Popeyes' New Ads Slam KFC -- And Sales Go Up
Popeyes seems to have hit the right tone with a new ad campaign touting its win over KFC in a taste test. Popeyes doesn't seem to have encountered any negative backlash for basically saying KFC's fried chicken sucks. And Popeyes' customer satisfaction is up, a company study showed.
Slagging on a competitor is always risky in a campaign. You can end up looking mean, the brand can take a hit, and the whole thing can backfire.
By basing the campaign on the results of independent customer research done this summer, Popeyes was able to present its better-taste claim in a sort of faux-journalistic, evenhanded fashion. A survey conducted by research firm YouGov BrandIndex showed customers' perceptions of the quality Popeyes offered rose after the ad.
It's an interesting outcome, since the study probably told Popeyes' customers what they already thought -- that KFC's chicken just wasn't as tasty. But having that impression verified with national data made customers more confident of their opinion. Call it the magic of validation.
Popeyes' parent AFC Enterprises (AFCE) hasn't reported sales since the new ad campaign started, but it won't be a surprise to see some positive numbers in the next quarterly earnings release in November. Popeyes was seeing positive sales and income growth this year even before the new campaign began.
Meanwhile, the campaign couldn't come at a worse time for KFC. Corporate parent Yum! Brands (YUM) reported this week that sales at KFC were down in the U.S. -- again -- while sister companies Taco Bell and Pizza Hut notched gains.
As for its marketing, KFC's franchise owners are so displeased with their own ads that they're in court right now, suing for control of the national marketing campaign. Some ads have featured grilled chicken, and franchisees want the core fried-chicken product to star.
The open question is how long Popeyes will ride this campaign. Given the positive buzz it's getting off of it, billboards could be blaring "Popeyes Beat KFC" at least through the end of the year, if not longer. At some point the data will seem too stale, but they could always do the taste test again, and kick off another ad campaign. It's not hard to imagine this campaign giving way to one that says, "Popeyes Beat KFC -- Again."
Popeyes ad poster courtesy of Popeyes; Photo via Flickr user Adamina
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