KFC has been come into China for over 30 years. I still remember my first time to eat KFC fried chicken and mash potato at the first KFC restaurant in Beijing. Meanwhile, the biggest competitor McDonald also came into China soon. Big Mac and Kids Meal was my favorite. In my mind, KFC is the Chicken Master, and McDonald is the Beef Burger Master.
For those 30 years, KFC has become one of the most popular fast food restaurants in China; however, McDonald is not that popular anymore.
They are both the largest fast food chain in the world, but why are their gaps are so big in China? What’s the secret for KFC to beat McDonald in China?
Secret One: Learn & Respect Chinese Taste
From a product respective, before entering China, KFC began to learn and understand Chinese culture. In 2000, KFC began to invited more than 40 national food nutrition experts to set up the “China KFC Food Health Advisory Committee” to develop products suitable for Chinese tastes. Since the launch of the “Breakfast Porridge” in 2002, a series of Chinese foods such as soy milk, fired dough sticks, biscuits have been innovated, and even the Chinese main meal rice has become one of its main products.
However, McDonald’s launched its first Chinese-style product, rice, 23 years after its arrival in China, and it was 10 years later than KFC’s attempt to test rice products.
Secret Two: Change Customer Perception
In 2004, KFC shouted “Settle down in China, Integrate into Chinese life”. In 2008, KFC also put forward the slogan of “creating new fast food and changing for China.” KFC has launched 25% of new products every year. For example, in July 2019, KFC launched new “Spicy Sichuan Style BBQ” and “Braised Chicken series”.
However, McDonald only launched some new drinks for summer. There is a “McDonald concept” in China. When people have no idea what to eat in lunch, if anyone mentioned “McDonald”, everyone will pass and come up with many new lunch ideas. It seems a funny concept, but it reflect the negative customer perception for McDonald.
Therefore, KFC is always learning and respecting Chinese life style. However, McDonald seems to try to change Chinese people’s eating habits.
Secret Three: Follow New Digital Trends
Beside the product, customer service is also an important element for winning customer’s hearts. KFC is one of the first fast-food brands to start offering takeaway and delivery services. Today, KFC’s home delivery has covered the phone, website, Wechat public account and some other apps, which significant improve service efficiency.
Moreover, Alipay and WeChat pay are nothing new for Chinese people. Mobile payment has become a standard for any Chinese local restaurants. By integrating mobile self-service ordering platform, consumers can have unique self-service experience in KFC.
Secret Four: Go KPRO & Eat Health
However, compared to other channels, KFC offline stores are clearly customers preferred place to eat. The customer experience in the restaurant is indeed not completely replaced by takeaway service.
In 2018, KPRO is a new concept store launched by KFC on the 30th anniversary of its entry into the Chinese market. The main concept is “Tasty, Fresh, Ready”, and it focuses on green and light food products. The store design is based on green and fresh style, targeting young people, and to meet the diet needs of young customers.
Salad is the main menu of KPRO restaurant. It has an open salad bar and a transparent kitchen. Beside salad, KPRO also offers low calories ice creams and drinks.
Bringing new concept to fit in young customer needs will definitely reach more potential young customers and expand the market.
Overall
The key reason that make KFC so success in China is its strong learning skill. KFC put a lot effort on studying and adapting Chinese culture. By offering new Chinese style products, we can see KFC respect Chinese tastes and lifestyle. Moreover, KFC followed the digital trends to upgrade digital service system to improve order efficiency and save customer time.
To fit in young customer groups, KFC understand the pain point for young people and know they want to eat healthy, so it came up with new food concept to refresh customer perception.
references:
https://36kr.com/p/5103651
https://baike.baidu.com/tashuo/browse/content?id=6985b0e6f48ef0b9c541d01c
https://k.sina.com.cn/article_1764208435_6927af3302000p1hf.html
https://www.ifanr.com/885117