Why do McDonald s and KFC always drive together?

McDonald's and KFC are real peers, whether it is in terms of products or services, their differences are actually very small, and the two can even be regarded as replacing each other. For consumers, it is difficult to decide which one to go to. This is both a common denominator and a point of conflict.

So how do they maximize their profits in the same business district? In fact, the two of them used each other's popularity and publicity to expand their influence for themselves. Specifically, if McDonald's chooses to open a store on a commercial street, in order to attract customers, then McDonald's will definitely do some publicity, so many consumers know this information.

At this time, KFC also chose to open a store near this McDonald's, which can save a lot of early publicity expenditures and enjoy the profits. Because there is a strong convergence between the two, in this way, KFC does not have to worry about losing customers due to the lack of publicity in the early stage.

It's just that this place is large, and it happens to have a house to rent. The location models and requirements of the two companies are actually very different. I went to ask the developers of KFC about this problem, the so-called business district theory is untenable, the business district theory is indeed correct, but KFC and McDonald's will never enter an unformed business district and then create a business district by themselves, they just go to the bustling business district to rent a house, and then open a store, the competition between the two for Mong Kok is very fierce, so they often open stores next to each other, and I really hope to fold the answer of the first one.

This is coexistence, although competition, but everyone benefits from it, you, me, in fact, are fooling consumers, so that businesses make money, increase customer flow, and improve the degree. To put it another way, if there is only one, you will be annoyed after watching it for a long time, just like your wife, after a long time, you will feel average, there is always something new, you will always pay attention to it. ‍‍

KFC and McDonald's are classic competitors, often because the area of maximizing profits is matched by two at the same time, and the audience of the two is almost the same group, and the possibility of choosing between the two is generally not much different, so the two will choose the adjacent store in order to compete for the same group of customers. I once read a marketing book, which specifically analyzed the impact of location on sales, using the example of McDonald's KFC site selection, and finally concluded that it is better to open next to each other. ‍‍

KFC is a sub-brand of Yum Group, and McDonald's is a separate company, from the group, KFC's economic foundation behind the strength may be stronger, but recently I heard that McDonald's sales in Beijing and Guangzhou have surpassed KFC, and now McDonald's façade design is also based on black, simple and fashionable, and it is more popular with young people. ‍‍

This is a kind of aggregation business mode, which can gather more people and attract more consumers to come and spend more than decentralized operation, so that both parties can get more benefits. For the two fast food companies that have formed a scale, only competition can maintain the vitality of the enterprise, prompting both parties to continuously improve service quality and expand new products to attract customers, so from a long-term perspective, it is beneficial to both parties.

McDonald's said: Our company has a set of scientific calculation and evaluation methods for the commercial value of the lot, and there is a special team in the company to do the site selection calculation, and the average salary of this team is the highest in the company. Does KFC have this team and evaluation method?

No! So they had to open one across the street from our store. ‍‍

To put it simply, if KFC or McDonald's first builds a store in which location, it is naturally an affirmation of the commercial value of this location, the two are almost exactly the same product competitors, and naturally have the same store location criteria, so one chooses, the other can build a store after a little investigation, which reduces a lot of business consulting costs and research costs, and at the same time, the owners of the business district are also willing to introduce KFC and McDonald's at the same time, because they can improve the commercial value of the business district and accumulate the popularity of the business district. Therefore, it can introduce new merchants.

There is another important reason for the Zatun phenomenon of KFC and McDonald's: the places where they are Zatun are "good locations" for doing business, and no one has any reason to give up such good locations, and only these two wealthy brands can do it, and the average fast food restaurant has no strength to choose a good location. ‍‍

KFC began to enter China in the late 80s, and McDonald's began to open stores in mainland China in the 90s. Later, there was a follow-up store opening, which actually reflected KFC's slightly mature business experience and layout. As far as I know, there are many small cities that don't have McDonald's, or there are very few of them, so you can see how important it is to open a store. ‍‍

Because I like to do it