20501034 - Entry 4

TGIF

Original Article

Just 10 years ago, having a meal in family restaurant like TGIF, Outback, Marche is regarded as one of snobby life style. Once, some woman who loved to go to family restaurant enjoying fancy life style was very much criticized and named “된장녀”. However, we don’t criticize anybody who has a meal in family restaurant since more and more people are experiencing and getting used to these kinds of life style. As the pie is getting bigger and bigger, family restaurants are competing each other to have more market share. In this situation, TGIF has been shown as leading company. Let’s see how they did.

External environment

Social factor
Increasing the number of career women
Two career couple
Showing more interest in recreation
Anti-America emotion

Cultural factor
Improvement of cultural sense
Westernized eating habit
Introduction of western food culture

Economic factor
Economic growth
Globalization
Progress in FTA

Technical factor
Improvement of packaging technique
Technical cooperation with famous brand

Competitors analysis

Bennigans
Bennigans has the second largest market share after TGIF and has as many menus as TGIF does. In comparison with TGIF, it is evaluated as more sweet and spicy. Overall theme color is green and atmosphere is like middle part of America.

Tony Romas
Tony Romas is specialized in rib.

Marche
The concept that Marche is promoting is “World Tour Pursuing the Taste.” People can feel that they are shopping all different kinds of food in outdoor market.

Jungle Jim
Korean company developed the brand by themselves without any technological cooperation. It locates mainly in theater, institution, etc and attract a number of people. However, it doesn’t have crowded impression.

Chillis
Chillis is specialized in American style Mexican food. They consider foreign customers posting certain percentage of foreign staffs. They offer child meny.

Internal anlaysis

Taste and atmosphere
TGIF has extraordinary “Cajun” source, and “Pizzadilla” menu which is popular among customers. The number of menu is also very diverse, so customer can pick some of the menus they would love to have. TGIF is also putting great effort on its bar and have various cocktail menus. Stripe that is made of red and white and American curio makes TGIF’s unique atmosphere.

Differentiated service
Since they opened the first shop in early 90’s, TGIF has been promoted by customers who experienced TGIF’s service. TGIF induces customers to visit again by service and good food that worth more than their high price. For example, TGIF executed “Puppy dog service” that server kneel down to have proper eye contact. TGIF has not only “Puppy dog service” but also physically challenged people policy, service guarantee and clean toilet.

No.1 market share
TGIF has been seen the best family restaurant in popularity and market share. TGIF has been attracting consumers offering coupon, 25% discounts for SK telecom customers.

SWOT Analysis

Strength
Various menus, differentiated service
No.1 market share

Weakness
High price point
Limitation of responsiveness due to increasing consumers

Opportunity
Increase of people who eat out
Possibility of expanding shop

Threat
Aggressive promotion among the competitors
Consumer's diminished purchasing power