Ps of KFC's marketing strategy encompass Product, Price, Place, and Promotion. KFC's product strategy is centered around its signature original recipe chicken, complemented by a variety of other menu items designed to cater to local tastes and dietary preferences, including burgers, wraps, salads, and vegetarian options.

In terms of pricing, KFC adopts a competitive strategy that aims to deliver value for money while taking into consideration the local economic conditions and target customer segments.

The place aspect of KFC's strategy involves strategic location selection for its restaurant locations in high-traffic areas and an emphasis on online delivery platforms to maximize convenience for customers.

For promotion, KFC utilizes a mix of online and offline advertising, sales promotions, special offers, and local events to engage with customers and stimulate sales, ensuring a broad and effective reach.

What is KFC's business strategy?

KFC's current business strategy focuses on global expansion, innovation, and localization to drive growth and maintain its competitive edge.

The brand is committed to extending its international presence, particularly in emerging markets, by increasing its number of outlets and venturing into new regions. KFC places a strong emphasis on menu innovation, regularly introducing new and innovative products to keep the brand fresh and appealing.

Localization plays a critical role in KFC's strategy, with the brand adapting its menu and marketing efforts to align with local tastes, cultural norms, and preferences, a move that has been instrumental in its success across diverse markets. Additionally, KFC strives for operational efficiency by streamlining operations to reduce costs and improve customer service, leveraging technology in order processing and delivery services. The expansion of KFC's global footprint through franchising allows the brand to benefit from local expertise while mitigating operational risks.

What is KFC competitive strategy?

KFC's competitive strategy leverages differentiation and market penetration to maintain its position in the fast-food industry. The brand differentiates itself with its unique secret blend of 11 herbs and spices, high-quality ingredients, and distinct taste that sets it apart from competitors.

Through aggressive market penetration, KFC ensures that it remains accessible to a vast number of consumers by expanding the number of its outlets both domestically and internationally. KFC also focuses on enhancing the customer experience, improving service quality, restaurant ambiance, and engaging digitally to foster customer loyalty and encourage repeat business.

The brand is committed to adaptation and innovation, continuously updating its product offerings and embracing technological advancements in service delivery, such as mobile ordering and delivery services, to meet the evolving demands of consumers and stay ahead of competition.

About the Author

Hi, I'm Justin and I write Brand Credential. I started Brand Credential as a resource to help share expertise from my 10-year brand building journey. ‍ I currently serve as the VP of Marketing for a tech company where I oversee all go-to-market functions. Throughout my career I've helped companies scale revenue to millions of dollars, helped executives build personal brands, and created hundreds of pieces of content since starting to write online in 2012.

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Richard Priday

The inside story of the great KFC chicken shortage of 2018

Why didn't the chicken cross the road? Because of a single point-of-failure in the chicken restaurant's supply chain and lack of contingency planning, that's why.

With over three quarters of its locations closed on Monday, KFC was thrust into the national news as the fried chicken shop that had run out of chicken. But as the details emerged, the blame was moved to DHL.

Having become the chain's new logistics partner on February 14, the day the crisis began to take shape, the company and its single warehouse in Rugby (as opposed to previous contract holder Bidvest's six) were put under intense scrutiny for their failure to deliver KFC's ingredients. What led to the break down of the supply chain? Are DHL wrong for using one depot? And how long until the situation returns to normal? We asked a pair of experts to find some answers.

At around 01:40 on February 14, a collision involving seven vehicles took place between junctions two and three of the M6. One man was killed, and two others injured. Police closed off the area between the two junctions to investigate, and eventually arrested a man on suspicion of causing death by dangerous driving. Shortly afterwards, a pair of lorries collided near junction one, although neither driver was injured.

These three junctions are in the vicinity of Rugby, where DHL's warehouse is located. With its lorries getting stuck in the traffic as soon as they left the depot, and no other locations to send deliveries from, the delays that would lead to the KFC chicken shortage began here. In a statement, DHL said it was working with KFC to re-open all its stores in the coming days. "Whilst we are not the only party responsible for the supply chain to KFC, we do apologise for the inconvenience and disappointment caused to KFC and their customers by this incident,” the spokesperson continued. KFC did not respond to a request for comment.

Many have questioned the wisdom of operating out of a single warehouse, but according to Richard Wilding, professor of supply chain management at Cranfield School of Management, this is apparently not uncommon.

"You have something called the 'golden rectangle' that is between Milton Keynes, Rugby, Daventry and Northampton," he says. "If you locate a facility in that rectangle, you can deliver overnight to just about anybody in the United Kingdom. This is quite a standard way of working for supply chains of this type."

Emily Mullin

Angela Watercutter

Kate O'Flaherty

However, even if it is possible to use a single warehouse, Samir Dani, professor of logistics and supply chain management at the University of Huddersfield's Business School, thinks that it isn't always appropriate to do so. "Companies may operate out of one warehouse, but you have to think about the product. There are legality issues around the quality of the produce and the contamination that can happen is not handled properly. That's the problem with food, distribution can't be thought about like any other supply chain."

The lack of chicken began to hit on February 16. KFCs started to shut down locations in response to their missing ingredients, meaning that by February 18, only 266 of the 870 restaurants in the UK and Ireland were open. Locations in Northern Ireland and the Republic of Ireland have not been affected due to different logistical arrangements.

Dani says the cause of the crisis which shut over two thirds of KFC's locations will be debated for a long time to come, but believes the decision to use the single depot didn't help matters. "Serving the length and breadth of the country from one warehouse is a complex task anyway. The fact that it was a new warehouse, new IT system, and the handover was just happening, makes this a perfect storm."

But the full cause of the great chicken crisis is more complex. "Using a single location will not be the lone cause of this particular problem at all," says Wilding. "There will have been a number of elements which have come together. Demand, automation in the facility, the planning software, all those sorts of things interacting together. There may be a particular cause which will come out of this, but pinpointing that may be a tricky thing."

Dani thinks poor preparation may also be to blame. "It's a complex scenario, but I think it would mainly be the network planning. To send perishable products into the stores, you have to think about what kind of network you need, how many distribution centres? I think that planning may have had a failing of some kind. The IT systems may not have had the right checks before going live, if so, what were the contingency measures in those circumstances?" In a supply chain, he continues, disruption can happen for lots of reasons, but in the case of KFC a number of things have seemingly gone wrong at once.

Disruption is fairly common in supply chains. Wilding says that approximately ten per cent of chains experience disruption during a year. Normally these aren't noticeable because only a small number of locations or a certain item would be affected. But in KFC's case, with its specialised menu and single warehouse, the problem was much larger, and quickly noticed by customers.

In terms of returning to normality, Wilding says there are a few separate questions to consider. "How long will customers still be noticing the disruption? Probably for another few days. However, the overall disruption to the whole network, including the chicken farms and so on, that's going to go on for a longer period of time. Then you've got to ask how long it's going to take for KFC to rebuild confidence with its customer base."

It's safe to say that public confidence in KFC is shaken. Between phone calls to Tower Hamlets Police complaining about the limited menu, and a movement in Bristol to nationalise the chain to prevent future trouble, regaining the people's trust will be a formidable task for Colonel Sanders. No matter how finger lickin' good his products might be.

Dani thinks people are missing the point by focusing on just the restaurants and their customers. "The bigger question is from a sustainability and food waste perspective. KFC have 500 farmers in the network that deliver chickens, which is the beauty of the model because it lets them use fresh chicken. What's happening to the farmers in this situation? What's happening to the chickens that are in the system at the moment? How much of it is being wasted?"

Plenty, as it turns out. There have been reports of entire lorries of chicken spoiling in the depot, as drivers are kept waiting for hours just to enter; another driver said the temperature regulator on his trailer had been set incorrectly, leading to more food waste .

So, what can we learn from all of this? Perhaps it's the importance of planning for the worst. "I think in this scenario you cannot see any contingency planning in place," Dani says. "They are reacting to the situation as a crisis rather than saying that they had thought about this scenario and are going to go back to stability very quickly. So I think it's shown that they were not resilient enough."

For Wilding, the tale of KFC highlights an oft-overlooked area of competition. "The key thing to recognise is that competition is no longer between individual companies, it's between the supply chains they are part of."

"What makes up those supply chains is lots of different companies, lots of different relationships, all trying to manage processes, infrastructure, equipment, information systems and its staff, to make all of that perform in a synchronised way, so that the customer gets the chicken they want."

This article was originally published by WIRED UK

Matt Reynolds

Dennis Mersereau

Yum! Brands 2020 Annual Report

Please see our Safe Harbor Statement.

UNLOCKING OPPORTUNITY for GROWTH & GOOD!

Dear fellow stakeholders:.

At Yum!, we have a clear vision for building the world’s most loved, trusted and fastest growing restaurant brands . It begins with our franchisees and restaurant team members who bring our vision to life, one meal at a time. Our unified global system serves millions of customers each day, provides opportunities for our team members and supports the communities in which we operate. As the world’s largest restaurant company with more than 50,000 restaurants , our unmatched scale enhances our ability to create competitive advantages to fuel our Recipe for Growth and Good.

We enter 2021 a stronger company that is primed to grow, made better and more resilient by the challenges of 2020. I am incredibly proud of our people and the way we came together to navigate these challenges. We galvanized our global system’s commitment to our Growth and Good strategy , underpinned by an unmatched culture of cross-brand collaboration, people and franchisees that has put us on solid footing to move forward.

Across Yum!, we intensified our focus on leveraging our scale and created sustainable competitive advantages to fuel growth for our franchisees. This includes the continual acceleration of digital and technology initiatives to enhance the customer experience, off-premise capabilities and unit economics across the globe.

2020 Highlights: More than 35,000 of our restaurants are offering delivery , representing a 16% increase year-over-year, driven in part by expanded aggregator partnerships. We ended 2020 on a digital sales high note of a record $17 billion , about a 45% increase over the prior year. On average, we opened seven gross restaurants per day, and we ended the year with more than 50,000 global restaurants in approximately 290 brand-country combinations , with system sales exceeding $50 billion .

• KFC is “Always Original” . Across the globe, KFC continued to invest in innovation by rebundling, repackaging and reconceptualizing our core menu items. From our world famous Original Recipe to new signature flavors and formats, KFC is all about making the most craveable, Colonel-inspired chicken in the world, the right way, with our 11 secret herbs and spices.
• Pizza Hut continued its commitment to ensuring every customer has a Hot, Fast and Reliable experience, supporting the shift to off-premise and abundant value offerings. As the first to provide America with Pan Pizza and Stuffed Crust Pizza, Pizza Hut is a true innovator in the pizza category.
• Taco Bell is truly a Category of One for Everyone . We believe everyone deserves the right to Live Más and spent 2020 with a focus on progressing digital capabilities with our new Taco Bell Rewards loyalty program and delivery, as well as promoting opportunities to enjoy Cravings Boxes and Party Packs.
• The Habit Burger Grill is the spirit of Santa Barbara, and our commitment to quality is at the heart of everything we do. In 2020, we built customer awareness through new access options and digital engagement and shifted our marketing to focus on Family Meal Bundles.

Our Recipe for Growth’s four pillars are the foundation upon which we’re building sustainable, long-term results. These growth capabilities, outlined below, are the key drivers of same-store sales and net new unit growth and serve as our guiding principles in all business decisions.

• Unrivaled Culture & Talent We are leveraging culture and people capability to fuel brand performance and franchisee success.
• Bold Restaurant Development We are driving market and franchise unit expansion with strong economics.
• Unmatched Operating Capability We are recruiting and equipping the best restaurant operators in the world to deliver great customer experiences.
• Relevant, Easy & Distinctive Brands We are innovating and elevating iconic restaurant brands people trust and champion.

Our Recipe for Good is focused on leading with socially responsible and sustainable stewardship of our people, food and planet.

• People: We Unlock Opportunity We are stepping up our investment in Yum!’s new social purpose to unlock opportunity in our people and communities, with a special focus on championing equity, inclusion and belonging across all aspects of our brands and franchise business.
• Food: We Serve Food People Trust We have an unwavering commitment to serve food that people trust. That means going above and beyond when it comes to food safety, listening and responding to customers’ evolving preferences and improving the nutritional value of our menu items.
• Planet: We Grow Sustainably We are balancing business growth with environmental sustainability. With the Yum! franchise system opening new restaurants every day, it’s important that we use our scale for good to minimize the environmental impact of our restaurants and supply chain.

As I enter my second year leading Yum!, I’m more confident than ever that our consumer-focused, digitally enabled brands will grow same-store sales, unit economics will support profitable development, and Yum! is well positioned to maximize value creation for years to come. Thank you to our shareholders, customers and Yum! family for your continued support.

David Gibbs, CEO

David Gibbs, Chief Executive Officer, Yum! Brands, Inc.

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KFC’s recipe for cutting restaurant emissions by 46%

Decarbonization measures including optimizing exhaust hoods and food warming equipment will be required for new and existing franchisees.

By Heather Clancy

May 8, 2024

EV charging stations on are the future list of considerations for KFC franchisee "must haves." Source: KFC

New and existing KFC franchisees are being asked to follow the company’s stricter guidance for slashing their carbon footprint, through its Building Green initiative , a plan developed by KFC’s development and sustainability teams. That blueprint focuses on 11 "simple but meaningful" and mandatory measures it is encouraging, and planning to require, around the world as franchisees build or refurbish locations.  

KFC is one of the fastest-growing food retail chains in the world, with almost 30,000 franchise restaurants and counting: There’s at least one new location opening every 3.5 hours. Those stores account for at least one-third of KFC’s Scope 3 emissions, about the same as the footprint associated with raising the chickens that dominate KFC’s menu. 

Scope 3 accounts for the vast majority of emissions for fast food companies such as KFC, usually above 90 percent. A 2018 survey by the National Restaurant Association found that slightly less than half were investing in energy-efficient equipment.

KFC will step up compliance requirements for its Building Green measures with new franchisees over the next 12 to 18 months, said Nivera Wallani, chief development officer at KFC. Existing franchisees must comply during remodels. 

"We are really rallying franchisees around growing in a more sustainable and purposeful way," Wallani said. "You need to draw the line in the sand somewhere."

KFC leads by example

The strategy is part of KFC parent company’s Yum! Brands’ plan to reduce the emissions per franchise restaurant by 46 percent by 2030, compared with a 2019 baseline. Put another way, that’s a cut of 96.2 metric tons of carbon dioxide per restaurant by the end of the decade. As of Yum’s 2022 sustainability report (its latest one) , the company behind brands including KFC, Pizza Hut and Taco Bell had managed a 28 percent reduction.

KFC accounts for the largest physical footprint of those brands, more than 50 percent of Yum’s retail stores. Many measures that the subsidiary is embracing and resources it’s creating for franchisees will be extended to other brands over time, said Nira Johri, chief sustainability officer at KFC, who marked her first anniversary with the company in March. 

"We think about it three ways," she said. "We think about efficiency, we think about optimization, and then we think about renewables. The market will vary in which of these [franchisees] will deploy." 

KFC supports these measures by working closely with equipment suppliers to specify standards, policies and guardrails for the franchisees. The goal is to keep these measures from becoming cost-prohibitive. Over the next two years, the "must haves" will become part of franchisee contract requirements, although the exact timeframe hasn't been solidified, Johri said. 

"This will be part of the way that we choose the franchisees that we want to grow with and partner with," Johri said. "We’re adding this as a component of the culture." 

The current "must haves" for compliance are summarized in the graphic below.

Big energy cuts from rightsizing food prep and warming equipment

The ideas were originally based on ideas advocated under the U.S. Green Building Council’s Leadership in Energy and Environmental Design (LEED) program, but were adapted to suit KFC’s specific needs. 

In the past, for example, KFC restaurant designs were based on a standard template that specified a "one size fits all" exhaust hood and heating, ventilation and air condition equipment, which could be overkill from an energy consumption standpoint. Now, franchisees have options. Rightsizing cooking and holding systems used to keep food warm during peak periods, or that operate only as demand dictates, has helped save 4 percent on power consumption in the locations that use it. KFC-recommended changes to refrigeration and cooling can bring another 4 percent reduction, depending on the size of the location. 

Franchisees are also saving energy and money with changes to exterior and interior lighting, including new spotlights. That "simple switch" has led to emissions cuts of about 5 percent on average across the restaurant portfolio, Wallani said. 

Potential obstacles: Commissioning and procurement

Many franchisees welcome KFC’s ideas because they can reduce operational costs, according to Wallani.

That message will be crucial for franchisees, said Alastair MacGregor, national business line executive, who runs the U.S. building practice for consulting firm WSP. Providing a standardized approach helps, but local franchisees need to be empowered to make decisions that make sense for their local market.

Requiring rooftop solar panels, for example, wouldn’t make sense in a region where there is abundant hydropower. And improvements that require upfront capital costs are likely to be nonstarters.

"How do they make this economically viable to the franchise holder?" MacGregor said. 

Often, the biggest challenge is procuring equipment to meet KFC’s guidelines, so the company’s supply chain team works with franchisees to help with sourcing and negotiating pricing. KFC also requires an independent evaluation of locations as they embrace these measures, the KFC executives said.

KFC's Green Line furniture is made of recycled materials and is modular, so it can be repaired piece by piece. Source: KFC

Coming soon: Recycled restaurant furniture, building materials 

The next "must have" on KFC’s Building Green blueprint — in some stories today and rolling out more extensively in 2025 — is highly durable furniture made from recycled materials. 

The so-called Green Line portfolio , developed by KFC in collaboration with business partners, is modular. That allows some pieces to be replaced if they become broken without having to rip out an entire chair, table or other item. The furniture is lighter, helping reduce related transportation emissions by 32 percent.

"Greener stores initiatives have been going on for some time," said Jeff Clark, director of business engagement on food safety, nutrition and sustainability at the National Restaurant Association. "The low-hanging fruit has been plucked, and [KFC is] working on this more holistically."

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A Report on the Corporate Social Responsibility of KFC. We invest to deliver a better tomorrow

This report analyses the CSR initiative launched by one of the world’s leading fast food restaurant, KFC to maintain a heathy and transparent supply chain. KFC has been criticized by PETA on its animal cruelty and unethical practices which had led to a decline in the sales, profits and reputation. The company was in limelight for many odd reasons which are discussed in the report. The company worked with Tyson Foods which was accused of routine cruelty and random sadism to chickens in the slaughterhouse at Tyson Foods. KFC did face allegations for working with unethical suppliers. The study also evaluates the company’s CSR using Carrolls 4-part model which provides a picture of the company’s current CSR position in the industry. It details out the economic, legal, ethical and philanthropic responsibilities of KFC. Also a comparison study has been done on its potential competitor, McDonald’s which did face the same issues of animal welfare in the past and how the company worked on the CSR to improvisation on animal health, nutrition and welfare and also contribute to the community. The study shows the unethical usage of antibiotics which is an alarming situation for the brand as well as for its shareholders and stakeholders. This would have a major impact on its sales and profits. The suggestions in the report are made on the basis of providing various allegations faced by the brand. Be it unethical supply chain in china or unhygienic outlets in Australia. The report was designed by studying and researching various articles from newspapers and books on operation management and operation strategy. Finally the report ends with conclusion and a summation of recommendation.

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PESTLE Analysis

Insights and resources on business analysis tools

PESTEL Analysis of KFC

Last Updated: Oct 7, 2019 by Kiesha Frue Filed Under: PEST Analysis , PEST Examples

Kentucky Fried Chicken, now officially known as KFC, is a popular fast-food restaurant. Anyone in over 100 countries will recognize the familiar face of Colonel Sanders and the spicy aroma of the beloved fried chicken. But it takes more than love and popularity to keep a massive corporation like KFC running.

In this PESTEL analysis of KFC, you’ll learn how six critical macro-environmental factors influence the success of one of the world’s most known fast-food joints. Be sure to check out the SWOT analysis of KFC for more information about the strengths, weaknesses, opportunities, and threats that KFC faces today.  

Political factors KFC

KFC didn’t always use an abbreviation of their original name, but once “fried chicken” became associated negatively, the company decided a change was necessary for the brand’s image.

KFC is one of the only fast-food restaurants with unhealthy food in the name — unlike McDonald’s or Burger King, in which burgers can still be healthy). KFC did the smart thing; dropped the “fried” without having to entirely overhaul their name and image. It’s a psychological change; KFC still sells the same high-calorie chicken, but eliminating the word from consumer minds can cause them to “forget” the connection between unhealthiness and fried chicken.

Over the last couple of years, KFC has been drawn into political drama. On the official Twitter page, KFC mocked McDonalds’ mascot while simultaneously parodying President Donald Trump’s tweet, where he mentions having a “bigger and more powerful” nuclear button than North Korea. Mocking Mr. Trump ruffled the feathers of his supporters, and even those who aren’t his fans weren’t thrilled with KFC’s mocking tone in general. Some did see the tweet as harmless humor, but perhaps in poor taste.

In May, KFC became the accomplish of a political dispute. Tennessee Democrat, Rep. Steve Cohen, attempted to mock Attorney General William Barr by busting out a giant bucket of Kentucky Fried Chicken during a hearing . This was Cohen’s attempt at calling Barr a “chicken.” In the press images, KFC’s logo was clearly displayed. This wasn’t a publicity stunt with KFC’s permission (that we know of) and it could’ve easily tarnished KFC’s reputation.

Economical factors KFC

Yum! Brands owns KFC and similar fast-food restaurants, including Pizza Hut and Taco Bell. All of these corporations are struggling in the Chinese market. While most can’t seem to grow, many are on a profit decline .

Part of the problem for KFC is the association with fried chicken, one they’ve tried to separate from by abbreviating the name. The health-conscious crowd isn’t interested in fatty, calorie-dense foods. And since most of KFC’s menu includes some form of fried chicken, these consumers don’t have many choices.

Luckily, KFC is creating vegan items to compensate for vegan and dieting consumers. As of a few days ago, KFC started experimenting with fried chicken sandwiches; instead of buns, doughnuts will house the fried chicken . And they’ve created two vegan fried “chicken” options, which are essentially boneless wings and vegan nuggets. Hordes of people came running to the nearest KFC location just to try these new creations. Clearly, these experiments were successful for the company, both economically and socially.

Social factors of KFC

Fast-food restaurants struggle with social issues that associate negative feelings from consumers to the brands. Many people worry about the mistreatment of minimum wage food workers. They also worry about how the animals used for the menu live; many are injected with hormones, kept in cramped compartments for the entirety of their lives, and forced to carry more fat than normal. Organizations like PETA have raged against the mistreatment of these animals, boycotting the companies who follow this unethical practice.

Another issue is, of course, the high-calorie food. KFC’s menu is filled with these foods, and with the obesity crisis thriving in Western countries, restaurants like KFC are often blamed for the epidemic. Offering vegan options is one way to appease people desiring healthier options; it also introduces consumers, who otherwise wouldn’t look twice at KFC’s offerings, into the restaurants.

Technological factors KFC

Unlike many other fast-food restaurants, KFC are adopting the newest technology for workers . They believe that by improving the environment for employees, customer service may improve too. It’s a rather normal move considering how tech-savvy many of the younger workers are. They’re more likely to accept and understand new forms of technology in the workplace, such as voice-activated tests for trainees.

A KFC location in Australia is introducing communication for employees through social media. Employees are encouraged to ask questions and share ideas on this platform with each other.

Beyond the workplace, KFC is also offering advanced technology for deliveries, kiosks, and easier ordering. You can now order your meal before reaching the cash register, making the entire process much quicker for customers. This is a “click-and-collect” feature and it’s already beneficial for KFC restaurants in Australia; approximately 98% of locations offering click-and-collect have witnessed a 20% profit increase.

Environmental factors of KFC

A complicated history with KFC’s paper supplier has affected the personal opinion of the brand. The paper company is linked to deforestation , which negatively impacts the health of the planet . It also contributes to the endangerment of wildlife and similar species who are already on the brink of extinction.

Legal factors of KFC

At the moment, KFC operates in more than 120 questions around the world. To remain operational, the company must follow the laws in each location. This includes filing the proper amount of taxes, adhering to labor laws, and ensuring all restaurants are up-to-code. If they fail to follow any of the legalities , they may find themselves in court or even shutdown.

PESTEL Analysis of KFC: In conclusion

KFC remains a staple fast-food restaurant in today’s world. Despite the latest political stunts and debacles, the company is focusing on adopting new menu items and technology to improve customer satisfaction. And it’s working; profits in set locations are already on the rise. If the company can step away from questionable corporate relationships and adhere to laws and regulations, it’ll likely continue to flourish in the fast-food industry.

Image by  Sharon Ang

Report on Kentucky Fried Chicken (KFC)

KFC (Kentucky Fried Chicken)

Harland Sanders, founder of the original Kentucky Fried Chicken, born in 1890, just outside Henryville, Indiana. After a series of jobs, in the mid 1930s at the age of forty, Colonel Sanders bought a service station, motel and cafe at Corbin, a town in Kentucky. He began serving meals to travelers on the dining table in the living quarters of his service station because he did not have a restaurant. It is here that Sanders began experimenting with different seasonings to flavor his chicken which travelers loved and for which he soon became famous. He then moved across the street to a motel and restaurant, which seated 142 people. During the next nine years he developed his secret recipe of 11 herbs and spices and the basic cooking technique which is still used today. Sander’s fame grew. In 1939, his establishment was first listed in Duncan Hines’ “Adventures in Good Eating”.

Internationalisation Process

In 1952 the Colonel Harland Sanders begins actively franchising his chicken business by traveling from town to town and cooking batches of chicken for restaurant owners and employees. When the reaction was favourable The Colonel awards Pete Harman of Salt Lake City with the first KFC franchise. A handshake agreement stipulates a payment of a nickel to Sanders for each chicken sold.

In 1957, Kentucky Fried Chicken first sold in buckets. During 1960 the Colonel’s hard work on the road begins to pay off and there are 190 KFC franchisees and 400 franchise units in the U.S. and Canada.1964 Kentucky Fried Chicken has more than 600 franchised outlets in the United States, Canada and the first overseas outlet, in England. Later that year Sanders sells his interest in the U.S. company for $2 million to a group of investors headed by John Y. Brown Jr., future governor of Kentucky. The Colonel remains a public spokesman for the company. In 1966 the Kentucky Fried Chicken Corporation then goes public.

In 1971 more than 3,500 franchised and company-owned restaurants are in worldwide operation when Heublein Inc. acquires KFC Corporation. In 1979 KFC cooks up 2.7 billion pieces of chicken. There are approximately 6,000 KFC restaurants doing there operations worldwide.

Kentucky Fried Chicken becomes a subsidiary of R.J. Reynolds Industries, Inc. in 1982 (now RJR Nabisco, Inc.) when Heublein, Inc. is acquired by Reynolds. In 1986 PepsiCo, Inc. acquires KFC from RJR Nabisco, Inc. In 1997 PepsiCo, Inc. announces the spin-off of its quick service restaurants – KFC, Taco Bell and Pizza Hut – into Tricon Global Restaurants, Inc. Tricon Global Restaurants, Inc., the world’s largest restaurant company, in 2002 changes its corporate name to YUM! Brands, Inc. In addition to KFC, the company owns A&W® All-American Food® Restaurants, Long John Silvers®, Pizza Hut® and Taco Bell® restaurants.

In 2006 more than a billion of the Colonel’s “finger lickin’ good” chicken dinners are served annually in more than 80 countries and territories around the world. In 2007 KFC proudly introduces a new recipe that keeps the Colonel’s 11 herbs and spices and finger-lickin’ flavor, but contains Zero Grams of Trans Fat per serving thanks to new cooking oil.

There are over 14,000 KFC outlets in 105 countries and territories around the world. And every day, nearly eight million customers are served around the world.

As a global company with a diverse and ever-changing workforce, we face significant challenges. For example, our rapid growth in emerging markets like India and Russia requires us to adapt our policies to these markets, and to learn from our new partners. Building a diverse foundation at all of our brands gives us a competitive edge and helps us operate as a local business in international markets.

http://www.kfc.com/about/history.aspv

http://www.yum.com/responsibility/diversity.asp

What are the aims and objectives of KFC?

The aims and objectives of KFC are not only to sell chicken to make money and make a profit, they are to expand as a business whether that’s to be a world wide business or just to open up a few more restaurants around the country to provide a better and faster service for the customer, to beat competitors/rivals such as McDonalds, burger king, pizza hut etc.

To sell food in a fast, friendly environment that appeals to pride conscious, health minded consumers.

Stated Objectives

• Product development
• Increase variety on menu
• Introduce desert menu

Increase profitability of KFC through the following:

• Reduced overhead costs
• Increased efficiencies
• Improved customer service
• Cleaner restaurants
• Faster and friendlier service
• Continued high quality products
• Resolve franchise problems in the United States.

Implied Objectives

• Increased percentage of overall sales growth
• Increased percentage of profit growth
• Increased expansion of franchises into Mexico
• Expansion of franchise operation beyond Central America
• Continued promotion of healthier image through removal of the word “fried” from the name
• Improve menu selection of rotisserie

http://wiki.answers.com/Q/What_is_the_aims_and_objectives_fo_KFC

http://www.Kfc.com/

World famous Menu of KFC

KFC offers world famous menus in there restaurants, which work as there main motives in doing business in the world. Every day, nearly eight million customers are served around the world. KFC’s menu includes Original Recipe® chicken — made with the same great taste Colonel Harland Sanders created more than a half-century ago. Whether you’re taking back lunch or bringing back dinner, KFC has all your favorite chicken, salads, sandwiches, snacks, sweets and sides.

Globalization of KFC

Reasons for going overseas KFC moves beyond domestic markets into international markets for the following reasons:

* Potential demand in foreign market

* Saturation of domestic markets

* Follow domestic customers that go abroad

* Bandwagon effect

* Comparative advantage – some countries possess unique natural or human resources that give them an edge when it comes to producing particular products. This factor, for example, explains South Africa’s dominance in diamonds, and the ability of developing countries in Asia with low wage rates to compete successfully in products assembled by hand. Technological advantage – In one country a particular industry, often encouraged by government and spurred by the efforts of a few firms, develops a technological advantage over the rest of the world. For example, the United Sates dominated the computer industry for many years because of technology developed by companies such as IBM.

 “We plan to expand to wherever our customers are and there is no limit to our expansion”, said Sandeep Kohli, managing director (Indian subcontinent) of Yum! Restaurants International (YRI), whose flagship brand is KFC.

As KFC expanded their operation in various countries in the world market; so it is impossible to cover all the operations of KFC in this report. So we focused on its operational strategy, motive behind operations etc in selected countries.

KFC in China

KFC location strategy in China

KFC aims China as the most promising market and succeeds in its localization strategies in the huge China market. The most prominent success of KFC in China is not only the outcome of KFC’s persistent tenets “quality, service and cleanliness” but also the achievements of its keen perception of cross-cultural marketing and its understanding of Chinese culture.

There is no doubt that China has become the highest-growth market of Kentucky Fried Chicken. Seventeen years after opening the first KFC outlet in China, KFC has celebrated its 1000th restaurant milestone in Beijing on January 16, 2004 (business wire, 2004). As the Yum! Brands, Inc., the parent company of KFC, states in the 2003 annual customer mania report , “China continues to be our Rising Star, driving double digit sales growth for the fifth consecutive year and record operating profit up over 42% in 2003.” The number is the best annotation for the announcement–in the year of 2003 China has accounted for $157 million in KFC’s operating profit.

The economic reform opened China market to the outside world and improved the standard of living of average Chinese people. The boost of national wealth and the consequent increase in individual’s income has led to steady changes in Chinese consumer patterns prevalent in pre-Mao era. China, the world’s most populous country with a population of more than 1.3 billion, has become the largest potential consumer market on multinational companies’ blueprints for global expansion thus can never be ignored. In the mid of 1980, the acquisition of KFC by PepsiCo provides KFC with heavy financial backing for further growth. In terms of the potential of market, chicken is already familiar in China and much cheaper and more widely available than beef. Chicken has long been regarded as a kind of nutritious food which is especially good for the patients, the elders and children. An increase in health conscious consumers also raises the consumption of chicken.

http://www.franchisetochina.com/h52.htm

http/www.franchisetochina.com/franchisinginchina/

KFC in Philippines

KFC started its operation in the Philippines in 1967; it was managed by different franchisees. On June 1994, Manuel U. Agustines obtained the sole franchise over the sale and distribution of KFC products in the Philippines, under the corporate name of Quick Service Restaurants (QSR) Corporation. At present, the management of KFC Philippines is working hard to maintain the standards and excellence that made KFC one of the fastest growing Quick Service Restaurants in the Industry. It is embarking on a major expansion program not only in Metro Manila area but also in the provincial areas of the country to meet its growing customer demand.

http://www.franchise.nfo.ph/detail/KFC-Philippines/onecat/0/

KFC in India

KFC, the world’s largest chicken restaurant chain, set its sights on one of the largest markets in the world, that is India with a population of 1.1 billion, the company will have good prospects for organic growth, say analysts.52 KFC outlets currently operating in the whole of India (under other local franchisees), Sandeep Kohli, managing director (Indian subcontinent) of Yum! Restaurants International (YRI), whose flagship brand is KFC, said “We plan to expand to wherever our customers are and there is no limit to our expansion”.

http://in.answers.yahoo.com/question/index?qid=20060623020331AAZbIQj

With over 750 restaurants in the UK and an annual growth rate of 15% KFC continues to be the fastest growing restaurant brand in the UK. During the last 5 years we have opened over 200 new restaurants and want to increase this level of opening even further over the next 5 years.

We are particularly interested in drive thru sites and food court units; we will also consider drive to/stand alone units

http://www.kfcukdevelopment.co.uk/

KFC in Bangladesh

KFC stands for high quality fast food in a popular array of complete meals to enrich the consumer’s everyday life. KFC strives to serve great tasting, “finger lickin good” chicken meals that enable the whole family to share a fun. Uninhibited and thoroughly satisfying eating experience, with same convenience and affordability of ordinary Quick Service Restaurants.

Transcom Foods Limited, a concern of Transcom Group is the franchisee of KFC in Bangladesh. The first ever KFC restaurant has been opened in September at Gulshan, Dhaka with a seating capacity of 178 persons. In the coming days, KFC plans roll out more restaurants in Bangladesh.

Different types of Activities

There’s more to KFC than great food. We promote education, diversity and animal welfare in a number of positive ways.

Colonel’s Scholars

“The KFC Colonel’s Scholars Program is about you, your dreams and aspirations, and the perseverance to succeed. This program is offered to high school seniors planning to attend a public in-state college or university.

The KFC Colonel’s Scholars Program® is looking for high school seniors with entrepreneurial drive, strong perseverance, demonstrated financial need, and who want to pursue a college education at an accredited public institution in the state they reside. Students who meet the criteria may apply online to become a KFC’s Colonel’s Scholar. Students selected for this scholarship are eligible to receive up to $20,000 to complete a bachelor’s degree program.”

http://www.kfc.com/about/responsibility.asp

http://www.kfcscholars.org/

Social diversity

“Diversity is more than a philosophy at KFC; it is part of our founding “How We Work Together” principles. KFC’s global culture is actively developing a workforce that is diverse in style and background, where everyone can make a difference.

We can know more about KFC’s diversification system from there Yum! Global Diversity.

For us, diversity is not a target – it’s a way of life and a way of doing business. Everyone can and does make a difference in our organization. One of our HWWT 2 principles – Believe in all People – underscores the importance of actively seeking diversity in others; believing everyone has the potential to make a difference; and coaching and supporting every individual to grow to their full capacity. This adds perspective and depth to everything KFC do. KFC’ve also found that a diverse team makes for better problem solvers, services all KFC’s customers more effectively, and creates a richer culture for all of us to enjoy.

KFC are also increasing the representation of African Americans, Hispanics and women among our key talent/decision makers, and growing the pipeline of diversity in their mid-level manager ranks. All of KFC’s brands have leadership initiatives focused on high-potential diversity talent, and all leaders serve as mentors. In addition, last year each of the brand presidents went into their communities to provide business-growth coaching for local networks of minority businesses.

Making progress in diversity is a business priority and the work of everyone in our system. This commitment is reflected in David Novak’s annual goals, or “Blue Chips.” KFC also have a dedicated Global Diversity and Inclusion Officer who guides their strategy and a number of initiatives that enhance their inclusive workplace.

Part of KFC’s growth strategy will be to ensure that our leadership team, company workforce and culture are as diverse as our customers around the world.”

“Diversity, inclusion and engagement are simply part of KFC’s core values at Yum.’Believe In All People’ means tapping into the diverse skills, cultures, perspectives and experiences of each of our associates to drive great marketplace performance. Our strategic diversity and inclusion vision is to grow leadership, franchisee and supplier pipelines that increasingly reflect our diverse customer and investor base.” Said by Terrian Barnes ( Yum! Global Diversity and Inclusion Officer)

Supplier Code of Conduct

“Yum! Brands are committed to conducting business in an ethical and responsible manner. To encourage compliance with all legal requirements and ethical business practices, Yum has established a Supplier Code of Conduct for its U.S. suppliers

• Compliance with Laws and Regulations:

Suppliers are required to abide by all applicable laws, codes or regulations including, but not limited to, any local, state or federal laws regarding wages and benefits, workmen’s compensation, working hours, equal opportunity, worker and product safety. Yum also expects that Suppliers will conform their practices to the published standards for their industry.

• Employment Practices:

KFC follows some rules and regulations in performing there operations, which leads a good relations with their suppliers.

• Working Hours & Conditions:

In compliance with applicable laws, regulations, codes and industry standards, Suppliers are expected to ensure that their employees have safe and healthy working conditions and reasonable daily and weekly work schedules. Employees should not be required to work more than the number of hours allowed for regular and overtime work periods under applicable local, state and federal law.

• Non-Discrimination:

Suppliers should implement a policy to effectuate all applicable local and federal laws prohibiting discrimination in hiring and employment on the grounds of race, color, religion, sex, age, physical disability, national origin, creed or any other basis prohibited by law.

• Child Labor:

Suppliers should not use workers under the legal age for employment for the type of work being performed in any facility in which the Supplier is doing work for Yum. In no event should Suppliers use employees younger than 14 years of age.

Besides above rules KFC also have other rules such as Forced and Indentured Labor and Notification to Employees.

• Audits and Inspections:

Each Supplier should conduct audits and inspections to insure their compliance with this Code and applicable legal and contractual standards. In addition to any contractual rights of Yum or Unified Foodservice Purchasing Co-op, LLC (“UFPC”), the Supplier’s failure to observe the Code may subject them to disciplinary action, which could include termination of the Supplier relationship.

http://www.kfc.com/about/supplier.asp

Animal Welfare program

“Yum! A brand, parent company of KFC, is committed to the humane treatment of animals. Yum! A brand is the owner of Restaurant Company’s and as a major purchaser of food products, Yum have the opportunity and responsibility, and to influence the way animals supplied to us are treated.

Yum take that responsibility very seriously, and they are monitoring their suppliers on an ongoing basis to determine whether their suppliers are using humane procedures for caring for and handling animals they supply to us. As a consequence, it is Yum’s goal to only deal with suppliers who promise to maintain our high standards and share their commitment to animal welfare.

To assist us in that effort, Yum! Brands formed the KFC Animal Welfare Advisory Council, which consists of highly regarded experts in the field. The Council provides Yum with information and advice based on relevant data and scientific research. The Animal Welfare Advisory Council has been a key factor in formulating our animal welfare program.

KFC has implemented a farm level audit program – a program which is industry-leading in the areas of poultry care and handling.”

Other services or activities done by KFC are –

KFC’s news room services, where they provide updated news of KFC. From where we can know about KFC’s new launch menus, prices of new menus, there social service activities and many other activities.

http://www.kfc.com/about/animalwelfare.asp

http://www.kfc.com/about/newsroom/default.asp

Criticism of KFC

KFC has been criticized for different things; Critics accuse KFC offences against animal protection regulations. Those disputed animal protection organization PeTA (People for the Ethical Treatment OF Animals) started for its part 2003 a world-wide action with the name “Kentucky Fried Cruelty” ,2003 joined Pamela Anderson PeTA and the campaign against KFC, which pushed consumers to boycott KFC until a better treatment of the “chickens”.PETA undercover investigations and videos of these and other KFC suppliers purport to show chickens being beaten, ripped apart, and thrown against walls contradict KFC’s claims. PETA has criticized some of the practices of chicken breeders, such as beak trimming and overcrowding, PETA states that they have held more than 12,000 demonstrations at KFC outlets since 2003 because of this alleged mistreatment of chickens by KFC suppliers.

Greenpeace accused KFC of destroying the Amazon Rainforest. This is because KFC bought their soy they use for chicken food from Cargill. The soy has been traced back to the European KFC. Cargill has reportedly been exporting soy illegally for several years. The Greenpeace organization researched the issue and brought it to the attention of the parent company YUM! Brands, Inc.

KFC has a long time to market with new products. Because of the nature of the chicken segment of the fast food industry, innovation was never a primary strategy for KFC. However, during the late 1980’s, other fast food chains, such as McDonald’s, began to offer chicken as a menu option. During this time, McDonald’s had already introduced the McChicken while KFC was still testing its own chicken sandwich. This delay significantly increased the cost of developing consumer awareness for the KFC sandwich.

Conflicting cultures of KFC and Pepsi Co, While KFC’s culture was largely based on the Colonel’s laid back approach to management, while PepsiCo’s culture is more of a “fast track” attitude. Employees do not have the same level of job security that they enjoyed before the PepsiCo acquisition.

The advertising campaign of KFC does not specifically appeal to any segment. It does not appear to have a consistent long-term approach. The U.S. has enormous changes in its demographics. Single-person households have increased from 12% in 1970 to 25% in 1995. With this kind of dramatic change, KFC does not have a proper approach to its target market.

http://www.economy-point.org/k/kentucky-fried-chicken/

http://simple.wikipedia.org/wiki/Kentucky_Fried_Chicken

RECOMMENDATIONS

KFC should meet all legal business requirements to enhance their survival competence.  The Department for Environment, Food and Rural Affairs recommends a maximum stocking density of 34 kg—around 30 chickens—per square meter, and say that in circumstances where beak trimming needs to be carried out to prevent the birds injuring each other, only one third of the beak should be trimmed “measured from the tip towards the entrance of the nostrils”.

KFC should stop purchasing soy from Cargill, to avoid contributing to the destruction of the Amazon.

KFC should give more emphasis on products innovation strategy and should launch new products rapidly to keep pace with the competitive market.

KFC should conform its culture to PepsiCo.

KFC should have a defined target market.

KFC is a global company with a diverse and ever-changing workforce, faces significant challenges in operating their businesses internationally but they faces those challenges strategically, adapt with policies to these markets. KFC Built a diverse foundation to operate as a local business in international markets.Criticism work as a motive toward success. Though criticism rose about KFC but it could not hinder its success because of their policy and strategy. A proverb goes on “prosperity’s right hand is industry”, by expanding its operations globally KFC facilitated its success and become famous to worldwide, which proves that “Fame is the perfume of heroic deeds”.

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Long-predicted consumer pullback finally hits restaurants like Starbucks, KFC and McDonald's

It’s finally here: the long-predicted consumer pullback.

Starbucks  announced  a surprise drop in same-store sales  for its latest quarter, sending its shares down 17% on Wednesday. Pizza Hut and KFC  also reported shrinking same-store sales . And even stalwart  McDonald’s  said it has  adopted a “street-fighting mentality”  to compete for value-minded diners.

For months, economists have been predicting that consumers would cut back on their spending in response to higher prices and interest rates. But it’s taken a while for fast-food chains to see their sales actually shrink, despite several quarters of warnings to investors that low-income consumers were weakening and other diners were trading down from pricier options.

Many restaurant companies also offered other reasons for their weak results this quarter. Starbucks said bad weather dragged its same-store sales lower.  Yum Brands , the parent company of Pizza Hut, KFC and Taco Bell, blamed January’s snowstorms and tough comparisons to a strong first quarter last year for its brands’ poor performance.

But those excuses don’t fully explain the weak quarterly results. Instead, it looks like the competition for a smaller pool of customers has grown fiercer as the diners still looking to buy a burger or cold brew become pickier with their cash.

The cost of eating out at quick-service restaurants has climbed faster than that of eating at home.   Prices for limited-service restaurants rose 5% in March compared with the year-ago period, while prices for groceries have been increasing more slowly, according to the  Bureau of Labor Statistics .

“Clearly everybody’s fighting for fewer consumers or consumers that are certainly visiting less frequently, and we’ve got to make sure we’ve got that street-fighting mentality to win, irregardless of the context around us,” McDonald’s CFO Ian Borden said on the company’s conference call on  Tuesday .

Outliers show that customers will still order their favorite foods, even if they’re more expensive than they were a year ago.  Wingstop , Wall Street’s favorite restaurant chain, reported its U.S. same-store sales soared 21.6% in the first quarter.  Chipotle Mexican Grill  saw traffic rise 5.4% in its  first quarter . And  Restaurant Brands International’s  Popeyes reported same-store sales growth of 5.7%.

Even so, many companies in the restaurant sector and beyond it have warned consumer pressures could persist. McDonald’s CEO Chris Kempczinski told analysts the spending caution extends worldwide.

“It’s worth noting that in [the first quarter], industry traffic was flat-to-declining in the U.S., Australia, Canada, Germany, Japan and the U.K.,” he said.

Two of the chains that struggled in the first quarter cited value as a factor.   Starbucks CEO Laxman Narasimhan  said  occasional customers weren’t buying the chain’s coffee because they wanted more variety and value.

“In this environment, many customers have been more exacting   about where and how they choose to spend their money, particularly with stimulus savings mostly spent,” Narasimhan said on the company’s Tuesday call.

Yum CEO David Gibbs noted that rivals’ value deals for chicken menu items hurt  KFC’s  U.S. sales. But he said the shift to value should benefit Taco Bell, which accounts for three-quarters of Yum’s domestic operating profit.

“We know from the industry data that value is more important and that others are struggling with value, and Taco Bell is a value leader. You’re seeing some low-income consumers fall off in the industry. We’re not seeing that at Taco Bell,” he said on Wednesday.

It’s unclear how long it will take fast-food chains’ sales to bounce back, although executives provided optimistic timelines and plans to get sales back on track. For example, Yum said its first quarter will be the weakest of the year.

For its part, McDonald’s plans to create a nationwide value menu that will appeal to thrifty customers. But the burger giant could face pushback from its franchisees, who have become more outspoken in recent years. While deals drive sales, they pressure operators’ profits, particularly in markets where it is already expensive to operate.

Still, losing ground to the competition could motivate McDonald’s franchisees. This marks the second consecutive quarter that Burger King reported stronger U.S. same-store sales growth than McDonald’s. The Restaurant Brands chain has been in turnaround mode over the last two years and spending heavily on advertising.

Starbucks is also betting on deals. The coffee chain is gearing up to release an upgrade of its app that allows all customers — not just loyalty members — to order, pay and get discounts. Narasimhan also touted the success of its new lavender drink line that launched in March, although business was still sluggish in April.

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Annual Report

Together, we’re changing lives.

Emma Horn Executive Director

Dear friends,

Looking back on 2023 fills me with immense joy as I share the incredible milestones we achieved together. Your generosity propelled our Round Up fundraising to unprecedented heights, hitting a record-breaking $4.7 million – the most we’ve ever raised!

Because of your support, we accomplished some remarkable feats:

• Awarded over $2.5 million in scholarships, our largest amount to date.
• Launched a tuition-free college program with WGU, turning a long-held dream into reality.
• Granted $1 million to 100 community-based non-profits, doubling the impact from last year.

Additionally, the introduction of the Become Your Best Self program has set the stage for further empowerment and growth. And on the topic of empowerment, we proudly celebrated our first tuition-free college program graduate, Kevon Pascoe, receiving his MBA at WGU’s October commencement ceremony.

Now in 2024, as we celebrate our 25th anniversary of changing lives , I am excited about the future we are shaping together. With your continued support, we are poised to make an even greater impact, continuing to empower dreams and inspire transformation, making a lasting difference in the lives of KFC restaurant employees and our communities.

Here’s to the next chapter of making a difference together.

With heartfelt gratitude,

Emma Horn Executive Director KFC Foundation

Be the secret recipe for good

Our Mission

Support, empower, and serve joy to KFC restaurant employees and our communities.

Together, We’re Making Education Accessible

“I was able to take my dream of obtaining a master’s degree and turn it into my reality. Now, I get to show others that our upbringings don’t define who we are and the heights of how far they can go.”

From the Leadership Table

A Welcome from new Board Chair, Mark Everett

I am honored to step into the role of Board Chair for the KFC Foundation, following in the footsteps of those dedicated to making a positive impact for KFC restaurant employees and their communities.

As soon as I joined the KFC family, I witnessed the transformative power of the KFC Foundation. It’s not just about providing support; it’s about fostering community, empowerment and joy. Seeing the tangible impact of our programs has fueled my commitment to ensuring that every individual associated with KFC can thrive.

In 2024, we’re launching our new strategic plan, centered around four key goals:

• Deliver our mission through programming: Aligning initiatives with the Foundation’s mission to support, empower and serve joy to KFC restaurant employees and their communities.
• Grow funding to $12M: Expanding financial resources to maximize impact and reach more individuals.
• Build brand awareness: Increasing visibility of the KFC Foundation’s vital work, fostering stronger connections with stakeholders and the public.
• Enhance organizational capacity: Strengthening our ability to carry out our mission efficiently and effectively by investing in internal capabilities and resources.

I’m excited about the opportunities ahead and am confident that, with your support, we can achieve these ambitious goals. Thank you for your dedication to the KFC Foundation, and I look forward to working together to make a lasting difference.

Mark Everett Board Chair, 2024-26 KFC Foundation

A Heartfelt Thank You to Justin Stewart

With deep gratitude, we extend our sincerest appreciation to Justin Stewart for nearly a decade of unwavering commitment and leadership to the KFC Foundation. Justin’s service has been nothing short of extraordinary and finding adequate words to express our thanks for his significant contributions and transformative impact is indeed a challenge.

Justin, your dynamic energy, motivating spirit and relentless advocacy have been the heartbeat steering us toward meaningful change. In your 4.5 years as Board Chair, you played a pivotal role in elevating every aspect of the Foundation’s work, propelling us to new heights and leaving an indelible mark on our trajectory.

As you transition from the role of Board Chair, we want to express our deepest gratitude for the tremendous work you’ve done. The goals you’ve set, the positive “plus up” energy you’ve infused into every meeting and the enduring legacy you leave behind are truly amazing. The Foundation has come a long way under your leadership, and we are confident that your influence will continue as we strive for even greater heights ahead.

Here’s to you, Justin!

With heartfelt appreciation,

The KFC Foundation

Launched a tuition-free college program

Awarded $2.5 million in scholarships, funded $1 million in community projects, launched the personal development program, become your best self, raised over $4.7 million through round up, together, we’re supporting families in crisis.

“My family and I appreciate all the help we’re able to receive at a time that is so heartbreaking and stressful. We will now be able to give my mom the memorial that she deserves and say our last goodbyes to her.”

2023 by the Numbers

The most we’ve ever raised in a single year, 500+ kfc restaurant employees received a kfc foundation scholarship to pursue their educational dreams., 100 grants were awarded to community-based non-profit organizations to make a project on their wish list come true., 66 kfc restaurant employees earned their high school credential through our ged achievement program., 514+ kfc restaurant employees boosted their financial skills and emergency funds with a $1 for $1 savings match., 133 kfc restaurant employees received financial support to help make it through a crisis., 439 kfc restaurant employees received text-based mental health support through our partnership with the crisis text line., in partnership with western governors university (wgu), we provide kfc restaurant employees with 100 percent paid tuition when attending wgu to earn their degree., 449 kfc restaurant employees enrolled in become your best self, with 170 completing the personal development program., together, we’re building stronger communities.

“It’s neat that one local non-profit would get a grant here in Bellefontaine, but having two being chosen blows my mind. This is easily the coolest thing we’ve ever done in our 46-year history here.”

Financial Breakdown

How we raise money

Round Up Donations

Fries sales, investment income, misc. donations, akfcf fundraisers.

How your giving helps

Education Accessibility

Financial & crisis assistance, community impact, thank you to our donors, annual donation program participants, convention sponsors, vendor partners, individual donors, to kfc customers:, thank you for rounding up your kfc order total for the kfc foundation., board of directors.

Justin Stewart

Holly Winkel

Karen Ancira

Karen Adams

Joan Bowling

Chris Caldwell

Nick Chavez

Clinton Lewis

Mark Everett

A look ahead.

As we celebrate the KFC Foundation’s 25th anniversary in 2024, the future holds many exciting prospects. We anticipate exciting program additions, enhanced support, increases in those served, greater visibility and organizational growth while staying committed to our mission of supporting, empowering and serving joy to KFC restaurant employees and our communities.

We look forward to witnessing more graduates of our tuition-free college program and the transformative impact it makes on individual lives and on our world. Additionally, we are excited to expand upon our community giving initiatives, reaching hundreds of more communities across the country.

Here’s to another 25 years of changing lives, together.

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Finger sniffin’ good?

Kentucky Fried Chicken is dipping into the fragrance business, unveiling an already-sold out, charcoal and smoked wood-scented perfume.

“We’ve all been there – that unmistakable aroma of a BBQ drifting through the air, tantalizing our senses and leaving us craving the taste of smoky goodness. But what if you could capture that irresistible scent in a bottle?” KFC wrote of the bizarre swag .

The original recipe is called No 11 Eau de BBQ. It comes in a sleek-looking 100-milligram black and red striped bottle that sells cheaper than a five-piece tenders combo for a modest $13.82.

Makers say it can leave one “tipsy with hunger,” per The Mirror .

The catch is that the all-American fast food chain is selling this scene in the UK only, continuing a trend of Europeans with a dirty secret obsession with greasy treats made in the USA .

Although the battalions of Colonel Sanders’ forces have pulled stunts similar to this before — KFC previously made a chicken-odored firelog and perfume in Spain — people who have tried it say this one isn’t that much of a gimmick.

“If it wasn’t for the KFC logo at the bottom of the label, I would have assumed it was a high-end fragrance,” a reviewer for England’s Warwickshire World wrote .

“I had initially thought the fragrance would capture the classic  barbecue  smell like when you’re outside and can smell someone nearby is cooking on the grill.”

Instead, the “elevated” fragrance presents a shockingly “muskier alluring scent” than expected.

Tom Ford fans might have a bone to pick with the chicken company, though, as the luxury designer has its own wood-smoked fragrances that go for $250 .

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