Wednesday, August 18, 2010

KFC Fighting with Themselves?

From ABC News...

"Sales have dropped in the year since KFC began its grilled chicken ad campaign and some franchise owners are now suing KFC's parent company, Yum Brands, to regain control of KFC's advertising strategy.

KFC's problems began in early 2009 with the introduction of grilled chicken to the restaurant menu. A new, agressive ad campaign with the slogan "Unthink KFC" hit the airwaves, touting the health-conscious alternative to its famous fried chicken

The company then partnered with "The Oprah Winfrey Show," with the media titan offering viewers a free meal -- two pieces of grilled chicken, two sides and a biscuit. All they needed to do was download a coupon within two days of the announcement.

The response was overwhelming: Thousands of people showed up with their coupons at restaurants around the country. Some locations ran out of food.

KFC was forced to shut down the promotion and company president Roger Eaton issued an apology to customers. Franchises had to pay the cost of the giveaway themselves.

That's when KFC began losing. While sales at other chicken chains grew last year, KFC's fell 6 percent."

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