This article analyzes the “Create Your Taste” advertising campaign by McDonald’s in Australia, its target audience, market trends, and effectiveness using AIDA, Innovation-Adoption, and Information Processing models.
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Running head: “CREATE YOUR TASTE” ADVERTISING BY MCDONALD’S “Create Your Taste” advertising by McDonald’s Name of the student: Name of the university: Author note:
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1“CREATE YOUR TASTE” ADVERTISING BY MCDONALD’S McDonald’s, one of the leading brands in the fast food industry, was established in the year 1940 in California; it was only in 1971 that the company opened its first outlet in Australia. Since then, more than nine hundred stores have opened up in differentpartsofAustralia(McDonald’sAustralia2016).In2015,McDonald’s launched an advertising campaign that highlighted its new service “Create Your Taste”; McDonald’s in Australia functions quite differently than the rest of the world, and the introduction of this new service immediately garnered attention of people all over Australia(McDonald’sAustralia2016).AnadvertisementwasrunintheB&T Magazine in Australia, which emphasized on this new, innovative campaign (See Appendix 1). The advertisement, a colorful depiction of the “Create Your Taste” service offered by the brand can be analyzed to get an idea of the target audience, the prevalent market trends and market segments, so as to study the effectiveness of the campaign as a whole. McDonald’sfacedseverecompetitionfromnumerousfastfoodchainsin Australia, which included other American companies like KFC; however, the rise of new and local fast food brands further adversely affected the sales of the company. Before the launch of the campaign, McDonald’s observed a growth of only five percent, which can be called negligible (Browne and Han 2015). However, it must be mentioned that due to the advancement of technology and innovation, the fast food industry in Australia has an annual revenue of nearly 14.8 billion dollars out of which 4.2 billion is acquired by the burger shops, like McDonald’s (Bigliardi and Galati 2013). McDonald’s which has made quite a name for itself selling affordable and delicious fast food to its customers is one of the most beloved and frequently opted for burger shops all over Australia; as a result, it holds more than thirty per cent of the market share (Rodrigues, Nikhil and Jacob 2016). To enhance the declining sales rates, the “Create Your Taste” campaign was rolled out to all McDonald’s outlets across the country. Thetarget marketin this case was the Generation X and Generation Y customers; McDonald’s aimed its marketing strategy at the younger audience because this demographic was deemed twice as more likely to consume junk food on a regular basis (Bernhardtet al. 2014). The target market would also be adults, belonging to the millennial generation, who have certain expectations as far as quality of the food is concerned.Market segmentation(psychographic, in this case) was carried out keeping in mind the expectations of the customers; for instance, the target group of the marketing campaign
2“CREATE YOUR TASTE” ADVERTISING BY MCDONALD’S was estimated to have certain set standards in mind, with regards to the service provided and were not ready to compensate. The purpose of executing such a marketing and advertising plan was to increase the sales rates by at least 15 per cent in the six months following implementation and to improve profit generation by a margin of nearly 16 per cent (Rodrigues, Nikhil and Jacob 2016). Nevertheless, it is important to measure the effectiveness of the advertising campaign; this has been done through a few models, like the AIDA framework, the Innovation – Adoption model and the Information Processing Model. TheAIDA model, which is an acronym for attention, interest, desire and action, is a marketing theory which specifies the stages that a customer goes through from the time he or she first comes to know about the product or service to the time when he actually acts on it (Rawal 2013). The advertisement, which contains a fine balance of graphics and information, would immediately grab theattentionof customer; moreover, this is a brand new feature that was initially exclusive to Australia. At this point, theinterestof the audience is piqued; he or she is intrigued by the fact that customers would now be able to design their own burgers. To further attract the customer and to triggerdesire, the advertisement features in brief some information about the service they are offering. The advertisement calls foractionbecause it invites the customers to try the new service; it immediately appeals to the loyal customer base that McDonald’s already has. TheInnovation-Adoption Modeltakes it one step further and provides a step by step account of a customer’s actions once he or she comes across the advertisement (Wisdomet al.2014). In the cognitive stage of the model, the customer comes across the “Create Your Taste” advertisement and becomes aware of the service. In the affective stage, he develops an interest in the service and attempts to try it out; in the final behavior stage of the model, he actually tries out the product and comes to a conclusion with regards to his feelings about it. If the customer is satisfied with the service, he or she is likely to return, thus strengthening brand loyalty. TheInformation Processing Modellays emphasis on the way a customer perceives and reacts to the information presented to him (Libby 2017). It also throws light on the ability of a
3“CREATE YOUR TASTE” ADVERTISING BY MCDONALD’S customer to retain the information which he deems important or relevant; thus, the advertisement which clearly highlights the key features of the service would be easier for the customer to retain. To conclude, it can be said that the McDonald’s “Create Your Taste” campaign was quite successful; the fact that the customers could now customize their own burgers gave the brand a competitive edge over others. As a result of the advertising campaign, the company was able to optimize its revenue generation and improve overall sales rates. The application of the AIDA model, the Information Processing Model and the InnovationAdoptionmodeldemonstratedtheeffectivenessofthereleased advertisement.
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4“CREATE YOUR TASTE” ADVERTISING BY MCDONALD’S References: Bernhardt, A.M., Wilking,C., Gottlieb,M., Emond, J. and Sargent, J.D., 2014. Children’sreactiontodepictionsofhealthyfoodsinfast-foodtelevision advertisements.JAMA pediatrics,168(5), pp.422-426. Bigliardi, B. and Galati, F., 2013. Models of adoption of open innovation within the food industry.Trends in Food Science & Technology,30(1), pp.16-26. Browne, R., & Han, E. (2015, January 11). Fast food evolution - global super-brands are havingtoreventthemselves.RetrievedfromTheSydneyMorningHerald: http://www.smh.com.au/nsw/fast-food-evolution--global-superbrands-are-having-to- reinvent-themselves-to-keep-up-20150106- 12j7mc.html Libby, R., 2017. Accounting and human information processing. InThe Routledge Companion to Behavioural Accounting Research(pp. 42-54). Routledge. McDonald’sAustralia.(2016).Macca’sStory.RetrievedfromMcDonalds: https://mcdonalds.com. au/about-maccas/maccas-story McDonaldsAustralia.(2016).CreateYourTaste.RetrievedfromMcDonalds: https://mcdonalds. com.au/create-your-taste Rawal, P., 2013. AIDA Marketing Communication Model: Stimulating a purchase decisioninthemindsoftheconsumersthroughalinearprogressionof steps.International Journal of Multidisciplinary research in social & management sciences,1(1), pp.37-44. Rodrigues, J., Nikhil, S. and Jacob, S. (2016). Promotional Strategies of McDonalds and Market Effects.Journal of Management Research and Analysis, 3(1), p.53 Appendix:
5“CREATE YOUR TASTE” ADVERTISING BY MCDONALD’S (Source: B&T Magazine, Australia)