KFC

Highlights - TLDR

1. Significant Growth in Online Sales Post-COVID: KFC Iberia experienced more than a doubling of online sales after the pandemic, highlighting the increasing relevance of delivery services.

2. Solving Operational Challenges: Prior to Deliverect, KFC faced issues with multiple aggregator tablets and manual entry into POS systems, leading to missing and wrong orders.

3. Streamlining Peak Hour Management: With Deliverect, KFC improved staff deployment during peak hours, shifting focus from manual transaction entry to enhancing customer experience.

4. Efficient Menu Management: The ability to quickly push new items and promotions to aggregators and stores, streamlining the process and saving significant time.

5. Improved Service Speed and Incident Reduction: The integration with Deliverect led to a substantial decrease in the time riders wait for orders and a reduction in incidents like missing or incorrect orders.

KFC and Deliverect: an extraordinary partnership

 With 23,000+ restaurants worldwide, KFC, over the years, has become a global powerhouse brand that people from all walks of life, ages, and cultures love.

Since June 2020, KFC has been working with Deliverect to optimize their online delivery operation, which has been rapidly growing over the past few months. 

Ramping up delivery

“Delivery is essential for KFC at the moment, post-COVID mainly,” says João Almeida, CFO at KFC Iberia. “Before the pandemic, delivery was already very relevant. We were seeing an increasing number of online delivery orders, and it was - and still is - one of our fastest-growing channels. Post-COVID, I can tell you that online sales more than doubled.”

João: “Regarding delivery, we have been facing two main issues: first of all, we had all the different aggregator tablets, and we had to introduce transactions from these aggregators into the POS manually. Secondly, we were experiencing many issues, such as missing and wrong orders. These were the two biggest issues that were solved - or are being solved at the moment - with the help of Deliverect.”

"Each time we try to launch a new item or a new promotion, we can do it all by ourselves, pushing the menu to all the aggregators and stores in a matter of minutes."

Pedro Alcaina, Head of IT at KFC Iberia

A relationship built to last 

“But before KFC teamed up with Deliverect. We had to make sure that we could rely on Deliverect as a partner and that there was enough added value. Luckily, when we decided to present the business case to our franchisees, their reaction was very positive. They immediately saw the payback of the solution in a very short period.”

—João Almeida, CFO, KFC Iberia.

“I’d say that the biggest impact of Deliverect on KFC today is the management of peak hours. If you look at the peak hours of a restaurant pre-delivery and post-delivery, you see a major difference just by watching how the staff is deployed. There’s much more focus. It’s not that fewer people are deployed but that the same employees are deployed so differently. Before, the employee was merely introducing the transactions in the till, dedicated exclusively to doing that during the peak hours. Now, that same employee can focus on improving the customer experience because these transactions automatically go from the aggregators to the POS. There’s no more need for manual or human interaction.”

“In this partnership phase, we mainly focus on the automatic integration with the delivery aggregators. They play a key role in our sales, and now, more than ever, at a growing scale, we need this integration - especially during peak hours. This is the key feature our franchisees value most in this partnership. But in my opinion, we still have a long way to go, in the sense that we haven’t yet fully unlocked the entire potential of Deliverect. Today is just the beginning. We expect a long-lasting partnership.”

"The time that each rider waits for their order at KFC has substantially decreased. We've also seen a substantial decrease in the number of incidents, reducing both missing and incorrect orders."

João Almeida, CFO of KFC Iberia 

Optimizing operational efficiency

“As João mentioned, the full integration with the aggregators and the order injection into the POS with no manual interaction is the key feature,” says Pedro Alcaina, Head of IT at KFC Iberia. “But I wanted to add that Deliverect’s menu management tools have also been a huge improvement for us! Because each time we try to launch a new item or promotion, we can do it all by ourselves, pushing the menu to all the aggregators and stores in a matter of minutes.”

“Usually, when you work with a different number of delivery platforms, you need to coordinate with each of them on how to create that promotion and make it available online at a specific date. With Deliverect, we can do it ourselves.”

According to João, there are also other metrics that KFC has improved with Deliverect’s support. “We measure two indicators: the speed of service and the number of incidents. Regarding the first one, I can tell you that the time each rider waits for their order at KFC has substantially decreased. We’ve also seen a substantial decrease in incidents, reducing missing and incorrect orders.”

Pedro: “From a technical point of view, we are thrilled with the Deliverect platform. From the beginning, when we piloted the first store, until today when we are running the solution in around 100 restaurants, we haven’t seen any platform failure. 99+ %  of the orders are correct and are injected into the restaurants without issues or additional information. And the remaining 1 percent of orders that come with an error can very easily be tracked in the Deliverect platform to check the source of the problem.”

A win-win solution

João confirms he couldn’t be happier with the partnership between KFC and Deliverect. “In my view, our partnership is a very strong one - especially at times when online transactions are going to be more and more relevant. We believe this partnership will allow us to focus on our core, which is serving the customer with the best chicken in the world, while we leave the technical aspects to the experts at Deliverect.”