KFC is the most popular Western fast food restaurant in China, and it has been since
shortly after they opened their first store. The people in charge of bringing the fried
chicken brand to China knew what they were doing from the moment they opened their first
store Beijing. They were the first to hit that specific market, and have been killing
it over there ever since. So let’s find out the top 10 reasons why China loves KFC.
KFC did it first
Most people in business can tell you that it's important to be the first one to hit
the market. That way, by the time your competition hits the market, you’ve already set up a
strong brand that consumers recognize. KFC clearly knew that China would be a large and
profitable market, and being the first Western fast food restaurant there would be vital.
In late 1987, they hit the ground running, and by 1988 their first store, in Beijing,
had the highest sales volume of any KFC. Thousands of Beijing citizens waited in line to eat
at the first KFC location in China - the store actually had to call the police to maintain
order as they attempted to serve all of their hungry customers. Since late 1987 when the
first KFC opened until 2018, they have grown to over 5000 locations. KFC has proven year
after year that they plan on staying a staple in China, and they have the sales numbers
to show the large demand for their food. Back when they first opened, KFC was a luxury style
restaurant, unlike fast food places in North America that are seen as quick and cheap.
KFC in China started as a premium brand, offering quality and cleanliness that local citizens
weren’t used to. On top of that, they also strategically opened their first location
in a very tourist heavy location, meaning that while they attempted to attract locals
and build a reputation, they were able to gain the business of tourists who probably
already knew of KFC. The fact that KFC was able to get to the market first and bring
the novelty of Western food to China is one of the reasons that they would prove to be
very popular amongst Chinese residents.
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KFC had an advantage: chicken
Chinese citizens tend to prefer chicken over any other meat such as beef, which gave KFC
a second advantage on top of being the first to hit the market. Fried chicken was already
a recognizable food in China before KFC had even entered the market, whereas foods such
as hamburgers were mostly unknown to Chinese citizens. This gave KFC a huge advantage when
being faced with competition from other Western chains - it meant they had to put less focus
on gaining a consumer base. Places that served other foods, such as hamburgers, would not
only have to attempt to build their brand and some customer loyalty, they would also
need to deal with introducing a whole new and different food to China. KFC was able
to avoid that part of entering the market, as chicken was already a staple amongst consumers
in China. KFC could start serving customers right away, and their customers knew exactly
what to expect when eating at a KFC restaurant - there was no learning what it was they were
ordering like there may have been with other large chains who attempted to get a hold there. Though
it was definitely not in the plans when KFC first opened as a chicken-based restaurant,
their specialty of chicken would prove to benefit them greatly.
KFC knew when to shake things up
As KFC continued to grow in China, they realized that if they were going to continue to thrive,
they would need to adapt to local tastes. Their first new restaurant locations kept
true to the classic KFC menu and tastes, but they saw the demand in the market for a more
localized taste to the KFC classics. So, they added local items to their menu such as egg
tarts, congee and specialty items such as their “Dragon Twister”. Their ability
to adapt to the changing market in China meant that they were listening to what the market
was demanding and they were willing to change things that were maybe not working the way
they should. Adapting to local flavors meant that while they kept many distinctly KFC menu
items, they also added items that would appeal to the Chinese market, creating a mixture
of both classic and specific tastes. They were in tune with their consumer base, and
changed things as the economy grew and the wants of their customers changed. KFC was
able to see the gap that needed to be filled in their Chinese market, and they had no problems
adapting to fill it while still staying true to their business model of friendly customer
service and quality food.
KFC kept things local
Instead of bringing in managers from elsewhere, they decided to train and implement store
managers that were local - this helped the company to understand the local culture, and
also helped them know where to open markets outside of the large cities. They had local
knowledge on their side, which meant they didn’t have to attempt to figure it all
out on their own. On top of that, having the local managers meant that they spoke the
same dialect of Mandarin as their customer base, making the environment of these KFCs
more welcoming to their consumers. Hiring their management and staff from the area where
they opened a restaurant meant they would also supported the local economies, providing
job opportunities to people who lived in that specific town, or near it, to fill. Other
companies that tried to follow in KFC’s footsteps recruited employees from North America
or other parts of Asia, and they didn’t provide the same local feel that KFC’s employees
were able to provide. It might not seem like it would be that important to hire locally
to most people, but KFC knew better and they took advantage of this knowledge. Local employees would
prove to be a huge asset to the company, and to this day they still continue doing their
best to continue to hire locally.
KFC had standards
They set standards for not only their customer service, but also their suppliers and store
cleanliness, which Chinese citizens weren’t used to back when the first KFC was opened.
The fast food restaurant was a novelty at first, bringing a piece of Western culture
to China, and providing them with an experience that most Chinese citizens had never had.
KFC kept their locations clean, and had great customer service, something that wasn’t
common in China anywhere. The positive experience that was provided to KFC’s consumers was
one of the major reasons that they kept coming back. Their food standards were higher than
most places in China, meaning that people could eat at KFC and feel good about it. People
in China knew that when you went to KFC, you were getting great quality of food, you were
getting it quickly, and more than likely it was being served with a smile. China had been
known for scandals that had to do with quality of food and products that were being sold
to consumers, so the assurance that KFC only served quality food was a luxury that many
Chinese citizens were willing to go out of their way for, even when the average Chinese
citizen’s income was much lower than it is today.
KFC didn’t just focus on large cities
KFC decided to expand in smaller cities and towns, rather than just focus on the large
metropolises like their competitors did. Making themselves available to more people meant
that not only would they build a whole different loyalty base than many of their competitors,
but there was a whole new demographic of people that would spread the word of how much they
enjoyed KFC too. Most large chains love to focus on mainly large cities, leaving citizens
of smaller locations with the option of either not having the product, or having to travel
what can sometimes be a long distance in order to experience their product. KFC knew that
bringing in locations to smaller towns and cities would expand their user base beyond
just those who live in or visit the large cities. Smaller cities almost never get chain
stores, food or otherwise, and if they do it’s usually after the larger cities have had them for
quite some time - KFC wanted to change that with their business model. Smaller cities
and towns would prove to be a major market for KFC in China, one that was and still is
often overlooked by its competitors, both local and foreign.
KFC for breakfast
KFC in China realized they could capitalize on other meals during the day, thus began
the introduction of KFC’s breakfast menu. It didn’t just stop at breakfast though, with the KFC’s
in China offering an array of foods for any meal of the day. For the most part in North
America, KFC doesn’t really have any breakfast options, they’re basically an evening time
meal place due to most of their menu being composed of chicken with a few various sides.
In China, they have the option of meals such as congee, which is a popular Chinese rice-based breakfast
food, and a breakfast ham sandwich with a sesame seed covered flat bread. Serving breakfast, lunch
and dinner means that the restaurant could see consumers coming in more than once a day
to eat. KFC in China opened themselves up for more return visits than those restaurants who
only really offered food appropriate for one meal a day, which would help KFC become as
popular in China as it is today.
KFC kept with Chinese trends
In China, QR codes are very popular. KFC restaurants there offer customers the chance to scan a
QR code, order their meal and pay all on their phone, making it even quicker and more convenient
to go to KFC. On top of that, they rolled out things such as using facial recognition
to suggest orders for people. That’s right, facial recognition. A newer feature of KFC’s
in China has customers standing in front of what is essentially a large TV screen - the
AI then scans the persons face and estimates their age and mood, making meal suggestions
based on these estimates. KFC in China didn’t just limit themselves to simple marketing
to keep their consumer base engaged. On top of the technological ways that they’ve added
to order, they’ve kept on top of the trends with their consumer base by releasing their
own phone. The fast-food chain partnered with popular phone maker Huawei to come up with
a limited-edition phone commemorating the 30 years that KFC has been operating in China.
Most would think that a smartphone from KFC wouldn’t be the most popular thing, but
in China, their younger consumer base loved it just as KFC predicted they would.
KFC uses quirky things to attract attention
Aside from smart phones and AI enabled order predicting, KFC in China has released some
odd things that their consumers seem to enjoy. On the less-weird side of things, they once
had a shrimp burger available to their Chinese market, which is a bit odd, but definitely
not completely off the charts strange. Red bean pie might be an odd menu item for many
consumers outside of Asia - it is literally what the name suggests, red beans wrapped
in pie crust. Probably one of the oddest things to come out of KFC’s in China is the Rose
Cheese Roasted Chicken Burger. It might not seem too odd when you hear the name, maybe
a bit different than what most are used to when it comes to flavor, but the weirdest
part is the bright pink bun that it was served on. And that’s not all for odd colored burger
buns: the Black Diamond Bacon Spicy Chicken Burger is basically the opposite of the bright
pink burger. As you probably guessed, this burger comes on a dark black bun, and the
spicy taste is a contrast to the rose flavor of the pink chicken burger. Needless to say,
KFC seems to have some wacky ideas when it comes to attracting attention from its Chinese
market.
KFC collaborates with Chinese celebrities
Most people quite enjoy seeing their favorite celebrity advertising a product, and if it wasn’t
a proven method, then companies wouldn’t continue to do it. KFC in China is no different,
having teamed up with a popular boy band among other local celebrities. KFC recognized who
was popular with their demographic, and they weren’t afraid to dive in and team up with
those celebrities to help promote their food. They also put a sort of new spin on celebrity
endorsements - instead of just having the celebrity showing off their food in an ad
campaign, they also had the celebrities involve their followers on their social media platforms.
This brings a whole other level to the celebrity endorsement of KFC’s food, meaning that
fans have a chance to interact with their favorite celebrity instead of just seeing their face plastered
on various ad campaigns. Having the celebrities get involved in the ad campaign on their social
media and interact with their fans also has another advantage: it shows that the celebrity
is genuinely invested in the message they are sending, which is a better way to advertise
than just having them pose for some pictures, which shows no real investment in the product
beyond a couple hours standing in front of a camera.
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