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Burger King (NYSE: BKC) has licensed its brand name for a line of chips to Inventure Group (NASDAQ: SNAK), USA Today reports. This fall, junk-food lovers can try new Ketchup & Fries or Flame-Broiled burger-flavored chips. "It's a fun fit," BK's chief marketer, Russ Kline, says. "This makes great sense for us. When you think about the sheer impressions of our trademark that this will create, the value is gigantic.""Fun" fit? "Gigantic" value?
This looks like a direct marketing campaign to get children attached to the BK brand name. While the chips, sold in two-ounce and five-ounce packs, are expected to sell in stores, Inventure Group plans to market a one-ounce, 100-calorie pack in vending machines.
"We've got our own business objectives," Kline says. "You'll never see me interested in how Burger King Ketchup & Fries stacks up against Doritos in some Nielsen report."
Is it a stretch to think this is a direct attempt to attract kids? Is it also a stretch to think the new 100-calorie packs could be marketed for America's schools?
No one is immune to the pressure to buy food, according to Marion Nestle, professor and chair of the department of nutrition and food studies at New York University. Companies use sophisticated marketing strategies to introduce children to their products. "You can even buy textbooks on how to market to children," she says.
Is it that the "King" is unable to pull in enough business with its Flame-broiled Whopper? Not really. Burger King is attempting to get its name into the supermarkets of Walgreens (NYSE: WAG) and Wal-Mart (NYSE: WMT).
Everyone knows competition is fierce in the fast-food business. McDonald's (NYSE: MCD), Wendy's (NYSE: WEN), Domino's (NYSE: DPZ) and Yum! Brands' (NYSE: YUM) KFC, Pizza Hut and Taco Bell are all fighting for the fast-food dollar. To compete, BK plans to keep many of its stores open to midnight or later, seven days a week. In an attempt to get customers into stores before the sun comes up, BK has introduced the new BK Breakfast Menu. Burger King also plans to focus abroad for 80% of its growth over the next few years, according to CEO John Chidsey, where the chain trails Yum! Brands and McDonald's.
Regardless of Burger King's objectives, there is at least one marketing expert that thinks licensing for chips won't do much. "It is so far out of the Burger King brand domain," Rob Frankel, author of the book The Revenge of Brand X, told USA Today. "Just because you can do it, doesn't mean you should do it." Remember that when you pass by the new BK chips at your local grocer.
Is it that the "King" is unable to pull in enough business with its Flame-broiled Whopper? Not really. Burger King is attempting to get its name into the supermarkets of Walgreens (NYSE: WAG) and Wal-Mart (NYSE: WMT).
Everyone knows competition is fierce in the fast-food business. McDonald's (NYSE: MCD), Wendy's (NYSE: WEN), Domino's (NYSE: DPZ) and Yum! Brands' (NYSE: YUM) KFC, Pizza Hut and Taco Bell are all fighting for the fast-food dollar. To compete, BK plans to keep many of its stores open to midnight or later, seven days a week. In an attempt to get customers into stores before the sun comes up, BK has introduced the new BK Breakfast Menu. Burger King also plans to focus abroad for 80% of its growth over the next few years, according to CEO John Chidsey, where the chain trails Yum! Brands and McDonald's.
Regardless of Burger King's objectives, there is at least one marketing expert that thinks licensing for chips won't do much. "It is so far out of the Burger King brand domain," Rob Frankel, author of the book The Revenge of Brand X, told USA Today. "Just because you can do it, doesn't mean you should do it." Remember that when you pass by the new BK chips at your local grocer.
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Reader Comments (Page 1 of 1)
7-27-2007 @ 9:45PM
kid cognac said...
They may be putting a bit more stock in the "Big Head" marketing strategy than they should. If adults find it disturbing, I imagine the demo target would as well.
Anyway, I love seeing ANYONE take a whack at Frito/pepsi.