Please note! This essay has been submitted by a student.
The globalization of businesses largely due to unprecedented advancement in communication technology, has led to the realization of “The world is Flat” concept of Thomas Friedman. Almost every large organisation is involved in tapping the potential of markets worldwide for business growth and sustenance due to domestic markets being saturated. Due to the social networking platform cultural appropriation is at its highest largely owing to the inherent curiosity and adventurous nature of the young generation. Food is a major interest for most human beings, and the latest trend among the young is to experiment extensively with foreign cuisine. Where food is concerned there are absolutely no barriers anymore with delicacies of every culture from various continents finding representation in a metropolitan city in the United States. Restaurants, therefore, had an excellent reason to expand operations beyond national and continental borders.
Buffalo Wild Wings was not far behind in tapping the potential available in foreign markets and exploited the opportunity through quick expansion and growth. Buffalo Wild Wings is the casual chain of restaurants that operates mainly out of the United States and specializes in Large chicken wings brand named Buffalo wings, which are famous for the unique tasting flavouring authenticated by them. The image projected by the organisation is of a trendy Sports Bar to attract the young crowd which is its target audience. Buffalo Wild Wings has expanded operations beyond the USA and presently boasts a presence in Canada, Mexico, UAE, Philippines, Oman, Saudi Arabia, and India. The dining chain, besides the trademark signature product of New York Buffalo Wings, has created other dishes synonymous with its brand, like Sweet Chili Shrimp, Bacon Boss Burger and Alaska Cod Classic. Which has also included soft drinks and beer in the menu to offer adequate options for suitable drinks to accompany the food, and also provide supplementary income. The company employs around 44000 people worldwide registered an annual revenue of 494 million dollars in 2017. The company was rated as America’s best small companies in 2012.
Buffalo Wild Wings faces extensive competition which exists from global organisation such as TGIF, chillies, Red lobster, Olive garden and Apple Bee. It is also threatened by constant emergence of new competition due to numerous domestic players making an entry into this ever growing segment which has largely no entry barriers in place, and is an attractive option due to ever increasing demand for high quality readymade food, as with most families having both parents working ordering out has become fashionable worldwide, and advancement in technology has made it an attractive, easily accessible and available option.
Customer satisfaction: the company understands that this is customer centric industry and the focus is entirely on providing a unique experience to the customer unlike any other. It also ensures that the menu features something for everyone with wife options on its main dish of Wild Wings through a variety of 14 signature sources of a signature seasoning in which the chicken wings can be spun. IT office the unique option of trivia games which can be played on tablets in the tables while being served.
Target segment: the clear target audience and Buffalo Wild Wings is looking to attract is youngsters thrive on sports, and love to be in a dynamic and sporty environment even by dining. However, the option of viewing television programs and availability of flat screen TV with subscription to premium cable channels across the restaurant allow for bonding over favourite programs making it an attractive option for young families also. By doing this the company ensures it does not limit to exclude potential customers from other market segments, to be more competitive.
Unique and exclusive experience: It has made an innovative approach by converting a restaurant to utilise for dining into a Sporting event with Stadium like features giving the feel of a live event. The focus is on being exclusive rather than imitation and an atmosphere is created of a Sports Bar or club with inclusion of multimedia system, a full bar and an open layout which has Universal appeal for the young as well as, for families. It provides the option of bonding over activities along with food.
Innovations in the Menu: the restaurant is the country’s largest seller of Draught beer as it has hit upon the perfect drink to accompany the food available and provides the much required addition to the menu which will supplement perfectly the menu, as well as, the atmosphere. It offers the widest possible variety in the brands of beer available through adoption of a three-tier system for serving beer based on the brands, being global brands, regional brands or local brands. It has also created an exclusive methodology of serving there in a ceremonial manner marking the measurement, pouring and serving of the drink.
Changing customer trends: with advent of technology and business is going essentially digital the customer today as various options to eat from the comfort of home due to availability of online delivery services offering attractive discounts along with the option of food from the restaurant of your choice. Due to this, choices and options of every family member can we cater to. With the focus on health and Wellness being greater than ever before ill effects of eating out and indulging in unhealthy fried foods on a regular basis, is essentially on a downtrend. – The company needs to seriously explore the option of door delivery through online ordering including via android application, and extending the menu a la KFC, by providing roasted Buffalo Wings option with salads on the side for the health conscious.
Low market penetration: Buffalo Wild Wings was quick to expand into International markets but failed to capitalize on its presence by adequate expansion and strategic presence in major centers of economic activity within these countries. This makes it dependable on it’s outlets and presence within the United States for profitability unlike competitors like Chili’s and TGIF. – This needs to be remedies through strategically planned and analyzed expansion program maybe through formulation of strategic alliances or a franchise program.
High Costs: the concept of the sports like atmosphere and live Stadium like experience is exclusive but when you need replication of this model worldwide it becomes complicated resulting in expensive capital input for providing all the required facilities and high maintenance costs. This results in exceptionally high input costs substantially reducing the profit of the company, and also discouraging attraction of franchisees due to large capital input requirement as compared to its competitors. – The atmosphere needs to be remodeled a bit to maintain the uniqueness of the concept but made less capital intensive and more easily replicable.
Low adaptability within the Menu: Buffalo Wild Wings has shown more innovation in creation of the atmosphere in experience rather than the menu. It needs to understand that the dining should be the major focus provision of a menu which is movie Rebel and easily adapt to changing Trends and requirements of the customer. Instead of the pride Wings a healthier roast or baked should have been introduced a long time back on the basis of existing customer demand and requirement. It is obvious that the company is not in tune with changes in external environment, does it is unable to adapt to changing demand. – The menu needs to be altered keeping in mind changing trends and customer demands and preferences.