Mcdonald's Segmentation Analysis

When looking at the market segmentation of KFC and McDonalds, they divide their markets into groups or segments that are very similar. However, KFC has the upper hand with regards to geographical segmentation as they are satisfying the needs and wants of the township based communities and expanding drastically. They also introduce local and traditional meals into their menu to satisfy the consumers’ preferences. However, when looking at the product of KFC and McDonalds, the only difference is that McDonalds has a large variety of products which puts them at a competitive advantage of having a higher chance of satisfying the consumers’ needs and wants. When looking at the place of distribution of KFC and McDonalds, KFC has the upper hand since it has more

By outsourcing their delivery services it is cheaper than having their own delivery services and it makes it more accessible to many more customers as their area of distribution is larger. By outsourcing the delivery services it will save costs which can be used to reduce the pricing of products and thus benefiting the consumers. Whereas with McDonalds they have their own delivery services but only at certain stores which limits the distribution of getting their products to their consumers. When looking at the pricing of KFC and McDonalds, KFC offers more economy meals than McDonalds which is desperately needed in a county like South Africa with such a high unemployment rate. But when comparing to the other products on the menus of the fast food outlets they are priced in a similar way. This emphasises the tight competition between McDonalds and KFC. Lastly, when looking at the promotions of both outlets, KFC is better with regards to publicity and saving face when dealing with situations that could ruin the reputation of the