Well thought-out Analysis of McDonald

integrative /Intensive growth

McDonald is using Forward integrative growth as it has 85% franchises and 15% its own operating restaurants.

ÒIn the short run it is using intensive Growth strategy-Market penetration strategy , as they introduce new innovation in products.

i.e, offering new product SUPER SIZE FRENCH FRIES and new Mcflurry coffee.

ÒQuarter pounder with CHEESE, and chicken McNuggets. And is introducing footwear and casual clothes for children.

Ò1-Present Strategy

ÒInvolving in communities (Guerrilla marketing).

ÒAnd want to be the voice of market.

ÒAnd is top competitor.

New PRODUCT ( XYZ)

ÒProduct XYZ should encompass that people are conscious  about diet due  to hectic lifestyle these days and due to OBESITY.

ÒIn designing this , we will have to be careful about the healthy food. That in weaknesses  and threats, customers are careful about their nutrition.

Ò This will be for YOUTH and FAMILY.

Ò Ingredients used in our new product should not maximum of artificial flavors.

Ò For obese people we should eliminate cheese like ingredients and fats.

Ò Full market coverage  will be good for this product as we are targeting  youth and children , and we will concentrate maximum on this product. As Mcdonalds is using extensive strategy to make its product availble everywhere.

Major competitors.

 McDonald's major competitor in the UK is the Burger King, while in the USA, competitors are Wendy's, Taco Bell and Subway.

   Major competitors are BURGER KING, SUBWAY, PiZZA HUT, WENDY’s.

ÒOperating margins were 31.6% in 2011 compared to 3.9% at Wendy’s and 14.4% at Yum Brands (YUM -0.50%). Standard & Poor's calculates that operating margins at company-operated restaurants were 18.9% in 2011 and will fall to 18.5% in 2012 due to higher commodity prices. But that small decline will still keep McDonald's well ahead of competitors.

Major competitors.

ÒIn one sense, McDonald's doesn't have any real competitors, as they are the largest restaurant chain worldwide.
But some of the other restaurant chains large enough to cut into its market share include Burger King Corporation, Subway, Starbucks, Wendy's/Arby's Group, and YUM Foods (owners of Taco Bell, Pizza Hut, KFC, Long John Silvers, and A&W, among others).

Ranked high in competition:

ÒIn Perceived Product Consistency And Product Innovation.

ÒSpeed And Perceived Customer Service.

ÒPrice of products and favourable atmosphere.

ÒRestaurant Amenities And Locations.

 McDonalds is ranked among competitors like, BURGER KING, WENDY’s, PIZZA HUT, AND YUM brand.

Factors of competition

ÒSpeed .

ÒInternet ( food, fun and folks)

ÒCost  effective food( i.e., French fries, drink and burger when buy together cost low).

ÒEco-friendly.

ÒMcdonalds leadership details with rivals

ÒRestaurant Companies Ranked By Sales .

Restaurant  Price MARKET CAPITAL operatingmargin

Mcdonalds  100.57 100.91B            31.6%

YUM BRAND 68.95  31.09B              14.4%

Starbucks   63.3043 47.44B

LINK: http://finance.yahoo.com/q/co?s=MCD+Competitors

ÒFLANK DEFENSE STRATEGY of Mcflurry

ÒMcDonald's launched McClure(ice cream shake with Cadbury Oreo chocolate biscuit as the main ingredient). in response to Krushers (SHAKE with chocolate) of KFC.

ÒUsing social media for dissemination of message.

Òpeople preference..

ÒPeople prefer McDonalds over others as they offer discount to specially people .

ÒTheir experiences are better with McDonalds.

ÒThey consider McDonalds as highly customer value restaurant, love of staff with customers, Eco-friendly .

ÒThey have the image of McDonald as hygiene food.(POP and POD)..

Competitive Points-of Parity(PoP) are associations designed to negate competitor's Point-of-Difference(PoD). This concept is well applied by McDonalds and have been successful with their product.
KFC launched Krushers as their shakes wherein Krusher frappe was a chocolate drink with chocolate cookie as main ingredient. To beat that, McDonalds launched McFlurry which is a ice cream shake with Cadbury Oreo chocolate biscuit as the main ingredient.
And they made Pod of KFC as their PoP, thus 'crushing' the very edge of Krushers. This is the competitive PoP of McFlurry with the PoD of Oreo, a chocolate biscuit from Cadbury.

POP and POD

ÒPOP of McDonalds is PLAYPLACE for children and MASCOT McDonalds Statue outside the restaurant.

Ò POD:Toys for kids(like HOTWHEELS cars, BARBIE wearing shirt of MCDONALDS, offering internet). Internet facility.

ÒFamily oriented with low cost as compared to KFC Mcdonalds competitor.GRAPH link:

http://www.slideshare.net/undeadkennedy/mcdonalds-campaign

ÒQuestion 6- Slogan,logo , symbol …

ÒSloganS:

ÒYou are the one (1976).

ÒDo you believe in magic? (1993-1997).

ÒHave you had your break today?(1995-1997)

ÒWe love to see you smile.(2000-2003).

ÒI’m lovin’ it (2003-present).

ÒLogo: McDonald’s logo encompasses the durable characteristics of the food chain.

Òhttp://www.adglitz.com/2010/08/28/mcdonald-ad-slogans-taglines-advertising-over-the-years-commercials-from-1970-1980-1990-2000/

ÒQuestion 7-Campaign (I’m lovin’ it!!)

ÒThis was international campaign and restaurant used this campaign to attract people so that they could feel and revive their feelings associated with Mcdonalds.

ÒIn this slogan Mcdonalds try to attract customers who are loyal and also those who are not a cusomer of it. and specially teenagers . Because they are amused by love factor.

Mcdonalds changed its packaging since 2009.

ÒSymbol…..

ÒCont….

ÒThis campaign was done by Non-personal communication channel.(TV ,Radio)

ÒIn Spring 2008, McDonald's underwent the first phase of their new image and slogan: 'What we're made of.' This was to promote how McDonald's products are made.

ÒALIGNMENT of positioning with brand campaigning.

ÒIn I’m lovin’ it conveys the message that consumer love Mcdonalds.

ÒCampaign attributes are that delivery is fast and is cost effective that why consumers are saying I’m lovin’ it.

Consumer prefer Mcdonald that staff is friendly. And they consider people Mcdonalds as having continuous innovation.

ÒQuestion number 9-Pricing strategy?

ÒMcDonalds using Value Pricing, as they prefer the consumer first and try to deliver the consumer with Speed, cost-effective manner and  with good environment.

ÒUsing value pricing mean Mcdonalds is taking its customer as the most prior asset at disposal.

ÒAnd sometimes they are using discount pricing (i.e, offers discounts to consumer burger ,fries and soft drink together would cost low), it attracts youth specially.

ÒQuestion 10-channels for reaching target market

ÒMobile sales promotion: “easier than updating status”.(HAPPY FRIDAY)

ÒGuerrilla marketing: in Olympic games and sports events.

NON TRADIONAL CHANNELS/non-personal channels:

Ò How do you eat? (TV personal approach)

Ò Celebrate your fries :RADIO.

Ò Transit

Ò TO-LET sign boards.

Ò Projection screens.

Ò Instamatic Campaign of McDonald  products.”the best thing to happen to your mouth since teeth”.

Reference links:

http://www.mobilemarketer.com/cms/news/advertising/14981.html

http://www.aboutmcdonalds.com/mcd/newsroom/image_and_video_library/logos.html

Instagram advertisement link:http://www.mobilemarketer.com/cms/news/advertising/14981.html