MARKETING
Guests report greater willingness to recommend QSR brands
BY MARK BRANDAU
Quick-service chains that have attempt- ed to strike a balance between value offerings and premium menu items likely are
positioning themselves for success in the
post-recession recovery, experts say.
Consumer research has shown that perceptions of some of the largest quick-service
brands have become more favorable recently with both typical quick-service customers
and more affluent consumers that may have
traded down from casual dining during the
economic downturn.
According to a new report from New York-based consumer research firm BrandIndex,
efforts to play to both ends of the value spectrum — also known as a “barbell” strategy —
may have set up some of the larger players
for more rapid revival as the downturn ebbs.
BrandIndex tracked the average “
Recommend” scores for male consumers aged
18 to 34 — a key demographic for quick service — from Sept. 10 to Oct. 30 for a sample
of companies with the largest systems in
fast food and fast casual: Subway, McDonald’s, Pizza Hut, Burger King, Wendy’s, Taco
Bell, KFC, Domino’s, Jack in the Box, Hardee’s, Long John Silver’s and Chipotle.
The average Recommend score — which
is calculated by subtracting negative responses from positive responses to the survey question, “Would you recommend this
brand to a friend?” — rose from a value of
9. 6 on Sept. 10 to a peak of 23. 6 on Oct. 2.
The scores stayed relatively higher than the
starting point for most of last month and
ended at a value of 19. 9 on Oct. 30.
“That’s a statistically significant movement,” said Ted Marzilli, senior vice president of BrandIndex’s parent company,
YouGov Polimetrix. “If you go all the way
back to January of 2008, the [average Recommend score] has been rising throughout
this period. I think the story is about the
economy, but a little bit more.”
BrandIndex officials said aggressive
post-Labor Day advertising drove the results, including spots for both value items
like Burger King’s $1 double cheeseburger
and Taco Bell’s Black Jack Taco or premium
offerings like Wendy’s new Bacon Deluxe
and KFC’s Kentucky Grilled Chicken.
Marzilli said higher Recommend scores
show not only effective advertising, but also
well-executed operations.
“It really says the folks QSRs are serving
today are satisfied and telling friends and
family members about it,” Marzilli said. “It’s
a great indicator of future prospects.”
He continued: “We found [higher Recommend scores] from population groups you
might not expect: college-educated people
and households with incomes of more than
$100,000. Those groups are probably finding
themselves in quick service for the first time
Fast feeders curry more favor with consumers
Male diners age 18 to 34 asked if they would recommend a QSR brand
Average daily Recommend score
5
10
15
20
25
0
Sept. 10 through Oct. 30
SOURCE: BRANDINDEX
in a long time. When the economy rebounds,
there’s a reasonable chance that quick service will hold on to some of these customers.”
Fast-food brands also could welcome back
less-affluent customers who have cut down
on dining out as the economy recovers and
unemployment recedes, Marzilli added. Because the restaurants surveyed have made
improvements in operations and expanded
menus, he said, they could benefit more than
other retail businesses that have benefited
from consumers trading down, like Walmart.
“Walmart’s really benefited from the
economy, but you don’t see the same [Rec-ommend] numbers among the higher-end
and affluent customers,” Marzilli said.
“When times get better, those people might
be looking for other retail options. Quick-service restaurants are a different story. I’d
be pretty excited about that potential. They
seem to be executing pretty well.”
BrandIndex surveys 5,000 American
consumers every weekday about their perceptions of many different companies. ■
mbrandau@nrn.com
Toppers doesn’t grow up,
grows with fun message
It’s not groundbreaking consumer insight, but college students love pizza. Scott Iversen, director of advertising and
franchise development for Toppers Pizza, says that sounds obvious, but not many brands go after the 18-to- 24 demographic
as aggressively as 26-unit Toppers does. The Whitewater, Wis.-based chain, which began in the college town of Champagne,
Ill., in 1991, always has tried to connect to the young-adult
niche with its witty, irreverent advertising and branding.
Toppers positions itself as the brand that brings the party, Iversen said, and the chain reinforces that idea down to
the smallest detail, like delivery drivers giving away lollipops
and little green army men or coming equipped with “party
caddies” of plates, cups and paper towels.
Even though Toppers is keeping its raunchy slogan of “We
come fast, no apologies” and silly phone messages for cus-
tomers on hold, the brand is maturing. Iversen said Toppers
hopes to have 100 stores open by 2013. It’s promoting its
latest product, the MyZa individual pizza, with the “MyZa and
Me” contest, calling for customers to post on Toppers’ Facebook page photos showing their love for the new menu item.
How does marketing to college kids differentiate Toppers?
When you think of big national chains, they’re targeting families. We’ve got a niche of a huge demographic in pizza that
nobody goes after in a direct way. What we try to do is create
personal moments by being ourselves. At each place we
touch our customer, we try to make it a little fun, like on our
phone messages, where you can press “ 2” to hear the definition of some crazy word.
We try to connect on a personal level, and we’ll post
some crazy comment of the day to invite an interaction. It’s
not just a promotional message. You’re interacting with core
customers in a fun way.
“Connect” is the operative word for social media. How does
your Facebook contest fit in with your strategy?
By targeting 18- to 24-year-olds, we have to live the Toppers
brand where they live every day. We have to have a strong
presence on social media. The beauty for us is that it’s believable. Some people don’t want to connect online with
brands that are stuffy.
About half our stores are in college markets. We target 18 to
24, but the beauty of it is you also get the 25- to 34-year-old
group — because who doesn’t want to be 21 again?
Any plans to execute deals or offers through social media?
We’re starting to. We’ve seen some success with specific
promos targeting specific markets. You can target down to the
store level by segmenting your followers and friends. Social
networks have created more of an even playing field for
small chains like us.