Digital Marketing of McDonald's Pan Pizza in Saudi Arabia

This report analyzes the digital marketing strategy of McDonald's new product, Pan Pizza, in Saudi Arabia. It includes situational analysis, market and cost analysis, targeting strategy, and marketing tools and applications.

E-Marketing
McDonald’s

Introduction
• The aim of the report is to understand the digital marketing of
the McDonalds new product in Saudi Arabia.
• The new product which is introduced by the company is
McDonald’s pan pizza.

Situational Analysis
SWOT analysis

Industry analysis
• Porter’s five forces
framework is a tool for
analysing the competition
among the business in the
industry.
Porter’s five forces
Bargaining power of suppliers Low
Bargaining power of customers High
The threat of new entrants Medium
Availability of substitutes High
Competitive rivalry High

Projections on market demand
• The introduction of new product needs the McDonald’s
company to analyse the forecast the demand.
• This has been found that Saudi Arabia Foodservice market was
valued USD 29.83 billion in the year 2017 and further it is
expected to record a CAGR of the 5.9% growth in the year of
2018-2023.

Market and Cost Analysis-
Segmentations
• Demographic: - Company segment the customers with the age
of 8-25 and 25-45 as these people include youth and adults.
• Behavioural: - This segment is preferred for the new products
because the McDonald's loyal customer will like to prefer the
pan pizza offered by the company in Saudi Arabia.
• Psychographic: - McDonald’s generally segment the people
who like to believe the social class which include lower,
working and middle classes.

Targeting strategy
Targeting strategy
• The company majorly targets people with the age group of 8-
25 years which include youth who like to consume fast food at
a frequent basis with the middle-income group.

Positioning in the marketplace
• Positioning refers to as
the image of the
company in the mind of
customers.
• The pizza hut company is
the category of junk food
with limited choices.

Procurement of goods and Services
• The company make use of the E-procurement system that is
Emac Digital. Internet procurement site is designed by the
company to manage the more than 27,000 franchises.
• Emac Digital Company is considered as the E-procurement
website that is jointly owned by the Accel-KKR Internet Co.
and McDonald’s.

Market tools and Application
• Value chain- McDonald’s needs to add the value that they
are offering with the new product pan pizza. For instance;
this can be small cold coffee for the first time purchase of
pan pizza.
• Use of Branding and video marketing- The branding helps
the company to create the trust for the new product which is
offered to the existing and new customers.

Continue…
• Email Marketing and Social Media Marketing- In the email
and social media marketing, the McDonald’s can share the
discount and offers that are provided by the company on the
purchase of Pizza.
• Available tools of E-Commerce-These tools include Hotjar,
Google analytics, mail chimp, SEMRush and many others.

Web-enabled Supply Chains
• SEO and Search engine marketing- Enhance the visibility in
search engine result pages with the help of paid
advertisement
• Use of Web application for the outsourcing of logistics
services- The company can outsource the tracking of the
devices are in the process of the goods and services.
• Cloud computing and CRM- McDonald’s marketers also make
use of the cloud computing in marketing which offers them
access to the multi-device support, low-cost efficiency and rise
in the security.

Scope and limitations of
electronic media
• The scope of the electronic media is broad to the market of
electronic media and when it comes to the advertisement of
the products. The limitation of the electronic media includes
the competition among the advertisers can be fierce for the
particular keywords.

Conclusion
• The digital marketing has been done for the new pan pizza of
McDonald’s which is introduced by them in Saudi Arabia.
• The situational analysis has been done with the help of SWOT
analysis, market and cost analysis, marketing tools and
Information system.

References
• Baker, M. J. (2014) Marketing strategy and management.
London: Palgrave Macmillan.
• Chernev, A. (2018) Strategic marketing management.
Chicago:Cerebellum Press.
• McDonald's (2018) About [Online]. Available from:
https://www.mcdonalds.com/us/en-us/about-us.html
[Accessed on 5th November 2018]
• Stephen, A. T. (2016) The role of digital and social media
marketing in consumer behavior. Current Opinion in
Psychology, 10, 17-21.