McDonald’s Corporation: Analysis of Social Media Strategies
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This case study analysis evaluates the advantages and disadvantages of social media campaigns for McDonald’s Corporation. It suggests a communication plan for better media relations and accurate reporting.
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Business Case Study Analysis for McDonald’s Corporation Assessment 3 Session 1 Student Name: Student Code: Subject Name: Management Communication Subject Code: MNG81002 SP3 2018 Date Due: Professor Name: 1
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Memo To: Rick Wion From: Date: 1stSeptember 2018 Subject: McDonald’s recommended course of action Companies globally are adopting varied social media promotion strategies(McGuire & Kampf, 2015). Social media strategies are generally selected by companies as it has a wider range of audiences. Social media campaigns serve a wide range of purposes such as building public relations, communication, customer service, and marketing and at varied times corporate social responsibility. McDonald’s initiated their Twitter campaigns to build better relations across the social media. The Twitter campaign failing to attain its goals, it became necessary todiagnose advantages and disadvantagesfor an organization while using social media(Gaspar, Pedro, Panagiotopoulos & Seibt, 2016). Social media has several advantages as it can target large population and brand name. Allow extension of the brand image, allow regular interaction with consumers and overall builds public relations However, there are certain disadvantages of using social media campaigns as well. An organization while using social media must be aware that it needs to commit resources for managing the social media. Staffs and employees needs to be hired and trained along with paying for advertisements, image content and video content (Pfeffer, Zorbach & Carley, 2014). Evaluation of success directly through social media is extremely difficult as there are no direct parameters to record direct sales. The most crucial disadvantage is the ineffective use of social media to engage customers in a positive manner. Customers with negative feedback might damage repute of the Company as in the case of McDonald’s, hence all pros and cons has to be evaluated prior to investing. Negative feedback 2
while using of social media can have tremendous negative impact on the brand image of the Company and can easily deter other consumers and users. Various contemporary organizations currently are losing out on substantial market share due to negative feedback and criticisms that they receive online. In case employees in the social media are not able to revert back in a positive manner then the tarnished image prevails. This often makes it difficult for the Company to bring back its image and flow of customers. Organization’s has to always remain focus to be able to develop positive interaction and image with the consumer and other stakeholder group. The interaction of the Company with varied stakeholders on the open platform has to be positive. McDonald’s has to realize pros and cons of every post to evaluate reactions from potential stakeholder groups. The Company has to realize that the posts they make are on wide open platforms and are visible all over the world. Any critique of the Company can come and easily impact the posts and image of the Company as it is connected. McDonald’s can devise better devise marketing strategies by targeting appropriate customers. The Company’s social media promotional strategies has to cater to large segment of audiences, including youth as well as other age groups, consumer from varied income groups, male, female, diverse geographic locations and so on(Wang, 2012). While designing market campaign the Company needs to engage its customers and avoid facts that could possibly create a negative impact. McDonald’s future Twitter campaign can include the various CSR initiatives that the company engages in. For example Coca-Cola never engages in details of its product as there have been several instances where the quality of water used in the product has been criticized. McDonald’s can make use of a communication plan so as to devise a strategy to engage in better mediarelationsandmoreaccuratereporting(Doerfel,Lai&Chewning,2010).A communication plan generally includes varied methods of communicating to diverse groups of 3
stakeholders. An effective communication plan is able to anticipate the information that has to be communicated to specific audience segment. As in case of McDonald’s the communication plan was not effective for targeting to a wide array of consumers, some of them who were satisfied and some were dissatisfied with the products of the Company. It also includes different types of communication instrument used while communicating. However in this case communication using social media as Twitter is included in this plan. The effectiveness of social media plan is that it can attract almost instantaneous feedback hence has to be devised carefully.The various challenges which McDonald's has experienced when using social media will be taken into account while adopting this communication plan.The following is a brief communication planning steps that the Company needs to make use off; Stakeholder GroupObjectives (Actions Desired) Message Content Delivery Method (s) Delivery Time ConsumersAttractionand brand penetration Offers, discounts,new products Twitter and other socialmedia engagement Onepost every week ShareholdersRaisefunds, expand business Company growth and brand image Board meetingsQuarterly Employees & StaffsAppraisals, Promotions, Succession planning Brandidentity and brand growth Memos, meetings, dashboardsand other interactions Monthly AgenciesBrand nameBrand name andTwitter and otherHalf- yearly 4
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identitysocialmedia engagement, journalism Food Safety BoardBrand performance andadherenceto standardsaswell as norms Regulatory requirements Email & LettersAnnually GovernmentBrand nameBrand nameNodirect interactionapart fromgeneral modes Regular The Company’s brand name has to be extended so as to include a greater brand image, showing various CSR initiatives undertaken by the same. A specific and detailed communication plan would allow the Company to establish its brand identity in a better manner and also expand the same. Recommendations for the Company also include devising an interactional social media content through which a positive brand image can be devised. Employees handling social media platforms such as Twitter needs to provide reply to users by helping them resolve their queries and also to re-establish the positive brand image that has been tarnished by the Company. 5
Reference Lists Doerfel, M.L., Lai, C.H. and Chewning, L.V., 2010. The evolutionary role of interorganizational communication:Modelingsocialcapitalindisastercontexts.HumanCommunication Research,36(2), pp.125-162. Gaspar, R., Pedro, C., Panagiotopoulos, P. and Seibt, B., 2016. Beyond positive or negative: Qualitativesentimentanalysisofsocialmediareactionstounexpectedstressful events.Computers in Human Behavior,56, pp.179-191. McGuire, M. and Kampf, C., 2015, July. Using social media sentiment analysis to understand audiences:Anewskillfortechnicalcommunicators?.InProfessionalCommunication Conference (IPCC), 2015 IEEE International(pp. 1-7). IEEE. Pfeffer, J., Zorbach, T. and Carley, K.M., 2014. Understanding online firestorms: Negative word-of-mouthdynamicsinsocialmedianetworks.JournalofMarketing Communications,20(1-2), pp.117-128. Wang, H., 2012. Six P's of youth social media from a young consumer's perspective.Young Consumers,13(3), pp.303-317. 6