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Marketing strategies to improve a fast food service

Anonim

The scientific problem that motivates this research was: How to improve customer service at the Big Boy Soda Fountain in the city of Bahía de Caráquez?

For what is established as a general objective: Design Marketing Strategies that contribute to the improvement of service, customer satisfaction, increased sales in the fast food restaurant Fuente de Soda Big Boy in the city of Bahía de Caráquez to effectively face the competition of MY Commissariat.

marketing-fast-food

In the development of the investigation, several methods and tools are used, among which we can mention: observation, document review, interview, surveys, sampling, image analysis, the Importance-adequacy method, the analysis of the 5 force of competition, brainstorming and cause-effect diagram. For the information processing, the software, Excel and SPSS are used. As results or fundamental of the study it is possible to be mentioned: marketing strategies were proposed for the improvement of the service, of the satisfaction of the clients, the increase of the sales; The satisfaction of the customers and the image of the retaurant were evaluated against its fundamental competitor. the main causes that affect service provision were diagnosed;Strategies for the improvement of service in a Big Boy fast food restaurant were designed; as well as the Budget Schedule for the execution and implementation of the Action Plan to apply said strategies.

Key words: Service, customer, customer satisfaction, marketing and image strategies.

INTRODUCTION

Service is the managerial revolution of the decade; It consists of turning the institution towards the needs and expectations of the client, both internal and external; it is the strategy in a globalized world, to prepare the institutions of the public and private sector. (Kotler p., 2006))

Any product, no matter how tangible it is, is purchased by the client so that said product provides a service (a television, provides entertainment; a computer, provides: information, communication, entertainment, etc.; an article of clothing allows shelter, pleasant presence, fashion, among others). Therefore, the service is a frozen good that is activated when the customer uses the product and has become an added value for the product (Gómez, 2006). There are several factors that have contributed to the development of the service industry, including we can say:

  • The change in market relations that occurred from the second half of the 20th century, when the Demand-Supply relationship changed radically. The oversupply conditions cause the saturation of demand, which becomes more selective, demanding and vital. The high competitiveness and volatility of the markets. Caused by oversupply and the constant introduction of new products. Technological development. The accelerated development of knowledge and information technology give rise to a more informed, demanding and global customer. Environmental risks promote an environmental awareness that stimulates the development of smokeless industries.

The accelerated development of service companies at an international level is also closely related to the importance given to the client in business management and to the inversion of the pyramid of business management style. With market relationships that are highly favorable to supply, much more supply than demand, it is essential for companies to target their products and processes towards customers to achieve success.

Marketing oriented to sales was only effective when there was a demand-supply relationship, favorable to demand. Now companies must assume Relationship Marketing, customer-oriented, both external and internal; to improve the quality of their services in order to satisfy their customers and retain them

For (Kotler P., 2009)) the achievement of the organization's goals depends on the determination of the needs and desires of the target markets and the satisfaction of the desires in a more effective and efficient way than the competitors «and this only It is achieved when the organization is fully customer oriented, with products and processes designed according to the expectations and needs of the market.

Within this context, it is necessary to consider the difference between the concept of sale and the concept of marketing. In this regard, both authors (Philip Kotler, Gary Armstrong, 2006) mention that the concept of sale takes an inside-out perspective. Taking the factory as a starting point and requires a lot of sales and promotion to obtain profitable sales.

Companies must develop full Marketing, they must necessarily be oriented towards their clients, offering products and processes that respond to their needs, only in this way will they be able to satisfy clients, more knowledgeable, demanding and informed.

In Ecuador, despite the efforts made and the work carried out in accordance with the Plan for Good Living, there are still shortcomings such as: poor service culture, poor quality of services, poor orientation towards customer needs; This shows that many companies continue to practice Sales-Oriented Marketing.

The local Soda Fountain BIG BOY is located on Bolívar Avenue in Bahía de Caráquez, in a central location and enjoys popularity, has been providing fast food services for more than 5 years with a fast food offer that includes: Snacks, Sausages, Burgers, Hot Dog, Fried Chicken, French Fries Tacos, Salchipapas, san duches, smoothies and soft drinks. But since the entry into the market of the Mi Comisariato Shopping Center has experienced:

  • A decrease in their sales and revenue levels. A decrease in the number of customers. An increase in customer complaints, mainly due to slow service.

A bibliographic review of research carried out in Ecuador, related to the improvement of fast food services, was carried out and only 8 studies were found: 2 of them analyzed the improvement of restaurant services in tourist companies, 2 constituted feasibility studies of restaurant services. fast food in big cities (Quito and Guayaquil); There are also two papers evaluating the effectiveness of fast food business franchises in Ecuador, one on the disadvantages of junk food and a single study carried out at ULEAM, in Manabí, dealing with catering services in Canoa.

As it was possible to verify, there is little and insufficient research carried out that addresses the issue of improving fast food services and especially in the context of the province of Manabí, which is characterized by the highly appreciated Manabi food. This justifies the need for research.

The study is carried out by means of the application of theoretically based methods, using consultations of different authors related to the topic of service improvement, of fast food food services, marketing, always taking into account the conditions of the Manabi context and the problem current and practice of the establishment under study, facing a new competitor..

From the situation raised problem is defined as scientific research problem: How to improve customer service at the Big Boy Soda Fountain in the city of Bahía de Caráquez to effectively face the competition from My Commissariat?

Overall objective. Design Marketing Strategies that contribute to the improvement of service, customer satisfaction, and increased sales in the fast food restaurant Fuente de Soda Big Boy in the city of Bahía de Caráquez to effectively face the competition from MY Commissariat.

Hypothesis.

If marketing strategies aimed at improving service in the fast food restaurant Fuente de Soda Big Boy are applied, sales would increase, the satisfaction of the clients of said establishment facilitating them to effectively face the competition of MY Commissariat.

Scientific tasks

  • Carry out a bibliographic review that supports the research. Carry out the external analysis of the Big Boy fast food restaurant Carry out the internal analysis of the Big Boy fast food restaurant Diagnose the causes that are affecting customer service Propose marketing strategies that allow service improvement

1. Theoretical framework

1.1. Service

The service is one of the four defined product typologies and is the result of necessarily carrying out at least one activity at the interface between the supplier and the customer and is generally intangible. The provision of a service may involve, for example:

  • An activity performed on a tangible product supplied by the client (for example, repair of an Automobile). An activity carried out on an intangible product supplied by the client (for example, the income statement necessary to prepare the tax refund); the delivery of an intangible product (for example, the delivery of information in the context of the transmission of knowledge), the creation of an environment for the customer (for example, in hotels and restaurants). ((Alvarez, 2006)

According to (Kotler p., 2006) From the point of view of the marketing and the economy the services are the activities that try to satisfy the needs of the clients. Services are the same as a good, but in a non-material way. This is because the service is only presented without the consumer owning it.

(Laura Fischer, Jorge Espejo, 2006)). She believes that: “customer service is the establishment and management of a relationship of mutual satisfaction of expectations between the customer and the organization. To do this, it uses interaction and feedback between people, at all stages of the service process. The basic objective is to improve the customer's experiences with the organization's service. ”A service is a set of activities that seek to satisfy a customer's needs. It is the equivalent of a non-material well..

1.2. Fast food services

The speed of life today, mainly in cities, has fueled the rise and need for fast food services, which offer a public in a hurry or on the go a fast and generally cheap way of eating.

The concept of fast food establishes a fast, almost immediate diet; where food is prepared and served to consume quickly. One of the most important characteristics of fast food is the homogeneity of the establishments where it is served, generally well located: in central places, with an influx of public, and in easily accessible and attractive establishments

Also characteristic of these establishments and services is the absence of waiters serving at the table, and the fact that the food is served without cutlery.

Fast food is often made with ingredients formulated to achieve a certain flavor or consistency and to preserve freshness. This requires a high degree of feed engineering, the use of additives, and processing techniques that substantially alter the feed from its original form and reduce its nutritional value. This makes it routinely labeled junk food or junk food.

Characteristics of a fast food business

  • You are served quickly It is easily accessible Moderate prices Handle standards in processes, dishes, administration and operation.

Advantages of a fast food business

In the event of a food emergency, they are the first ones the client thinks about

They offer food that can be consumed by people of any age. Food is easy to prepare hence the speed of service. As long as they are combined and consumed in moderation, food should not be harmful to health. They are practical dishes when you don't have much time to eat and little money. A very large space is not required.

Various services can be provided: Eating there, to take away and home delivery.

1.3. Marketing strategies.

Marketing strategies are the activities that are developed to achieve marketing objectives, generally aimed at: increasing sales, increasing relationships and customer satisfaction and improving the company's competitive position. They must contemplate: The selection of the target markets and establish a Marketing Mix plan.

At the company level, it is necessary to specify the internal resources and capacities that will be a source of competitive advantages that allow lasting differences with the competition, taking into account the value perceived by customers, and must seek competitive advantages in quality of products and services, in the innovation; always using an efficient distribution and with effective promotions that highlight the advantages or strengths of the company and the weaknesses of the competition

Thus, in the broadest sense, marketing strategy refers to the way the company manages its relationships with customers in a way that gives its competitors an advantage. (David W Cravens Nigel F. Piercy, 2007)

In order to design marketing strategies, in addition to taking into account the objectives, resources, capacity and determined competitive advantages, one must start from an external analysis that includes: the study of the needs and expectations of the clients, the competitive situation of the company, suppliers and regulatory bodies, all these elements of the business environment, but decisive for management. That is, the company must carry out prior to defining the marketing strategies an internal analysis and an external analysis, exhaustive and with relevant information.

Depending on the results of the external and internal analysis and the general diagnosis of the company, different types of strategies may be applied depending on the diagnosed difficulties. They are:

Strategies for the product.

They are applied when in the analysis of the 4 p, difficulties related to the product are diagnosed. Possible improvement alternatives should be formulated from these possible strategies:

  • Carry out merchandising actions to enhance products at points of sale, add value to products, through new attributes, increasing durability, performance, etc., improve packaging and product presentation, introduce complementary products to our products, expand product assortments, launch a new brand of our product, without discarding the existing ones, that is aimed at a public with a higher level of expectations. add to our product after-sales services, maintenance, guarantees, return policies.

Price strategies

It is not really advisable to look for differences in price because they can be ephemeral and since the competition can easily imitate the action of rising or falling prices; but sometimes strategies such as:

  • penetrate the market with a new product with a low price to seek its acceptance, achieving its prompt popularity, increasing the prices of a new product to obtain more profit margin, taking advantage of its novelty, or setting prices for products above the prices of the competition to give a feeling of higher quality reduce our prices to incentivize sales reduce our prices below those of the competition in order to block it and gain market share.

Strategies for the square or distribution

They are applicable at points of sale and during the distribution of products. Some strategies that we can establish related to the place or distribution are:

  • Open new sales points in more visited places and with an influx of public, always close to competitors. Use intermediaries or retailers that increase sales coverage. Use ICT. Offer or sell our product through phone calls, sending Emails or home visits. Use intensive distribution. Apply selective distribution strategies.  Use exclusive distribution.

Strategies for promotion or communication

They must be oriented to achieve an effective and efficient promotion, stimulating the sale, promoting the product, at a cost that can be supported.

  • offer two products for the price of one or the offer of a second product at half price. use discount vouchers. offer special discounts on certain products and on certain dates. create a raffle or a contest among our customers. give them small gifts or gifts to our main clients. advertise in newspapers or specialized magazines. use ICTs participate in a trade fair or business exhibition. enable a tasting stand. place posters or advertising posters on the facade of our company premises. place advertisements on the exteriors of our company's vehicles.

Strategies for service.

Some strategies to apply are:

  • Define and ensure service cycles Properly manage customer complaints and claims Train direct customer contact personnel Create a Customer Loyalty program Orient processes towards customer needs Offer systematic services Systematically assess customer satisfaction customer.Applying relationship marketing

The selection of the strategy to be developed must always be determined by the results of the diagnosis and be oriented towards the solution of the main diagnosed difficulties-

1.4. Customer satisfaction

Client: It is someone who has been impacted by a product or service, according to (Juran, 1984), these can be external or internal.

External Client: They are impacted by the product or service, but they are not the members of the company that produces them, clients include those who buy the product or service, government regulatory bodies, the general public.

Internal Customer : In all companies there are numerous situations in which departments and people supply products or services to others. These direct personnel to the product (transformation) or provision of services are called "internal customers".

Customer satisfaction is the state of opinion, regarding a supplier or a good that follows a quality judgment and that derives from it. Given that it is assumed that the relationship between both variables is such that:

  • Only satisfaction is positive when the difference between perceptions and expectations is positive. Satisfaction is neutral when quality is zero. Satisfaction increases or decreases as quality increases or decreases.

There are different techniques and tools to measure customer satisfaction, both external and internal, some examples are: the Servqual Model, periodic surveys, complaints and suggestions system, among others. These are extremely useful in companies, since they maximize the opportunity to know the levels of satisfaction and what is failing.

These external and internal clients can be:

Satisfied : When expectations have been matched but not exceeded, the transaction has been successful and the level of effort has been as expected.

Dissatisfied : When the transaction has been unsuccessful, despite the considerably greater effort by the client than expected, or due to a supplier error that could have been avoided.

Elements of customer service v Face-to-face contact.

  • Relationship with the client Correspondence Claims and compliments Installations

Importance of customer service

Good customer service can be a promotional item for sales as powerful as discounts, advertising, or personal selling. Attracting a new customer is approximately six times more expensive than keeping one.

1.5. Competitiveness. Image and positioning.

The competitiveness of a company may come from its own sources, from the sector or industry or from the country or nation that hosts the aforementioned company. According to V. (Kotler P., 2009)). Is the solvent ability to outperform competitors.

Competitiveness is the desired goal of every company, it is the quality that allows it to remain in the market and it is the product resulting from achieving effectiveness (in the short term), efficiency (in the medium term) and effectiveness (in the medium or long term). term), always managing with a strategic vision ((Varadarajan, 2010)

Varadarajan, (2010)) defines competitive advantage as the differential characteristics of a product that distinguishes it from potential competitors, which in turn provide it with a value that is recognized by its customers. This differentiating value contributes to the creation of a product image.

Philip Kotler, Gary Armstrong, (2006)) Points out that the image is the net result of the beliefs, ideas, feelings, expectations and impressions that a person has of a place or an object.

In this way, perceptions about the image of a product will have different impacts on consumer behavior and on the quality judgments of the experience. (Laura Fischer, Jorge Espejo, 2006)

The close relationship between perceived quality of service, customer satisfaction and the image of the products has been demonstrated both theoretically, as well as practically and statistically. It is known that the quality of the service is an antecedent of customer satisfaction. and these in turn are an image precedent

The concept of positioning is closely connected with the image, not in vain the positioning of a brand explains the mental conception that consumers make of the different competing brands. According to (Trout, 1987) positioning is what is built in people's minds, that is, the product is positioned in people's minds

As can be seen, there is a close relationship between these basic concepts to achieve competitiveness, despite conceptual differences, the important thing is their management and recognizing the fundamental role that achieving customer satisfaction plays as an essential premise to be competitive.

2. Results of the application of the procedure

The procedure for designing the marketing strategy for the fast food restaurant consists of 3 stages and steps, as shown: Stage I. External analysis.

In which the evaluation of the satisfaction of external customers or consumers is carried out, by means of a satisfaction survey, an analysis of the competition of the first level, the Importance adequacy method and a general analysis of the 5 forces of competition are used.

Step No 1.Evaluation and analysis of the satisfaction of external customers. To evaluate and analyze the satisfaction of external customers or consumers, a survey obtained from the INTERNET for a fast food restaurant is used, which is adapted to the establishment under study, it has 13 questions and uses a scale of rank 5, (See Annex No1).

How the survey adapts. It is necessary to validate it by means of a pilot sampling, checking its reliability and validity.

Step No. 2. Pilot sampling. As the population of Fuente de Soda Big Boy is not census, a non-probability sampling procedure should be applied that does not require the calculation of the sample size, nor does it allow determining the error or bias. It was decided to carry out a pilot sampling of 45 surveys

Reliability tries to ensure that the measurement process of a certain object or element in which the scale is used is free from random error. The degree of reliability required, reflected in Crombach's alpha, varies depending on the type of study. Thus, in exploratory studies, it is required that this reach a value of 0.6 while the rest of the studies are considered on a reliable scale if Crombach's alpha is between 0.8 and 0.9.

Table.1 Reliability statistics

Cronbach's Alpha N of elements
, 803 13

Source: SPSS Software. twenty-one

The Crombach's alpha coefficient is equal to 0.803, therefore the instrument is reliable, its scale is consistent and it is free of random errors.

Validity. When analyzing the validity of a scale, the aim is to know if what the scale is measuring is what the researcher is truly trying to measure. In other words, the validity of a measurement refers to the degree to which such a measurement process is error-free, both systematic and random. The validity of an instrument must be measured using the linear correlation coefficient R 2, which must be greater than 0.7.

Table 2.. Validity results

Model R R square R squared corrected Typ error of the

estimate

Durbin-

Watson

Change

in R

square

Change in F gl1 S.I.G.

Change in F

one , 852 to , 725 , 527 , 48585 , 725 3,656 13 , 006 2,129

Table 3 Results of the ANOVA

Model Sum squares of gl Square root F S.I.G.
Regression

1 residual

Total

11,220 13 , 863 3,656 , 006 b
4,249 18 , 236
15,469 31

Source: SPSS Software. twenty-one

  1. Dependent variable: p.c Predictor variables: (Constant), Variety. Quantity, Food temperature, Order without errors, Friendly attention, Speed, Availability of utensils, Simple menu to know, Friendly employees, Cleanliness, Value for money, Environment, Good presence of workers.

The indicators obtained guarantee the validity and reliability of the instrument used; therefore, field work can be carried out and the instrument can be generalized. Step No 3. Application of the external customer satisfaction survey

A total of 150 customer surveys are applied using a non-probability sampling procedure, based on experience; setting as days for sampling on weekends (Friday to Sunday). The results obtained were the following:

Table 4. Results of the application of the satisfaction survey

Questions M Med M M
Menu variety one, 1.5 one one 3
Food quantity one. two one one 4
Food temperature one, two one one 4

M

Order without errors one, 2.5 one one 5
Friendly attention of employees one, 2.5 one one 5
Speed ​​of service two, 2.5 3 one 5
Utensil availability two, two 3 one 4
Simple menu to know one, 2.5 one one 5
Kind and respectful employees one, two one one 4
Restaurant cleaning one, 1.5 one one 3
Price-quality ratio one, 1.5 one one 3
Local atmosphere one, 1.5 one one 3
Good presence of the workers o1, 2.5 one one 5
General satisfaction one, two one one 4

Source: self made

Analyzing the results obtained from the evaluation of the survey, it can be seen that there are 17 clients who are dissatisfied because they have total scores greater than or equal to three on the scale, equivalent, not very satisfied and also do not recommend the establishment. This represents 11% of dissatisfied customers and only 89% of satisfaction, which proves that there are problems of satisfaction and with the service offered by Soda Fountain Big Boy The variables least valued by the surveyed customers are:

  • Speed ​​of service. With a mode of 3 equivalent to dissatisfied and with a variability of a range of 3, for which there are various criteria.Availability of utensils (napkins, mayonnaise, ketchup, salt, etc.). With a mode of 3 equivalent to dissatisfied and with a rank of 3, so there are wide variability of criteria. Good presence of workers. With a mode of 1, but with an average of 1.86 and a range of 4. Simple menu to know. With a fashion equal to 1, but with an average of 1.76 and a range equal to 3. Kind attention of the employees. With an average of 1.66 and range equal to 4

Analyzing the 5 variables worst valued by customers, it can be seen that they are related and have a lot to do with the possibility of attending the establishment's employees at times of high customer influx and the number of tables and the potential for preparing and delivering the food that the local has at these times of maximum demand.

The slowness of the service is a sign of low delivery potential, also the friendliness of the employees and the poor preparation of the tables (with napkins, mayonnaise, etc); even. The presence of the workers and the lack of information on the menu may be related to the overload of the service.

Step No 4. Image analysis and positioning

An image survey made from the characteristics of fast food restaurants obtained in INTERNET searches is used.

The survey measures 13 variables and has a scale of rank 7, it measures two elements:

  • The importance that customers give to each variable The adequacy or level of provision of the restaurant and competitors with that variable

The survey is applied to 35 clients who have visited these fast food centers and thus the importance adequacy method is applied. The applied survey is shown in Annex No. 2.

Adequacy method adequacy. The "Importance-Adequacy" analysis, according to Martilla and James (1977), involves considering both the "Importance" given to the different attributes analyzed space (as perceived), and the "Adequacy", that is, the degree to which These attributes are linked to the destination, company or product.

From the application of the "Importance-Adequacy" analysis, four quadrants stand out as a result of their representation on a coordinate axis, whose origin is the average value obtained for all the variables in terms of "Importance" and "Adequacy". The evaluation of the different variables will depend on the quadrant in which they are finally located.

The first quadrant ("High Importance-Low Adequacy") reflects the main weaknesses

The second quadrant ("High Importance-High Adequacy") reflects those attributes of the main competitive strengths.

The third quadrant ("low importance-low adequacy") highlights those attributes in which there is relative indifference and which have low priority to place them as the core of the actions aimed at improving the competitive position. The fourth quadrant ("low importance-high adequacy") highlights those aspects in which there is a superiority that is not considered remarkable for tourism competitiveness.

Table.5. Results of the image survey application

Not Variables Importance Adequacy value
Bib Boy Soda Shoping walk
one Central location with easy access 6 7 6
two Hygiene and comfort 7 5.2 7
3 Menu Variety 6 5.3 6.5
4 Fresh and quality food 7 6.2 6.4
5 Amount of food 6 6.4 6.88
6 Appropriate and affordable price 7 6.9 5.2
7 Speed ​​of service 7 4.7 6.71
8 Distribution capacity 7 4.2 6.6
9 Employee friendliness 6 5.7 6.9
10 Promotion and publicity 5 5.53 6.33
eleven Consumption modalities (in the

place, to take away, at home)

5 6.11 6.1
12 Adequate hours 6 5.1 6.6
13 General image of the restaurant 7 6.27 6.5

Source: self made

The adequacy values ​​indicate that My Commissariat has an image value of 6.5, higher than that of the Big Boy, which is 6.27, which justifies the decrease in sales and the loss of customers of the Big Boy since the competition of the My Commissariat, which has a superior image and competitive positioning. This also corresponds to the results obtained in the evaluation of the satisfaction of Big Boy customers, which indicated 89% satisfaction. To carry out an analysis of the image and positioning that allow to draw up effective strategies to face the competition, it is decided to apply the Importance - Adequacy Method.

The importance-adequacy analysis shows an unfavorable current situation for the Big Boy since it only presents 1 Strength, which is variable 6, the adequate and accessible price. His image is on the border of quadrant I and II, that is, almost about to go from Fortaleza to Weakness.

As weaknesses and located in quadrant I, are the variables: 2, 4. 7 and 8; that is:

Hygiene and comfort, fresh and quality food, speed of service and distribution capacity. These last two with very low suitability values, which is very dangerous in variables valued by the client with the highest score.

In quadrant III are the variables: 3, 9, 10 and 11; all with low suitability levels but few valued by customers.

Finally, in Quadrant IV two variables are located: 5 and 1, which have high adequacy values, but are of little value to clients. These variables are: Central and accessible place and quantity of food.

The general strategy to be followed by the Big Boy is to work primarily to improve weaknesses, mainly in variable 4 (freshness and quality of food), which is very close to becoming a Strength, in hygiene and comfort, which is not it must involve excessive expenses and distribution capacity, which is closely related to the speed of service and for this you have to improve your service system.

The Importance-adequacy matrix obtained for My Commissariat indicates in Quadrant I that the establishment has 2 weaknesses in variables 6 and 4 which are: Fresh, quality food and adequate prices. Compared with the Importance - adequacy analysis of Big Boy, it can be seen that the price variable is a Strength of said establishment and in turn a weakness of its competition; so this variable should be the basis of Big Boy's promotion against its competitors. (See Annex 3 Matrix importance adequacy of My Commissariat).

My Commissariat leads the Big Boy in the total value of the image, it has 4

Strengths, while the Big Boy only has 1, but which is a weakness of My Commissariat and the other variables are similarly distributed in the rest of the quadrants.

As Strengths My Commissariat has the variables: 2,7,8 and 9, three of which (2,7 and 8) constitute Big Boy weaknesses; so it is a priority to work on its immediate improvement to at least match the competition.

In quadrant III with low level of adaptation and little importance My Commissariat presents 3 variables 1, 10 and 11 and in Quadrant IV presents variables 5 and 12, with a high level of service, but of little importance for the client. Variable 3 is located on the border of quadrants III and IV

Finally, the value of the image of My Commissariat, even when it presents a value higher than the Big Boy, is located on the border of quadrants I and II, that is, it is compromised and can become a threat to My Commissariat, if it does not consolidate the same.

Step No 5. Analysis of the 5 forces of competition

From the point of view of (Porter, 1980) there are five forces that determine the long-term profitability consequences of a market or some segment of it. The idea is that the corporation must evaluate its objectives and resources against these five forces that govern industrial competition:

Figure 2.3. Porter 1980's 5 Forces of Competition Model

  1. Threat of entry of new competitors. The market or segment is not attractive if entry barriers are easy or not to be crossed by new entrants who can come with new resources and capabilities to take over a portion of the market.

In this case of the Big Boy, despite the fact that there were several offers and fast food establishments, the appearance of new competitors was possible, offering the same line of products that do not correspond to traditional Manabi food. This segment is currently saturated.

  1. The rivalry between the competitors. It will be more difficult for a corporation to compete in a market where the competitors are very well positioned, are very numerous and the fixed costs are high, since it would force price wars, aggressive advertising campaigns, promotions and the entry of new products.

There really is high rivalry between the Big Boy and My Commissariat and despite the fact that it currently exceeds it in its positioning, the image difference is not enough and can be temporary, as long as the Big Boy works to solve its difficulties. This makes it difficult for new competitors to appear

  1. Bargaining power of suppliers. A market or market segment will not be attractive when suppliers are very well organized by unions, have strong resources and can impose their price conditions and order size. The situation will be even more complicated if the supplies they supply are key, have no substitutes, or are few and expensive.

As for suppliers, My Commissariat has greater negotiating power than the Big Boy due to its image as a corporation, its massive sales (of other products), its liquidity, etc.

  1. Bargaining power of the buyers. A market or segment will not be attractive when customers are very well organized, the product has several or many substitutes, the product is not very differentiated or is low in cost for the customer, allowing it to make substitutions equally or very low cost.

In this case, the target audience for fast food is well defined, mainly from these product lines, such as distracted youth, people who go out to do business, shop, couples with children, workers from nearby places, who can pay these prices. There is also a wide variety of substitute products (onions, hot dogs, etc.). This makes the current market unattractive.

  1. Threat of income from substitute products. A market or segment is not attractive if there are actual or potential substitute products. The situation is complicated if the substitutes are more technologically advanced or can enter at lower prices, reducing the profit margins of the corporation and the industry.

There is a wide variety of substitute products (onions, hot dogs, etc.). This makes the current market unattractive.

Summarizing the analysis of the 5 forces, at present the appearance of new competitors for the Big Boy is unlikely; so you should concentrate on applying effective marketing strategies to face the competition of My Commissariat and improve your competitive positioning. Stage II Internal analysis.

The satisfaction of internal customers, the product or service, the establishment's service system, the place and distribution, the promotion and the price are studied. Based on the results of this analysis and the results of the external analysis, potential competitive advantages are determined to map possible differentiation strategies.

Step 6. Assessment of internal customer satisfaction

To assess worker satisfaction, a job satisfaction survey was used that has 25 questions that evaluate 7 aspects: Work, Working Conditions, Payment, Participation in decision-making, teamwork, Communication and Leadership. See Annex 4

A rank 5 scale is used with the following satisfaction categories

Much less than expected

Less than expected

Same as expected

More than expected

Much more than expected

It is applied to the 3 Big Boy workers, that is, they work with 100% of the population and it is obtained as a result that all the workers are satisfied with the work they do. The results obtained by aspects were:

Table 6. Results of worker satisfaction

Denomination fashion Half Median
Job 5 4.67 4.5
Labor conditions 3 3.4 3
Payment 3 3.2 3
Participation in decisions 4 4 4
Teamwork 5 4 4.5
Communication 5 4 4.5
Leadership 5 5 5
Total 5 4.25 4

As it can be seen 100% of the workers are satisfied, the worst rated aspects were: Working conditions and payment with mode values ​​of 3 equivalents equal to what was expected. This result is logical because the Big Boy is a family business and the employees and owner are family; But this constitutes a strength to maintain a favorable work climate, more with the high value of leadership evaluated to the owner.

Step 7. Analysis of the 4 Ps of the fast food restaurant Big Boy Soda Fountain.

Product. According to the results of the evaluation of the clients and the image, the variables related to the product obtain a very good score (quantity, temperature, variety, quality, among the fundamentals). In addition to the small product portfolio and the level of sales of each assortment, an in-depth analysis of the product portfolio is not required, but rather of the service provided.

On the other hand, the sale of fast food in Mi Comisariato represents an additional product and service, popular and that provides income, but it is not the star product of Mi Comisariato, although it really has a more varied offer than the Big Boy, also its prices are higher and less accessible.

Price. The price constitutes a strength for the Big Boy and was valued with high scores, so it really is a competitive advantage of the analyzed restaurant.

Plaza and distribution. The Big Boy is located in a central and very popular place, it has recreational nightclubs nearby, shops and shopping centers, which is an advantage should you continue to use this restaurant.

Regarding distribution, there are difficulties in the Big Boy that are evident in the results of the surveys, in variables such as: distribution capacity, speed of service, table preparation and that are caused by deficiencies in the design of its service

The Big Boy, despite offering fast food, does not meet all the characteristics that these types of centers must have, which are basic to achieve fluidity and speed of service; For example: they usually use shop assistants to bring food to customers who have already ordered and sit in the lounge or off the premises to wait for their plate. These clerks share this service with the preparation and transfer to the kitchen area of ​​the food to be prepared (potatoes, sausages, chicken stalls, etc.), in addition to completing the jars of mayonnaise, ketchup, salt, etc.) and collecting and they clean the tables.

This constitutes a work overload that affects the speed of the service. It was also observed that on weekends and holidays, during peak hours from 9 to 10.30 pm, the cooking capacity is insufficient, especially in the delivery and collection of the order, activities that only one person performs.

Fast food restaurants have to practice self-service, giving more participation to customers, including promoting the collection of food waste by the customer himself, which would eliminate an unnecessary burden on dependents who would only focus on supplying the kitchen with semi-prepared foods.

Step 8. Analysis of the service system

Table 7. Analysis of the basic elements of the service system

Elements Is fulfilled Not met Observation
The client or beneficiary X The satisfaction of customer needs is the first element in the Servuction system; However, there is 11% of unsatisfied customers, which is a high value and among the most affected variables are: Availability of utensils (napkins, mayonnaise, ketchup, salt, etc.), speed of service, friendliness of employees, good appearance of the employees; all directly related to the provision of the service.

On the other hand, the evaluation and analysis of the image indicates loss of positioning and image of the Big Boy before the entry of a new competitor and also points out difficulties with the service, since among the variables with the lowest levels of adaptation are: Capacity distribution, speed of service, adequate hours, friendliness of

employees

Lastly, the Big Boy restaurant does not have a survey or any instrument to assess customer satisfaction, nor does it have a system for registering complaints. This denotes that the establishment still practices Sales-oriented Marketing and has not developed Marketing tools.

Relational.

The physical support X Although the service is generally intangible in nature, the physical support and the tangible components that comprise it are vital to achieve effectiveness, efficiency and effectiveness; even more in this type of service that aims to deliver fully tangible products such as food

Despite the good location of the Big Boy that facilitate its accessibility, there are deficient physical elements, fundamentally the kitchen capacity at peak times of arrival of clients; it is insufficient and causes excessive delays in service and work overload for employees

Other aspects with difficulties were pointed out by customers in the satisfaction and image surveys, such as: Menu Variety, Hygiene and comfort and

presence of employees

the staff X The personnel who provide their services must be prepared and although the service system that a fast food restaurant must use must be self-service, which does not require
Both a personalized treatment with the client, the friendliness of the staff and their professionalism must be guaranteed.

According to the results of the instruments and analyzes carried out, difficulties are seen with the staff, both in direct contact and in support, evidenced in: Lack of friendliness, physical appearance of the employees, difficulties in knowing the Menu, among the fundamental ones. There is an element in favor of the restaurant under study and that is that its employees are satisfied and perceive leadership, this facilitates their motivation and commitment to improving the service; as long as they are trained, acquire the required skills and know the needs of the clients.

The service X As you can see all the elements of the service system are affected, but the service delivery system itself is the most negative aspect, because if a fast food restaurant does not meet the basic elements for the performance of service established for these restaurants, as it is: the absence of dependents, self-service, speed, and maximum participation of customers in the execution of the service; there can be neither efficiency nor effectiveness.

Customers must be the protagonists of the fast food service, direct contact and support employees must be very clear about their roles and use work methods that facilitate the performance of their

activities; such as: putting the Menu in visible places to facilitate its easy knowledge by customers, organizing their work areas and spatially distributing it in a way that guarantees a more agile and flexible service flow, carrying out work prior to opening in the preparation of food that allow a stable supply to the kitchen and to the customers themselves.

Source: self made

Summarizing the results obtained, it can be said that the main difficulties affecting the service of the fast food restaurant Fuente de Soda Big Boy and that require specific Marketing strategies are:

  • High percentage of dissatisfaction of external customers who show problems in the quality of the service.Decrease in the image of Fuente de Soda Big Boy before the entry to the Market of My Commissariat and difficulties with the quality of its services.Unfavorable competitive positioning of Fuente de Soda Big Boy in front of My Commissariat. Lack of negotiating power for Big Boy Soda Fountain with its suppliers. Poor physical support of the service system. Lack of distribution capacity. Difficulties with the speed of service. Unfriendly service and poor appearance of employees. Inadequate service system.

Step 9. Action Plan to implement Marketing Strategies in fast food restaurant Big Boy

The strategies should be oriented according to the main problems diagnosed, so it is necessary to define which of the 9 diagnosed difficulties are the fundamental ones and the method used by the Kendall experts is used for this.

Table 8. Results of the Kendall method.

Main difficulties E1 E2 E3 E4 E5 E6 E7 Ia i 2
High percentage of dissatisfaction of external customers who show problems in the one one two two 3 3 3 fifteen twenty 400
quality of service.
Decrease in the image of Soda Fountain Big Boy before the entrance to the Mercado de Mi

Commissariat and difficulties with the quality of its services

8 9 8 8 7 8 8 56 twenty-one 441
Unfavorable competitive positioning of Soda Fountain Big Boy against My Commissariat. 6 7 6 7 6 5 5 42 7 49
Little negotiating power of Soda Fountain Big Boy with its suppliers. 9 8 9 9 8 9 9 61 26 676
Poor physical support of the service system 5 4 5 6 5 6 6 37 two 4
Low capacity

distribution

4 5 4 4 4 4 4 29 6 36
Difficulties with speed of service two 3 one one two two one 12 2. 3 529
Unfriendly attention and poor appearance of employees 7 6 7 5 9 7 7 48 13 169
Inadequate service system 3 two 3 3 one one two fifteen twenty 400

Source: self made

T = 35 W = 0.9197 ≥ 0.50.

Therefore the study is valid, experts agree in 92% of cases and the main difficulties are those with a sum of a i ≤ T, that is:

  • High percentage of dissatisfaction of external customers who show problems in the quality of the service. Low distribution capacity Difficulties with the speed of the service Inadequate service system

The marketing strategies to be proposed must focus on these difficulties, since they constitute the fundamental ones.

Action Plan to implement Marketing Strategies in fast food restaurant Big Boy

Overall objective. Prepare an Action Plan that allows designing effective Marketing strategies to improve service, customer satisfaction and increase sales in the fast food restaurant Fuente de Soda Big Boy, in the city of Bahía de Caráquez.

The specific objectives of the Action Plan are:

  • Increase customer satisfaction based on service improvement. Improve the restaurant's image level in a way that allows it to maintain its competitive position. Increase the restaurant's negotiating power with suppliers. Increase professionalism of employees or internal customers through training. the restaurant service system

As observed, the Action Plan establishes 7 axes of actions that are:

  1. Customer satisfaction Image Positioning Competence Suppliers Suppliers Personnel Service

These comprise 7 general improvement actions and 13 functional improvement actions, more specific; each with its respective improvement criteria, its manager and the deadline or time for compliance. All actions are the responsibility of the owner and more than 90% of them have an execution period of 1 year. Regarding resources, it is highlighted that 100% of specific or functional actions require human resources, 69% require financial assurance, 54% need technological improvements and 38% material resources.

Functional actions should be oriented towards the causes diagnosed in the cause-effect diagrams performed for the four fundamental deficiencies:

Customer dissatisfaction, low distribution capacity, service delay and inadequate service system. For the remaining 5, the functional actions established in the Action Plan will be used. See annexes 5 and 6.

3. Conclusions

  1. Marketing strategies are designed that contribute to the improvement of service, customer satisfaction and increased sales in the Fuente de Soda Big Boy restaurant to effectively face the competition from MY Commissariat. The difficulties diagnosed in the external analysis were: high% of dissatisfaction of external customers, loss of image of the restaurant under study, which has caused its decrease in competitive positioning, compared to MY Commissariat, little negotiating power of the Big Boy with suppliers The fundamental difficulties diagnosed in the analysis internal were: Poor professionalism of the staff, poor design of their service system, delay of service and low distribution capacity They are defined as the aspect with the greatest difficulty the service and its system,Therefore, the designed marketing strategies are mainly oriented to the improvement of the service. An Action Plan proposal is made for the implementation of marketing strategies that contribute to the improvement of the service.

4. Bibliography

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Marketing strategies to improve a fast food service