KFC China Delivery Service

1

Delivery Demand is booming Online Shopping are accepted by more and more consumer which

switch customer from physical store to home delivery• According to the China e-commerce market reports, the estimated 2020 online shopping

growth is as below:

Food industry also sees strong delivery needs• Many 3rd party delivery company are opening up nowadays

Trillion(RMB)

2

What’s different for food delivery?

Online Retailer

One Rider takes multiple packages in the morning and then deliver

door by door each day

KFC Delivery

3

Easy Access For Consumers

Phase 1(2007-2010) Phase 2(2011-2013) Phase 3( 2013- )

Call Center + DM PC ordering Multi E ordering accessMobile APP

Brand Stage

Communication focus

Proposition Convenient & Fast

4

5

On-line TC% trend

Since 2012, KFC delivery relies on 2 waves big on-line exclusive promotion per year to build on-line usage and total brand business.

Easy Access For Consumers

6

Ensure High Quality ProductsTo provide high quality products for customers

Remove menu items not suitable

for delivery

Design specific delivery packaging Design

of Delivery box

Delivery time from restaurants within

15min.

Assemble products after receiving orders

Podding Planning to control delivery

time

Podding Planning to control delivery

time

8

Consumer Service Experience: CSC Models

We choose self-owned CSC to provide call center service

• Only One Number across China and is easy to remember• Agent can receive timely training on different promotion activities• More focus on customer service experience a. Order System connects to restaurants. Delay Notice and Stop Notice can be updated consistently. b. Take orders via Email when offline.• Call Center gradually convert into Online Service Center• With call center’s role and responsibility, operations can mainly focus on orders preparation and delivery to ensure high performance.

National Phone Number

Call Center (Self-owned)

Transfer OrdersTo Stores

Store takes orderdirectly

National Phone Number

Recording Service System

Consumer Call

Place OrdersTo Stores

Consumer Call Consumer Call

Store Phone Number

Store takes orderdirectly

Call Center(outsource)

National Phone Number

Consumer Call

9

Consumer Service Experience Set up KPI to monitor performance

a. Delivery in 30m rateb. Rider Departure Time

c. Customer Complaint rate

Podding Planning Ensure delivery within 15minutes before adding to delivery address list

Transportation Delivery by bike/ electromobile

• avoid traffic jam and improve efficiency• can deliver into small alley• designed different accessories for winter/summer

Communication platform between store and CSC/Online/Mobile App a. Delay promise time b. Stop-delivery order acceptance

KFC China Delivery Service Strategy …

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Increase the probability to expose to our potential customers- Cooperate with external e-Commerce platform

Enable our potential customer to reach us in the way they want

Expand more e-Channel

Mobile APP OthersMobile WAP

242 Million Users e-Commerce

308 Million Users Social Media

468 Million Users Instant Messaging

83 Million Users Groupon

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Penetration thru last 5 years

•By Year 2009,800 stores in 95 citiesBy Year 2009,800 stores in 95 cities

•By Year 2010,1490 stores in 162 citiesBy Year 2010,1490 stores in 162 cities

•By Year 2011,1750 stores in 180+ citiesBy Year 2011,1750 stores in 180+ cities

•By Year 2012,2023 stores in 223 cities By Year 2012,2023 stores in 223 cities

•By 2014 YTD,2050 stores in 220+ cities By 2014 YTD,2050 stores in 220+ cities Dec.,2011

1750 Stores180+Cities

Dec.,2010 1500 Stores

Jul.,2010 1400+Store

s

Dec.,2009800+ Stores

Text

2013-2014 YTD

2050 Stores 220+Cities

Dec.,2012 2023

Stores223Cities

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Thank You!