Burger King Crisis Management Case Study

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BURGER KING CRISIS MANAGEMENT CASE STUDY

THE IMPOSSIBLE WHOPPER CRISIS

1. BRAND OVERVIEW AND BRIEF HISTORY:


Burger King is a multinational chain of fast-food restaurants that originated in the United
States of America. Burger King was founded 1953 as a restaurant chain named "Insta-Burger
King" in Florida. In 1954, the small restaurant chain ran into financial troubles and was
eventually bought by David Edgerton and James McLamore, who renamed the company to
"Burger King". After having multiple owner changes in half a century, Burger King is
currently owned by Restaurant Brands International Inc., a Canadian-American fast food
holding company.
Globally speaking, Burger King is one of the biggest fast food chains in the world operating
in more than 12,300 locations and serving 11 million guests daily in 78 countries. Burger
King products mostly consist of a wide variety of fast food, mainly hamburgers, French fries,
soft drinks, and desserts. The unique selling proposition of the brand was its collection of
Whoppers. Most of its restaurants are owned and operated by independent franchisees. Its
global operation started back in 1963 when it opened its first store outside of the Continental
United States in San Juan, Puerto Rico. After opening its first store in Oceania in 1971 and
Europe in 1975, Burger King began to extend its presence to the Asian markets with stores in
several countries such as Japan, Taiwan, and South Korea in 1982. Since then, it has been
steadily expanding its influence around the world and has been growing each year by opening
more restaurants around the world. In 2019, it received approximately USS 994 million as
global income.
This 2021, Burger King introduced their new logo and food packaging in more than 20 years.
The new minimalist logo seamlessly meets the brand evolution of the times with its retro
vibe. It also pays tribute to the brand's 64-year-old history.
2. DESCRIPTION OF THE SPECIFIC CRISIS EVENT:
Burger King's decision to launch the Impossible Whopper, a plant-based burger made by
Impossible Foods, was a strategic move aimed at tapping into the growing demand for
vegetarian and vegan options. By offering a meatless alternative to their signature Whopper,
Burger King aimed to attract new customers while also appealing to existing ones who were
looking for healthier and more sustainable choices. While the introduction of the Impossible
Whopper generated significant buzz and excitement, Burger King faced challenges in
effectively communicating the product's vegetarian status and cooking methods.
The Burger King 2018 Impossible Whopper crisis wasn't so much a crisis in the traditional
sense, but rather a mix of challenges and controversies. The Burger King Impossible
Whopper crisis of 2018 primarily revolved around the miscommunication and mishandling of
the product's vegetarian status and cooking methods. Here's a breakdown of the key issues:

Misleading Marketing: Burger King heavily marketed the Impossible Whopper as a


vegetarian alternative to their traditional beef-based Whopper. However, they failed to
communicate that the burger would be cooked on the same grills as their meat products. This
led to concerns among vegetarians and vegans about cross-contamination, as well as feelings
of betrayal among those who thought they were consuming a fully vegetarian product.
Health and Nutrition Concerns: While the Impossible Whopper offered a plant-based
alternative to meat, some consumers raised questions about its nutritional content compared
to the traditional Whopper. Despite being plant-based, the Impossible Whopper still contained
similar levels of calories, fat, and sodium as its beef counterpart. This prompted concerns
about whether the burger was truly a healthier option, as initially implied by Burger King's
marketing.
Supply Chain Issues: Following the launch of the Impossible Whopper, some Burger King
locations experienced shortages of plant-based patties due to high demand. This led to
frustration among customers who were unable to purchase the product as advertised, resulting
in negative publicity for the company.
Overall, the crisis highlighted the importance of transparent communication in marketing and
the need for companies to align their messaging with the actual practices surrounding their
products. It also underscored the challenges of introducing innovative food products into
mainstream markets, particularly when it comes to meeting consumer expectations regarding
health, sustainability, and dietary preferences.
3. INITIAL RESPONSE AND ACTIONS TAKEN:
During the 2018 Impossible Whopper crisis, Burger King took several actions to address the
challenges and controversies surrounding the launch of their plant-based burger. Here are the
key steps they took:
Clarification of Cooking Methods: In response to concerns about cross-contamination,
Burger King clarified their cooking methods for the Impossible Whopper. They explicitly
stated that while the burger itself was plant-based, it would be cooked on the same grills as
their meat products. This transparency aimed to address the concerns of vegetarians and
vegans while ensuring that customers were fully informed about how the product was
prepared.
Communication and Transparency: Burger King emphasized transparency in their
communication about the Impossible Whopper. They updated their marketing materials and
promotional campaigns to provide clear and accurate information about the product's
ingredients, cooking methods, and nutritional profile. By being upfront about the burger's
attributes, Burger King aimed to rebuild trust with consumers who felt misled by earlier
marketing efforts.
Supply Chain Management: To address supply chain issues and ensure consistent
availability of the Impossible Whopper, Burger King worked closely with Impossible Foods
to ramp up production and distribution of the plant-based patties. This involved optimizing
production processes, increasing manufacturing capacity, and improving logistics to meet the
high demand for the product across their locations.
Menu Innovation and Expansion: Building on the success of the Impossible Whopper,
Burger King continued to innovate and expand their plant-based offerings. They introduced
new menu items featuring plant-based proteins and explored partnerships with other
alternative meat suppliers to diversify their vegetarian and vegan options. This strategic
approach allowed Burger King to cater to a broader range of dietary preferences and attract
new customers interested in meatless alternatives.
Nutritional Enhancement: In response to feedback about the nutritional content of the
Impossible Whopper, Burger King explored ways to improve the burger's health profile. They
considered options such as reducing sodium content, incorporating more vegetables, or
offering customizable toppings to allow customers to personalize their orders according to
their dietary preferences and nutritional goals.

4. EVALUATION OF THE INITIAL RESPONSE AND THE ACTION TAKEN:


The initial response of Burger King to the 2018 Impossible Whopper crisis had both strengths
and weaknesses:
Strengths:
Innovative Product Launch: Burger King's decision to introduce the Impossible Whopper was
a bold move that demonstrated their willingness to innovate and respond to changing
consumer preferences. By partnering with Impossible Foods to offer a plant-based alternative
to their signature Whopper, Burger King positioned themselves as a leader in the fast-food
industry's shift towards more sustainable and ethical food options.
Marketing Impact: The launch of the Impossible Whopper generated significant buzz and
media attention, helping to raise awareness of Burger King's commitment to sustainability
and innovation. The marketing campaign surrounding the product emphasized its meat-like
taste and texture, appealing to both vegetarians and meat-eaters alike.

Weaknesses:
Miscommunication: One of the major weaknesses of Burger King's initial response was the
lack of clarity and transparency regarding the cooking methods of the Impossible Whopper.
While the burger was marketed as a vegetarian option, Burger King failed to communicate
that it would be cooked on the same grills as their meat products. This led to confusion and
backlash from consumers who felt misled by the advertising.
Supply Chain Issues: Burger King faced challenges in maintaining consistent availability of
the Impossible Whopper due to supply chain issues. Some locations experienced shortages of
plant-based patties, leading to frustration among customers and negative publicity for the
company. This highlighted the importance of robust supply chain management and
forecasting capabilities, which Burger King needed to address promptly to meet the high
demand for the product.
Nutritional Concerns: Another weakness of Burger King's initial response was the lack of
emphasis on the nutritional profile of the Impossible Whopper. While the burger was
marketed as a healthier alternative to the traditional Whopper, it contained similar levels of
calories, fat, and sodium. This discrepancy raised questions about the health benefits of the
product and prompted concerns from health-conscious consumers.
In conclusion, while Burger King's initial response to the 2018 Impossible Whopper crisis
showcased innovation and ambition, it was marred by miscommunication, supply chain
issues, and nutritional concerns. To effectively address these challenges, Burger King needed
to prioritize transparency, supply chain optimization, and nutritional transparency in their
subsequent actions and communications.

5. COMMUNICATION CHANNELS USED:


Burger King utilized various communication channels to address the challenges and
controversies surrounding the launch of their plant-based burger. Here are some of the key
channels they employed:
Traditional Media: Burger King leveraged traditional media channels such as television,
print, and radio to promote the launch of the Impossible Whopper and reach a broad
audience. They aired commercials and advertisements highlighting the burger's taste, texture,
and meat-like qualities to generate excitement and curiosity among consumers.
Social Media: Burger King utilized social media platforms including Twitter, Facebook,
Instagram, and YouTube to engage with consumers and share information about the
Impossible Whopper. They posted promotional content, behind-the-scenes footage, and
customer testimonials to create buzz and drive awareness of the product.
Website and Online Channels: Burger King updated their official website and online
channels to provide detailed information about the Impossible Whopper, including its
ingredients, nutritional content, and cooking methods. They also launched dedicated landing
pages and digital campaigns to educate consumers about the burger and address any concerns
or misconceptions.
Press Releases and Statements: Burger King issued press releases and official statements to
communicate important updates and announcements related to the Impossible Whopper
crisis. They used these channels to clarify their stance on issues such as cross-contamination,
supply chain management, and nutritional transparency, and to reassure consumers of their
commitment to addressing concerns and improving the product.
Customer Service Channels: Burger King engaged with consumers directly through
customer service channels such as phone support, email inquiries, and social media
messaging. They encouraged customers to voice their feedback, questions, and complaints
regarding the Impossible Whopper, and provided timely responses and resolutions to address
any issues or grievances.
Partnerships and Collaborations: Burger King collaborated with strategic partners and
influencers to amplify their messaging and reach new audiences. They partnered with
Impossible Foods to co-promote the launch of the Impossible Whopper and leverage the
credibility and expertise of the plant-based meat company in the food industry.

6. LESSONS LEARNT:
Transparency is Key: The crisis highlighted the importance of transparency in
communication, especially when introducing innovative products. Burger King's failure to
clearly communicate the cooking methods of the Impossible Whopper led to confusion and
backlash among consumers. Companies should be upfront about all aspects of their products,
including ingredients, sourcing, and preparation, to build trust with customers.
Listen to Consumer Feedback: Burger King faced criticism from various stakeholders,
including vegetarians, vegans, and health-conscious consumers, during the crisis. This
underscores the importance of listening to consumer feedback and addressing concerns
promptly. Companies should actively engage with their audience, respond to feedback, and
make necessary adjustments to meet customer expectations.
Supply Chain Resilience: The supply chain issues experienced by Burger King highlighted
the importance of supply chain resilience and flexibility. Companies need robust supply chain
management practices to anticipate and mitigate potential disruptions, especially when
launching new products or experiencing unexpected spikes in demand. Building strong
partnerships with suppliers and implementing agile logistics solutions can help ensure
consistent availability of products.
Strategic Marketing: Burger King's marketing strategy played a significant role in
generating buzz and excitement around the Impossible Whopper. However, the crisis
highlighted the importance of aligning marketing messaging with product attributes and
consumer expectations. Companies should ensure that their marketing campaigns accurately
reflect the features, benefits, and values of their products to avoid potential backlash or
misconceptions.
Continuous Improvement: Despite the challenges faced during the crisis, Burger King's
response demonstrated a commitment to continuous improvement and innovation. Companies
should view setbacks as learning opportunities and use feedback to refine their products,
processes, and strategies. By actively seeking ways to address consumer needs and
preferences, companies can strengthen their brand reputation and drive long-term success.

7. CONCLUSION:
In conclusion, while Burger King's initial response to the 2018 Impossible Whopper crisis
showcased innovation and ambition, it was marred by miscommunication, supply chain
issues, and nutritional concerns. To effectively address these challenges, Burger King needed
to prioritize transparency, supply chain optimization, and nutritional transparency in their
subsequent actions and communications. Overall, the 2018 Burger King Impossible Burger
crisis underscored the complexities of introducing innovative products in the food industry
and the importance of proactive communication, supply chain management, and consumer-
centric approaches in navigating such challenges. By embracing transparency, listening to
feedback, and fostering a culture of continuous improvement, companies can mitigate risks
and capitalize on opportunities for growth and differentiation in an ever-evolving market
landscape.

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