Marketing about Mcdonalds Essay Example

com meal-bun. The McCracken sandwich was reintroduced following the success of Nuggets in 1988. The current recipe for the Spicy McCracken Deluxe sandwich is slightly spicier than the original version. Previously made with a patty containing 50% white meat and 50% dark meat, McDonald's started advertising that the patty now contains 100% white meat since late 2007. The Spicy Chicken McDowell can be purchased for ARM 95 A La Carte or ARM 25 in a Mac Value Meal including a drink and fries. Customers can get a better price during specific promotion hours called Macaque Lunch and Macaque Dinner between pm and pm for only ARM 5.2.1In Malaysia, McDonald's offers a variety of burger options as part of their product strategy. These include the McCracken, Filet-o-Fish, Chicken Nuggets, and the Spicy Chicken McDowell. The Spicy Chicken McDowell falls under the category of convenience goods and is popular among customers due to its delicious taste and affordable price compared to other fast food choices like Subway. Many people choose this burger for lunch and dinner because it is reasonably priced.

McDonald's also provides promotions such as Macaque during specific periods like lunch and dinner. This promotion offers a set of burgers with French fries and Coca-Cola at a discounted price. Advertising plays an important role in promoting this product, with McDonald's heavily investing in advertisements featuring their slogan 'I'm lovin' it'. They use various methods such as television ads, advertisement boards, and radio spots to reach consumers.

In addition to their menu offerings and promotions, McDonald's provides unique services that attract customers. These include unlimited refilling drinks, specially designed chairs and tables for comfort, and being open 24

hours a day.

Furthermore, McDonald's has established itself as a well-known fast-food chain globally with over 34,000 branches in 119 countries and territories. Their restaurants are commonly found in shopping malls and tourist destinations like Gentling Highlands, One Tama, and Times Square. This widespread presence ensures easy accessibility for customers wherever they may be located.In addition, McDonald's caters to local preferences by offering different flavors in different countries. For instance, in Islamic countries like Malaysia, they provide kosher burgers as an option. When it comes to product and service decisions, one of McDonald's offerings is the Spicy Chicken McDowell. This burger consists of a spicy chicken thigh, two slices of bread, and vegetables. The nutrition profile of this product has been specified by McDonald's with 47% protein, 48% fat, and 48% salt. Due to its high salt content, consumers are advised to limit their purchases of this product. However, unlike seasonal items, the Spicy Chicken McDowell is available for purchase at any time.
Furthermore, when customers order this set meal from McDonald's restaurants for dine-in only they can enjoy unlimited refills of coke.
The Spicy Chicken McDowell is also a branded product exclusive to McDonald's restaurants that offers a hot and spicy experience with its deluxe-sized burger containing a spicy chicken thigh and vegetables. Among other burgers available on the menu, this unique burger is my preferred choice.
Additionally, the packaging for the Spicy Chicken McDowell includes a colorful box with a cute design that displays nutritional information and ingredients. Furthermore,McDonald's uses distinct designs for packaging various types of burgers such as the McCracken wrapped in yellow paper or the Prosperity Burger enclosed in a rectangular box.McDonald's prioritizes the

environment by avoiding the use of non-recyclable materials like plastic or Styrofoam for wrapping their products. In addition, they promote the Spicy Chicken McDowell by offering it in combination with other items such as Spicy & Ice, allowing customers to enjoy a complete meal at a discounted price. The brand appeals to long-term consumers, particularly children, through promotional campaigns that include toys. For added convenience, McDonald's provides free delivery in select areas and has established a memorable contact number for easy ordering. They guarantee food will be delivered within 15 minutes. Furthermore, drive-thru service is available for quick and efficient food purchases, while self-service options are encouraged for in-restaurant dining to enhance consumer enjoyment. McDonald's positions its brand through product benefits such as unique flavors and high-quality ingredients found in their burgers, which attract loyal fans. An example is the delicious and lavish Spicy Chicken McDowell made with fried chicken thigh, vegetables, and two slices of bread - a satisfying option for lunch or dinner.The name "Spicy Chicken McDowell" is designed to be easily pronounceable, recognizable,and memorable for consumers.Furthermore,the packaging features the phrase "HOT & KICKING CHICKEN"to captivate consumers and leave a lasting impression on themDespite competition from KEF and Zinger Burger, Spicy Chicken McDowell is a standout brand available at McDonald's. It appeals to adults, teenagers, and the elderly. This unique burger can be easily translated into languages like French, Chinese, and Dutch. To introduce new products under existing brands, McDonald's employs brand development strategies including line extension. In addition to Spicy Chicken McDowell, McDonald's offers various beverages like McCracken. However, Spicy Chicken McDowell distinguishes itself with its spicy chicken thigh while McCracken differs

in size and packaging. When it comes to pricing decisions, Spicy Chicken McDowell falls under oligopolistic competition where a limited number of buyers and sellers compete without significant control over prices due to numerous independent sellers and buyers within the market. It is crucial for buyers and sellers not to form any associations or unions to understand market demand, price dynamics, or sales figures. The products offered by different sellers can be both homogeneous and differentiated; therefore sellers should avoid differentiating their products based on factors such as quality, variety, color design or packaging conditions since buyers perceive competing seller products as completely substitutable.It is essential to have no restrictions on new firms entering the industry and existing firms being able to exit. This guarantees a large number of firms and keeps each firm's share insignificant over time. Both buyers and sellers possess perfect knowledge about market conditions, with buyers aware of different competing sellers' prices and sellers knowing the prices offered by different buyers. The proximity of competing sellers does not significantly affect product prices or transportation costs for buyers, who can switch between sellers without noticeable transport expenses. McDonald's key competitors are Burger King and KEF, both selling burgers. However, KEF has a higher market share than McDonald's in Malaysia, where it is the leading fast food chain with 407 outlets compared to McDonald's 176 outlets and Burger King's 20 outlets. Consequently, KEF holds the top position as Malaysia's most popular fast food brand while McDonald's ranks second locally but remains at the top globally within the fast food industry. To maximize profits, McDonald's employs market skimming strategies through producing fewer products at

higher prices; nevertheless, customers still embrace their unique and high-quality burgers despite these higher prices. Moreover, this approach helps deter potential competition from entering the market and undercutting their pricing strategyMcDonald's offers a variety of burgers, including the Grilled Chicken Burger and the Prosperity Burger. These options are priced higher than their regular burger, the McCracken. To provide value to customers, McDonald's creates bundles that include Pepsi, French fries, and burgers. By purchasing these sets, customers can save money compared to buying each item individually.

To cater to those seeking affordable options, McDonald's also offers set lunch and dinner meals. Their pricing strategy for individual burgers is based on cost and quality, taking into account competitors' prices in order to offer lower prices.

In terms of price adjustments, McDonald's uses time segmented pricing for their Spicy Chicken McDowell burger at different times throughout the day. They also have promotions for set lunches and dinners on specific weekdays.

For example, while a set of McCracken is normally priced at RM 15, the Macaque Lunch and Macaque Dinner sets are only RM 5.95. During Chinese New Year, they release a special burger called Prosperity Urge using time segmented pricing.

McDonald's also practices location segmented pricing as prices and flavors vary across countries. For instance, selling pork is prohibited in Malaysia but allowed in other Western countries.McDonald's franchises in Malaysia have become attractive investments for local entrepreneurs, resulting in a rise in the number of restaurants being established. Each restaurant is strategically located, often occupying corner lots in towns and major cities. This allows for a larger space and greater visibility to attract passersby. Some franchises even have their own buildings with

private parking and drive-through accessibility. They are commonly found in retail areas like shopping malls, catering to Malaysians' love for mall shopping. Additionally, McDonald's also expands into rural areas, although KEF has more restaurants there. In strategic locations, McDonald's can be found at local gas stations such as PATRONS Mesa or as express cafes that cater to busy professionals and motorists who need quick meals on-the-go.

A notable menu item exclusive to specific hours is the Spicy Chicken McDowell, which is only available from pm to pm. This particular product falls under direct selling as it is delivered directly to customers by McDonald's themselves. The decision to offer Spicy Chicken McDowell during this timeframe stems from observing its popularity among students and workers during lunchtime, thereby maximizing profits.

To further meet customer demands, many McDonald's restaurants operate 24/7 to ensure satisfaction when it comes to fulfilling hunger needs and desires.McDonald's ensures that their products are available for sale through various distribution channels. In addition, they are known as a self-serving restaurant where customers can enter and go directly to the counter to order and pay.

Despite being primarily physical establishments, McDonald's offers the "Incisively" system to provide transportation for customers who need it, saving them time. Moreover, they have the "Drive-Thru" service specifically designed for busy Malaysians who struggle to find time for meals. This convenient service allows customers easy access to McDonald's products and services.

Furthermore, in Malaysia, McDonald's provides online order services acknowledging that many citizens are constantly online throughout their day. This facilitates customer orders and allows McDonald's to tap into the online ordering market.

Recognizing that approximately 80% of its restaurants worldwide are independently owned by

franchisees, McDonald's stands as a leading global food retailer with over 30,000 local restaurants serving nearly 46 million people daily across 121 countries. The Spicy Chicken McDowell is available at all McDonald's restaurants in Malaysia at a consistent price. This highlights how McDonald's operates as a retailer.

Additionally, all of McDonald's restaurants in Malaysia exclusively source their ingredients from a select few suppliers who solely cater to McDonald's needs.Macedon Services (M) SD Bad supplies McDonald's with various food items such as chickens, beef and chicken patties, fish portions, fish, beef, and chicken nuggets. Haverford SD Bad is responsible for providing all the buns used in McDonald's hamburgers. Fem.Instance SD Bad produces the sugar, salt, and peppers used in preparing McDonald's products. Moreover, Malaysia's Pacemaker SD Bad manufactures all the thermoformed products used for packaging McDonald's merchandise.

In 2009, there were a total of 185 McDonald's outlets across Malaysia. These outlets are primarily situated in prosperous cities like Koala Lump, IIOP, Penman among others. To specifically target university students as their market segment, McDonald's strategically builds outlets near university campuses like ATTAR, STAR and SUNDAY.

McDonald's promotes their product called Spicy Chicken McDowell through various advertising methods. The cost of the Spicy Chicken McDowell is ARM 95 when ordered separately or ARM 25 within a Mac Value Meal that includes a carbonated drink and French fries. At the end of their advertisements, McDonald's often incorporates their famous slogan "I'm Loving It!"

To promote their Spicy Chicken McDowell further,McDonald’s employs diverse advertising techniques.One such technique is utilizing Youth videos on YouTube.A specific video titled "McDonald’s Malaysia TV 2010: Paratrooper" has garnered thousands of viewers to date.The video features a guy singing

and another man rapping about the Spicy Chicken McDowell, making it fun and interesting for the target audience. McDonald's Malaysia's Facebook page has over 1 million likes, with 38,644 users actively discussing it. On this platform, McDonald's posts advertisements with photos and product details to generate viewership and engagement through likes and comments. Billboards strategically placed outside their outlets are also used by McDonald's for advertising purposes. For example, they have billboards inside University Tune Abdul Raman in Kampala to attract students and encourage them to purchase their food. In 2012, McDonald's employed sales promotion tactics to attract customers to their Spicy Chicken McDowell Limited Time Deal. They introduced a new meal option called the Spice & Ice Meal that includes the Spicy Chicken McDowell, New Monocot, and BBC Mapmaker Fries. The promotion emphasizes how tasty and tempting the Spicy Chicken McDowell is: "Heat up with the fiery Spicy Chicken McDowell.Made from a whole chicken thigh, marinated with spices, topped with crisp fresh lettuce & special sauce, and wrapped in a warm cornmeal bun." Additionally, McDonald's promotes their McDonald's Doubles Promotion from 1 am to 7 am daily.The burgers offered by McDonald's include the double McCracken, Double Filet-O-Fish, Double Spicy Chicken McDowell, Double Quarter Pounder with Cheese, Mega Mac, and Triple Cheeseburger. In addition to these offerings, McDonald's utilizes other sales promotion methods such as cut out tag room newspaper, free coupons and leaflets inside the newspaper, and the option for customers to print out discount coupons from Facebook. These promotional strategies are effective in attracting more customers to purchase at McDonald's. Moreover, McDonald's Malaysia has recently launched the Prosperity Gives Back campaign alongside the

relaunch of the Prosperity Burger meal. This campaign aims to support charity organizations in local communities where McDonald's restaurants operate. Sarah Casanova, Managing Director of McDonald's Malaysia stated that the charity drive is a way to share the true meaning of prosperity with the community. Casanova emphasized that this campaign also adds value to individuals' lives who they want to reach out to. Melanie Abdul Hay, Marketing Head at McDonald's shared that in its first year alone, McDonald's raised REARM 000 and distributed it among 44 charitable organizations. By purchasing a Prosperity Burger meal during this campaign period until Feb 15th 2012, 10 sen will be donated towards charity. Additionally,Mcdonalds,the global fast food giant has also joined efforts in supporting "No Plastic-Day" campaign by switching their beverage cups from foam to paper across all their 18 outlets since last monthChief Minister Lima Guan Eng commended McDonald's for their participation in the green initiative, specifically highlighting that Penang's outlets are leading Malaysia in this endeavor. The soft launch of McDonald's "Go-Green" campaign has been well-received. With a current total of 194 outlets in Malaysia, McDonald's aims to expand this number to 300 within the next five years, including an additional 15 outlets planned for Penang. As the largest fast food service retailer worldwide, serving approximately 69 million people daily across 119 countries, McDonald's prices may appear higher compared to other fast food restaurants. This perception could be influenced by the absence of promotions. Nonetheless, McDonald's affordable menu can attract customers with limited income, which is particularly significant during the ongoing global economic struggle. Henceforth, it is recommended that McDonald's reduce their product prices relative to competitors'

offerings. For instance, KEF sells their renowned Zinger Burger Combo meal for ARM 70; accordingly, McDonald’s could establish a lower price point for their bestselling product compared to the Zinger Burger. Additionally, while McDonald’s set meal prices range from ARM 5.95 to ARMS 25 currently, it would be beneficial for them to standardize these prices and keep them within a narrower range. An example of such an adjustment could involve decreasing the price of their Big N' Tasty set meal—which presently costs RMI 3.25—to a more affordable rate.
This strategy aims to increase customer traffic at McDonald's and make it their top choice. In addition, McDonald's offers various products like burgers, French fries, fried chicken, nuggets, etc. However, fast food chains like McDonald's are being overshadowed by their previous offerings such as the Superseded Meal which lacks fruit or yogurt options and has a limited salad selection due to the rising number of obesity cases. Moreover, heart problems are becoming more common today and high-calorie foods are not suitable for elderly individuals and vegetarians. As a result, there is a need for nutritious and healthy food choices that align with a healthy lifestyle. To address this demand, McDonald's should focus on offering a healthier menu similar to Subway's concept. They could introduce vegetarian options like a new vegetarian burger, fruit salad or healthier French fries in Malaysia where the vegetarian market is targeted. Furthermore, McDonald's can create fresh burgers or healthy desserts for customers who prioritize their health while still enjoying McDonald's food. This approach can also attract customers who follow current health trends. Additionally, intense competition from strong brands such as Wendy's,Burger King,and Yum! Brands

has caused McDonald's to lose customers significantly who now prefer these other brands.To tackle this problem, McDonald's should prioritize enhancing their promotional strategies. One proposal is to arrange events such as "Who has the Biggest Appetite?", in which participants compete to consume as many McCracken burgers as possible within a specified timeframe. Another approach could involve providing discount vouchers for larger orders, like purchasing quantities exceeding ARMS or ARMS.

Furthermore, McDonald's can enhance their place strategy by expanding their presence beyond urban areas, which currently house most of their outlets. Neglected locations like highways and industrial areas should also be considered for opening new outlets, thereby reaching a broader customer base.