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Chick-fil-A is an American company that operates in multiple states. The restaurant chain was founded in 1946 (Perry Piscione 69). It is currently based in Atlanta. At present, the chain encompasses more than 2200 premises. The purpose of this paper is to identify the brand of Chick-fil-A and discuss its growth potential.
Overall, the intended audience of the brand is the population group aged 18-49 years. The brand serves middle and upper-class representatives. Initially, the enterprise was established in Atlanta suburbs; however, the chain was expanded to include multiple states. Notably, the brand can be mainly found in the South of the country. The reasoning behind this strategy is connected to the values of the company (Perry Piscione 69). The organization encourages Christian values, and they can be observed in the corporate culture of the brand (Green). In addition, Chick-fil-A promotes them in their work ethics.
The company has catchy slogans that center on chicken, which is their main product used in almost all the meals. In addition, the company’s mascot is used actively to reinforce brand recognition (Coombs, 191). Chick-fil-A intends to expand to new markets and reach wider audiences. In particular, they plan to enter densely populated markets. The targeted countries are South Korea, China, and Japan. The main reason for introducing the brand in these countries is that fast food markets grow quickly there, which can provide Chick-fil-A with an opportunity to evolve and make greater profits.
Brand’s Growth Potential
The potential of Chick-fil-A to grow is quite strong; however, certain difficulties can be identified. In terms of the Chinese market, the company is rather likely to face strong competition there (Brady 46). Such enterprises as McDonald’s and KFC will become the main rivals of the company. Importantly, these organizations have been losing their revenues in China due to quality issues. Therefore, Chick-fil-A has an opportunity to attract customers by stressing their devotion to quality. Nevertheless, KFC and McDonald’s have high brand awareness in the country, and they are planning to launch new menus; therefore, the competition in the country will be strong.
In regards to Japan, the company’s direct competitor is the local MOS Burger. It is quite popular among the population, and the chain offers a menu suitable for local preferences. In addition, KFC has a significant market share in the country and offers chicken similarly to the company under analysis. Considering the fact that this country is the third greatest market for the company, it will be difficult for new enterprises to enter it (Baack et al. 286). Nonetheless, Chick-fil-A has certain opportunities in the Chinese market. For instance, it can introduce its mascot to achieve greater recognition. In addition, it can seize the potential of social media to promote the brand and its values.
In South Korea, the rivalry will also be intense. Apart from such competitors as KFC and McDonald’s, the company is likely to face competition from the side of local enterprises (Kyochon, Hosigi Chicken, and so on). Nevertheless, in comparison to the previously discussed markets, the South Korean market has certain advantages for Chick-fil-A. In particular, chicken products are strongly popular in the country; therefore, it will be easier to attract customers. The company can attain a market share by utilizing social media (Kingsnorth 20). In addition, they can take benefit from the word-of-mouth strategy.
Thus, it can be concluded that Chick-fil-A is a company with a strong brand. Nevertheless, in comparison to the US market, foreign markets will be more challenging for the enterprise due to the intense rivalry. To attain the required market share and achieve brand awareness, the company should consider its marketing strategy and utilize social media wisely.
Baack, Daniel W., et al. International Marketing. SAGE, 2013.
Brady, Donald L. Essentials of International Marketing. Routledge, 2014.
Coombs, W. Timothy. Applied Crisis Communication and Crisis Management: Cases and Exercises. SAGE Publications, 2013.
Green, Emma. “Chick-fil-A: Selling Chicken with a Side of God.” The Atlantic, 8 Sep. 2014. Web.
Kingsnorth, Simon. Digital Marketing Strategy: An Integrated Approach to Online Marketing. Kogan Page Publishers, 2016.
Perry Piscione, Deborah. The Risk Factor: Why Every Organization Needs Big Bets, Bold Characters, and the Occasional Spectacular Failure. St. Martin’s Press, 2014.