Facing the relentless pressure from McDonald's and KFC, Tustin and Wallace did not sit back and surrender. They quickly
Posted: Thu Dec 12, 2024 4:56 am
Facing the relentless pressure from McDonald's and KFC, Tustin and Wallace did not sit back and surrender. They quickly launched a counterattack, trying to consolidate their positions through innovation, quality improvement, and enhanced brand loyalty. However, this counterattack may seem lively, but it cannot hide the hidden worries latvia whatsapp number data 5 million it.
First, they tried to break through with "localization". Tustin added local specialties to the menu, such as spicy burgers and spicy fried chicken, hoping to differentiate itself with the "local taste" and compete with international giants. However, these innovations are more of a gimmick, and problems such as insufficient supply chain and unstable food quality are still prevalent. Some stores have even been exposed by the media for food safety issues, which has seriously affected the brand's reputation. In contrast, the global supply chain and standardized production of the giant McCann are precisely the gap that Tustin cannot cross.
Secondly, they try to lock in customers with "loyalty". Member points, coupons, holiday promotions... Tustin has put a lot of effort into establishing long-term customer relationships through these means. But compared with the globally unified membership system of McDonald's and KFC, Tustin's preferential strategy pales in comparison. A consumer commented on Weibo: "I haven't accumulated enough membership points for Tustin yet, but McDonald's coupons have already been delivered." This gap is vividly demonstrated in the "China Catering Industry Development Report". As of 2023, McDonald's and KFC's member users have exceeded 100 million and 200 million respectively, while Tustin's number of members is only about 20 million in the same period.
Finally, despite measures such as rapid store opening, lowering the threshold for joining, and flexible product adjustments, Tustin and others can still maintain a certain market advantage in towns and county-level cities. But the problem is that McDonald's and KFC are also doing this kind of localized expansion, and they are doing it more accurately and efficiently. With a strong logistics system and supply chain management, every burger and every piece of fried chicken of McCain maintains consistent high quality. This perfect combination of globalization and localization has gradually turned Tustin and others' "localization advantage" into a disadvantage.
The market is ruthless. Although Tustin and Wallace have tried their best, when the global fast food giants really go down to the towns and villages, price, innovation and brand loyalty are no longer the decisive factors. Standardized supply chain, stable product quality and global brand effect are the key to success or failure.
First, they tried to break through with "localization". Tustin added local specialties to the menu, such as spicy burgers and spicy fried chicken, hoping to differentiate itself with the "local taste" and compete with international giants. However, these innovations are more of a gimmick, and problems such as insufficient supply chain and unstable food quality are still prevalent. Some stores have even been exposed by the media for food safety issues, which has seriously affected the brand's reputation. In contrast, the global supply chain and standardized production of the giant McCann are precisely the gap that Tustin cannot cross.
Secondly, they try to lock in customers with "loyalty". Member points, coupons, holiday promotions... Tustin has put a lot of effort into establishing long-term customer relationships through these means. But compared with the globally unified membership system of McDonald's and KFC, Tustin's preferential strategy pales in comparison. A consumer commented on Weibo: "I haven't accumulated enough membership points for Tustin yet, but McDonald's coupons have already been delivered." This gap is vividly demonstrated in the "China Catering Industry Development Report". As of 2023, McDonald's and KFC's member users have exceeded 100 million and 200 million respectively, while Tustin's number of members is only about 20 million in the same period.
Finally, despite measures such as rapid store opening, lowering the threshold for joining, and flexible product adjustments, Tustin and others can still maintain a certain market advantage in towns and county-level cities. But the problem is that McDonald's and KFC are also doing this kind of localized expansion, and they are doing it more accurately and efficiently. With a strong logistics system and supply chain management, every burger and every piece of fried chicken of McCain maintains consistent high quality. This perfect combination of globalization and localization has gradually turned Tustin and others' "localization advantage" into a disadvantage.
The market is ruthless. Although Tustin and Wallace have tried their best, when the global fast food giants really go down to the towns and villages, price, innovation and brand loyalty are no longer the decisive factors. Standardized supply chain, stable product quality and global brand effect are the key to success or failure.