Marketing Essentials: A Comprehensive Plan for McDonald's

This report provides a detailed analysis of a marketing plan for McDonald's, focusing on marketing essentials. It begins with an introduction to marketing concepts, current and future trends, and the application of marketing mix elements. The report then explores various marketing processes, including situation analysis, strategy development, and implementation. It further outlines the roles and responsibilities of a marketing manager within McDonald's, highlighting the influence and interrelation of marketing with other functional departments like HR, R&D, production, and finance. The report emphasizes the value and importance of marketing within an organization, along with the significance of effective interdepartmental relationships. Finally, the report presents a basic marketing plan for McDonald's, covering promotional activities, budget considerations, and strategic objectives for a new product launch.

Marketing Essentials

Table of Contents
INTRODUCTION...........................................................................................................................3
MAIN BODY...................................................................................................................................3
1. Concept of marketing with current and future trends.........................................................3
2. Overview of various processes of marketing.....................................................................4
3. Role and responsibilities of marketing manager................................................................5
4. Marketing influences and interrelates with other functional department of company.......6
5. Value and importance of marketing in organisation..........................................................7
6. Significance of effective interrelationship between various department...........................7
7. Compare the ways of application of marketing mix by different organisations................8
8. Produce a basic marketing plan for company...................................................................11
REFERENCE.................................................................................................................................15

INTRODUCTION
Marketing is an art as well as science of understanding the needs and wants of the human
being. It deals with the promotion and development aspects of the products. This report is carried
on McDonald's which is the largest fast food giant in the world. Its products are as follow:
burgers, sandwich, coffee, puffs etc. This report will cover basic marketing plan which is based
on the launch of new product by the fast food giant. It will showcase the budget required for
overall marketing activities such as promotion, implementation of strategies etc. It will also tell
about the specific roles and responsibilities of the marketing manager and discussion regarding
the marketing mix in the marketing concept. It is important to understand the marketing
process(Baker, 2016).
MAIN BODY
1. Concept of marketing with current and future trends
Marketing essentials is termed as dividing the marketing into the different variables and
components such as discussion of the marketing mix, future and current trends in the marketing
and formation of the basic marketing plans. According to the Williams, marketing is considered
as the study and conceptual management of an exchange relationship. The marketing department
of any organisation is to create, retain and satisfying the customers. Hence, marketing essentials
is considered as the significant component of the marketing. In context with the McDonald's, it is
important to discuss the role and responsibilities of the marketing manager of the company.
There are five marketing concepts which can be understood by the following points:
Production concept: This concept is based on the idea that customers favour the products
that are affordable. For this, companies do various efforts to improve their distribution and
production process in order to enhance business efficiency and to provide products to customers
at lower prices.
Product concept: As per this concept, consumers only favour those products which are
high in quality, performance and with innovative features.
Selling concept: According to this concept, consumers buy only those products when
company do promotional efforts to sell the same. Main focus of management remain to create
sales transaction rather than create long term relationship with them.

Marketing concept: This concept is based that achievement of company goals and
objectives rely on identify needs and wants of target customers.
Societal marketing concept: According to this concept, marketing strategy of company
should deliver value to its customers. this concept put human welfare on top before anything.
There are the different current trends running in the marketing now a days:
Globalization: Marketing manager is facing an issues regarding the changes in the global
scenario of the marketing aspects. Not only in global market, but companies are facing cut-throat
competitions in their home market as well. Marketers must learn how to work with the new and
different types of the markets and scenario to gain productivity and efficiency.
Technology: Technology has made the marketing conditions and scenario more relevant and
comfortable. Various activities like sales, marketing and distribution has transformed by the
computers, internet and other related technologies. It has made CRM related activities easily
accessible and reliable(Fabos, 2018).
Personalization: Increased competition and current trends in the technologies, especially
internet , provides customer to demand what they want or desires. In this modern era, internet
has become easily accessible on the computer, mobile and other devices to search and find
information relating to any new and launched products(Campbell, 2015).
Future trends of the marketing is depends upon the up-gradation and transformation of the
present trends such as technology, personalization and integration etc.
2. Overview of various processes of marketing
In context with the McDonald's, here is the overview of the marketing process which will help in
the discover the unfulfilled needs and wants and bring the products in order to satisfy those
needs. It is considered as step by step process with the four important points are as follow:
Situation analysis - It is the first and foremost stage of the whole marketing process.
This process starts with a kind of situation where company needs to find the opportunity to
satisfy unfulfilled customer wants or needs. In context with McDonald's, company needs to
analyse their own capabilities and abilities to understand the situation and analyse it according to
the customer expectation and needs. The situation analysis should be taken into consideration for
past, present and future needs and wants. To analysis and find out any gap left, PESTLE and
SWOT analysis is mandatory to be analysed and evaluated.

Marketing strategies - After deciding the best opportunity to satisfy the customer' needs
and wants, there is a need for the strategic plan for the development of the opportunities. Proper
marketing research is required to identified and target the customer according to their needs and
wants. It is required to decide the segmentation, targeting and positioning strategies of the
McDonald's for the launch of the new products.
Marketing mix decision - Detailed and tactical decisions are to be made for the
controllable mix of the marketing. In context with McDonald's, there are actionable item such
as : new product development, price decision, distribution strategies and promotional campaign
development etc. New product development is refereed to as developing and creating the new
products for the McDonald's(Magnini, 2016).
Implementation & control - It is the last stage of the marketing process. After the
formation of the marketing plan and product has been launched. It is the duty of the marketing
manager to monitor the desired result of the applied marketing efforts and planning. As market
changes, scope of the marketing mix also changes. Product needs to be redesign or new product
needed in place of the previous one.
3. Role and responsibilities of marketing manager
Roles and responsibilities of the marketing manager for McDonald's
Work with top management: In context with the McDonald's. The main responsibility of
the marketing manager is to work and cop-up with top level management of the company. His
major role is to assist the top management for the purpose of determination of the marketing
plans and policies so as to remove the problem regarding the sound planning and policies for the
achievement of the goals.
Identify potential market: It is the major role of marketing manager in context with the
McDonald's to identify the potential and healthy market for the new product launch for the
McDonald's. McDonald's has huge base of the customer's and it is favourably acceptable that
new product would the mark in the market(V.P., 2016).
Creating market plan: It is the foremost role and responsibilities of the marketing
manager in McDonald's to create most accurate and proper marketing plan to implement action
strategy into the performable decision regarding the planning new products, strategic objectives
and launch of the new products etc.

4. Marketing influences and interrelates with other functional department of company
Marketing refers to the process through which product or services are transferred from
the point of origin to its consumption. It includes set of activities that are performed in order to
influence and then persuade target customers to purchase those product or services. Therefore
marketing department plays an essential role in sale of company's product but it is not possible
without the support of other departments present in organisation. As marketing function within
the company are not present in isolation, its activities are inter connected with other departments.
The interrelationship of marketing department with other functional unit can be better understood
using following points:- Human resource and marketing department:- HR unit is responsible for management of
employees working within organisation as well as performing operations like
recruitment, training and development of workers. Human resource department help
marketing unit by providing employees with required skills and ability that support in
achieving desired result. Being an assistant marketing manger at McDonald's it is very
essential to communicate with manager of HR department in order to convey them about
people that support in providing quality services to its customers. Research & development and marketing department:- R&D unit work toward
conducting research over identifying the need and want to people in order to improve the
product as per the demand of customers. This department is responsible for bringing new
ideas that help in offering a product that provide value to its customers. Marketing
department must communicate with R&D unit before formulating its marketing
strategies. As information provided by this department help marketing manager to market
its product which will be acceptable by customers. Marketing manager of McDonald's
must communicate with R&D department in order to determine the changing need of
customers that support in formulating better strategies for maintaining its market
share(Pike, 2015). Production and marketing department:- Production unit is responsible for
manufacturing of company's product or services as per the demand of customer. It
includes various activities such as storing, packaging and distribution of product or
services. Activities performed by marketing and production department are closely
interlinked with one another. As marketing department identify the need or want of

customers and then convey this information with production department in order to align
the product as per the customer's demand. Marketing manager of McDonald's must
communicate with production department in order to cook its food as per the taste and
preferences of target customers. Finance and marketing department:- Financial unit is responsible for planning,
managing, auditing and controlling the company's money. For performing its operations
effectively it is very essential for marketing department to communicate with finance
department in order to get fund that is required to perform its activities effectively.
Marketing manager of McDonald's must communicate with manager of finance
department as they will help in estimating amount that is required by marketing
department in order to perform promotional activities. By using this information
marketing department will be able to have a clear picture about the fund required by them
which support them in getting capital on time that ensure smooth running of marketing
operations(Pappas, 2017).
These all are the departments that are inter-linked with one another as interconnection
between departments support McDonald's to achieve set targets in most efficient manner.
Interrelationship between marketing and other department is very essential for McDonald's as it
help in increasing efficiency by ensuring accomplishment of task in an informative manner. It
further support in providing better customer satisfaction as information collected by R&D
department will help production department to produce product as per demand of customers.
5. Value and importance of marketing in organisation
Marketing is known as one of the most essential department of every organisation as this
provide an opportunity to company to communicate with its target audience to make them aware
about company’s products and services. This is the only function which help in attract more
number of customers which help generate more number of profits. Proper funds and resources
should be provide to marketing department of company so it can execute all promotional
activities in adequate manner and company can achieve its set sales target.
6. Significance of effective interrelationship between various department
Various department operate in an organisation and every department perform its own
functions so company can better satisfy the needs of its customers. There is a interrelationship

between all the department working in an enterprise for example, marketing of products perform
by the marketing department of company directly increase the sales of company’s products and
improve effectiveness of sales department. Like the same different function perform by various
department of organisation are interrelate with each other. It is very important that proper
communication should be there among all department because this bring cooperation among
various department and ensure effective completion of all business operations. Lack of
communication increase ground of rising conflicts at workplace and increase delays. So it is very
essential that there should be effective interrelationship between different department.
7. Compare the ways of application of marketing mix by different organisations
Marketing mix:
Marketing mix refers as the marketing tools and tactics that use for achieving the marketing
objective and the company use this for promote and advertise their products and brand in the
market place. There a 7P's of marketing mix of McDonald's such as Product, Price, Place,
Promotion, People, Process and Physical evidence.
Basis McDonald's Pizza hut
Product It is a largest fast food
restaurant in the world. It
mainly sells burgers, chicken,
fries, breakfast, desserts &
shakes, drinks, salad, snacks &
sides and sandwiches.
McDonald's provides various
varieties to the customers such
as Egg Mc-muffin, hotcakes,
quarter pounder, Egg white
Mc-muffin, hash browns,
vanilla cone, double quarter
pounder, hamburger, vanilla
shake, cheeseburgers, kiddie
cone, hot caramel sundae,
Pizza hut mostly known for its
Italian products such as breads,
pizzas and pastas. But due to
increasing in rivalry from
others restaurants they have to
decide increase their menu like
biryani, French-fries etc. Pizza
hut is mostly known for its
delicious variety of pizzas. Its
main products is American
pizza, buffalo wings, pasta,
Italian pizza, natural pizza,
tandoori Paneer pizza, deserts,
cheese sticks etc.(Pike, 2016)

baked apple pie, Mc-cafe, hot
fudge sundae, strawberry
sundae, Mc-cafe chocolate
shake etc. are the products
offered by this company.
Price Organisation use many types
of pricing strategies to sell
their goods like cost plus
pricing, value pricing, price
discrimination, lost leader and
going rate are some main
pricing strategies. The overall
main objective of MacDonald's
is providing food to their
customers at competitive value
driven pricing.
This restaurant adopt
competitive pricing policy
which is known for its high
and quality standards and
comparison to its challenger, it
has high pricing system. But in
strong competition, they
reduce their high price for
capturing the entire market
with providing high quality
products.
Place Place means distribution of
products at right place.
Distribution is a way in which
MacDonald's get their products
to its consumers. This
company also provide home
delivery to their customers.
This restaurant has their own
website to sell their products
online to its
customers(Cavusgil, 2016).
It has approximately 13,000
restaurants around the world.
This is use three techniques of
place its product directly to the
consumers. The first technique
of distribution is delivery, the
second method is for consumer
to dine-in. They can go to the
closest pizza hut. The third
and last method is online
ordering.
Promotion McDonald's promotion are the
most worthy among its tactics.
This restaurant use many
Pizza Hut use various
promotional techniques such
as television, print media,

promotional media such as
newspapers, television,
internet, magazines and other
methods to increase their sales
of products. This is also
provide discount coupons for
certain products.
advertising, public relation,
coupons & discount, sales
promotion, event and
experience etc. This restaurant
known for smart promoter for
its product. During festival
season, they use different
promotional techniques like
offers and discounts on
products to attract consumers.
People In MacDonald's, UK
approximately 97,000
employees are work. 70% of
MacDonald's restaurants are
operated and owned by local
business women and men.
They provide development and
training to their employees and
invest £40 million on them.
This company needs to address
the problem of the both
employees and customers . If
workers are not happy then
they deliver the poor quality
service to their customers. So,
its important to satisfy the both
employees and customer.
Pizza hut is a person central
service brand and focus on
their employees and
customers. This restaurant
introduced the “Bell” in this
consumers rings the bell and
workers greet them. Pizza hut
provide effective training to
their employees for treating
customers in well manner.
Employers have standard
uniform in the restaurant.
Process Process describe an activity in
which performed for achieving
something. This restaurant
The production process of this
restaurant is completely
transparent. They adopt state

attempt various process to
present its product to
consumers. For examples, how
customers are treated by
workers, food preparation
process etc.(malhotra, 2015)
of the art machinery for
manufacturing of fresh pizzas
and some ingredients are
import from foreign to
maintain its quality.
Physical evidence This is the last element of
marketing-mix which is
describe the customer
experience and physical
environment. This restaurants'
interiors are charismatic and
maintains hygienic and clean
interiors.
They maintain a hygienic and
clean environment in their all
restaurants. Physical evidence
of this restaurant is paper
napkins, big glasses, fantastic
bowls, take away boxes etc.
and tables and seats are
comfortable.
8. Produce a basic marketing plan for company
Marketing plan: It is considered as the overall business development plan. Solid
implementation of the strategy led to the foundation of an effective and well written
marketing plan. This structured plan consists of the list of actions, strategic objectives,
vision and mission and new product development etc. In context with McDonald's, the fast
food giant is looking for introducing the new products in their fast food chain. The name of
the product is “Cheese Hamburger”.
Company overview - McDonald's is the leading fast food chain headquartered in United
States of America(USA). It was founded in the year 1940 by Ray Kroc. It operates
worldwide and around 37,241 restaurants in their profile. Their main products are: chicken,
French fries, coffee and breakfast etc. It has 235000 employee's in their manpower units.
Mission & Vision - McDonald's mission statement is “to be the customer's favourite place
and destination to eat band drink”. It means company wants to McDonald's as the most
suitable and attractive places for eat and drink what they most like. The vision is “to move
with the velocity to drive and bring profitable growth and let serve customer more better”.

Strategic objective: McDonald's wants to acquire the new base of the customers by
launching new product for their customer. New launch product is “Cheese hamburger” with
the exclusive pricing. The targeted customer is 2 percent of more than the existing customer.
McDonald's wants to achieve this 2 percent by launching the new product. The strategic
objective of the company includes adding few more outlets by the mid of 2019.
Products & Services: Products or services of the McDonald's include: chicken, French fries,
coffee and breakfast etc. McDonald's is very popular because of their commitment towards
the best services and taste of their products. McDonald's has decided to launch new fast food
product “Cheese Hamburger”. It includes large amount of melted cheese, with the chicken
slice inside and with the different vegetables. Company is looking for providing the
restaurants service by adding few more outlets.
Market research: After the brief marketing research, it has to be disclosed that there is a
scope for “Cheese Hamburger” because of the unique and ultimate taste and preferences.
The price of the product will be relatively high in an initial period. Afterwards, eaters would
get the special offers with the exclusive coupons or gift card(Cavusgil, 2014)
Target market - The target market of this product is age group of eaters from 15 to 50 years
of age. Company has implemented the Targeting, segmenting and positioning strategy in
accordance with giving complete and proper satisfaction to the customers. These as follow:
Segmentation - It involves allocating the customer on the basis of their taste, preference
and behaviour towards the particular products. In context with the McDonald's, company is
segmenting those who used to come McDonald's on the frequent basis and those who are
first time trying the McDonald's taste and products. Pricing will be relatively high for the
initial period and afterwards company would give special discount and offers to the
customers.
Targeting: This reflect the group of customers which company choose to sell its products. Main
target of McDonald is students, professionals and employees with low and middle income.
Company mainly target customers and the individuals who are very foody.
Positioning: Company has planned for positioning strategy through social media such as
Facebook, Instagram, twitter etc. Company has decides to implement promotion strategy in
which poster, product launch promotion, advertising etc. are their priorities for the
promoting the product into the markets(Hair Jr, 2015).