Marketing Report: Analysis of McDonald's Marketing Strategies and Mix

This report provides an in-depth analysis of McDonald's marketing strategies, examining key elements such as market research, product development, and communication. It explores the roles and responsibilities of the marketing function within the organization, emphasizing its importance in achieving business objectives. The report delves into McDonald's marketing mix, comparing it with Burger King, and evaluates the company's tactics and strategies, including the application of the 7Ps of marketing. Furthermore, it includes a detailed marketing plan for McDonald's, covering various aspects of the marketing function and providing insights into how the company can enhance its market position and customer engagement. The report highlights the interrelationship between marketing and other functional units within McDonald's, showcasing how effective coordination contributes to overall success.

Marketing essentials

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK ..............................................................................................................................................1
P1 Key roles and responsibilities of marketing function............................................................1
M1. Duties of Marketing with respect to Marketing Environment.............................................2
P2. Relation of roles and responsibilities in context of organisation..........................................3
M2. Importance of interrelationship between marketing and other functional unit...................4
D1. Key elements of various Marketing Function......................................................................4
TASK2.............................................................................................................................................5
P3. Comparison of marketing mix applied by different companies............................................5
M3. Evaluate various tactics and strategies used by McDonald's in order to achieving business
objectives.....................................................................................................................................7
TASK3.............................................................................................................................................7
P4. Marketing plan for McDonald's............................................................................................7
M4 Produce detail marketing plan for McDonald's..................................................................13
D2 Design marketing plan with the use of 7Ps.........................................................................13
CONCLUSION..............................................................................................................................14
REFRENCES.................................................................................................................................16

INTRODUCTION
Marketing plays important part in each and every kind of organisation. It is necessary that
administration uses resources efficiently and manufacture items as per demands of people. It is
essential that management formulate appropriate marketing strategies through which firm is able
to attract customers. Besides this, they need to use adequate promotional tools to inform public
about products and services that are offered by them in marketplace. Present report is based on
McDonald's, which is popular food restaurant, known for quality items and services. Company
uses franchisee concept to establish outlets in various nations, so executive is able to enhance
customer base. Management of firm formulated strategies in respect to product, price, place and
promotion to deliver adequate services to customers. Thereby, it is essential that superior uses
appropriate devices such as advertising, public relation, online marketing and so on to spread
awareness to people about variety of food items that are offered by them(Jones and
Rowley ,2011).
TASK
P1 Key roles and responsibilities of marketing function
In firm, administration establish various departments such as HR, finance, production,
marketing, research and development in according to accomplish goals and objectives. Among
this all division, marketing team plays important role in organisation. They require to conduct
market survey to acknowledge needs and wants of people. Thereby, assist employees to
manufacture products accordingly. This benefit company to deliver items as per taste and
preference of customers. These are various roles and responsibilities which are performed by
marketing department are as stated beneath:
Strategy: It is essential that management frame plans and programs in according to goals
and objectives of firm. Marketing team require to adopt strategies for pricing and promotion, so
that firm is able to aware people about its offerings and attract them to purchase items as per
their demands. In McDonald's, management require to make appropriate tactics in respect to
market share, enter new segment and channel of distribution. It is necessary that superior to take
decisions through which they are able to enhance sales and profitability.
Market research: This is one of crucial duty which is to be performed by marketing
department to ascertain needs and wants of people. It is necessary that members have
information whether items delivered by them in marketplace are beneficial for company or not.
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As McDonald's, research is conducted through which management acknowledge opportunities
and threats that are present in society. Besides this, members should also ascertain strengths and
weaknesses of system; through which company is able to compete with rival brands.
Product development: It is essential that management make variance in items in
according to needs and wants of people. For this, marketing team duty is to conduct market
survey to acknowledge requirements of public. Thereby, provide assistance to manufacturing
department. In McDonald's, responsibility of this department is to analyse taste and preference of
people; and deliver adequate food items to them.
Communication: Marketing department require to use adequate promotion tools such as
advertising, sales promotion, public relation and online marketing. This help company to spread
information to public about variety of products that are offered by them. It is essential that
appropriate message are constructed by members to attract customers by informing them about
features and benefits of products.
Sales support: It is necessary that marketing team require to perform activities in relation
with sales members. McDonald's uses various promotional tools to inform people about products
and services that are offered by firm. This benefit company to attract customers by making them
aware about variety of food items.
Therefore, it can be concluded that marketing department duty is to make appropriate
strategies for product, price, place and promotion. For this, market survey is effective tool which
is used by them to encounter demands of people; thereby, deliver items accordingly. Besides
this, it is necessary that they advertise customers about products and services that are offered by
firm. This benefit company to attract people and enhance market image(Lipsman and et.
al. ,2012).
M1. Duties of Marketing with respect to Marketing Environment
Marketing team require to execute activities such as designing, planning and
implementation various marketing concepts in organisation. It is essential that members take care
of product, price, place and promotion. These are various responsibilities which are performed
by marketing department are as stated beneath:
Research of market: This is essential that market survey is conducted through which
company acknowledge taste and preference of people. Thereby, assist manufacturing department
to produce items according to customer's requirement.
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Segmenting market: It is necessary that marketing team distribute people on basis of
gender, age, religion and so on. Thereby, provide them adequate products as per their demands.
This help company to increase customer base, sales and profitability of business.
P2. Relation of roles and responsibilities in context of organisation
Every organisation is divided into different departments that plays an vital role in order to
accomplishing the objectives of company. On the other hand there are various functions of
marketing which are valuable in order to develop innovative goods and services in market place.
It has been seen that both the marketing functions and various functions of department are
interlinked with each other. Therefore, without marketing no department is successful in
attaining the maximum benefits and not able to maintaining long term relationships with target
audiences. There are several departments which are working in McDonald's are described
below:-
Interrelation between human resource department and marketing function of
McDonald's:- The most important function of HR department is to recruit and select the best
candidates for vacant job position. Under this process HR manager uses external sources in
which marketing function plays important role through using of marketing techniques like
spreading information related to vacant job position through newspaper, magazines, exhibition
fares and social networking on the basis of which every person get the necessary detail at the
time when they apply for particular job position.
Interlinked with information technology department and marketing function:- In every
organisation growth of business is depend upon the digitalisation and IT development. Therefore
IT department is considered as most important factor in the overall success of business. In order
to sustain in competitive market place company need to come with innovative features in their
working style. Therefore McDonald's require to maintain all the data that carry the information
related to number of workforce, stock storage and financial chart through IT division which
allow management to formulate such strategic plans which help in achieving daily targets.
Connection with sales department and marketing function of company:- Sales
department wholly responsible for selling of goods and services in market. The company fix the
price of products according to the demand arises in market. In order to maintain the brand value
of product company require to introduce some attractive offers in their goods and services and
also take the advantages of marketing tools like advertising, newspapers, roadshows, direct sale
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and social media through which they can create the demand of products among their clients.
Therefore sale division and marketing is a way through which all the hurdles and barriers can be
removed between organisation and end users(Adegbuyi and Odularu ,2013).
Interconnection of research department with marketing function of enterprise:-
Company research and development department focuses on collecting all the data that is relevant
from company prospectives. During the whole process investigator busy in doing market
research by asking various questions from target audiences about the taste, price and quality of
products. In whole procedure R&D team uses various marketing tactics and at the end of
investigation analyse the actual position and make changes in their working style so that better
productivity and efficiency can be attained. McDonald's R&D department must use their creative
method of data collection in order to compare the current performance with previous one.
Interlinked of production department with marketing function:- Production department
plays an important role in order to optimally utilised all the available resources for the
production of goods and services. Through marketing department they examine the present
demand in respect of their products and services and on the basis of information they
manufactured which help in reducing wastage and cost of goods and services. McDonald's must
used their systematic procedures at the time of production and manufacturing of various items.
M2. Importance of interrelationship between marketing and other functional unit
McDonald's is considered as largest fast food processing company divided their working
into different segment i.e. Human resource, Research development, marketing division,
operation and sales department which allows them in fulfilling the goals and objectives for the
overall success and growth of business. In order to achieve the vision of company strategic level
need to coordinate their marketing function with other department so that higher profitability is
possible. Further changes must be done according to the rivalry actions plan and examine all the
recent trends and demand of customer in order to establish the better brand image and long term
relationship with their target customers.(Cant ,2010).
D1. Key elements of various Marketing Function
In McDonald's, these are four components which are conducted by marketing team are
stated below:
Research: It is essential that marketing team conduct research to ascertain factors and
their impact on business operations, growth and profitability.
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Strategy: This is necessary that management formulate plans in respect to launch new
products, growth and competition of firm with other brands.
Planning: It is essential that marketing team make appropriate decisions about
communication channel, sales and finance of firm.
Tactics : This specifies that marketing team require to provide various offers such as
discount, coupon, rebate to attract customers(Malhotra , Birks and Wills ,2013).
TASK2
P3. Comparison of marketing mix applied by different companies
Marketing mix: It can be described as term in which set of tactics and actions are used by
company in order to promote its brand and in other word mixtures of those techniques which
allows them to sell their goods and services in appropriate manner. Therefore, it is considered as
that process in which marketing mix factors are used in order to achieved the goals and
objectives of organisation. This is basically a way through which marketers know best about
product in which they dealing. Their are seven P'S of marketing mix such as place, product,
price, promotion, process and physical evidence.
In order to examine the actual position of products two businesses are selected I.e. McDonald's
and Burger King which are two strong competitors in market and used for promoting the brand
of products in competitive market. Factors include in marketing mix are different for every
company which can be differentiated below:-
Marketing mix McDonald's Burger King
Place  In order to expand their
business they give their
franchisee to different
dealers of various
countries who allows to
sell the product at the
brand name of
McDonald's.
 Apart from it different
shop outlets are open at
Management team decide to
open the branches at different
places through leasing
building, franchising method.
The main advantage of this
techniques is that company
earn profits through royalty.
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various places so
people are easily reach
at that place.
Price Strategic management of
McDonald's come with low
price tactics and selling the
products at the range of $1.99.
Under this case key people of
management decided to use
psychological strategy of
marketing at first in which
products are sell at $.99 that
allows them to increase their
customer base and establish
long term relationship.
Promotions Enterprise can promote their
brands by using different types
of slogan, jingles and tag-lines
which attract customers. One
famous tag-line is I am loving
it and also used different
methods of packaging and
promote brand through
celebrity endorsements and
sponsorship.
Under this case firstly
management offering their
customer attractive deals by
launching the big value meal at
$1 in order to attract US
customers.
Products Company introduce their
products according to culture
and sentiments on the basis of
which launching decision
made. For example in India
generally most of the
population are vegetarian so
they come with MC Aloo Tiki
and MC puff which enhance
At the initial stage of
development company prefer
to sale burger and chips so
they easily adjust with the
climate and environment of
that particular country.
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their sales.
People Organisation mainly focuses
on children, youngsters who
need place where they spend
quality time without any stress.
They concentrate on all the
customers, employees and
management team that help in
increasing the brand value and
reputation regarding particular
brands.
Physical evidences Company evidences can
physically observed through
cleanness, transparency, speed
and quality standards.
Under this researcher can
know about product through
feedback in which opinion,
thoughts of different
individuals are taken.
Process In order to main the quality
standard of food products
management incur millions of
dollars on research
development process.
HR manager of every
department organise the
systematic programmes for
training development of
workforce so they familiar
with all the process used at the
manufacturing of products.
M3. Evaluate various tactics and strategies used by McDonald's in order to achieving business
objectives
Every organisation uses their different policies and strategies has been used by marketing
department of McDonald's in their 7P's of marketing mix. Therefore it is most important
responsibility of manager to utilise all the P'S of marketing mix so they get the competitive
advantages over competitors. 7 P's like price, product, process, promotion, process, place and
physical evidence are utilised in order to offering attractive offers to target audience which
allows them to beat all the challenges of rivalry. Therefore, organisation using different tools and
techniques for enhancing the growth of business(Desai ,2013).
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TASK3
P4. Marketing plan for McDonald's
Marketing plan:- It is an legal official documents that gives the details about the overall
objectives, vision and mission of company. Further, strategic department of management
formulated different action plans at the time of introducing new product and adding features in
existing goods and services. This plan consist of SWOT, STP and pestle analysis to know the
actual position of company.
Introduction:- McDonald's is the multinational food retail company established since 1954.
Company can expand his business in all around the world through merger and acquisition and
establish their outlets around 30,000 in more than 120 countries for enhancing growth. It is
consider as largest food chain dealing in different varieties of food products(Moons and et.
al. ,2010).
Mission and vision of McDonald's
To become customer favourite place and the way to eat with inspired people who
delighted every customer with unmatched quality, service, cleanliness and value every time. The
main tag-line used by them in order to promote brand value is we invite you to be the part of
winning team and gives an opportunity to grow with the family that create smile on the face of
people everyday.
McDonald's vision is to become best quick service restaurant, experienced and supported by core
values and principles.
Statement of the marketing goal
Company always believes that whatever the customer perceive about the product will always
gives the guarantee regarding product's success. So it is important for strategic department to
formulate such marketing strategies which consider customer opinion also. It is belived that
many innovative product are fail to keep strong place in market because they are fail to
understand customer mind. But McDonald's is a strong brand brings with it define goals for
clients.
Objectives of McDonald's:-
 To become the top most brand in fast food sector so that it create large customer base in
order to enhance sales and profitability.
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 The USP of company that it is known for its hamburgers and also deal in wide variety of
products like French fries, chicken product, milkshakes, deserts and wraps which need to
maintained for long term growth of company.
 Company in order to remove all the inequality related to gender can be removed by hiring
more female employees in their food processing programs. Apart from profit objectives company focuses on social welfare so they contribute in
CSR activity in order to increase the goodwill and market value(Draelos ,2010).
STP Approach:
Segmentation In case of Psycho-graphic segmentation
McDonald's have to make changes in their
menu when they give franchisee with new
country. According to culture and belief they
need to make modification in their food
structure.
Targeting Basically they target to kids, teenagers and
families on the basis of which they develop
new varieties in food items that provide fuller
satisfaction to consumers.
Positioning Initially positioning strategy of McDonald's is
outstanding and in order to create unique
image in the mind of consumers they require to
develop positioning strategy for different target
markets in compare to other competitors.
SWOT Analysis
Strength
 McDonald's diversified their business
worldwide having huge impact on
competitors.
 Company become market leader in both
Weaknesses
 more saturation found in market create
difficulties in expansion of business at
large part.
 Research department of McDonald's is
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national and international markets. Enjoy the benefits of long term
economic growth and getting the
advantages of long term growth.
very slow in the whole process of
innovation.
 Company is not able to reach their
market in rural areas affect their
profitability.
 Small market share reduce their
revenue and increase their losses.
Opportunities
 Company can expand business by
making its chain outlets more attractive
for new customers by adding value in
their services like using of internet
access.
 Coming with digital and innovative
techniques in product line is big
opportunity for them.
 McDonald's can plan to come in market
of different country like Europe, Asia
and Latin America.
 Organisation need to adopt modern
tactics like adopting CRM techniques
in their working style in order to
maintain long term relation with
people. Expand their business internationally
through joint venture and strategic
alliances.
Threats
 McDonald's open to the alterations in
whole world wide economy.
 Continuous fluctuation in foreign
exchange rates also big threat for
McDonald's.
 In present environment costumers are
more health conscious so they prefer
not to take fast foods and cold drink.
 High competition from rivalry like
burger king, pizza hut.
PESTEL Analysis
Political factors Economical factors:-
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