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Thread: How a Kentucky Fried Chicken impressed me!

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    lightning is offline
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    Default How a Kentucky Fried Chicken impressed me!

    While out for lunch with a friend a week ago, we decided on spur of the moment to go for a very cheap and greasy choice (lol), and we went into the Kentucky Fried Chicken (KFC) that was near his work. While in there, I noticed one of the most brilliant sales gimmicks I had ever seen at the front register, so brilliant in fact, that I felt compelled to tell you all here.

    At each register across the counter, there was a large computer screen facing the customer that I had falsely assumed was there just so you could see your total. Well after each order was placed, this computer screen lit up like a Las Vegas slot machine. A 3-rowed reel began spinning, and when it landed, 3 separate meal "add-ons" were displayed, asking you if you would like to add a little bonus to your meal at a hugely discounted price to "top off" your order.

    As an example, let's say you ordered the 3-piece value meal for $6.42. Once your order was placed, the reels in front of you would begin spinning, and it would give you 3 choices to make your meal a round dollar amount (in this case $7.00 total instead of $6.42). So for .58 cents, you might have the choice of adding a small drink to your meal, 2 extra biscuits, or 3-hot wings (etc. etc. etc.). The choices changed EVERY spin with every customer, so it was really luck of the draw how good a deal you might get. Once you tapped the touch screen agreeing to it, the screen lit up like a slot machine jackpot winner, saying, "CONGRATULATIONS! YOU SAVED 72% today!"

    Well, they got me when it was my turn to order, and I happily agreed to add 3-hot wings to my meal for an additional .50! What amazed me though, is that I wasn’t the only one who fell for the deal, as almost EVERY customer through the line elected to add a little bonus to their value meal, be it an apple pie for .25, or an extra piece of chicken for .50.

    Not only did this stores accounting just get 10x easier (dealing 90% of the time with "round numbers", ie $7.00 instead of $6.42 etc.), but I am guessing the amount of "extra" revenue they were bringing in by doing this was incredible. As we watched each customer through the line, I would say 8 or 9 out of 10 customers fell for it, all electing to increase both their total and their waist-line slightly. LOL

    I was amazed at how well it worked, and it got me thinking of all the times MJ and our other millionaire mentors here have stressed the importance of ADDING VALUE to your services to the customer, leading to them paying more, and YOU making MORE money!! In this case, not only were these check-out counter "slot machines" helping the stores bottom-line, but it was SATISFYING for customers as they felt they were cheating the system a little and "getting a deal" (an example was my friend turning to me and saying, "that was awesome, I just got 2 baked apple pies for .58!". This was a brilliant idea that was implemented well, and I tip my hat to KFC for bringing it to their stores (I have never seen anything like that in a fast food place before).

    Fastlane concept to increase revenue for all of you small business owners out there? ABSOLUTELY!
    -Mike
    Building my stats one day at a time...

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    MJ DeMarco is online now
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    Default Re: How a Kentucky Fried Chicken impressed me!

    My natural response to these types of things is to try to figure how they work.

    I wonder what their calculation methodology is?

    1) Take customer order total...
    2) Round up, take difference
    3) Analyze product margins of supplemental offerings
    4) Add product offerings where margins are less (<) than rounded amount. So if adding an Apple Pie costs .19 cents and the rounded-up figure is 52 cents, offer it!

    So while the wheel is spinning, the computer is probably doing these calculations in about .00001 microseconds.

    I might have to go into KFC and watch this in action.

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    Russ H is offline
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    Default Re: How a Kentucky Fried Chicken impressed me!

    We have KFCs (went to one on Sat) and they didn't have it.

    What an AMAZING concept.

    Now I've got to think how we can monetize this . . .

    -Russ H.
    Beer & Pancakes 2012-- The EVENT

    "Control everything. Own nothing." -John D. Rockefeller

    "Don't confuse motion with action" -Ernest Hemingway

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    lightning is offline
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    Default Re: How a Kentucky Fried Chicken impressed me!

    Quote Originally Posted by PhxMJ View Post
    My natural response to these types of things is to try to figure how they work.

    I wonder what their calculation methodology is?

    1) Take customer order total...
    2) Round up, take difference
    3) Analyze product margins of supplemental offerings
    4) Add product offerings where margins are less (<) than rounded amount. So if adding an Apple Pie costs .19 cents and the rounded-up figure is 52 cents, add it!

    So while the wheel is spinning, the computer is probably doing these calculations in about .00001 microseconds.

    I might have to go into KFC and watch this in action.

    I think youre probably pretty close Mike. Most likely with pre-set choices per price range (say between .40-.50 additional gives you 1 of 5 different options, .51-.65 gives you a new set of 5 choices, etc.).

    The options were pretty similar between each customer (most had an offer of 2 apple pies, 1 or 2 additional biscuits, 1 extra piece of chicken, 3 hot wings, etc.), but they changed with every new order, and every customer had their own chance to "make a deal" and see what options the reels gave them.

    The appeal of it is along the same line as Bank of America's "Keep the change" program, where they round up every debit card checking account purchase you make to the next round dollar and deposit the difference in your savings account. Most people dont give a second thought to another .50 or so when they are buying fast food, and in fact, some are probably even drawn into the whole, "make it an even $x.00 dollar amount". I can tell you this though, it was WORKING. The KFC in my own town dosent have anything like this yet, so maybe the concept is still being tested. From what I saw though, I would expect this to be as common in KFC's soon as the 11 different herbs and spices!
    -Mike
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    slapshot is offline
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    Default Re: How a Kentucky Fried Chicken impressed me!

    That's a great idea. Thanks for sharing that lightning.

    That reminds me, when I was a kid our family shopped at K-mart sometimes. They had a small in-store cafeteria. (I think we ate there once, and once was enough for us.) But the interesting thing is that they had a bunch of balloons with a price tag inside of each one. IIRC the deal was if you purchased a sundae (or any dessert?) you got to pick a balloon and pop it, then pay the price marked on the tag, which was between one cent and the actual price of the dessert. WooHoo! Big savings! Good times! Seriously, that little promotion, along with their famous 'blue light specials' are evidence that they put some thought into marketing efforts.

    Maybe I'll stop at my local KFC tonight and check out the add-on 'slots' for some cheap thrills.

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    phade is offline
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    Default Re: How a Kentucky Fried Chicken impressed me!

    That's awesome. Was there any type of countdown "choose now before it's too late!" timer to push the customer along? I think injecting a sense of urgency would benefit conversions and move the line along for those inevitable "hold on let me see if my wife/brother/cousin wants an apple pie or biscuit" types.

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    w4rl0rdx is offline
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    Default Re: How a Kentucky Fried Chicken impressed me!

    Speaking of KFC and innovation, the new double down (sandwich?) is amazing...

    I would post a link to it on youtube but im not allowed yet, maybe somebody else can.


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    lightning is offline
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    Default Re: How a Kentucky Fried Chicken impressed me!

    Quote Originally Posted by phade View Post
    That's awesome. Was there any type of countdown "choose now before it's too late!" timer to push the customer along? I think injecting a sense of urgency would benefit conversions and move the line along for those inevitable "hold on let me see if my wife/brother/cousin wants an apple pie or biscuit" types.
    Nope, no urgency, although i agree that would be a nice touch. Once the screen with your choices came up, the cashier just waited a second to see if we selected one of them, then he asked if we were all set. That is actually a great idea.
    -Mike
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    Default Re: How a Kentucky Fried Chicken impressed me!

    Quote Originally Posted by w4rl0rdx View Post
    Speaking of KFC and innovation, the new double down (sandwich?) is amazing...

    I would post a link to it on youtube but im not allowed yet, maybe somebody else can.

    Yea, that double-down sandwich was one of the Top Yahoo searches for the past 48 hours.

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    Default Re: How a Kentucky Fried Chicken impressed me!

    Wow, that certainly is ground-breaking. Initially (and erroneously), I was expecting the monitor to indicate to the customer some sort of nutritional information about the meal being purchased. Silly, silly me. Of course, we all know that would be counter-intuitive to KFC's goals.

    I can't post links yet, so if you'd like to see the calorie count, just add the "http:" before the incomplete link below.

    //calorielab.com/restaurants/kfc/2

    And check out the calories on the chicken pot pie: 770!




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    Default Re: How a Kentucky Fried Chicken impressed me!

    @ w4rl0rdx

    I would love to have the machine say "You have 20 seconds to comply" like that giant malfunctioning robot did in Robocop before it started destroying everything.

    That is a pretty ingenious idea, though. Props to KFC for innovating above and beyond selling buckets of chicken.

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    lightning is offline
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    Default Re: How a Kentucky Fried Chicken impressed me!

    Well, after seeing the interest this thread generated, I had to get back in there and discreetly snap some pics (know that I probably gained a few pounds from the grease in that lunch, but it was worth it in the interest of fastlane thinking ).

    First pic is the screens from a distance as they look on the front end of the restaurant.

    Second pic is the intro screen that resets after each order, with a spotlight on the featured item, and the draw, "What will you get for your change?"

    Third pic is the "offer screen" after your order has been totaled and the reels are done spinning. (I was not quick enough to get a picture of the reels spinning, sorry guys, lol. The machines work quick). "Your order is $12.38. Make it $13.00, and choose one of the following!"


    Pretty great idea if you ask me.
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    -Mike
    Building my stats one day at a time...

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    MJ DeMarco is online now
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    Default Re: How a Kentucky Fried Chicken impressed me!

    Thanks, I wonder when it will go nationwide? It looks like both a marketing and financial WINNER!!

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    mtnman is offline
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    Default Re: How a Kentucky Fried Chicken impressed me!

    THAT is a great idea! Me thinks about how many other ways this could be applied.

    Thanks for sharing... speed +


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    lightning is offline
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    Default Re: How a Kentucky Fried Chicken impressed me!

    Quote Originally Posted by mtnman View Post
    THAT is a great idea! Me thinks about how many other ways this could be applied.

    Thanks for sharing... speed +
    My thoughts exactly. With how many different business ideas and ventures are brought to this forum, the possibilities of ways it may be applied is enormous.

    To the business owners out there, ask yourself this:

    10 people are going to buy your product/service in the next hour/day/week.

    How can you get at least 8 or more of them to spend a little extra on a whim at the point of sale, by providing them with a little extra value....and you with a little extra profit?

    Repeat.
    -Mike
    Building my stats one day at a time...

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