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Marketing Market Summary The Market For Fast SWOT

Marketing Market Summary

The market for fast food is, in general, congested. In the food court at the mall alone there are a dozen or so competitors. In fast food, the key to success is to keep turnover high, as the margins are quite low. The total market is massive, but Grill Kabob would primarily be competing for the market within the Fox Valley Mall. The total market for this mall is estimated to be around $20,000 per day, or $7.3 million per year in revenue. This is split among the outlets in the mall. There are significant fluctuations in mall traffic day-over-day, but the outlet is expected to be open when the mall is open, as per the operating lease. A 10% share of this market would give Grill Kabob $2,000 in daily revenues, or $730,000 per year.

SWOT Analysis & Competition

Grill Kabob's main strength is its distinctiveness. There are few such restaurants in the region, much less in the mall. This uniqueness can be emphasized in the marketing to give Grill Kabob a competitive advantage over less distinctive alternatives. A second strength is the appeal of the core product of Grill Kabob -- as Anthony Bourdain would put it "meat on a stick." Kabobs are common throughout the Middle East, Eastern Europe and even in many parts of Asia. Americans also love grilled meat, even if the format is different. Thus, the product has a high level of appeal. Third, the product is healthy. Grill Kabob's offering is less greasy than most fast...

Additionally, because bread is optional, Grill Kabob can meet the health needs of those who prefer a low-carb diet.
There are two main weaknesses to the Grill Kabob idea. The first is that the brand is new, and entirely unfamiliar to the American audience. This is why the product and the method of preparation are in the name, to ensure that the audience is immediately familiar with our offering even though they are not familiar with the brand. The relative lack of experience of the proprietors of running a fast food restaurant is another weakness to be taken into consideration. That said, the opportunity is tremendous. We like the mall market as a means of starting the business, but ultimately there is no nation-wide kabob chain (QSR, 2012), so the opportunity for growth is actually quite staggering. Considering the success of this food around the world, and the success of doner kebab as a fast food in most of Europe, we believe there is true nationwide potential for Grill Kabob. The biggest threat in the external environment has to be the intense competitive environment, which drives down prices and provides consumers with nearly limitless alternatives to our restaurant.

The competition directly in the mall consists of established chains selling burgers, Mexican, Chinese, Italian, hot dogs, pizza and sandwiches. There is nothing close to a grilled meat specialist, but these companies all have established brand names backed…

Sources used in this document:
Works Cited

NetMBA. (2010). The marketing mix. NetMBA.com. Retrieved November 8, 2012 from http://www.netmba.com/marketing/mix/

Oches, S. (2012). The QSR Top 50. QSR Magazine. Retrieved November 8, 2012 from http://www.qsrmagazine.com/reports/top-50-sorted-rank

Brox, D. (2010). Fast food fast. QSR Magazine. Retrieved November 10, 2012 from http://www.qsrmagazine.com/ordering/fast-food-fast?microsite=1703
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