Marketing Case Study: Jack in the Box- Stone Cold Marketing

When you are thinking about what fast food joint you want to swing by for a quick bite, what do you think? McDonalds? Taco Bell? Burger King? You probably hard ever think of Jack in the Box, do you?

Jack in the Box was founded in 1951 in San Diego, California- four years before the fast food leader McDonald's (est. 1955). In the 1970's Jack in the Box went from around 4 locations in California to over 1,000 locations nation wide. It seemed like Jack in the Box was doing something right and competing with market leaders like McDonalds.

In recent years, however, Jack in the Box has found themselves getting lost in the shuffle of the fast food game. Jack in the Box has seen their sales drop every year while places like McDonalds, and Taco Bell rising to the top of the pack. (Graphs provided by statista.com)

Jack in the Box
Taco Bell
McDonald's
Jack in the Box obviously noticed that they were losing their footing in the fast food game, and they knew that they needed something that would make them stand out. And thus, the "stoner" commercials and the Late Night Munchie Box was born.

Jack in the Box released the Late Night Munchie Box in 2014 and their sales didn't really get better, but it didn't get worse either, but this was a step in the right direction. Jack in the Box had begun embracing the growing marijuana user population.

January 1, 2018 California legalized recreational marijuana use and Jack in the Box released the Merry Munchie Meal and fully embraced the "stoner" lifestyle. The Merry Munchie Box, backed and endorsed by Snoop Dogg himself, was available for a limited time though mid January in four select California locations. The Merry Munchie Box is also cleverly priced at $4.20 and includes two tacos, french fries, onion rings, five mini churros, three chicken strips and a small drink- which is a LOT of food for less than $5.

By embracing this new stoner culture Jack in the Box is offering a great value proposition. Jack in the Box is using a fearless and innovative marketing campaign to market to a very niche market. Jack in the Box is also open late, when most people get high, and being open later Jack in the Box is really saying that they can solve "stoners'" munchie problem and have an inclusive feel.

Robert Passikoff, founder of Brand Keys, a New York-based brand research consultancy, stated "McDonald's won't do it. Burger King won't do it, Jack in the Box has nothing to lose by doing this. But a major brand would never do it, because they would be afraid of backlash from people who don’t have open minds about marijuana and drug culture."

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