Jollibee is the Philippines’ largest fast-food chain, with over 1,400 locations. It also owns Chowking, Red Ribbon Bakeshop, Burger King Philippines, Greenwich Pizza, and Mang Inasal. It is the dominant market leader in the Philippines, with a larger share of the local market than all other multinational fast food brands combined.
Jollibee serves great-tasting, high-quality, and affordable food products such as its superior-tasting Chickenjoy, mouth-watering Yumburger, and deliciously satisfying Jolly Spaghetti, among other delicious products, with strict adherence to the highest standards of food quality, service, and cleanliness.
The reason the Marketing Strategy of Jollibee being successful is a major factor covered in this case study. Marketing is one of the most important functions of a business that engages in promotion and marketing activities such as market research and advertising for products or services; this is especially true in today’s context where marketing innovation has accelerated exponentially and adoption of these techniques can be a make or break factor for the companies.
In this case study, we will cover the Marketing Strategy of Jollibee, including its marketing mix, digital presence, advertising campaigns, and SWOT analysis. We’ll also go over the four Ps of the marketing mix. So, without further ado, let’s start by learning about Jollibee as a company.
Jollibee is a Filipino multinational fast food restaurant chain owned by Jollibee Foods Corporation (JFC). JFC had approximately 1,200 Jollibee outlets worldwide as of April 2018, with a presence in Southeast Asia, the Middle East, East Asia (Hong Kong, Macau), North America, and Europe (Italy, UK).
In 1975, Tony Tan Caktiong and his family established a Magnolia ice cream parlour in Cubao, Quezon City. Customers who requested hot meals and sandwiches were later served at the outlet. When food became more popular than ice cream, the family decided to convert the ice cream parlour into a fast-food restaurant, which became the first Jollibee outlet in 1978.
Manuel C. Lumba, a management consultant, advised the family on the change in strategy. Jollibee was originally called “Jolibe,” but the name was changed to “Jollibee.”
Its core business is the development, operation, and franchising of its quick-service restaurant brands. It serves a wide range of affordable and delicious dishes, as well as great tasting food, to customers of all ages and from all walks of life.
So, now that we’ve learned about the company, let’s take a look at Jollibee’s marketing strategy in the section below.
Marketing Strategy of Jollibee
Jollibee Food Corporation’s marketing strategy is attractive and highly commercialized, using various media such as TV, radio, newsprint, and more; they must have spent millions of dollars to stay on top of their customers’ minds, particularly among Filipinos.
It relies on high customer traffic and efficient operations management. It provides excellent service to the large number of people who visit its outlets by operating like a well-oiled machine that keeps close tabs on daily operations.
The Unique Selling Proposition ( U.S.P ) of the Jollibee brand is :
1) Fast, Good, Clean, Cheap food
2) Caters to local needs( Spicy patty)
3) Consistency, reliability over all its outlets.
So, now that we’ve learned about Jollibee’s marketing strategy, let’s look at its marketing mix.
Marketing Mix of Jollibee
The marketing mix refers to the four Ps of marketing: product, price, place, and promotion. However, because Jollibee is a service marketing brand, it has 3 additional Ps: People, Process, and Physical Evidence. These are the key components of marketing a product or service, and they interact strongly with one another. So, let’s look at the 7 Ps of Jollibee’s marketing mix below.
1. Product Strategy of Jollibee
- Jollibee Foods Corporation maintains high product quality.
- Produces and sells products that are relatively simple to use.
- Its diverse portfolio enables it to reach a variety of market target groups.
- Jollibee Foods Corporation also promises that psychological needs will be met as a result of product consumption.
- The company has used various SKUs to increase market penetration.
2. Place Strategy of Jollibee
- Jollibee Foods Corporation has greater control over operations, as well as store layout and design, in company-operated stores.
- Successfully launched an online order placement and tracking website.
- Their products are also available in supermarkets and hypermarkets across the country.
- Jollibee Foods Corporation contracts with partner agents in other countries and markets to ensure quality control and terms of negotiation for its product placement.
3. Promotion Strategy of Jollibee
- Uses its social media presence to engage with customers directly.
- Customers can use the loyalty card to exchange points for products or other exciting gifts as directed by the company.
- Uses community influencers as part of its on-the-ground promotional efforts.
- Hoardings increase Jollibee Foods Corporation’s visibility while also assisting in the development of stronger brand recall.
4. Pricing Strategy of Jollibee
- Jollibee Foods Corporation encourages favourable brand and product perceptions in target consumer groups by using premium pricing for some of its product lines.
- It successfully adds more value to its products from the perspective of customers by employing psychological pricing.
- Geographic pricing also allows Jollibee Foods Corporation to cover shipping and customs costs for offshore locations.
- The company is also known to use a popular bundle pricing strategy for some product lines.
Jollibee Marketing Campaigns
Customers can learn and experience more about a company or a product through advertising strategies. These are some of the company’s actions aimed at influencing customers. Let’s take a look at Jollibee Advertising Campaigns.
- ‘Kwentong Jollibee’ Campaign
While the primary goal of the Kwentong Jollibee campaign is to “strengthen brand love and affinity” among their millennial target market, Arline Adeva, JFC brand communications head, told The Manila Times that it has also boosted sales in a big way during the launch of the new videos titled “Signs,” “Homecoming,” and “Status.”
On Facebook and YouTube, the first batch of heartfelt “Kwentong Jollibee” videos, which included “Vow,” “Crush,” and “Date,” racked up over 40 million views.
JFC global brand chief marketing officer Francis Flores declared Kwentong Jollibee to be “setting the benchmark or gold standard for digital marketing” as a result of the remarkable results.
But, more than reach and views, JFC considers interaction to be the most important factor in the campaign’s success.
- LDR Campaign
Jollibee’s 2021 Valentine’s Day campaign, LDR, was their first instalment that was released on Feb 4. The video shows how the COVID situation has created emotional and physical distance between people, but there are ways to bridge the gap, which may include delivering a burger drenched in the secret sauce of imagination and love.
- “First Date” Campaign
The second instalment, First Date, came out on Feb 8. The ad featuring one main character teaches everyone that it is not necessary that love comes from a partner but from the person who is looking back at you in the mirror.
- “First Love” Campaign
First Love, a touching story of a father and a daughter. The ad is dedicated to the man who taught her daughter what true love is, who always took care of her, who always knew how to make her daughter feel better.
This ad beautifully depicts how a father’s love affects daughters’ perceptions of relationships.
In a year, they publish content several times, their purpose is to make the audience feel like they are getting a hug, they are embracing themselves from inside out, coming from their heart and spreading through their fingertips, just like the feeling they get after a satisfying meal.
Let us now have a look at the digital presence of Jollibee in the coming section.
Jollibee Digital Presence
Consumers can easily browse through your portfolio if you have a digital presence. It allows you to interact with your customers while also putting you ahead of your competitors. Jollibee is a frequent user of social media platforms. Let’s take a sneak peek at some of them:
- 8 Million+ Followers
- 400 K+ Followers
- 550 K+ Followers
Jollibee’s social media activities include:
- Launch of new products
- New advertisements
- New Campaigns
- Its achievements
- New schemes & offers
So now that we’ve peeked on their digital presence and activities, let’s take a look at Jollibee’s SWOT analysis to better understand the brand’s strengths, weaknesses, opportunities, and threats.
SWOT Analysis of Jollibee
A SWOT analysis is a technique for defining a company’s strengths, weaknesses, opportunities, and threats. A SWOT analysis’s primary goal is to assist organizations in developing a comprehensive understanding of all the factors involved in making a business decision.
Let’s take a look at Jollibee’s SWOT analysis below:
1. Jollibee Strengths:
- Variety of Food
- A well-loved Brand
- Tasty Food and Quality Check
- Strong Network
- Open all-day
- Loyal Customers
2. Jollibee Weakness:
- Fast food is not preferred by all
- Lack of Marketing
3. Jollibee Opportunities:
- New Products and Services
- Online Market
- International Expansion
4. Jollibee Threats:
- Increase in Healthy Living among people
The brand has been able to stay at the top of its game thanks to an excellent marketing strategy, advertising campaigns, digital presence, and SWOT analysis, and with this, we have concluded the Jollibee case study.
To summarise, Jollibee is the market leader in the Philippines. It has been able to influence its home-based position to the top by incorporating basic global tactics, excellent service, a friendly atmosphere, and an enticing menu. Apart from this, Jollibee supported many social causes in the Philippines. It is quite active on social media. It has grown to be so well-loved that whenever a new store is opened, especially overseas, Filipinos form long queues to the store without fail.
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