Marketing Essentials Report: Marketing Strategies for McDonald's

This report provides a comprehensive analysis of McDonald's marketing strategies. It begins by outlining the roles and responsibilities of a marketing manager within an organization, emphasizing the importance of customer satisfaction, social media management, and budget allocation. The report then explores how marketing functions relate to the broader organizational context, highlighting the interdependencies between marketing and departments such as production, finance, sales, research and development, and human resources. The core of the report focuses on the application of the marketing mix (product, price, place, and promotion) to achieve business objectives, including a comparison with competitors. Finally, the report concludes with the formulation of a basic marketing plan for McDonald's, demonstrating the practical application of marketing principles to achieve success in the fast-food industry.

Marketing Essentials

Table of Contents
INTRODUCTION ..........................................................................................................................1
TASK 1............................................................................................................................................1
P1 Roles and responsibilities of a marketing manager in an organization.................................1
P2 Explain how roles and responsibilities of marketing relate to the wider organizational
context.........................................................................................................................................3
P3 Application of marketing mix to achieve business objectives along with comparison with
competitor...................................................................................................................................4
P4 Formulation of basic marketing plan for an organisation......................................................6
CONCLUSION ...............................................................................................................................9
REFERENCES..............................................................................................................................11

INTRODUCTION
Marketing is a concept which create, promote and deliver quality products and services to
end customers. Mainly, it is used by the company for satisfying customers needs and wants. It
also help in managing and keeping positive relation with customers at market place. In this
context there are many fictions which are relate with marketing department like, market research,
promotion, selection of suitable distribution channels (Ahrens, 2011). This will aid in delivering
quality products and services to its customers as per their needs and wants. Present report is
based on McDonald's, which is American fast food company founded in 1940. It provide various
food products like Chicken nuggets, Hamburgers, soft drinks and many more to large number of
customers. This report cover roles and responsibilities of marketing manager which interrelate
with marketing activities. Marketing mix is also mentioned in this report which help in
accomplishing goals and objectives. At last marketing plan is also discussed here that contribute
in attaining success at market place.
TASK 1
P1 Roles and responsibilities of a marketing manager in an organization
Marketing is a concept of creating and rising customers satisfaction at market place. With
the assistance of this concept company can easily reach their potential customers. McDonald's is
a biggest company which operate their business in various countries and also serve their food
products to large number of customers. In this marketing department plays important role in
increasing the profitability ratio of the company at market place.
Production concept: It is related to the operational activities of the company. As per this,
proper monitoring is important for production department so that company can easily reduce the
unnecessary cost. With the help of this, company can easily increase their profitability level.
Product concept: It is relate with the customers buying decision which is based on the
quality products (Bellenger, Bernhardt and Goldstucker, 2011). Thus, it is important for
company to make quality products to its customers to attain competitive advantage from its
rivals.
Selling concept: It focus on method of sales adoption in which company make alternative
ways to generate more revenue. This will help in contribute in capturing market share from its
rivals. As per this, company easily increase their customers base at market place.
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Consumer concept: It is relate with the customers thus, it is important for company to
serve quality products and services to its customers as per their needs and wants. This will aid in
enhancing the customers base and positive relation as well.
Marketing concept: It is relate with the promotion theory of marketing mainly it works
on pull strategy as it help in increasing market share. Thus, it is vital for company to establishing
strong brand image at market place (Bird, 2012).
In addition of this, marketing is an important process of delivering quality services to its
customers as per their needs and wants. Mainly, it helps in analysing the opportunities in market.
With the assistance of this, company can easily evaluate the customers needs and wants. As it
includes various steps such as:
 Situation analysis process
 Marketing strategy
 Marketing mix decisions
 Implementation and control
All these are contribute in making strong customers base which help in enhancing brand
image at market place. This will also contribute in capturing market share from its rivals.
Role and responsibilities of a marketing manager
Customers satisfaction: It is one of the important role of marketing manager in
McDonald's. In this company needs to make their products effective so that they can easily
satisfy customers needs and wants. This will assist in maximizing the profitability level at market
place. For attaining the same, marketing manager needs to analyse customers needs and wants
towards its offerings.
Monitoring and managing social media: It is important role of marketing manager to
use best promotional activities to promote their products in market place. For this McDonald’s
use social media marketing in which they can easily invite large number of customers towards its
products and services. This will directly contribute in capturing large market share form its
rivals.
Manage marketing budget: Marketing manager is a person who manages entire
activity of company that is related to products or business. They are primarily responsible for
different kinds of activities such as looking for the availability of products. Thus, it is important
that a marketing manager must be spontaneous nature
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Value and importance of marketing role in McDonald
Nobody will purchase goods and products if the company is unknown thus, the process of
marketing plays a crucial role for companies in order to sell their commodity to its customers.
Other than this, it assist firm in maintaining a better relations with its clients. For McDonald it is
crucial for them to determine best possible marketing tool through which company can get better
outcomes. Because marketing assist firms in transferring, exchanging and movement of products
with the help of different intermediaries such as whole-seller, retailers and many more. Other
than this, it grows business into a different level (Brooks and Simkin, 2012). For example: with a
little efforts such as social media company can grow its business activities as through this, it will
enable firm in connecting with people living in different parts of the world. It will gradually
improve the value of an organisation and will able to attract new and potential customers.
Therefore, it can be said that, an effective marketing process will assist firm in sustaining a
better position for a longer period of time.
Apart from this, interrelationship between different functional department is more
important for business organization to analyse customers needs and wants towards its offerings.
As it also help in reaching potential and new customers in market place. One of the main
advantage of this is to enhance the chances of attaining higher success by capturing larger market
share from its rivals. All the marketing functions are understand by following points:
Product and service management: It is one of the important function to develop quality
products as per customers needs and wants. Mainly, this type of function is related with the
product designing, changing and modelling as per customers taste and satisfaction. In this
McDonald also manage their products and quality as well to provide better customers
satisfaction.
Distribution: It is one of the important function in which company tries to set and
effective plan to distribute their products and services. In context of this, McDonald set their
outlets where number of customers get attracted. Along with this, online distribution is also used
by the company to increase their customer base.
Promotion: To increase customers awareness towards the company and its products, it is
important for McDonald to promote their services appropriately. In this context McDonald use
various strategies such as print media to telemarketing, public campaigns and online marketing
to capture customers attention towards its products and services.
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Price: This function play as an important role in setting appropriate and affordable price
of the products. Mainly, price is varying as per marketing condition. Thus, it is important for
McDonald to set their product price effective as compare to its rivals so that they can easily
attain higher profitability level at market place.
Selling: It is one of the important function of marketing which may provide better support
in increasing market share. In context of this, McDonald sell their products by analysing
customers requirements and taste as well. With the help of this company can easily capture
customers attention by serving quality products and services.
Financing: To attain success in market, enough fund is important for company to operate
their entire activities in effective manner. In this McDonald needs to proper finance to promote
and advertise their products in market place with the aim of capturing customers attention. This
will aid in enhancing profitability level of the company at market place.
Marketing information management: It is one of the important function of marketing
which helps in understanding the target audience. In context of McDonald, it includes
understanding about customers taste and preferences towards its products and services. For
example, marketing manager of McDonald conduct survey to gather relevant data and
information towards the customers what they think about company and its products as well.
P2 Explain how roles and responsibilities of marketing relate to the wider organizational context
There are large number of departments working in organization and having their different
function instead of that at some point of time they are interrelated to each other. The different
department which prevails within McDonald's named as Marketing, Finance, Human Resource
etc. Main function marketing department is to enhance the sales of organization through
promoting products and services of organization (Cabrera and Williams, 2014). In this regard,
different promotional methods and tactics are applied to grab the attention of consumers and
large market share. In effective functioning of this department, huge role is played by other
departments in different ways. This will allows them to work with their full efficiency and
accomplish marketing objectives along with overall organizational targets. So, the interrelation
of marketing department with other departments is defined below:
Marketing and production department: Marketing department assist production
department regarding successful completion of their activities. The main function of marketing
department is to analyze the current and future trends which persist in market to production
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department of McDonald's. Also, marketing department assess the scenario of demand and
supply of their products. All these information is important for production department of
McDonald's to brought changes in their offerings and to optimally utilize their resources to
match the demand of consumers in different ares. This will aid production department of
organization to achieve their individual and overall organizational targets.
Marketing and finance department: The function which is provided finance
department of organization is related to allocation of appropriate amount of funds to departments
to carry on their routine activities. The interrelation between finance and marketing is understood
from the fact that without having sufficient amount they unable to apply their promotional
methods and tactics. Providence of sufficient amount of funds according to their needs aid in in
effective application of their approaches and strategies.
Marketing and sales department: Selling is one of the core activity upon which
profitability of organization depends. It is the duty of sales department to ensure that maximum
sales is generated to earn large amount of revenue. In accomplishing this objective, marketing
department plays an huge role as this will aid in spread awareness about their new products in
market (Coombs, 2012). This will help in attraction of large number of customers in minimum
period of time and attainment of desired sales targets.
Research and development and marketing department: Both are highly interrelate
with each other because the R&D undertake an effective research to analysis customers needs
and wants towards the company products and services. After that, it provide relevant information
to marketing department to make their products demand high. With the assistance of this,
McDonald can easily make their customers base strong.
Marketing and human resource department: Skilled and capable workers are the
important for every business organization to attain success. In this marketing section help HR
department to find capable workers by promoting their vacant position within the organization.
With the assistance of this, HR division can easily recruit able and talents workers which may
help them in attaining higher profitability at market place.
P3 Application of marketing mix to achieve business objectives along with comparison with
competitor
Marketing Mix: It is considered as foundation model of marketing. It is one of the
important tool which are used by organization to pursue their objectives. This will aid in decision
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making of different aspects which are covered under this model. The different perspectives
which are over-viewed here includes product, price, place, promotion etc. The main aim behind
the usage of this tool is about spread awareness about their product and services to their current
and potential customers. McDonald's is an international organization which provides their food
items in all over the world. Effective planning about their marketing activities aid organization to
improve their market share and attain competitive advantage in market. To ascertain the
effectiveness of their marketing mix, management of McDonald's decided to compare with
Burger King. Such comparison provides the opportunity to the management to identify strength
and weaknesses of their marketing plan. This will provides the opportunity to think twice before
making their plans and provide best in market. Marketing Mix of both McDonald's and Burger
King is defined below:
Marketing Mix of McDonald's and Burger King
McDonald's Burger King
Product: Huge consideration is provided By
McDonald's in formulation of their Menu.
They take care that all wants of their customers
should be fulfilled which changes over the
period of time. In this regard, they always try
something innovative in their products to
sustain their position in market. There are
different kind of segments in which
MacDonald’s deals includes vegetarian, non
vegetarian, beverages and Frozen deserts.
Product: Different range of products are
provided by Burger King which can be utilised
by every individual of society irrespective of
their age. The major items in which Burger
Kind deals includes burgers, beverages,
milkshakes etc. They also provides veggies and
salad for health conscious people.
Price: Customer's perception is the prime
factor which is considered by the management
of McDonald's before price charged for their
products. There are many risks are associated
with the pricing policy adopted by an
organisation. If McDonald's charges low price
then customer's having the view that quality of
Price: Market oriented pricing policy is
adopted by Burger king where more emphasis
is provided on providence of quality food items
with affordable pricing.
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products is low. So, it is important before
making decision about pricing policy to
ascertain the information brand and its
integrity (Cooper and et. al., 2014). The policy
which is adopted regarding pricing of their
products is known as differential pricing which
aid to satisfy the different needs of middle
section of society.
Promotion: This will covers all the aspects
which aid in communicating with end
consumers in market. There are different
mediums which are used for promotion
includes print or digital media. Some other
methods are also for this purpose includes sales
promotion, merchandising, direct mail etc. All
These promotional methods are used by
McDonald's to provide information about their
offerings to consumers. digital media help to
cover large market and on other hand print
media aid in providence of detail information.
At present the main focus of McDonald's is to
attract the large number of children's. In this
regard, they offer small toys with their meal.
Promotion: The two different promotional
tactics are used by Burger King for promoting
their offerings known as social and print media.
Also, they taking the support of sponsors to
spread awareness about their products.
Place: This will about the places from where
McDonald's distribute their products to end
consumers. At present, McDonald's is having
their outlets in main cities. This will enhance
the profitability of organisation as provides
easy access to consumers.
Place: In comparison to McDonald's, this
organisation have their more outlet in western
regions. The supply chain network of Burger
King is big enough which allows them in
effective deliverance of their products to
different cities on time.
People: Here, two different aspects are covered People: Management of Burger King takes
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known as employees and customers. For
employees proper dress code is provided to
encourage the concept of equality among them.
Their prime focus is to create customer
friendly environment and satisfy their needs.
their employee as asset which allows them to
satisfy their customers effectively (Daniel,
2011). This can be shown from the fact that the
satisfactory ratio of customers is high in
comparison to other outlets.
Process: New and innovative cooking
techniques and equipment are used for cooking
which ensure high quality of food items along
with their quick packaging and distribution.
Process: The process which is adopted by
Burger King is specifically designed by
experts. This is the basic cause which allows
the organisation to main same culture and taste
in all countries.
Physical evidence: It is identified that the
physical evidence of McDonald's is good in
market which aid in influencing the buying
behaviour of customers. The different
important aspects which depicts the physical
evidence perspectives of McDonald's includes
speedy delivery of products, customers
friendly staff, cleanliness etc.
Physical Evidence: The major presence of
Burger King is shown in developed nations.
They having their outlets in 70 countries in
15000 different locations. They also having the
aim for expansion of their business in India
also.
P4 Formulation of basic marketing plan for an organisation
Marketing plan is formulated by organisation to provide detail information to employees
about their objectives upon which they are required to work in future. This will be considered as
internal part of overall business plan (Friis, 2012). It covers the advertising and marketing
activities which are going to be performed in an organisation within next coming year.
Introduction of company: McDonald's is American fast food company which is founded
in 1940 as a restaurant in US. Now this is emerged as one of the leading fast food company
which is having more than 3000 outlets in around 100 countries. There are different kind of food
segments in which it deals includes vegetarian, non vegetarian, beverages and Frozen desert.
There are many famous food items which are covered under these different segments includes
cheeseburgers, soft drinks, French Fries, chicken products, deserts etc. Now, McDonald's is
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considered as world's largest restaurant chain in terms of revenue which serve their products to
more than 69 million customers. McDonald's is known as world's second largest private
employer with 1.9 million employees and 1.5 million whom work for franchises.
Vision: The vision statement under which McDonald's carries on their business activities
is “ To become modern and progressive burger organisation which offers different experiences to
their customer's.”
Mission: The mission statement under which McDonald's works is “ To become the
place where individuals can eat and drink.”
Marketing objective
1. To produce healthy burger for health conscious individual to increase profitability by
10% within 3 months of time period.
2. To increase market share of organisation by 20% in next upcoming year.
STP: This will be considered as important concept which includes three important
aspects regarding segmentation, targeting and positioning. This analysis provides the opportunity
to the organisation to carry on their future business act effectively and attain competitive
advantage in market.
Segmentation: This will includes the process of dividation of market on the basis of
some common features. The market is divided according to four different perspectives includes
behavioural, psycho-graphic, demographic and geographic (Hsu, 2011).
Geographic: This will includes the segmentation of people on the basis of geography.
This will aid in understand the needs of different individuals which reside in different
geographical locations.
Psycho-graphic: This will includes the segmentation of people on the basis of their
lifestyle, activities, interests and opinions in market. This will be quite similar to behavioural, but
one additional factor which is considered under this known as consumer buying behaviour.
Behavioural: This will includes the segmentation of individuals on the basis of their
behaviour and decision making pattern.
Demographic: This is simplest form of segmentation where individuals of society are
segmented on the basis of variables such as age, gender, income, religion, family size etc (Ionitã,
2012).
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The segmentation which is used by the McDonald's for the purpose of accomplishing
their marketing is Behavioural where they target the consumers whom are health conscious.
Targeting: This will includes the information regarding the target segment of an
organisation upon they provide more emphasis for the purpose of accomplishment of their
objectives. In the present case, target of McDonald's is health conscious people.
Positioning: This will also known as the factor of presentation of themselves in front of
others. By offering healthy fast food products, McDonald's having the aim to create good image
in marketplace.
SWOT analysis of McDonald’s
Strengths
 Functions in Foreign market
 Strong brand Recognition
 McDonald’s sequential attack
 Differentiated grooming to managers
Weakness
 Diminution market stock.
 Slow financial gain and profit.
 Arthritic food picture
 High worker ratio
Opportunities
 Enlargement at worldwide level.
 Associated ventures with retailers
 Development of fast food sector.
 Strengthen its value statement by
promote individuals to visit.
Threats
 Dynamic statistic
 National health crisis.
 Strong contention
 Variation take point in conversation
rates.
Marketing Budget:
Marketing budget
Particulars 1st year 2nd year 3rd year 4th year 5th year
Initial money 7000 10000 12000 10000 10000
Investment 3000 18000 25000 35000 18000
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Total 10000 28000 37000 45000 28000
Marketing outlay
Promotion 12000 4000 9000 10000 4000
sales publicity 4000 4000 4000 4000 4000
Direct selling 4000 15000 5000 4000 4000
Total 20000 23000 18000 18000 16000
Monitoring and control:
This is important aspect which is used by the marketing manger to ascertain the results
after application of marketing strategy (Jones, 2011). The main advantage which is gathered by
organisation through this is to identify deviations by comparing with standards. This will help in
application of appropriate strategies to improve effectiveness of marketing activities. Apart from
this, it also includes evaluation of the progress of marketing plan and company as well. In this
marketing manager ensure that allocation of fund is sufficient so that they can easily produce
new and quality products. With the assistance of this company can easily capture future
opportunities in market to established their competitive image.
Integrate marketing communication:
It is an important step of marketing plan which ensure that all the communication and
message can be effectively and carefully exchanged with customers and workers as well. Thus, it
is important for McDonald's to promote their brand in market place in order to improve their
awareness in customers mind. With the help of this, company can easily make their brand image
more competitive.
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Identify sales channels:
This step is also an important stage which support business organization to enhance
overall sales at market place. In this context, company needs to identify the sales channels in
order to make their brand image more effective and competitive. For this, McDonald's use online
platform to distribute their products and services with the aim of enhancing profitability level at
market place.
Track marketing activities:
Under this, manager of the company is responsible for manage all the marketing activities
like, determining goals and activities, set milestones, record and analyse activities to improve the
chances of attaining positive outcomes. In addition of this, McDonald's also make develop
effective relationship strategy to build positive relation with their customers. This will contribute
in attaining set goals and objectives in appropriate time frame.
Evaluate progress:
This is last step in which marketing manager is responsible for measuring overall
performance of the plan with the aim of enhancing their market share. With the assistance of this,
they can easily evaluate the ways and alternative option to improve their quality products and
services. This will directly contribute in attaining higher success at marketplace.
CONCLUSION
From the mentioned report it has been concluded that, marketing is one of the important
concept for every business organization establishing their positive brand image. As it helps in
enhancing the chances of developing whole business activities in positive manner. In addition of
this, there are some functions which are execute by the marketing manager with the aim of
serving quality products and services. Marketing mix is an important tool which help in
evaluating the customers needs and wants towards the company offerings. Furthermore,
development plan for McDonald’s is also prepare by the marketing manager for launching a new
products. This will contribute in attaining success in market place.
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