When Kentucky Fried Chicken (YUM) — or KFC, as it’s more often called — first opened its doors in 1952, it must have seemed like a dream to founder Colonel Harland Sanders, who started out selling his famous fried chicken at a roadside restaurant in Corbin, Kentucky.
A key part of Sanders’ plan was to offer folks something other than the all-dominant burger, and he clearly had something there. He refused many methods of preparing his chicken, including deep-frying, which he felt ruined the food. In the end, Sanders used a modified pressure cooker as a “pressure fryer” to create his masterpiece, and that’s what kept his customers coming back for more.
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Franchising was also crucial to KFC’s success, and by 1963, 600 KFC restaurants had appeared all over America, making it the biggest chain in the United States (yes, at the time, even bigger than McDonald’s).
But Sanders may not have foreseen KFC becoming quite that big, or else he didn’t want to have to handle it. In 1964, he sold it off to a group of investors, and it kept growing. Today, there are more than 40,000 KFC locations.
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Despite KFC’s legacy, it now has to compete in the market it originated. And while the demand for fried chicken and all the fixins’ rages on, KFC has to contend with a new problem.
Image Source: KFC
KFC may be forced to try a new direction
In a great year for fast-food chicken brands, Wingstop in 2024 topped the list with a 41% boost in consumer spend. Raising Cane’s was right behind it with 31%, according to Circana’s The Definitive U.S. Restaurant Ranking.
Circana thinks a big part of the boost can be attributed to key partnerships. In Raising Cane’s case, it joined forces with Post Malone to design custom restaurants, attracting his massive fanbase and making them associate the brand with his rising star.
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Wingstop forged its partnership with the NBA, acting as its official chicken partner. According to Circana, both brands “heavily overindex with Gen Z,” which is — surprise — where big success can sometimes lie.
While Wingstop and Raising Cane’s thrived, however, KFC stumbled, with a 4% drop in consumer spending last year.
KFC has tried a lot of the same strategies that have worked for other brands, such as its high-profile collaboration with Jack Harlow in 2022. And while it hasn’t done another quite as big since, it’s continued to partner with other personalities, such as art duo Yeye Weller for its holiday merch drop in 2024.
KFC’s efforts to lean into value meals with its Taste of KFC push in 2024 haven’t drummed up business as hoped. These included several menu items for $5 each, such as an 8-piece nuggets with fries; a Famous Bowl with mashed potatoes, sweet corn, chicken nuggets, gravy, and cheese; a two-piece drum and thigh meal with mashed potatoes and a biscuit; and a three-piece chicken tenders box with fries.
However, change is already in the works. In January, Yum Brands shifted Scott Mezvinsky, formerly Taco Bell’s president of North America, into the CEO role at KFC. Mezvinsky is a 20-year veteran at Yum Brands. He also previously held the role of Taco Bell’s Global Chief Strategy & Financial Officer.
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