Home Away From Home THIS IS A FICTIONAL CAMPAIGN CREATED FOR A CLASS
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History of CFA Founded by Georgia native S. Cathy Truet, CFA (CFA) was originally named “Dwarf House” with its first location in Atlanta. Truet started the privately-owned restaurant with his brother, Ben, in 1946. Since its founding, CFA has been a family business driven by Southern hospitality and traditional values. CFA continues to operate as one of the largest family-owned businesses in the country, with an estimated net worth of $4.4 million per storefront (in 2016) and over 2,000 storefronts in the United States (Peterson, 2017). Dwarf House had classic American fast food items, including beef and chicken products. After experimenting with various business models, Truet recognized it was necessary to differentiate the brand and try something new. Additionally, Truet recognized the relative popularity (based on sales) of the chicken sandwich compared the hamburgers. Subsequently, Truet renamed Dwarf House to CFA and shifted the business model to specialize in chicken products. The name CFA served to distinguish the restaurant from other fast food franchises (such as McDonalds and Burger King), playing on the restaurant’s specialty in chicken. Additionally, the “A” in the name was intended to demonstrate the premier quality of the product and service. Truet developed CFA’s business model based on four key principles (International Directory of Company Histories): 1. CFA would coordinate with independent operators rather than franchise. 2. The restaurant would operate exclusively out of shopping malls (Truet recognized market opportunity in shopping malls in the early 1960s. This point remained a key philosophy until the 1980’s when franchises over-saturated the shopping mall market). 3. Finances would come directly from CFA’s profits. 4. Customers are the central component of the business model and philosophy. A devout Southern Baptist, Truet also incorporated traditional religious values within the business model. For example, the restaurant remains closed on Sundays, providing employees with the opportunity to rest, spend time with family or worship. Industry Trends CFA falls under the “Fast-Food Restaurant” sector in the food industry (IBIS World: Industry Reports). By definition, fast-food restaurants are institutions where “Patrons pay for quick-service food products before eating. Purchases may be consumed on-site, taken out or delivered.” (IBIS World: Industry Report). The industry is considered “mature” meaning it exhibits slow and steady, long-term growth. Industry Opportunities • The industry exhibits low revenue volatility, meaning there is consistent growth. Additionally, there is low risk for major declines in profit based on externalities due to low prices and wide 3
accessibility. • Projected 1.6% annual growth rate for the next ten years. • Access and interest in the international market for fast-food restaurant expansion. • Technology developments (for example, McDonald’s has introduced kiosks to streamline the ordering process). Industry Challenges • Projected decrease in annual growth from previous ten years (3.6% percent annual growth) to upcoming ten years (1.6% annual growth). • High levels of industry competition and saturation. o Prices remain low due to high levels of competition, therefore shrinking opportunity for profit expansion. • Public is more health conscious/health aware, therefore they are more concerned about the healthy options offered about fast-food restaurants. • Consumers spent more on groceries than they spent at restaurants over 2016 (US Department of Agriculture). Competitive Analysis CFA has exhibited substantial growth in the fast-food industry despite high levels of competition. In 2015, Business Insider ranked CFA as the top fast-food restaurant “Taking over America” averaging nearly $4 million per unit in the U.S (Taylor, 2016). While CFA faces competition from other large chains in the industry (specifically McDonalds), CFA’s specialization in chicken sets them apart. It should be noted that there is a higher concentration of smaller chicken based fast-food chains in the Southern United States (Biscuitville, Bojanegles and Waffle House), however their influence is diluted on a national scale. As a result, CFA’s two main competitors are Popeyes and Kentucky Fried Chicken (KFC), with other large chains also acting as competitors (McDonalds). The following sections lists CFA’s main competitors (NOTE for the sandwich comparison, a chicken sandwich at CFA costs $3.65). 1. Popeyes • Founded in New Orleans in 1972 • Total revenue of $268 million in 2016 (Business Wire, 2017) • Cost for chicken dinner is $6.49 • 2,600 storefront worldwide (largely concentrated in the U.S) • Unique branding methods and menu items catered to the regional “Cajun-style” cuisine • Has encountered difficulty reaching the international market 11. Kentucky Fried Chicken (KFC, Yum Brands, Inc. affiliate) • Founded in Louisville, Kentucky and founded in 1930 • Total revenue of $6.3 billion in 2016 (Yum Brands 2016 Annual Report, 2016) 4
• Cost for chicken sandwich is $5.99 • 20,500 storefronts worldwide spread over 125 countries and territories (KFC). o Largest chicken fast-food chain in the world • Global storefront/brand expansion, especially in China (Yum Brands 2016 Annual Report, 2016) • Faces operational challenges and distrust from the public (Jurevicius 2013) o I.e. KFC had to shut down 900 storefronts in Britain (representing 6% of their revenue stream) in February 2018 due to a chicken shortage (Freytas-Tamura & Tsang, 2018) III. McDonald’s • Founded in San Antonio, CA in 1955 • Total revenue of $25.41 billion on 2016 • Cost for a Big Mac is $3.99 • Large international presence with efficient brand adaptability and recognition o Considered most popular fast food restaurant in the world (Statista, 2017) • Over 37,000 storefronts worldwide (Statista, 2017) IV. Burger King • Founded in Jacksonville, FL in 1953 • Total revenue of 1.22 billion in 2017 (Statista, 2017) • Cost for an original chicken sandwich is $4.09 • 2nd Largest fast food hamburger chain in the world (Burger King) • 16,717 storefronts worldwide (Statista, 2017) Compared to competitor competitors, CFA has remained important and powerful in the chicken based fast-food industry. For example, CFA generated nearly $4.4 million in average sales per restaurant in 2014, compared to KFC’s $960,000 per restaurant in the same year (Peterson, 2016). While there are many possible explanations for this difference, CFA’s excellent customer service ratings have identified CFA as the politest chain in the restaurant business may be a significant determinant (Peterson, 2016). Consumer Analysis CFA has established a broad market base, building a strong presence on college campuses and in urban areas (especially in the Southern United States). Men and women are statistically equally as likely to visit CFA, however younger people are significantly more likely to be customers. More specifically, 18-year-olds are 32 percent more likely to go to CFA. Nineteen- year-olds are 47 percent more likely and 20-year-olds are 67 percent more likely to go to CFA, therefore they will be one of the groups we focus on. Individuals that have completed four years 5
of college and are employed full-time make up a higher percentage of the customer base, therefore we will also be targeting “young parents” aged between 30-34. CFA customers are 20 percent more likely to exercise regularly, aligning with the trend that individuals are more concerned about health. However, of the same general customers, they are only 6 percent more likely to try and eat healthier foods. This means CFA should reinforce that the products are made with health in mind, but that the trend isn’t threatening to the brand. CFA consumers are more likely to be “middle of the road” politically” and use technology more than older age groups. In addition, CFA consumers are predominately located in the Southern region of the United States, most likely due to the higher abundance of storefronts. One of the most important insights is that CFA consumers are “open-minded” meaning they are likely open to new things, this is important for rebranding and campaign strategy for CFA. Brand Analysis CFA exhibits a strong brand because their brand is consistent and evokes a strong emotional connection. Arguably, one of CFA’s strongest strengths is their business and life model that is centered on family, customers and employees. Customer service is at the heart of their success. Their philosophy is that relationships run a restaurant. As the founder S. Truett Cathy said, “We should be more than just selling chicken. We should be a part of our customers’ lives and the communities in which we serve.” CFA puts their brand on top of the other chicken-focused restaurant chains because of their dedication and determination to politeness. Politeness is one of their plans of action when training employees. According to QSR Magazine’s annual report, CFA is the politest chain in the restaurant business (Taylor 2016). Their employees are at the center of their customer-friendly business model. Such an extreme customer-focused brand is working. In 2015, CFA generated more revenue per restaurant than any other fast-food chain in the U.S. Per restaurant, CFA’s average sales reached nearly $4 million. A brand’s identity is not only memorable slogans and symbols, but also how the brand makes you feel. CFA works hard to make every encounter a personal one, and leaves a footprint on their community. Another one of CFA’s strengths is their dedication to each community a restaurant is a part of. It is believed that they should be truly apart of the communities that they serve. “At the heart of Atlanta,” CFA was one of the first to create parent friendly menus and create relationships that begin in the restaurant. The CFA foundation works to volunteer with youth in education and try and build a better future rooted in kindness. The CFA foundation has given over $19 million in scholarships over the last 14 years. A brand with strengths isn’t without its own weaknesses. CFA was founded in Atlanta, GA and is very rooted in the southern culture and life. CFA is closed on Sunday’s due to the family’s ideology and to give the day to family, rest or worship if that is what they choose. However, one 6
of the founders spoke out against gay marriage and ignited a nationwide boycott for strong advocates of LGBTQ rights (Peterson 2017). In 2012, Dan Cathy told the Baptist Press that they back the “biblical definition of marriage” which infuriated many gay-rights supporters. After, it was released that many of CFA’s charitable donations were in support of anti-gay marriage organizations. Traditionally, CFA has encouraged their employees to be involved and volunteer with local churches. In turn, CFA might deter members of the population who are a part of the LGBTQ community, or those who feel and act strongly towards LGBTQ rights. On another hand, the brand also deters people who not do eat chicken or meat. CFA identifies itself in a solid and coherent way. As a chicken restaurant that is committed to being an alternative for beef and other meat, their slogan “Eat mor Chikin” is widely known and extremely popular. Ironically, one of the main symbols for the brand are cows. Despite the popular campaign, CFA changed ad agencies in 2016, ending a 22-year long relationship with the Richards Group that came up with the iconic cow campaign. Competing brands would be other chicken-focused chains, such as KFC and Popeyes Louisiana Kitchen. These are fast-food chicken brands, and they are specifically known for such. However, CFA seems to have successfully branded itself differently as a “healthier” option and more family-friendly. The brand has turned from a fast-food chain to more of a family-style sit down restaurant, that makes you feel some sort of togetherness when you eat their product. CFA’s brand is successful, even through weaknesses. Their slogans and symbols are memorable, and people remember the customer-service focused aspect of their business. CFA has many loyal brand followers, and they accelerate past their competition. Most of all, they are solid and consistent in the production of a good product. CFA is focused on family. Media Usage Analysis According to Engagement Labs, CFA was ranked as the top favorite American brand on Facebook, Twitter and Instagram in 2015. After analyzing CFA’s social media sites, it’s not hard to see why. The company posts high quality content on a variety of platforms, including YouTube. In addition to standard social media sites, CFA runs its own blog where users can discover lifestyle articles, recipes and news about the company. The frequency of posting and the varying platforms that CFA uses builds a relationship between the company and its patrons. To summarize, CFA has made a clear effort to engage with a variety of people through various media channels. Based on data from Simmons, CFA Consumers are generally younger, and therefore rely heavily on technology and downloading services for TV and entertainment (from sources such as Netflix). As a result, they are less likely to watch prime time TV (which is more common among older age groups). Despite that, the channels that CFA consumers are most likely to watch include BET, Cartoon Network, MTV2, Disney XD, TV One and VH1 and Adult Swim. The magazines that CFA consumers are most likely to read include The Source, Official Xbox 7
Magazine, Allure, Automobile, Seventeen, American Baby, Brides, Latina Style and Family Fun. In terms of other print media, CFA consumers are most likely to ready USA Today compared to NYT and The Wall Street Journal. CFA consumers are 14 percent more likely to listen to radio all day, which is another important channel to consider. Lastly, CFA consumers are heavy social media users. For example, the average CFA consumer is 19 percent more likely to use some form of social media. In addition, CFA users are 23 percent more likely to own a smart phone. This indicate promise for CFA’s mobile app, which has room for expansion in the consumer base. Creative Category Analysis CFA’s creative techniques are comprised of a variety of aspects. For example, an advertising strategy that centers around customers, which includes a rich history of various campaigns, such as “Eat Mor Chikin,” and focusing on connecting to customers through story-telling. From free meals for customers in costume on Cow Appreciation Day, to always responding to a “Thank You,” the company goes to great lengths to keep customers central to the brand and creative strategy. “Eat Mor Chikin,” one of CFA’s most well-known advertising slogans, depicts cows as a unified force, aimed at altering the American food lifestyle by encouraging people to eat more chicken and reduce the amount of beef consumed. Visually, this campaign utilizes stylistic elements to create brand identity (for example, messages are written in a font that emulates dripping paint, insinuating that the cows wrote the sign). The font is usually in black ink against a white background, making it a plain but striking color combination, while also emulating the colors of a cow. The animals write in broken English, furthering the humor that cows would likely have poor spelling if they were able to write. These choices make the campaign visually memorable while also adding to the comedic effect; the visual and strategic elements complement each other. With a menu based around chicken instead of beef, CFA has differentiated themselves from their competitors, such as McDonald’s or Burger King, which serve mainly beef products (Fandom). The cows trying to persuade humans to eat chicken instead of beef portrays the innate human quality of “self-preservation” the cows manage to tell a story that includes a conflict making it that much more intriguing (Richards, 2016). The cow has ironically become CFA’s brand symbol. The company has personified the cows as a branding strategy by creating social media accounts for them that have thousands of followers (Casey, 2016). While the cow campaign was very popular, the concept has become somewhat dated. After more than 22 years working with The Richards Group (the advertisement agency that developed the iconic cow campaign), CFA has ended its relationship with the agency to experiment and try new creative strategies for the brand (Sutton, 2016). CFA will now be working with the McCann agency out of New York. As of 2016, their new goal is to amplify the brand’s 8
message by connecting and building relationships with new and existing customers, a concept they are calling the “cow plus” marketing strategy. CFA is attempting to do this by telling a compelling story that highlights topics such as quality of food, customer service, and offerings that may not have fit well into the cow theme. This is an ample opportunity for the brand to expand their marketing strategy and keep the content fresh and unique. On CFA’s YouTube channel, videos showcase individuals with unique personal stories related to CFA. Examples include a child with a learning disability speaking his first sentence at a CFA, an employee running to buy baby food for a mother who had ran out, or a CFA team collaborating with a local fundraising campaign. In each video, a different CFA restaurant was presented with an opportunity to help customers, and chose to intervene into their lives in meaningful ways. The featured stories garnered roughly 500,000 views on YouTube, cumulatively totaling some of the channels largest view counts. It is worth noting that CFA attempts to do a similar campaign with their #MorningsWorthSharing video campaign, however these videos have such a highly-inflated view count with little audience interaction on the posts, making the numbers hard to trust. These videos show CFA’s conscious effort to focus their brand on enriching the lives of their customers. Integrating technology into their new campaign strategy, McCann used virtual reality to appeal to the consumer of the modern age. An ad campaign was created focusing on cows wearing VR headsets and CFA promoted the new campaign with two 30-second commercials during the Grammy Awards in 2017. The two commercials allowed people to “experience” bizarre things, like flying down a ski slope surrounded by cows. People can go to cowzvr.com to experience the campaign in its entirety if they own VR glasses. Just like “Eat Mor Chikin,” the company purposefully makes spelling errors in their campaigns, because it’s supposed to be like the cow is the one speaking. But, the actual website only has one video of a cow standing in a large field — no thrill seeking is seen. The campaign failed, most likely because, according to Forrester research, “42 percent of U.S. adults online have never heard about VR headsets.” Also, “only 8 percent of marketers are currently using VR in advertising.” CFA saw an opportunity to integrate technology into an ad campaign but felt short because the technology itself was still trying to establish itself in the market. In terms of CFA’s competition, brands such as KFC and Popeyes use people (the Colonel for KFC and Annie for Popeyes) as brand representatives. By using people, both companies have established strong brand identities that are both memorable and recognizable in the media and advertising. Compare this strategy to CFA which has shifted away from the cow theme in marketing content and media. This strategy shift may be a threat to CFA’s brand, however because consumers are open minded, there is room to try new things in marketing strategies. Public Opinion and Stakeholder Analysis CFA has established and maintained a strong, positive relationship with its customers and 9
the public. According to a customer satisfaction survey by the American Customer Satisfaction Index (ACSI), CFA was voted as America’s favorite fast food establishment (Fox News, 2015). CFA scored the highest ever rating for a restaurant in the quick-service category, ranking well above its competitors KFC, Wendy’s and McDonald’s. The public also views CFA as having a positive impact on their communities. According to Morning Consultant’s Community Impact Ratings, 49 percent of U.S. adults said CFA had a positive influence on their community, while only 7 percent said the chain has a negative one (Piacenza, 2017). Millennials are less likely to view CFA’s community influence negatively compared to McDonald’s and other fast food chains. CFA also ranks higher in the South, and residents of Alabama, Georgia, North Carolina, South Carolina, Texas and Virginia rank the chain more positively than the national average. Although the chain has fostered healthy public relations, CFA experienced backlash in the summer of 2012 when CEO Dan Cathy expressed his support of the biblical definition of marriage (and opposition to gay marriage) on a conservative radio talk show and in a religious publication (Morgan, 2013). Equality Matters, an online investigative organization, obtained tax records that showed that the Cathy family and the company’s operators had also donated millions of dollars to groups whose work included defeating same-sex marriage initiatives and providing therapy intended to change people’s sexual orientation (Severson, 2012). In response to this communication crisis, there were protests, rallies and other efforts (some successful) to remove CFA from college campuses. The company also experienced resistance on social media with many calling for a boycott. Carly McGehee, a New Yorker, decided to stage a same-sex kiss-in on Aug. 3, urging gays and lesbians to show up at the company’s 1,600 restaurants around the country in protest. Although this communication crisis received a lot of attention, it did not severely harm CFA’s public relations or sales. According to a Rasmussen Reports national phone survey from 2012, 77 percent of U.S. adults did not plan to boycott the restaurant because of the controversy, and 61 percent still held a favorable opinion of CFA (Rasmussen Reports 2012). Brand supporters, including conservatives and Christian groups, defended CFA during the controversy and organized a CFA appreciation day in response. Mike Huckabee, Sarah Palin, Ann Coulter and Rick Santorum were among those in the public eye who voiced support. CFA responded to the backlash with a post on their official Facebook page that said, “Going forward, our intent is to leave the policy debate over same-sex marriage to the government and political arena.” Since 2012, CFA has been trying to promote a more inclusive image, and has told its operators not to let their activities in the community alienate or exclude particular faiths or religious organizations. The company has shifted their focus for both their local and corporate involvement and philanthropy to youth and education causes (Peterson 2017). As CFA has continued to expand its operations by opening new stores across the U.S., giveaways have become a central part of its brand. With the opening of each new establishment, CFA runs a “First-100” event, in which the first 100 customers at a given location receive one sandwich meal per week for a year. Cow Appreciation Day, an annual promotional giveaway started in 2005, has similarly become an engrained tradition. On this day, adults and children
adorned in any sort of cow clothing or accessories can claim a free entree and kid’s meal, respectively. In 2016, CFA gave away 1.6 million free entrees at over 2,000 participating restaurants (Cow Appreciation Day). When the company launched its “CFA One” mobile application in June 2016, it ascended the App Store charts to number one free app with two million downloads in its first three days. As a thank you to customers who downloaded the app, CFA offered users a free breakfast item. Besides just serving as a token of appreciation, the giveaway underscored the purpose of the app, which, according to the company website, is to accommodate customers’ busy, on-the-go lifestyles (CFA Offers Free Breakfast, 2016). According to Michael Lage, who heads CFA’s Mobile Experience division, the app enhances the customer experience on multiple fronts by strengthening the focus on customer feedback and increasing opportunities for customization (Chamlee 2016). Roughly 300 U.S. colleges have a CFA restaurant on campus-—Biola University, a private, evangelical Christian college in California partnered with CFA for a giveaway at an athletic event sponsored by the chain. Two hundred sandwiches were given to the first fans at a men’s and women’s basketball game in one of several giveaways scheduled for the season (Free CFA Saturday). In the past twelve months, CFA has experienced largely positive media exposure. Most the news stories about CFA highlight the company’s charitable work and generosity. One popular article praised CFA for temporarily opening their establishment on a Sunday to feed stranded travelers in the Atlanta airport after a power outage (Matyszczyk, 2017). The Huffington Post also recognized CFA for offering free food to those lining up to give blood to help those injured in a shooting at the LGBT nightclub Pulse in Orlando, FL (Sieczkowski, 2016). In 2018, WTVM showed the Columbus CFA sending a heart-warming message on their outdoor restaurant sign in support of the victims and their families following the mass shooting at Marjory Douglas Stoneman High School in Parkland, FL (Weary 2018). Local CFA establishments engaging in philanthropic behavior have been at the core of the recent press surrounding the company. Due to CFA’s growth and expansion across the U.S., “The Chicken Wire” and other outlets have frequently promoted the company’s new restaurant locations and menu items. While CFA has not experienced a communication crisis as severe as in 2012, there have been incidents giving rise to negative portrayals of the company. CFA received a lot attention when, in 2017, a Pennsylvania woman sued the company after claiming a rodent had been baked into her food (Moye, 2017). CFA also faced social media outrage after a mother from North Dakota was kicked out of a CFA restaurant in Fargo for attempting to publicly breastfeed her daughter (Moye, 2018). Contentious Facebook comments and reviews followed in the wake of the controversy, and the franchise owner responded directly by using the platform to publicly apologize (Magness, 2018). The incident, albeit polarizing, hit on an issue that was not expressly one-sided. In other words, the situation roused a debate that was already occurring—survey results from the CDC indicated that roughly one third of respondents find public breastfeeding to be embarrassing (HealthStyles Survey, 2010). Overall, the negative media exposure has been infrequent. CFA’s culture has proven to be a net asset over the past six years (since 2012). Its
company philosophy of serving others has transcended the political divides accentuated by Cathy’s 2012 comments. Results from one consumer study dealing with word associations for brands highlighted the notably positive non-food descriptors matched with CFA, such as “caring” and “respectful” (Chamlee, 2016). Ian Baer, the Chief Strategy Officer of the marketing agency behind the study, said that providing a personalized experience was one of the essential qualities of the positively-viewed brands, along with treatment of employees (Chamlee, 2016). These two attributes have been primary focuses for the brand, with CFA giving away scholarships to around 41,000 workers since 1973 (Meet the Scholars). A Customer Service Profile spotlights the many ways that CFA demonstrates trust and respect in its franchise owners’ and employees’ judgement (Dahms, 2016). Specifically, the company gives franchisees autonomy with respect to their business operations, reinforcing their concern for transparent insights at every point of contact with the brand. SWOT Analysis: Brand Strengths • Economic advantage within chicken fast-food industry in U.S. (against competitors) • Ranked “most polite chain” in the fast-food restaurant business • Efficient PR/crisis management • Strong community partnerships and philanthropy • Popularity in the Southern U.S. Brand Weaknesses • Non-secular (publically supports traditional Christian philosophies - history of support for anti-gay organizations) • Conflicting messaging (claims food is the company’s primary focus, while prioritizing religious philosophy in business model and practices) • Dated creative content (“Eat Mor Chikn” campaign) Brand Opportunities • Re-focus social media presence to be more customer based • Expand on the “cow plus” marketing strategy • Emphasize environmental advantage within the fast-food industry (chicken is better for the environment than beef) Brand Threats • Competitors (i.e. McDonalds) claim they will adopt CFA’s chicken preparation methods to strengthen presence in market (increased industry competition) • Consumers may be less receptive to shifting marketing strategy away from cow-centered creative strategy 12
Key Issues and Implications 1. Other large-scale competitors such as McDonalds have a strong international presence and widespread consumer base in the United States. CFA risks being beaten out by competition that wants to expand their chicken menu options. 2. Maintaining brand identity while expanding (i.e. not expanding too fast). While CFA is very popular in the South, moving the core market may not create the same level of brand loyalty in new locations. 3. Weak social media brand identity is detrimental to CFA’s image, especially since a large proportion of its customer base is derived from individuals that are aged 18 to 20 years old (meaning they are heavy users of social media). 13
Target Market Analysis The identified consumer market is comprised of two main groups based on Simmons statistics. The primary group is called the “young adult” group, aged between 19-24. The secondary target is called the “young parent” group aged between 30-34. Since there isn’t significant statistical data supporting gender preferences, we will be targeting men and women. These consumers are “general consumers,” meaning they regularly visit CFA. However, they were specifically chosen because they are densely concentrated within the consumer group that goes to CFA three to five times a month. We infer that the primary market and secondary market is attending CFA frequently because of the low prices, convenience and quality foods. Through our campaign, we believe that we can get them to make smarter decisions to come more. The primary target named the “young adult” group shows a higher reported choice of CFA as age increases within the group group. There is a slightly greater likelihood (39 percent more likely within the 22-24 age subgroup) for consumers to be African American. Individuals that go to CFA three to five times a week are 20 percent more likely than the average American to be a full-time college student. The “young adult” group is more likely to be considered “middle of the road” politically even though CFA customers are in general more likely to be conservative. Within the “young adult” group, consumers are more likely to shop online (meaning they would adapt well to the CFA app) and they consider themselves adventurous and open to trying new things more than the average CFA customer. These individuals are more likely to consider themselves awkward and forgetful (50 percent more than the average CFA consumer) as well as self-centered and stressed out. While data does not support that this group of individuals considers family the most important thing in their life, they value the way their family perceives them. The “young adult” group’s open-mindedness and high stress level indicate there is room to push these consumers towards CFA as a place of comfort that meets their needs, relating to larger theme of home. Primary Audience: Jill Darcy & Mari Lewis Jill and Mari are two 20-year-olds attending the University of Georgia, and are college roommates. Both have moved from Georgia from Alabama, their home state. Although they love being a part of the University of Georgia atmosphere, they tend to feel a little homesick once in a while, as all students feel. Because neither of them have a car and are living on a college budget, it’s hard for them to visit home. Both Jill and Mari are on a tight college budget, but although they have the affordability and convenience of eating on campus, they are looking for food that gives them comfort, , reminds them of Mom’s cooking and gives them a little bit of him in their college apartment. For Jill and Mari, “Home” means having that warm feeling that reminds them of a staple of their childhood: Mom’s meals. The secondary target group, named the “young parent,” is made up of individuals between the ages of 30 and 34. This consumer group is largely made up of individuals that 14
graduated from a four-year university and are 26 percent more likely than the average CFA consumer to be employed full time. In addition, they are more likely to never have been married than the average CFA consumer. However, frequent CFA consumers (going three to five times a month) are more likely to be parents, especially within the target age group. They are most likely to have two children under the age of six years old. The “young parent” group is predominantly Christian and politically moderate (similar to the primary target). This age group mostly lives in condos or apartments with an average household income of $45,000-$49,999. In terms of attitudes, the “young parents” consider themselves open to taking risks and less traditional than general CFA consumers. Based on the data, they don’t place a strong value on spending time with their family (data reflected neutrality), however they are more likely to be parents. Because they are already frequent consumers of CFA and they are neutral around the concept of family, we can push them towards our campaign strategy of creating “home” within CFA. Their open- mindedness and less traditional values mean they would be open to non-traditional family representation (especially since many in this target aren’t married) in advertising, which is a key insight for CFA. Secondary Audience: John & Marsha Bing, with kids Josh & Marisa John and Marsha Bing live in Nashville, Tennessee, with their two children Josh and Marisa, aged 5 and 3. John and Marsha are an African American couple and belong in the “young parent” group, because they have two kids and are both the young age of 31. They grew up in the technology and digital age, have jobs with an annual household income of $47,000. Because they are on a tight budget, making smart decisions to feed a family a four are difficult decisions every month. Their life is hectic. From struggling to balance working, raising two kids and paying the bills, food is an aspect that comes secondary. Although Marsha desires to make filing, healthy meals for her children, she always feels that she’s sacrificing health for staying within her budget. Josh (5) and Marisa (3) are picky eaters. They never agree on foods and always prefer opposite things. Because John and Marsha are always on the go, they are looking for ways to incorporate health, quickness and family time into their meals, while also satisfying both Josh and Marisa’s needs. “Home” for the Bing’s is spending time together. Marsha discovers CFA’s healthy options and their low, affordable prices are within their budget. With the CFA application, John and Marsha are able to customize their picky eaters’ orders with ease, eat within their budget, feel confident with healthy options and spend time together as a family. In sum, the primary and secondary market share some similarities. Key insights for the primary group include a higher percentage of African Americans and the large percentage of full-time college students. Key insights for the secondary target include the surprising percentage of moderates within the age group compared to average CFA consumers, as well as the non- traditional family structure and values. Neither group showed a strong positive or negative 15
attitude towards spending time with family, however there is room to expand them towards this campaign concept based on their attitudes. Campaign Strategy The campaign will target the current consumers, the primary market, who fall into the age range of 19-24 to strengthen brand loyalty. In addition to targeting this demographic, the campaign will target the secondary market- because they are frequent consumers- therefore increasing awareness of the brand and increasing revenue. Based on our SWOT analysis and research, our target market is already aware of CFA and in certain conditions consume the product quite frequently. Our primary market is already in the awareness stage. We want to move our primary market to the next tier of the advertising pyramid, to be in a high and affective involvement with the brand. We want them to increase brand preference and brand recall. For the secondary target market of young parents in the age range of 30-34, we want to move the market toward more awareness and salience for CFA, and also move towards liking and preference. Competitive Advantage & Unique Selling Proposition CFA’s competitive advantage is its combination of superb customer service and high- quality food, which are both rooted in a focus on personalizing the fast food experience. This enduring emphasis on the customer has enabled the brand to expand while retaining its core followers. When consumers took part in a recent word association experiment to determine attitudes toward major brands, CFA stood out from its fast food competitors, McDonalds and KFC, being the only one in the field to be linked to non-food descriptors like “friendly” and “caring.” This competitive advantage lends itself to CFA’s unique selling proposition. It is the one fast food restaurant chain that offers customers a fully cohesive, personalized experience starting with employees’ exceptional politeness and continuing through to the company’s mobile application tailored to enhance customization and better meet customer needs. No other quick service fast food restaurants possess CFA’s attention to consumers. For some people in newer geographic markets such as New York, the chicken itself is enough to win them over as customers. However, the above-and-beyond dedication to customer service is what truly sets CFA apart from its competition. Campaign Objective Our campaign objective is to establish and feature CFA’s brand personality and elicit customer affection by centering our campaign around the concept of home. CFA’s current brand personality can be described in a one word: friendly. CFA is known for its incredibly nice staff, both in person and through their social media channels. Leading customer service is a significant advantage for CFA, and the company’s brand personality reflects this value. CFA is a company 16
that is welcoming, sociable, helpful and compassionate to all. The embodiment of CFA would be a loyal friend that has the ability to always put a smile on someone’s face. CFA establishments across the nation have also been deeply involved in their communities, donating large amounts to charitable foundations and volunteering locally. According to Morning Consultant, 49 percent of U.S. adults said that CFA has a positive influence on their community, while only 7 percent said the chain has a negative one. Because the company is highly regarded for its charitable service, CFA’s brand personality can also be described as amiable, generous, and dedicated. CFA’s overall service to its customers and surrounding communities give the company a positive and friendly brand personality. “Home Away from Home” In our campaign, we wish to maintain this welcoming brand personality, as well as strengthen CFA’s relation to family. CFA should be seen as a “home away from home” for its customers because it creates a welcoming and joyful environment that one would experience upon returning home and reuniting with family. CFA has already implemented measures to stress their family-oriented brand personality. Some of their locations present customers with “cell phone coops” on every table, encouraging families to put away their phones during their meal and spend quality time with each other. CFA also expresses its appreciation of family values by closing its restaurants on Sundays. These initiatives and other actions by CFA displays CFA’s dedication to the family values of communication, sharing, kindness and love. Our campaign strategy will serve to highlight and build a friendly and family-oriented brand personality for CFA. Building off CFA’s linchpin customer service, we want to immerse the brand where personalization and its friendly identity may not currently be as relevant as the food itself. With regions such as northeastern cities in mind, we want to appeal to different consumers’ idea of what home looks like. By showing families of different backgrounds, identities and makeups, we hope to show a modern understanding of the family unit. The company has successfully expanded outside its southern origins, but to really engage with and connect to large swaths of populations outside of the South, CFA needs to demonstrate an acceptance and understanding of people’s unique backgrounds. Additionally, since college-age individuals are a primary target market for the company, tying in the emotions of being home will serve the brand to be able to better connect with young people living away from their families. We will link the feelings of warmth, nostalgia, comfort and sentimentality with CFA’s brand to create a strong emotional impact in our target audiences. Positioning Current customers who are predominantly motivated to consume CFA for the chicken alone reflect the fact that taste is the greatest driver of customer satisfaction overall for quick- 17
service restaurants (Mintel, 2017). An intriguing opportunity exists for CFA in the face of a market threat, as one of its main competitors, McDonald’s ramped up efforts to compete with its new chicken sandwich. Market research shows that only 82 percent of customers rated themselves satisfied with the taste of McDonald’s food, which is relatively low compared to other quick service chains. Our campaign will capitalize on McDonald’s weakness and CFA’s competitive advantage, reinforcing the brand image of offering food that customers actually enjoy. Analytics behind the CFA One mobile app show that the typical user is a 32-year- old woman with a high school degree and an annual household income of just over $60,000 (Whitehead, 2016). Focusing on mobile app usage will simultaneously enable CFA to hone in on the consumer in their thirties and the digitally savvy college age consumer. The company’s promotion to increase downloads of its app was enormously successful, although Survey Monkey analytics showed that subsequent usage of the app was not in line with the amount of downloads it generated (Whitehead, 2016). This leaves an opportunity for CFA to focus on app usage by creating new mobile promotions. It is currently situated several spots behind behind the McDonald’s app in the app store but could increase market penetration by promoting the brand strengths that make CFA so distinct from generic fast food chains in the eyes of consumers. As brand expert Donald Miller said about CFA, “the food and service there are so extraordinary that most of us don’t even think of it as fast food” (Sutton, 2017). This drives home a critical point: our branding strategy will bring to life the identity already firmly established with CFA’s core customers. The sentiment among customers that Miller hit on captures the idea that CFA is somewhat of a hybrid quick service restaurant—30 percent of customers associate fast casual restaurants with high quality, and 28 percent associate fast casual with being trendy. CFA offers a simple, reliable product, but through its customer service, encourages customers to enjoy a family-oriented, sit-down experience if they like. This versatility in meeting different needs is why CFA One is such a valuable asset. App users can skip lines by ordering food ahead of time, thus satisfying customers on-the-go. Media: Time Frame The entirety of the campaign will cost $60 million and will span one year, from June 2018 to May 2019. The specific media placement is shown in the Media Plan of this campaign booklet. Beginning with a short-term focus, daily marketing will integrate new media as a reminder for people to eat at CFA—the daily messages will influence consumers to visit a CFA instead of a competing establishment. Social Media Social media usage is the main source of content for the day-to-day campaign. By posting pictures on social media of the food offered at CFA, potential consumers will be more inclined to 18
visit their local CFA if they choose to eat out that day. Posting pictures and text that reinforce our campaign idea of family will also be a daily possibility. The repetition of posting on social media will increase consumers’ brand recall, which is only one goal of the campaign. Additionally, since social media is free, we can send out endless messages without using any of the money in our budget. Another goal of the campaign is to link a key attribute to our brand. CFA already has an association with the word “friendly,” but we’ll begin to focus our campaign around the relationship between CFA and the word “family.” Reaching this goal will take more time than the day-to-day social media posts that simply increase brand recall. In the long-run, not only will our campaign create a new word association for CFA, but it will instill brand preference on the consumer. This will be accomplished with feel good advertisements. For example, a video advertisement that asks a variety of people “What does family mean to you?” will reinforce the idea of CFA as a home away from home. This advertisement’s placement will depend on the season—it will be more effective during the holiday season where family is the focus of the market. This idea of the home away from home will also be targeted toward people aged 19-24— who tend to be away at school—throughout the year in other mediums. College Campus Our media campaign can also focus on specific college campuses by combining our campaign with school mascots and their specific culture and brand. Targeting this demographic —CFA’s main consumer demographic—should cause them to continue visiting the restaurant. By integrating new media into our campaign, we will also ensure that this college-aged demographic is seeing our messages. According to the last United States Census in 2010, there were 30,672,088 individuals in this age range, making 78.6 percent equal 24,108,261 individuals. Though there is a gap in the years, the population has remained relatively unchanged in the grand scheme of things. New media has the ability to reach a wide audience with relatively simple ease. New Media New media such as Snapchat allows us to target specific locations, while other social media applications allow us to tailor advertisements to specific age and race demographics. Since families are more inclined to eat at home as opposed to eating out (IBIS Report) our main campaign goal of creating the idea that CFA is a home away from home will also be projected onto our secondary consumer demographic of parents and those who are 30 years old or older. National Campaign The campaign will be national, but advertisements do not have to be shown in every niche demographic. As previously mentioned, social media websites give companies the ability to send out advertisements to specific demographics. This ability will allow us to target families and 19
adults. Over the years, adults aged 30-49 have been using more social media themselves, according to the Pew Research Center. In 2008, 27 percent of adults in this age range used at least one social media site, with that percentage growing to 77 percent in 2015 (Pew Research Center, 2015). Though those in the 18-29 age group use the most amount of social media, it is important to recognize that as technology develops, adults’ usage will only continue to increase. It is for this reason that our campaign must use social media messages and advertisements to target our target consumer, in addition to print and broadcast advertisements. Creative Brief: Big Idea CFA today revolves around a brand that highly focuses on a customer-friendly and customer-specific atmosphere, as well as an inclusive place for all types of families. The issue that the campaign will strive to solve is that of families feeling increasingly more inclined to eat at home because it is cheaper, easier and healthier. In addition, the campaign must solve the problem of college students feeling homesick or yearning for comfort food. As a result, the campaign hopes to lure in more families who tend to cook meals at home, as well as college students who live far away from their families, in order to foster the key idea of “home.” Home: Primary Target This idea of home plays out in two different ways. The first outlook refers to CFA as a college student’s “home away from home.” When students feel homesick, crave comfort food, or are tired of having to cook their own meals when they’re stressed and overwhelmed, CFA will act as their home, and the customer-friendly employees will act as surrogate parents. The second outlook of home is that CFA will act as a family’s second home in order to take the weight off of the parents; rather than spending endless time and effort cooking meals (while also taking care of the kids), parents can seek refuge by driving to CFA instead. While CFA is certainly successful at attracting an abundance of customers, it is important to hone in on a more specific and nuanced audience, in order to further increase the number of customers and maintain overall success. More specifically, we hope to portray CFA as the restaurant that satisfies every college student’s comfort food craving. Since most students attend college far away from home and struggle with cooking their own homemade meals, we hope to promote CFA as the place where they can be fulfilled by something that resembles a home cooked meal. In addition, with CFA’s family-oriented business model that greatly respects and values the importance of community and close-knit family ties, the “home away from home” key concept can replace the idea of a college student’s mother cooking their meals for them. College students no longer need to stress over buying expensive groceries and making their own meals; nor do they need to long for the comfort of their mother’s home-cooked meals and comfortable home environment. CFA can now be the replacement and act as a college student’s “home away from home,” right on or near- by campus. 20
Home: Secondary Target For the secondary target audience of parents (30-34 years old) and their children, we hope to make CFA the one restaurant that sounds more appealing at which to eat out. Whether it’s by making CFA quicker and more efficient by strategies such as “grab and go,” further advertising the relaxed and community-oriented environment, as well as their mobile ordering app, we want families to feel compelled to eat at CFA. The concept of “home away from home” can be applied to the parent target audience by promoting CFA as a place that’s just as warm, comforting and relaxing as one’s own home. We hope to advertise the idea that it’s much easier to rally up the kids to get in the car and drive to CFA rather than driving to the grocery store, buying expensive produce and spending hours to cook meals for the various desires of each child. CFA has options for everyone, no matter how picky a child’s eating habits may be. For the CFA “Home” Campaign, the advertisements will center around consistent slogans, visuals, and themes. Potential slogan ideas include: “Your home away from home,” “Your second coop/barn,” and various other ides playing around the theme of homes, animals and family. From a visual standpoint, the ads will use bright, soft and welcoming colors to signal happy/friendly environments and comfortable energy. Video ads, for example, can focus on college students spending money on expensive groceries, struggling to make homemade meals and burning their food time and time again. This portrays an unsatisfying, stressful and time- consuming experience. CFA will then be presented as the solution to that problem. For visual ads, we can include children into the “Eat Mor Chikin” billboards, having them holding up the signs instead of the cows, working with the cows, or making their own posters. They are supporting the cow’s efforts and protesting their family’s home-made meals to comedically hint to other families and children that CFA is a much tastier and satisfying option than Mom’s cooking. Why They Care Our target markets will care about our message because it is presenting them convenient, simple and inexpensive food options. These ideas translate well to the market of parents as well college students; both are looking for the same solutions to different problems. If college students have a hard time cooking, they can choose the simple and quick option of CFA. If parents do not have time or energy to make their children meals, CFA is the quick and easy solution. Effectiveness In order for the campaign to be effective, our messaging not only needs to work on building a relationship with new customers, but also with our promotions. Presenting ads that claim CFA as “home-y” will not carry any weight for new customers until they go out and experience it for themselves. The target will believe that we are customer-service focused once we get them to walk through the door; from there, CFA’s employee training and customer-friendly service will reinforce our message. Ways we can show this to the customer before they enter the 21
store include reaching out to help the communities of new locations, offering promotions/ coupons to both new and old customers, strong publicizing, and physical and experiential marketing around campuses. These tangible efforts will prove to new customers that CFA truly cares about its customers and communities. When customers see our ads, we want to reinforce all the feelings and emotions that are associated with home. CFA’s ‘Home’ campaign will translate feelings of comfort, familiarity, and friendly-customer service. From responding with “My pleasure,” instead of “You’re welcome,” CFA strongly emphasizes customer service to their consumers. The feelings expressed in our ads will cater to the current CFA image of home. We want to focus on three types of advertising appeals: emotion and nostalgia. The emotion strives to publicize advertisements that focus around the family and kids growing up, associating emotional responses to the idea of CFA as a secondary home to all. To appeal to our audience’s nostalgia, we hope to show how families have grown up with CFA to tell new consumers that they, too, should be a part of this inclusive “home” community. The new campaign will also appeal to the idea that CFA will become the fast food chain that everyone will learn to love. This can be shown through advertisements of children growing up and coming back to CFA in college and as parents with their kids. Specifically, we want parents and college students to accept “sitting back and relaxing” by letting CFA do the difficult work for them. In terms of action, we want parents to stop putting stress on themselves to cook lavish meals every night and stop allowing their children to complain about the food they make. We want college students to stop letting themselves get stressed out about cooking since they are already burdened with countless exams and extracurriculars. We want food to be something that relaxes are target audience. 22
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