Wednesday, September 30, 2015

Differential Advantage Thoughts

Differential Advantage: When a segment of customers value the benefit(s) you provide and believe you are the one best able to deliver them.

So what are the benefits that In-N-Out burger brings that are better than its competitors?

·      Is it the simplicity of the company? According to referencetobusiness.com the Snyders' priorities were simple: serve customers high-quality, fresh food with efficient, friendly service in a clean and tidy environment.” The founders Esther and Harry made it a goal to keep the restaurant simple in 1948 and that hasn’t changed.

·      How about the quality of the food? The same article about the founders says, “Refusing to change the menu was unusual for a fast-food chain, but adding other items, the Snyders feared, would affect the quality of the food and the service. By keeping the menu short, In-N-Out Burger could maintain control and guarantee high-caliber food.” The restaurants don’t have a microwave, heat lamp or freezer anywhere to be found.

·     
      The locations must have something to do with it. According to they Snyder’s they want to keep control of every restaurant to achieve their high standards. Yes, they are everywhere, but only in certain areas of the country. This is what is best for the company to keep control and probably make profit. (None in Montana :(, our groups thinks it is  because there wouldn't be enough business for their standards.)  


What segment are they reaching to? Is there a limit? Tourists, college students, business people, celebrities, old people, young people.. maybe just people who like to eat. 


 














*all found on Instagram with the hashtag #innoutburger








We have a lot more questions to ask to find what exactly their differential advantage is but we know we’re getting close. What is it about this fast food restaurant?  Maybe the founders don’t even know.

“The Snyders and the rest of the chain's highest echelon were definitely conscious of the mystique that had developed around In-N-Out. "They were all aware of it, and they loved it," he said. "But they had no explanation for it." That didn't mean, however, that they didn't know how use it.”
(Stacy Perman, “In-N-Out Burger’s Marketing Magic”, businessweek.com)


1 comment:

  1. I totally agree with you regarding what segment In-N-Out are trying to reach to. I believe when it comes to a specific kind of food, such as Indian food, they segment would be Indian themselves, but in a case like burger restaurant, everyone eats burger!! so, choosing a specific segment is kinda hard, and I would say that hungry people are the segment.

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