1. What types of marketing strategies is Chick-fil-A following?

2. How would you describe Chick-fil-A’s positioning strategy?

3. Is Sunday closing a competitive advantage for Chick-fil-A? Explain.

4. Should other retailers consider closing on Sunday? Why or why not?

 

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1. Chick-fil-A: "Eat Mor Chikin" (Except on Sunday)* There aren't many companies like Chick-fil-A. Most U.S. companies struggle to balance ambitious financial objectives with the desire to be ethical in business dealings and demon- strate a social conscience. Chick-fil-A easily surpasses industry norms for financial performance and eagerly embraces and pro- tects a corporate culture rich with religious values and charity. The contrast is striking to most observers. Yet the Chick-fil-A phenomenon is easily understood when you study its entrepre- neurial heritage. S. Truett Cathy, founder, chair, and CEO of Chick-fil-A. started his restaurant career in 1946 when he and his brother the longest-running advertising campaigns in the United States. Started in June 1995 when the first Chick-fil-A billboard was erected in Atlanta, the Eat Mor Chikin cows have become cult figures, convincing diners to stray from the herd of beef-burger eateries and to "eat mor chikin"-particularly in Chick-fil-A res- taurants. In focus groups, respondents rate the cows as one of the three things they like best about the Chick-fil-A brand-the other two being the food and the company's policy of being closed on Sundays. The Eat Mor Chikin theme, created by Dallas-based ad agency the Richards Group, was first introduced in 1995 as a three-dimensional billboard concept depicting a black-and-white cow sitting atop the back of another cow painting the words Ben opened a restaurant in Atlanta called the Dwarf Grill (re- named the Dwarf House two years later). It was not until 1967 that Cathy opened the first Chick-fil-A restaurant in Atlanta's Greenbriar Shopping Center. He is credited with introducing the original boneless breast of chicken sandwich and pioneer- ing the placement of fast-food restaurants in shopping malls. Today, Chick-fil-A is the second-largest quick-service chicken restaurant chain in the United States, based on sales "Eat-Mor-Chikin" on the billboard. Since then, the theme has been used as the basis of an integrated marketing campaign, which encompasses billboards, in-store point-of-purchase mate- rials, promotions, radio and TV advertising, clothing and mer- chandise (e.g., plush cows, bobble-head cows), and calendars. Introduced in 1998, Chick-fil-A's cow calendars have been a ($1.975 billion in 2005). It operates more than 1,250 restau- rants in 37 states and Washington, DC. Chick-fil-A's unique corporate culture derives from Cathy's Christian background and his desire to inspire and influence people. The company's official statement of corporate purpose is "to glorify God by being a faithful steward of all that is en- trusted to us and to have a positive influence on all who come in contact with Chick-fil-A." This level of commitment to reli- gious values is reflected in a number of ways. For example, all Chick-fil-A locations, in a mall or stand-alone, are closed on marketer's dream come true. The calendar is produced annually by the Richards Group. Sales have sharply increased-from 337,000 for the first printed calendar to 1.5 million for the 2006 Renaissance-themed calendar titled "Cows in Shining Armor." featuring "famous" medieval cows named Angus Kahn, Char- broilemagne, Boldhoof. Lady Guineveal, and Moolius Cacsar. The calendars sell for $5 and contain Chick-fil-A food and bev- erage coupon offers. Sponsorship of collegiate sports such as the Chick-fil-A Peach Bowl (renamed the Chick-fil-A Bowl in 2006) is another way in which Chick-fil-A builds its brand. A local promotion emphasis at the market and restaurant level completes Chick- fil-A's integrated marketing approach. Sundays. Cathy has been quoted on numerous occasions as say- ing, "Our decision to close on Sunday (starting in 1946) was our way of honoring God and directing our attention to things 1. Chick-fil-A: "Eat Mor Chikin" (Except on Sunday)* There aren't many companies like Chick-fil-A. Most U.S. companies struggle to balance ambitious financial objectives with the desire to be ethical in business dealings and demon- strate a social conscience. Chick-fil-A easily surpasses industry norms for financial performance and eagerly embraces and pro- tects a corporate culture rich with religious values and charity. The contrast is striking to most observers. Yet the Chick-fil-A phenomenon is easily understood when you study its entrepre- neurial heritage. S. Truett Cathy, founder, chair, and CEO of Chick-fil-A. started his restaurant career in 1946 when he and his brother the longest-running advertising campaigns in the United States. Started in June 1995 when the first Chick-fil-A billboard was erected in Atlanta, the Eat Mor Chikin cows have become cult figures, convincing diners to stray from the herd of beef-burger eateries and to "eat mor chikin"-particularly in Chick-fil-A res- taurants. In focus groups, respondents rate the cows as one of the three things they like best about the Chick-fil-A brand-the other two being the food and the company's policy of being closed on Sundays. The Eat Mor Chikin theme, created by Dallas-based ad agency the Richards Group, was first introduced in 1995 as a three-dimensional billboard concept depicting a black-and-white cow sitting atop the back of another cow painting the words Ben opened a restaurant in Atlanta called the Dwarf Grill (re- named the Dwarf House two years later). It was not until 1967 that Cathy opened the first Chick-fil-A restaurant in Atlanta's Greenbriar Shopping Center. He is credited with introducing the original boneless breast of chicken sandwich and pioneer- ing the placement of fast-food restaurants in shopping malls. Today, Chick-fil-A is the second-largest quick-service chicken restaurant chain in the United States, based on sales "Eat-Mor-Chikin" on the billboard. Since then, the theme has been used as the basis of an integrated marketing campaign, which encompasses billboards, in-store point-of-purchase mate- rials, promotions, radio and TV advertising, clothing and mer- chandise (e.g., plush cows, bobble-head cows), and calendars. Introduced in 1998, Chick-fil-A's cow calendars have been a ($1.975 billion in 2005). It operates more than 1,250 restau- rants in 37 states and Washington, DC. Chick-fil-A's unique corporate culture derives from Cathy's Christian background and his desire to inspire and influence people. The company's official statement of corporate purpose is "to glorify God by being a faithful steward of all that is en- trusted to us and to have a positive influence on all who come in contact with Chick-fil-A." This level of commitment to reli- gious values is reflected in a number of ways. For example, all Chick-fil-A locations, in a mall or stand-alone, are closed on marketer's dream come true. The calendar is produced annually by the Richards Group. Sales have sharply increased-from 337,000 for the first printed calendar to 1.5 million for the 2006 Renaissance-themed calendar titled "Cows in Shining Armor." featuring "famous" medieval cows named Angus Kahn, Char- broilemagne, Boldhoof. Lady Guineveal, and Moolius Cacsar. The calendars sell for $5 and contain Chick-fil-A food and bev- erage coupon offers. Sponsorship of collegiate sports such as the Chick-fil-A Peach Bowl (renamed the Chick-fil-A Bowl in 2006) is another way in which Chick-fil-A builds its brand. A local promotion emphasis at the market and restaurant level completes Chick- fil-A's integrated marketing approach. Sundays. Cathy has been quoted on numerous occasions as say- ing, "Our decision to close on Sunday (starting in 1946) was our way of honoring God and directing our attention to things

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1 Chick filA has a business philosophy of Second Mile service which takes going the extra mile to a whole new level They have developed a unique busin... View the full answer