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KFC Value Research -Focus Group Report- Costa Rica, Nassau, Ecuador, and Trinidad CONSULTORÍA INTERDISCIPLINARIA EN DESARROLLO CID/GALLUP, S.A. June, 2012

KFC Value Research - Focus Group Report- Costa Rica, Nassau, Ecuador, and Trinidad CONSULTORÍA INTERDISCIPLINARIA EN DESARROLLO CID/GALLUP, S.A. June,

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Page 2: KFC Value Research - Focus Group Report- Costa Rica, Nassau, Ecuador, and Trinidad CONSULTORÍA INTERDISCIPLINARIA EN DESARROLLO CID/GALLUP, S.A. June,

2

PRESENTATION

The following information is confidential and may be subject to professional secrecy. It is intended uniquely for use of the addressed individual or entity and those who are authorized to receive the information. If you are not authorized to view this information, you are hereby notified that any disclosure, copy, distribution or any action taken based on the content of this document is strictly forbidden and may be illegal.

At the request of YUM! International Restaurants the qualitative study “KFC Value Research” was conducted with the objective of understanding the lifestyle decisions and trade-offs associated with maintaining a “balanced wallet” between daily wants and needs among young adults.

In order to accomplish the objectives of the study, sixteen focus groups among young adults between 18 and 30 years old were conducted in Costa Rica, Nassau, Ecuador, and Trinidad using a base discussion guide for the graphic analysis presented in this document.

CID Gallup is grateful for having been selected to conduct this research and stands ready to respond to any questions the client may have about the way it was carried out or the contents of this particular document.

Page 4: KFC Value Research - Focus Group Report- Costa Rica, Nassau, Ecuador, and Trinidad CONSULTORÍA INTERDISCIPLINARIA EN DESARROLLO CID/GALLUP, S.A. June,

Methodology: Qualitative.

Technique: Focus Groups.

Coverage: Costa Rica, Nassau, Ecuador, and Trinidad.

Number of groups: 16 groups in total.

Dates of groups: Between June 11 and 19, 2012.

Moderation guide: Designed by CID and approved by YUM! Executives.

Approximate duration of each group: 90 minutes.

Number of participants per group: Between 8 and 10.

Informants profile: Young adults between 18 and 30 years of age, medium KFC users, medium to heavy fast food users, and heavy competitor users, lapsed KFC users, medium to heavy fast food users, have eaten from the value menu at least 3 times in the last month.

GENERAL OBJECTIVE• Understanding the lifestyle decisions and trade-offs associated with

maintaining a “balanced wallet” between daily wants and needs among young adults

METHODOLOGICAL SUMMARY

Page 5: KFC Value Research - Focus Group Report- Costa Rica, Nassau, Ecuador, and Trinidad CONSULTORÍA INTERDISCIPLINARIA EN DESARROLLO CID/GALLUP, S.A. June,

TOPICS EVALUATED IN THE FOCUS GROUPS

1234

LifestyleUnderstand the lifestyle decisions and trade-offs associated with maintaining a “balanced wallet” between daily wants and needs.Dining OutExplore the consideration set and the path to purchase for fast food users on a budget.

Value MenusUnderstand the value equation among fast food value menu users (“deal seekers”).

KFCUncover opportunities to improve KFC’s brand perception as a place that’s “affordable to eat every day”.

Page 6: KFC Value Research - Focus Group Report- Costa Rica, Nassau, Ecuador, and Trinidad CONSULTORÍA INTERDISCIPLINARIA EN DESARROLLO CID/GALLUP, S.A. June,

• YA aged 18 to 24, have visited (local main competitor*) at least 4x in the last month, have not visited KFC at all within the last 3 months, have ordered a fast food restaurant value meal at least 3x in the last month

• YA aged 25 to 30, have visited (local main competitor*) at least 4x in the last month, have not visited KFC at all within the last 3 months, have ordered a fast food restaurant value meal at least 3x in the last month

• YA aged 25 to 30, have visited KFC at least 2x in the last month, have ordered a fast food restaurant value meal at least 3x in the last month

• YA aged 18 to 24, have visited KFC at least 2x in the last month, have ordered a fast food restaurant value meal at least 3x in the last month

Group 1

Group 2

Group 3

Group 4

INFORMANT´S PROFILE

Page 8: KFC Value Research - Focus Group Report- Costa Rica, Nassau, Ecuador, and Trinidad CONSULTORÍA INTERDISCIPLINARIA EN DESARROLLO CID/GALLUP, S.A. June,

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SUMMARY

Topics Conclusions

Variety

KFC tends to be criticized for using the same base ingredient –chicken- in most of the products it offers, which could explain why many informants suggest that the restaurants lacks variety on its menu offerings.

Promotion

The fact that KFC has been traditionally more aggressive in promoting its bucket meals, family oriented products, and meals made for sharing while its competitors have been increasingly advertising their value meal platforms, could explain why many consumers do not recall seeing ads of KFC´s value platform.

Perception

Many still perceive KFC as a family restaurant, which could generate a perceptual barrier among younger consumers. This perception requires attention at all levels: restaurant (décor, separated family areas, comfortable seating for groups of people), advertising segmentation, competitive value meals especially in Nassau and Trinidad, and product innovation.

Page 10: KFC Value Research - Focus Group Report- Costa Rica, Nassau, Ecuador, and Trinidad CONSULTORÍA INTERDISCIPLINARIA EN DESARROLLO CID/GALLUP, S.A. June,

CONCERNS ABOUT CURRENT ECONOMIC CLIMATE

10

When asked if they consider that the world economic crisis has had a direct impact in their lifestyles, most participants indicate not being personally affected but suggest becoming more aware of their budgets and overall spending habits… “I was still living with

my parents at that moment, and I can´t

really say that we were directly affected,

but locally [Nassau] the price of gas and

food has gone up significantly so I have

to look for those places that give me the real bang for my buck”. “You realize

that many people you know had lost their

jobs, and you prepare yourself for the

worst…so you stop splurging and start

saving more”

“I wasn´t necessarily affected

[by the economic crisis] but I did

become more aware of what was going on around me, so I

started saving more and spending less, and once you learn that habit, it´s hard

to come out of it specially with the price of products

increasing so drastically”The rise in the price of products and services has exerted an

impact on the spending habits of most participants.

Page 11: KFC Value Research - Focus Group Report- Costa Rica, Nassau, Ecuador, and Trinidad CONSULTORÍA INTERDISCIPLINARIA EN DESARROLLO CID/GALLUP, S.A. June,

BUDGETING

In general terms, budgeting has become more of a lifestyle for most participants who indicate allocating somewhere between 5% and 30% of their monthly budget specifically on fast food…

Those who allocate a larger percentage on fast food consumption are specially young adults who do not have kids on their own, have a full time working schedule, and spend most of

the day outside their homes.

Page 12: KFC Value Research - Focus Group Report- Costa Rica, Nassau, Ecuador, and Trinidad CONSULTORÍA INTERDISCIPLINARIA EN DESARROLLO CID/GALLUP, S.A. June,

SACRIFICES ARE WILLING TO DO WHILE ON A BUDGET

When value seekers find themselves with a limited budget, going out –and thus eating out- and personal expenses (clothing, beauty supplies, etc.) tend to be the principal categories that consumers are willing to sacrifice to “make ends meet” at the end of the month…

“When I have little money, I try to stay at home and watch a movie instead of going out at all”

“I bring food from home to work

instead of eating at a restaurant when I have a

limited budget”

“I usually compare the prices of

different restaurants and see who has the best promotion out

there”

Page 14: KFC Value Research - Focus Group Report- Costa Rica, Nassau, Ecuador, and Trinidad CONSULTORÍA INTERDISCIPLINARIA EN DESARROLLO CID/GALLUP, S.A. June,

14

LOCAL SUBSTITUTES

When eating on a very limited budget, many indicate substituting their fast food consumption for local food and/or street food. Nonetheless, fast food remains as their primary go-to option when eating on a budget especially because most perceive there is an added benefit or value that is being offered by fast food brands that is not being delivered by their substitutes …Nassau

o Bamboo Shack

o Imperialso Sammie

Chickeno Chinese

food

Costa Rica

o “Sodas”

o Cafeterias

o Chinese food

Ecuadoro Chaufao TropiBurgero Mayflowero American

Delio La González

Trinidado Indian foodo Gyroso Rotio Doubleso Chinese

food

“I´d rather go to a fast food restaurant because it´s more

convenient”

“I visit those places [local restaurants] only when necessary because it´s usually less comfortable

eating there”

Page 15: KFC Value Research - Focus Group Report- Costa Rica, Nassau, Ecuador, and Trinidad CONSULTORÍA INTERDISCIPLINARIA EN DESARROLLO CID/GALLUP, S.A. June,

PRICE SENSITIVITY

It is possible to infer that value seekers are highly sensitive to very small changes in the price of fast food…

“I stopped visiting some of

the fast food restaurants

because they increased the price of their

combos and it wasn´t like the

size of their products were

getting any bigger”

What customers are expecting in return to

an increase in the price of meals

oLarger portion size

oAdditional products (sides, desserts, drinks)

oDrink refilloBetter serviceoBetter quality of

products

Some informants indicate being willing to sacrifice the sides, drinks, and even the size of their meals when on a really tight

budget, though the quality of products and customer service are not part of this trade off.

Page 16: KFC Value Research - Focus Group Report- Costa Rica, Nassau, Ecuador, and Trinidad CONSULTORÍA INTERDISCIPLINARIA EN DESARROLLO CID/GALLUP, S.A. June,

CONSUMPTION DRIVERS

Proximity“It is likely that when I have little money to spend on food, I don´t

have money to spend on transportation either, so I would choose the nearest restaurant

that´s on my way which is usually McDonald´s”

Abundance“I´d go where I know I´ll feel

satisfied with the little money I have”

Quantity vs. volume Many suggest preferring those

restaurants where they could eat several –small- products rather

than one large product for a similar amount of money

PriceParticipants are highly sensitive to

small differences in price, therefore it is common for them to

compare what fast food restaurants are offering in their

value menusService

Consumers are still expecting to receive a good customer service,

cleanliness, and appealing environment when eating on a

budget, which is why many choose eating at a fast food

restaurant instead of their local substitutes

When choosing a place to eat on a budget, most suggest taking into account the following functional variables…

“In Wendy´s you can get a regular soda, regular fries, a

cheeseburger, a chicken sandwich, and a frosty for

$3.99”

Page 17: KFC Value Research - Focus Group Report- Costa Rica, Nassau, Ecuador, and Trinidad CONSULTORÍA INTERDISCIPLINARIA EN DESARROLLO CID/GALLUP, S.A. June,

RESTAURANTS TO EAT ON A BUDGET-Costa Rica-

Informants were asked to group local fast food brands according to the statement “I can eat inexpensively there”. The following are some of these groupings…

Inexpensive

ExpensiveExpensive Inexpensive

Expensive

Inexpensive

In Costa Rica, most suggest that McDonald´s is the restaurant that offers both value and affordability. This is true for lapsed KFC users

and medium/heavy KFC users alike.

Page 18: KFC Value Research - Focus Group Report- Costa Rica, Nassau, Ecuador, and Trinidad CONSULTORÍA INTERDISCIPLINARIA EN DESARROLLO CID/GALLUP, S.A. June,

RESTAURANTS TO EAT ON A BUDGET-Nassau-

Informants were asked to group local fast food brands according to the statement “I can eat inexpensively there”. The following are some of these groupings…

InexpensiveExpensive

Expensive

Inexpensive Inexpensive

-Nassau-

Expensive

Page 19: KFC Value Research - Focus Group Report- Costa Rica, Nassau, Ecuador, and Trinidad CONSULTORÍA INTERDISCIPLINARIA EN DESARROLLO CID/GALLUP, S.A. June,

RESTAURANTS TO EAT ON A BUDGET-Ecuador-

Informants were asked to group local fast food brands according to the statement “I can eat inexpensively there”. The following are some of these groupings…

InexpensiveExpensive

-Ecuador-

Expensive

Inexpensive

Expensive

Inexpensive

Page 20: KFC Value Research - Focus Group Report- Costa Rica, Nassau, Ecuador, and Trinidad CONSULTORÍA INTERDISCIPLINARIA EN DESARROLLO CID/GALLUP, S.A. June,

RESTAURANTS THAT DELIVER VALUE-Costa Rica-

Informants were asked to group local fast food brands according to the statement “Gives me a good value for the money I spend/ It’s worth what I pay” .The following are some of these groupings…

Good valuePoor value

Poor value

Good value

Poor value

Good value

-Costa Rica-

Page 21: KFC Value Research - Focus Group Report- Costa Rica, Nassau, Ecuador, and Trinidad CONSULTORÍA INTERDISCIPLINARIA EN DESARROLLO CID/GALLUP, S.A. June,

RESTAURANTS THAT DELIVER VALUE-Nassau-

Informants were asked to group local fast food brands according to the statement “Gives me a good value for the money I spend/ It’s worth what I pay” .The following are some of these groupings…

Poor valueGood value

-Nassau-

Poor value

Poor value

Good value

Good value

Page 22: KFC Value Research - Focus Group Report- Costa Rica, Nassau, Ecuador, and Trinidad CONSULTORÍA INTERDISCIPLINARIA EN DESARROLLO CID/GALLUP, S.A. June,

RESTAURANTS THAT DELIVER VALUE-Ecuador-

Informants were asked to group local fast food brands according to the statement “Gives me a good value for the money I spend/ It’s worth what I pay” .The following are some of these groupings…

Poor valueGood value

-Ecuador-

Good value

Poor value

Good value

Poor value

Page 24: KFC Value Research - Focus Group Report- Costa Rica, Nassau, Ecuador, and Trinidad CONSULTORÍA INTERDISCIPLINARIA EN DESARROLLO CID/GALLUP, S.A. June,

Consumers suggest that the ideal value menu should offer the following…

THE IDEAL VALUE MENU

Variety

Innovation

Flexibility

Healthy options

Desserts

It was suggested that most restaurants have several products made out of the same base ingredient, “In KFC everything has the same

chicken in it, they should try to add other products too”, “McDonald´s is now offering a

wrap, and they recently added the Bacon Cheeseburger”

Users feel they are being given the option to choose from an assorted list of products, “The ideal value menu should have sides, burgers,

sandwiches, soda, and desserts ”, “One should be able to put together your own combo”

Consumers prefer to have the freedom of replacing some of the products from their

favorite combo when they feel like it and not having to pay extra for this option, “In Wendy´s you can order chili instead of fries for the

same price”Including healthy fast food meals is now

becoming more of a trend and participants are now expecting to see salads, fruits, fruit salads,

wraps, and grilled chicken among others, as part of their ideal value menu offering

The majority of informants agree on the fact that value menus should offer a variety of

desserts such as ice cream, fruits, tiramisu, cheesecake, pies, and sundaes among others

Ideal

value

meal

Page 25: KFC Value Research - Focus Group Report- Costa Rica, Nassau, Ecuador, and Trinidad CONSULTORÍA INTERDISCIPLINARIA EN DESARROLLO CID/GALLUP, S.A. June,

COMPETITIVE LANDSCAPE-COSTA RICA-

The majority of participants in Costa Rica are familiar with McDonald´s value menu, which is highlighted for being consistent, innovative (new products are constantly being added to the menu), affordable, fulfilling, and most important, the brand´s star products -Big Mac and Quarter Pounder- are part of the restaurant´s “Small Prices”, which is considered to add credibility to the value menu...

Average expenditure on a value meal

Between ¢2,500 and ¢3,000

It was highlighted that the “Small Prices” value meal

was constantly being promoted not only in the

media, but at the restaurant level as well,

“That´s the first thing you notice when you visit a

McDonald´s, they put the ´Small Prices´ ads right in

front of you”

“It´s more convenient because it gives you the option of putting

together your own meal”

Page 26: KFC Value Research - Focus Group Report- Costa Rica, Nassau, Ecuador, and Trinidad CONSULTORÍA INTERDISCIPLINARIA EN DESARROLLO CID/GALLUP, S.A. June,

COMPETITIVE LANDSCAPE-NASSAU-

In Nassau, Wendy´s “Mix and Match” value menu is the top choice when eating on a budget especially because of the variety of products including healthy options such as salads and fruits. It was also indicated that for a price of $3.99 users could get an assorted menu that could be enlarged for $6. Not only is this restaurant highly competitive in its value menu offering, but its environment is more appealing for young adults…

Average expenditure on a value meal

Between $3.99 and $6

“You go into a Wendy´s and you

immediately notice the difference with

KFC; the restaurants have a nice décor,

dim lights, comfortable seating, it´s modern too and

clean”“Their employees always welcome you

with a smile”

Page 27: KFC Value Research - Focus Group Report- Costa Rica, Nassau, Ecuador, and Trinidad CONSULTORÍA INTERDISCIPLINARIA EN DESARROLLO CID/GALLUP, S.A. June,

COMPETITIVE LANDSCAPE-TRINIDAD-

JAP´s value menu in Trinidad is becoming more of an option today, especially among those who have stopped visiting KFC because of its increase in the cost of meals paralleled to a reduction in the size of products and/or due to problems with their customer service. Interestingly, the brand is not necessarily aggressive in promoting their menus, and the restaurants are not that all accommodating either, but it is possible that the brand is gaining ground among those who have lost their credibility on KFC…

Average expenditure on a value meal

Between TT$20 and TT$30

“Jap´s is more affordable and the

chicken is good too”.“I like Jap´s because it´s cheap compared to

KFC, the chicken is tasty and they give you

more chicken”. “Their garlic sauce is the best and the chicken is bigger!”

Page 28: KFC Value Research - Focus Group Report- Costa Rica, Nassau, Ecuador, and Trinidad CONSULTORÍA INTERDISCIPLINARIA EN DESARROLLO CID/GALLUP, S.A. June,

COMPETITIVE LANDSCAPE-ECUADOR-

Many highlight the ample variety of offerings of McDonald´s in Ecuador, which include desserts, breakfast meals, salads, chicken and beef burgers, as well as other service related benefits such as expanded business hours (open 24 hours) and good customer service. Many also suggest that McDonald´s is very aggressive in promoting their value meal…

Average expenditure on a value meal

Between $3 and $4

“KFC and McDonald´s have similar prices, but

McDonald´s is more fulfilling and has more variety”. “I don´t feel

satisfied with KFC´s $2 combo”. “Unlike KFC, McDonald´s allows

you to put together your own meal so you can eat something

different every time”

Page 30: KFC Value Research - Focus Group Report- Costa Rica, Nassau, Ecuador, and Trinidad CONSULTORÍA INTERDISCIPLINARIA EN DESARROLLO CID/GALLUP, S.A. June,

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KFC ´S IMAGE

Med/Heavy Users Lapsed Users

KFC is among their top choices when eating on a budget, though it

tends to be the principal one especially in Trinidad and Ecuador, whereas in Nassau and Costa Rica,

Wendy´s and McDonald´s respectively are the go-to

restaurants for med/heavy users as well.

It was interesting to notice that KFC users tend to criticize KFC´s

value offerings and overall service more than the brand´s lapsed

users, thus suggesting that this group is expecting more from the

brand. In Trinidad and Ecuador, where the brand has a wider coverage,

most indicated that KFC was convenient, “There´s a KFC everywhere in Trinidad”.

Some still perceive KFC as a family oriented brand and not

their top choice when eating alone, “KFC is more for families than anything else; they have the chicken buckets and mega

meals that are focused on families or large groups and not

for people that eat on their own”.

Many lapsed users also indicated not being aware of KFC

´s value meal, “I didn´t know that KFC had a value meal”,

“Does KFC have a value meal? Since when…?”

Lapsed users in Ecuador suggest that KFC needs to

improve on its image positioning, “KFC needs a killer

advertising campaign, it´s so worn out”

Page 31: KFC Value Research - Focus Group Report- Costa Rica, Nassau, Ecuador, and Trinidad CONSULTORÍA INTERDISCIPLINARIA EN DESARROLLO CID/GALLUP, S.A. June,

KFC´S PRODUCT

KFC´s “unique flavor” is what drives users into visiting this

brand. Most highlight KFC´s for offering the best chicken, quality products, and abundant meals.

In Trinidad it was observed that KFC´s “Munch Pack” was

something participants could eat on a daily basis.

KFC value menu was considered fulfilling by many, therefore it is possible to infer that the former contributes to the perception of KFC´s abundance brand value, “Their meals look healthy,

they have rice and lentils, and it´s better than eating a

burger” (Ecuador).

Med/Heavy Users

Lapsed users indicated having problems with

KFC´s consistency, “I did not know what to

expect when I visited KFC,

sometimes you got large pieces, and sometimes their

pieces were tiny”, therefore

highlighting opportunities in the

consistency of products. This was

noted in all 4 markets of the

study.

Page 32: KFC Value Research - Focus Group Report- Costa Rica, Nassau, Ecuador, and Trinidad CONSULTORÍA INTERDISCIPLINARIA EN DESARROLLO CID/GALLUP, S.A. June,

KFC´S PRODUCT

Variety of the value meal was mentioned as being one of KFC´s most important weaknesses by both users. In all markets, most users ended up ordering the same for the money they were given as part of this research assignment: a two-piece chicken, fries and drink combo, or a chicken sandwich, fries and drink combo, (in Ecuador the one-piece chicken, salad, rice, lentil, fries and drink-meal was the most popular in this activity)…

“I felt cheated after leaving KFC. I paid

$5.99 for two pieces of chicken, a regular soda and small fries when I

could have had more at Wendy´s for $3.99”

(Nassau). “I left [KFC] feeling satisfied but there were not many

options to choose from” (Costa Rica), “They

should throw in a biscuit or a larger soda for that price” (Trinidad). “It´s the same chicken as

always, everything has the same taste”

(Ecuador).

The fact that most informants suggest that in KFC “everything is made out of the same

type of chicken”, may be driving the perception that the brand lacks variety of ´non-chicken´ products in its value meal

Page 33: KFC Value Research - Focus Group Report- Costa Rica, Nassau, Ecuador, and Trinidad CONSULTORÍA INTERDISCIPLINARIA EN DESARROLLO CID/GALLUP, S.A. June,

KFC´S PROMOTION

Many participants in all 4 markets indicate having problems identifying KFC´s value menu, which for them is not very well differentiated or promoted on the restaurant´s menu boards. Although the value meal platform exists in these countries (“Justo a tu gusto” in Costa Rica and “Whattadeal” in Nassau), informants of each country suggest not having seen ads for this promotion at the point of purchase nor seen them identified as such on the menu boards…

“It´s like if they were trying to push on us their most expensive products and don´t want us to realize that they have a

value meal”, “There are so many

products in the menu board that it´s hard

to find the value meal, it gets confusing”.

-Costa Rica-

-Nassau

Page 34: KFC Value Research - Focus Group Report- Costa Rica, Nassau, Ecuador, and Trinidad CONSULTORÍA INTERDISCIPLINARIA EN DESARROLLO CID/GALLUP, S.A. June,

KFC´S PROMOTION

“I asked the employee about their value menu and she pointed at the

combos, and that´s why I ended up getting a combo. But after I had placed my order, I realized that they

had the ´small prices´ [value meal] too, which I

didn´t know they had. And when I looked at the value menu, which is not evident

at first sight, I wished I would´ve ordered

something else instead and not the combo I

bought”.

The fact that KFC has been traditionally more aggressive in promoting its bucket meals, family oriented products, and meals made for sharing while its competitors have been increasingly advertising their value meal platforms, could explain why many consumers do not recall seeing ads of KFC´s value platform…

In Costa Rica, participants were highly critical of KFC for not offering their specialty or “star product” -chicken on the bone- on the value menu, “I was expecting to see their chicken at a reduced price in the value menu, and was surprised to see that they didn´t have it”, “McDonald´s has their Big Mac at a reduced price and KFC should also have their chicken in their value menu”.

Page 35: KFC Value Research - Focus Group Report- Costa Rica, Nassau, Ecuador, and Trinidad CONSULTORÍA INTERDISCIPLINARIA EN DESARROLLO CID/GALLUP, S.A. June,

KFC´S PRICE

Med / heavy users Lapsed users Trinidad

There was a division on KFC´s affordability to eat on a regular

basis: some participants especially in Trinidad and Nassau (where it was also noted that KFC charges an additional cost for specific chicken portions and for

specialty sodas), suggest that KFC´s prices have increased

unlike other fast food restaurants that have kept their

prices unchanged. In Costa Rica and Ecuador, KFC´s value meal is perceived

as a competitive option in terms of affordability, but not

necessarily so in terms of variety.

In Ecuador, KFC´s users perceive its value meal to be on

par with McDonald´s, since most tend to spend a similar amount (between $4 and $5)

when visiting these restaurants.

Before participating in the focus group activity, KFC

lapsed users held the notion that the brand was expensive and not affordable to eat on a daily basis, “KFC is more for a splurge than anything else”,

“For me KFC is a place to visit on special occasions or with

my family”. After their visit, many lapsed users indicated being “nicely

surprised” of KFC value menu, “I usually eat a lot and

thought that I was going to leave the restaurant feeling hungry but I ordered a chicken

sandwich, some fries and a soda and paid about

¢1,800 ($3.60) and felt satisfied”, “I think it´s

possible to visit KFC when you have little money; maybe they

should advertise their promotions a little more”.

KFC users and lapsed users alike in

Trinidad suggest that the price of

meals have increased

significantly in a short period of time in this market, while

the size of their portions have

become smaller during the same period. For many,

KFC has not justified this increase by improving their

service.

Page 40: KFC Value Research - Focus Group Report- Costa Rica, Nassau, Ecuador, and Trinidad CONSULTORÍA INTERDISCIPLINARIA EN DESARROLLO CID/GALLUP, S.A. June,

VISIT PROFILE-Costa Rica-

Visit Profile

Mood upon arrival Relaxed, I really felt like eating. I was at home doing some work.

Exact amount of money was given ¢2,500

Exact amount of money spent ¢1,800

Why did you spend more? -

Which items did you purchase?

1 Kentucky Burger, 1 mashed potato instead of fries and a small soda

How did you decide which items to purchase today at KFC?

The main product had chicken in it, and also the quality influenced my decision

Was it easy or was it difficult to find items within your budget?

No, I would have loved to find chicken pieces in the value menu

Is KFC affordable? Yes, because its products are tasty

Did you order what you wanted? No, they were not in the value menu and were off budget

Mood after leaving I felt satisfied

Last visit to KFC More than 3 months

Changes? I would include chicken pieces and chicken wings as main products

Page 41: KFC Value Research - Focus Group Report- Costa Rica, Nassau, Ecuador, and Trinidad CONSULTORÍA INTERDISCIPLINARIA EN DESARROLLO CID/GALLUP, S.A. June,

VISIT PROFILE-Costa Rica-

Visit Profile

Mood upon arrival I was at home watching a movie, I was in a good mood

Exact amount of money was given ¢2,400

Exact amount of money spent ¢2,400

Why did you spend more? -

Which items did you purchase? 1 Chicken Crispy, 1 regular fries, 1 coleslaw, 1 regular Pepsi

How did you decide which items to purchase today at KFC?

I ordered what I wanted and was influenced by the small prices

Was it easy or was it difficult to find items within your budget?

Easy, they were offered to me by the staff

Is KFC affordable? Yes, you can fulfill your needs with little money

Did you order what you wanted? Yes, because I asked them first and then I decided

Mood after leaving Good, I wanted to eat and bought what I wanted

Last visit to KFC Over 4 months ago

Changes? I would display the small prices in the auto service as these are not visible from outside

Page 42: KFC Value Research - Focus Group Report- Costa Rica, Nassau, Ecuador, and Trinidad CONSULTORÍA INTERDISCIPLINARIA EN DESARROLLO CID/GALLUP, S.A. June,

VISIT PROFILE-Costa Rica-

Visit Profile

Mood upon arrival I was relaxed because I had just finished a test. I was at the university and decided to grab a bite to eat

Exact amount of money was given ¢2,500

Exact amount of money spent ¢2,350

Why did you spend more? -

Which items did you purchase?

1 Twister Cheese, 1 Chicken Crispy w/ honey mustard, 1 regular Pepsi

How did you decide which items to purchase today at KFC?

They looked nice on the menu and the prices were affordable

Was it easy or was it difficult to find items within your budget?

Yes, because the menu has some very cheap products, affordable for most part of the population

Is KFC affordable? Yes, because one can eat with little money even when you don´t feel fully satisfied

Did you order what you wanted? Yes, because I am used to eating these kind of products

Mood after leaving Happy and hunger free

Last visit to KFC Nearly 2 weeks ago

Changes? Include fried chicken pieces on the value menu

Page 43: KFC Value Research - Focus Group Report- Costa Rica, Nassau, Ecuador, and Trinidad CONSULTORÍA INTERDISCIPLINARIA EN DESARROLLO CID/GALLUP, S.A. June,

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Mood upon arrival I was tired, starved and moody. Before my trip to KFC I had a 3-4 hour volleyball practice training

Exact amount of money was given $6.00

Exact amount of money spent $7.25

Why did you spend more? I wanted a biscuit with my combo, and the combo costs more than the amount given

Which items did you purchase?

2 piece spicy rub and wing combo with a biscuit and a fruit punch to drink

How did you decide which items to purchase today at KFC?

The items purchased are the only thing I wanted from the menu

Was it easy or was it difficult to find items within your budget?

Finding the items were not difficult. I decided to purchase what I preferred even if it meant adding my money to the budget

Is KFC affordable? Despite the menu offers, I don´t stray away from what I like because of the price

Did you order what you wanted? Yes I did!!

Mood after leaving I was anxious and ready to go home

Last visit to KFC About 3 months ago

Changes? For me, I would prefer more healthy options

Page 44: KFC Value Research - Focus Group Report- Costa Rica, Nassau, Ecuador, and Trinidad CONSULTORÍA INTERDISCIPLINARIA EN DESARROLLO CID/GALLUP, S.A. June,

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Mood upon arrival I was very hungry. Right before I went to KFC, I was at a volleyball practice

Exact amount of money was given $6.00

Exact amount of money spent $6.49

Why did you spend more? I spent more because I got fruit punch rather than a soda. I feel as though all fountain drinks should be the same price

Which items did you purchase? I purchased a #1 combo which was a 2 piece with fries and drink

How did you decide which items to purchase today at KFC?

I decided to order that because it was the least expensive and I was influenced by the price because it was around my budget

Was it easy or was it difficult to find items within your budget?

Personally, it was difficult. I say this because considering I find $6.00 quite a heaping amount for the amount of food given, especially because prices have increased drastically

Is KFC affordable? I believe the menu options are attractive but not quite affordable when trying to maintain a low budget

Did you order what you wanted?

No, I did not. This is because a mere $6.00 cannot purchase more than a #1 combo , perhaps a sandwich, and I wasn´t prepared to pay such unreasonable prices for anything else

Mood after leaving I was satisfied because I was at least able to buy an entire combo, yet disappointed at the size of the chicken

Last visit to KFC About 3 and a half months ago

Changes? They should definitely lower the prices

Page 45: KFC Value Research - Focus Group Report- Costa Rica, Nassau, Ecuador, and Trinidad CONSULTORÍA INTERDISCIPLINARIA EN DESARROLLO CID/GALLUP, S.A. June,

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Mood upon arrival I was in a good mood and excited to eat KFC, for me it was a treat

Exact amount of money was given $6

Exact amount of money spent $5.74

Why did you spend more? -

Which items did you purchase? 2 piece chicken with fries (no drink)

How did you decide which items to purchase today at KFC?

I bought what was available for the amount of money given

Was it easy or was it difficult to find items within your budget?

Yes, there was only one combination that fit within my $6 budget, It was easy

Is KFC affordable?KFC does offer an attractive menu, however, it was very expensive to get a meal, my budget is normally between $5 and $6 for lunch and I couldn´t get a meal for $5 at KFC

Did you order what you wanted? No because what I really wanted was not within my budget

Mood after leaving I felt good because the service was OK

Last visit to KFC Over 4 months ago

Changes? It should have a few more $5 options as well as a few healthier options (eg chicken salad)

Page 46: KFC Value Research - Focus Group Report- Costa Rica, Nassau, Ecuador, and Trinidad CONSULTORÍA INTERDISCIPLINARIA EN DESARROLLO CID/GALLUP, S.A. June,

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Mood upon arrival I was feeling normal. I was walking from work

Exact amount of money was given $38

Exact amount of money spent $48

Why did you spend more? Because of the upsize of fries. Good because I got more fries

Which items did you purchase? The dinner combo

How did you decide which items to purchase today at KFC?

Hunger, I wanted more food

Was it easy or was it difficult to find items within your budget?

I was easy, because I knew what I wanted and it was on the menu board

Is KFC affordable? Yes, because I can buy one piece of chicken or one portion of fries

Did you order what you wanted? Yes, because I was hungry

Mood after leaving Normal and satisfied

Last visit to KFC 3 weeks ago

Changes? They can put drinks with the snack box

Page 47: KFC Value Research - Focus Group Report- Costa Rica, Nassau, Ecuador, and Trinidad CONSULTORÍA INTERDISCIPLINARIA EN DESARROLLO CID/GALLUP, S.A. June,

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Mood upon arrival I was very hungry, did not eat breakfast. I was working

Exact amount of money was given $35

Exact amount of money spent $40

Why did you spend more? I was very hungry and wanted the value meal. It was very satisfying

Which items did you purchase? A value meal

How did you decide which items to purchase today at KFC?

I wanted a sandwich special, but it was not available, so I had a value meal

Was it easy or was it difficult to find items within your budget?

It was very easy, the menu is easily seen

Is KFC affordable? Sometimes because their prices have gone up. The value meals are very expensive compared to other fast food outlets

Did you order what you wanted? No, because it was not available

Mood after leaving I was satisfied

Last visit to KFC 5 months ago

Changes?The specials should be more regular e.g popcorn chicken, bbq chicken and the wrap. They should lower the prices. That is the only reason I stopped buying regularly.

Page 48: KFC Value Research - Focus Group Report- Costa Rica, Nassau, Ecuador, and Trinidad CONSULTORÍA INTERDISCIPLINARIA EN DESARROLLO CID/GALLUP, S.A. June,

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Mood upon arrival I was hungry. I was at home reading

Exact amount of money was given $33

Exact amount of money spent $40

Why did you spend more? Because a dinner special was $33 and went up to $40. The prices are always changing.

Which items did you purchase? A dinner special, the value meal

How did you decide which items to purchase today at KFC?

Because I was very hungry that day, so I wanted more

Was it easy or was it difficult to find items within your budget?

It was easy because with the combos, I can choose what I want

Is KFC affordable? It is attractive but not always affordable because of the change in prices

Did you order what you wanted?

Yes, actually I really wanted a snack pack and decided to order from the value meal because the snack pack does not come with a drink

Mood after leaving A good satisfied mood, there were no problems

Last visit to KFC Last week

Changes? Have a drink with the snack pack or one can have a choice if they do not want the drink and lower the prices

Page 49: KFC Value Research - Focus Group Report- Costa Rica, Nassau, Ecuador, and Trinidad CONSULTORÍA INTERDISCIPLINARIA EN DESARROLLO CID/GALLUP, S.A. June,

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Mood upon arrival I was working, so I was stressed and tired

Exact amount of money was given $3.00

Exact amount of money spent $5.99

Why did you spend more? I spent more money because the combo I like costs a little more that the budget I had. I felt good, relaxed and satisfied

Which items did you purchase?

Big Box combo, 1 chicken piece, fries, spicy wings, hamburger and soda

How did you decide which items to purchase today at KFC?

I decided to buy it because it´s the combo I like and the one that nurtures me

Was it easy or was it difficult to find items within your budget?

Difficult, because the value meals cost more that the budget I had

Is KFC affordable? Yes the products are affordable, but they don´t make me feel satisfied

Did you order what you wanted? Yes

Mood after leaving Relaxed, satisfied

Last visit to KFC Last week

Changes? Include a another piece of chicken in the Big Box instead of the salad

Page 50: KFC Value Research - Focus Group Report- Costa Rica, Nassau, Ecuador, and Trinidad CONSULTORÍA INTERDISCIPLINARIA EN DESARROLLO CID/GALLUP, S.A. June,

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Mood upon arrival Very hungry, I came walking from work

Exact amount of money was given $3.50

Exact amount of money spent $4.60

Why did you spend more? I spent more because I didn´t want to eat just chicken and fries. I didn´t feel any different

Which items did you purchase? Boxmaster with fries and soda

How did you decide which items to purchase today at KFC?

It was only a wrap and nothing else

Was it easy or was it difficult to find items within your budget?

No, I wanted something else. I didn´t know if the price included taxes

Is KFC affordable? It is at some extent because of the value meals, but it isn´t because you can´t eat something you really want with $5

Did you order what you wanted?

No, because I wanted coleslaw, and since nobody asked me if I wanted something else, I didn´t ask for it

Mood after leaving Bad, disappointed. Mi Boxmaster was cold . The ketchup dispenser was broke, the service was TERRIBLE!

Last visit to KFC Last year

Changes? Desserts! More salad options. More attractive executive combos.

Page 51: KFC Value Research - Focus Group Report- Costa Rica, Nassau, Ecuador, and Trinidad CONSULTORÍA INTERDISCIPLINARIA EN DESARROLLO CID/GALLUP, S.A. June,

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Mood upon arrival Tired, I had just come back from work

Exact amount of money was given $3.00

Exact amount of money spent $4.54

Why did you spend more? The prices were higher than what I had expected to pay for a combo

Which items did you purchase? 2 chicken pieces, fries, soda and ´moncaiba´ (cookie)

How did you decide which items to purchase today at KFC?

That´s what I usually order when I eat from KFC

Was it easy or was it difficult to find items within your budget?

It was somewhat difficult, I didn´t see the [value] menu

Is KFC affordable? Yes, the price of this type of food are around that amount

Did you order what you wanted? Yes I did

Mood after leaving I felt relaxed

Last visit to KFC Over three months ago

Changes? Include other products rather than chicken pieces and fries