CHICAGO (AdAge.com) -- KFC's grilled-chicken launch was to be the biggest in the chain's history. Now it might also go down as a marketing case study in what not to do.
The story starts with a marketer testing the elasticity of its brand. After all, we all know what the 'F' stands for in KFC, so suddenly insisting the consumer associate the fast feeder with grilled chicken, rather than the Colonel's fried version, was always going to be a stretch.
KFC thought the way to meet the challenge was to spend millions on a TV ad campaign from DraftFCB, Chicago. TV is a marketing channel that's worked well for other fast-food introductions, but the creative was simultaneously underwhelming and yet, by telling consumers to "Unthink KFC," seemed to undermine the chain's main game, fried chicken.
Whether it was working or not we may never know, because this was the point at which the marketer brought in the big gun, Oprah Winfrey, and the trouble really started. The company's offer on the daytime diva's talk show May 4 of two free pieces of grilled chicken, two sides and a biscuit to anyone who downloaded a coupon within a two-day period should have been a huge promotional coup. Instead, it turned into an unmitigated disaster when the company was unable to execute and actually had to rescind the offer.
http://adage.com/article?article_id=136551The article goes on:KFC's offer sent the chain skyrocketing to the No. 1 topic on Twitter. By Wednesday, blogs began reporting "riots" at New York City KFCs. On Thursday, local news crews interviewed fuming customers getting turned away in other markets, including Chicago. Consumers complained about rude service, and media complained about a PR team that seemed asleep at the wheel. By Friday, the day after KFC pulled the promotion, NPR was calling KFC "the James Frey of fast food," referring to the author of a memoir praised by Ms. Winfrey that was later exposed as fiction.
In the end, KFC managed to strain relationships with three core constituents: consumers, the media and franchisees that swallowed the cost of the free food themselves. "This is going to damage their brand," said Gene Grabowski, senior VP, Levick Strategic Communications.