Within McDonalds this there is such diversity with every component, from the menu, working hours, services to products this is what made it unique and offered the one of a kind experience. This allows great flexibility within the business to help achieve profit and growth, without the flexibility many McDonalds would survive.
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Slide three- HistoryMcDonald's was started as a drive-in restaurant by two brothers, Richard and Maurice McDonald in California, US in the year 1937. The business, which was generating $200,000 per annum in the 1940s, got a further boost with the new technology of a revolutionary concept called 'self-service. ' The brothers used assembly line procedures in their kitchen for mass production. Prices were kept low. Speed, service and cleanliness became the critical success factors of the business. By mid-1950s, the restaurant's revenues had reached $350,000. Slide four – if at first you don’t succeed, try and try again.
In the 1950’s they failed to franchise McDonalds but along came…Ray Kroc (Kroc), distributor for milkshake machines. Expressed great interest in the business, and he finalized a deal with the McDonald brothers in 1954. He established a franchising company, the McDonald System Inc. and appointed franchisees. In 1961, he bought out the McDonald brothers' share for $2. 7 million and changed the name of the company to McDonald's Corporation. In 1965, McDonald's went public.
.. Slide five, six and seven – McDonald’s slogany thing: [pic] McDonalds always had the can do attitude and with this optimistic view on business it always stood out.When implementing the online, phone, text and fax system it has the money to invest it has the resources to achieve this there are no lack of funds and its already up and running in countries like India, Singapore, and parts of the USA, by Moving forward the company can trial the delivery system and develop the results they receive into a report of the delivery system and this would show any trends, after analysing information the OBVIOUS answer would be McDonalds is ready to deliver in the UK, already online there are face book groups with and petitions saying McDonalds should deliver their food, there are over 10,000+ people from only just 2 groups saying McDonalds should deliver , even this figure must point out something obvious. Open communications, listening to the customer and them listening to you, our customers – 10,000 of them want us to deliver, and now we can.The way in which we plan to have them order it is by phone, online, text and fax, this leaves such a wide gap as to how the customer wants to order, customers of McDonalds have always been unique as even some customers have rapped their orders. Slide – McDelivery What are we planning to offer We want to become the revolutionary restaurant the one where optimum flexibility is an option, unlike KFC or burger king, if our customers aren’t lovin’ it were not lovin’ it.
Were are looking to implement a fax, text, online , phone delivery system to where orders are delivered to a customer’s house for a small fee, depending on how far they live or for a large order delivery is free. This in return will increase customer brand awareness, as more jobs are created, thus more profit for McDonalds. The delivery service can be charged on a one price for all, with the rising price of petrol ustomers can save money by having their food delivered to them with a flat delivery charge rate, this even helps people who can’t reach a McDonalds easily, for an example a busy receptionist with a short break too far from a McDonalds to reach in her lunch break she has the convenience of ordering online and having it delivered by her break so she can enjoy her McDonalds meal. With the correct research McDonalds McDelivery service will be an extremely popular service with increasing revenue and allows great flexibility within. It could even be optional for branches of McDonalds to add on such a service. Incentives could be offered to McDonalds branches who want to add on this unique service.This idea will be a huge add-on to the McDonalds which specialise in ‘drive through’ service.
Slide – Marketing objectives Are our marketing objectives likely to be fulfilled? Increasing sales his will entice more customers who worry bout the increasing threat to wildlife and the environment knowing that our packaging will be decomposable and not end up on landfill sites or clogging up the streets, even small points like this have major impacts on people and pressure groups get involved organising protests and marches. One such example is the McLibel case which started off when two activists were delivering leaflets outside a McDonalds claiming it gave numerous cancers and life-threatening illnesses, in such a way that people made it to believe after only on meal of McDonalds they would have heart attacks, these false accusations let to the case which was the longest case in British history. By stopping all these activists and including them on the new design we can work together rather than working against each other. (Efficient delivery vehicles By having efficient vehicles to deliver the food in the customers will pay less for the delivery service and the price of carbon offsetting goes down, and the price of running the vehicle also goes down, advertising on the van would promote the delivery service. By increasing sales, we increase delivery simple. New ordering methods we are giving the customer more choices, and customers need the choice, with out this flexibility some customers will prefer the more flexible service McDonalds rivals may offer. Slide nine – Potential Customers Our ideal customer is pretty much every one.
Most children go to McDonalds there is an entire menu for children . Most adults go to McDonalds, there's a menu which they can chop an change meals. Most teenagers go to McDonalds, most business men, workers, teachers, the list is endless the potential customers are endless, as everyone has to eat The secret of any marketing strategy is to reach the target audience. And here again the target audience should be chosen everyone. In the case of McDonalds projected in its ads, the targeted audiences were the kids no adults take in any information from a kids advert. Health conscious women and senior citizen comprise the major population but kids soon grow out to become adults.Recent law cases and documentaries resulted in the companies recent innovation and a major change related to health related product ranges and this switch over as per the needs of today's trend and needs has increased the lost popularity of McDonalds.
All the above factors point out the external strengths and weaknesses. There are also internal factors which affect the performance and overall benefits the company stands to enjoy. Kids based marketing strategy which was earlier a weakness has changed since 2003 where Ronald McDonalds ruled the TV. Now more teenagers and adults rule the McDonalds ad world even portraying businessmen having breakfast. The research and develop which lacked earlier is also looked into and the brand quality is being defined with various research and development options today.ADULTS- They require good quality value for money food, they don’t want to pay excessive money for food they can make themselves cheaper. Adults – potential business men, busy working short breaks need food delivered quickly and easy so they don’t have to run around, they can relax and eat in their work environment and this is good advertising too as other workers will see the McDonalds freely being eaten in the office stress free, why have a cold sandwich when you can have a warm crisp meal delivered for a cheap cost almost the same you pay in the office canteen, more variety at McDonalds, even meetings can be catered for with salads and finger food ordered.
CHILDREN - Children can now help you order by choosing what they want and by getting more involved, even young children helping you by typing in what you want or simple things like browsing the menu on a computer can be interesting to a child. If a parent has many children, instead of taking ages to get them ready into the car and to their local McDonalds they can relax and the parents can have peace of mind whilst they order their food. TEEN - Teenagers want to eat what they like in the comfort of their own home, brothers and sisters baby sitting or with friend who are unable to get to a McDonalds nearby can go online or phone up and order this and have it delivered in no time.Even if there is no phone there is internet, if no internet or phone there is fax, you can text off a mobile and have it taken off your credit, its so versatile any one can use it. But not everyone goes to McDonalds in an ideal world, every business knows that that’s not how customers think, customers need choices and reasons they will come to McDonalds, for example if they have the choice to go either ,McDonalds or KFC we want to know why , this is where market research is vital, without it no business would survive . Slide – 10 product portfolio The Big Mac was created by one of Ray Kroc's earliest franchisees, who was operating several restaurants, It was designed to compete with a similar Big Boy sandwich.It consists of two beef patties, special "Mac" sauce, iceberg lettuce, American cheese, pickles, and onions, all served on a three part sesame seed bun.
With the big Mac toppling the sales compared to any other burger sold, McDonalds delivery service will be built to handle the big Mac delivering it to the customer, just how they expect it. The big Mac is a star, as it generates a large income for McDonalds, it’s the most popular item on the menu its one of a kind, it changed over time with trends, like reducing the amount of calories it had in it, it even beat its rival – Whopper which hold around 670 calories where as a Big Mac contains 540, by doing this McDonalds is staying with the trends and hypes of customers, adapting to their needs as the customer if always right.This breakthrough led to other variations around the world such as a kosher version the McMiniMac which is a mini Big Mac, a chicken version even on in a wrap, these are all slightly different to the original because that’s how the customers want it eg in india the Big Mac is made of either lamb or chicken because the majority of the country don’t eat beef due to religious reasons, . rival companies obviously see how popular it is and they develop similar products, for example burger king have a similar burger, the Whopper it has 670 calories and it consists of a flame grilled quarter-pound beef patty, sesame seed bun, mayonnaise, lettuce, tomato, pickles, ketchup. This is also the most popular item on the menu in burger king, but exactly the same, we need to give our potential customers a reason to come to McDonalds and have the real burger.The product sales will increase as demand for the popular items menu goes up, the star is only half the way through its cycle and now its getting better and better, the price of a big Mac is cheaper, selling a Big Mac Coke and fries at under ? 4, but the whopper on the other hand is a staggering ? 6. 00 in some places and this is one of the reason why customers love the big mac.
Slide 11- is it going to work? McDonalds needs vital market research conducted by themselves and others to implement their ideas and have a general idea to forecast the future, and what else they might be able to add on with greater efficiency, e. g. not just providing a delivery service, allowing more options to ordering so not just phoning in. ome ideas may not sound realistic but they do appeal to a wide range of people, for example being able to order through fax, many people can just see this as a joke but this is unique, no other business offers fax orders!Scenario 1: a business with his assistant in a busy board meeting and food is needed desperately but in a professional order, a quick fax and the food will arrive within a short amount of time and they haven't had to register online card details they haven't had to spend 20 minutes on the phone ringing in, they just write down order address contact details and fax, Simple as pie, but why haven't other businesses done this? Because many businesses believe this is too outrageous to do, who will man the fax machine while others are working , is it worth it, so many questions but in the end its market research the completes it. Nearly everyone has a computer and internet access these days due to work and study we need these and the unfortunate ones who don’t have either phones or a land line, with these options a business is really throwing itself wide open to customers. Daring to be different, doing what no business dares to do. ? Globalisation- there are over 31,000 stores world wide, if these were to implement a delivery system they would have online stores and reach even more customers , which not al of them have efficient means of transport.
?Brand awareness – McDonalds is a household name, every child has heard of the Happy meal, every teen has heard of the Big Mac ( some countries McDonalds is so popular its created slippers, in McDonalds name. no other business has this level of popularity. ? Increasing Market Charities involved – people do see this system is not just for profit, McDonalds donates a lot of money each year to nurseries and oversees charities for the less fortunate and this online system will only boost the amount they give with a donate option when order, the customer can choose to donate money and choose the amount. ? High profits – this is will be the money we need to start up , the money ? One goal ? Equality within company work ? Good work ? Diversity ? Appeals to all ages ? Flexibility to customers ? Consistency with service ? Quick service ? Targets – the targets set are simple works ? Internal training for staff. ? Implementing a wider menu ? More advanced and healthier food production ? Pairing with other business to create an even more diverse business ? Influencing projects and charity work ? Helping local businesses such as children's nursery. Slide – priceWe aim to charge one price for delivery, but there will be boundaries as if our workers are delivering food to faraway place, it will get cold, other orders will be late which is not excellent customer service is. Customer service is what defines your company, bad customer service portrays a business with bad objectives.
The price will be cost effective as some ordered will be delivered by bike or van depending on the distance; this is good for the customers as we can handle more orders at a time. Human resources would look into the actual whole product mix, as workers make the place, with no efficient workers they can’t sell a product. Customers would decline in vast numbers if McDonalds were to look shabby and have rude staff etc there has to be a high level of standards maintained within the place.HR must recruit workers which can achieve this easily; they have to look how they would benefit long term in such a business, also another factor may be age, if there are two potential workers who are almost exactly equal in abilities and skills but one is 16 and the other 18, the business would benefit by paying the worker less, so the better option would be hire the 16 year old, but then there are time restraints they might still be in full time education and so on, where as the 18 year old may have more time, more flexibility and a drivers licence so they can deliver food, the business just has to look whether it can support the workers chosen by HR. Slide –ProductProduction, is vital in a business, without this the quality of product being a high enough standard a business can collapse, in this case it is McDonalds they make at least 100 burgers a day at each restaurant, if these burgers aren’t produced to a good enough quality it could reveal major health issues e. g. food poisoning and this thus effects the price, for low quality food there should be a low price as its not worth it.
Hygiene also plays a part in this, if production is not complying with certain laws then this puts both the business the workers and the customers at a great risk Sales, sales is another key department that affects the marketing mix, if the product is not advertised well it doesn’t sell, it simply doesn’t create any turnover, this is vital for a business to maintain its profit. Sales is what does the market research to look as what needs improving with products, quality of products, the place, new ideas etc.The food also needs to be kept hot so when it reaches the customer it piping hot and tastes just how they want it. Slide - Production Production is vital in a business; they need to keep up the same standard for each and every product, by depressing your workers you cant keep up their high production, you need to boost staff morale and keep them happy to have an efficient production line, Efficiency is vital, without working to full potential the business will fail, customers will see that the business is lagging e. g. waiting for food a long time, uncooked food, messy un prepared food this does not look good and simple things like this can turn a customer to one of our rivals. Slide – promotionTV adverts – there are many adverts promoting McDelivery in India proving to be funny and popular with the public, Ronald McDonalds is a world wild known figure for McDonalds, he promote children to be good and to enjoy their meal and have fun, with this character we can develop children programmes which will be funny, and teach the children which also works as advertising for McDonalds.
Radio, when people are on the move, on the way to work, a mother coming home from school run ‘thinking I have to do this cleaning, washing, ironing, and cook dinner, but hearing the delivery service may change her mind and choose the ease of having dinner delivered.Pester power, many children see McDonalds and recognise it, they pester parents for a happy meal the parent will give in and get the child a happy meal, this may be seen as unethical, but a happy meal is healthy, there are a choice of fruit juices, apple sticks, carrots, grapes and the chicken nuggets are made with 100% chicken, so children get the healthy food they want and need, the packaging on the happy meal itself will promote the delivery service as many parent fill in the puzzles with their children and will see the advertisement. The delivery vans itself will advertise the service, the unforgettable yellow and red colours will forever be associated with McDonalds, the number of the local store delivery service will be printed on each van and a picture showing what’s on offer and also the price of the one rate delivery service.This will remain in the customers it’s not every day you see red and yellow vans and as no other major chain offers this service it will be truly unique. Slide - Conclusion: Overall the Chain McDonalds has always been unique to other regular fast food stores, they invented the drive through, and they created the big Mac they have achieved so much more than a regular KFC or Burger king. This service already runs in other countries and will prove popular in the UK as market research reflects this, the company has great personality and outstanding service, with all the objectives and target achievable the online delivery system is destined to be successful
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