Marketing Report: Analyzing McDonald's Marketing Strategies

This report provides a comprehensive analysis of McDonald's marketing strategies, processes, and the role of marketing within the organization. It explores the concept of marketing, including current and future trends, and examines various marketing processes such as situational analysis, marketing strategy, and decision-making. The report delves into the responsibilities of a marketing manager at McDonald's, including market analysis and pricing strategies. It also examines the interrelationship between marketing and other functional departments like finance, production, and HR. Furthermore, it highlights the value and importance of the marketing role in the context of the organization, emphasizing its impact on product transfer, customer relations, and employment generation. The report concludes with an analysis of McDonald's marketing mix and a basic marketing plan, comparing it with Subway and offering insights into its strategic positioning. This report provides a detailed overview of McDonald's marketing efforts, offering valuable insights into its operations and strategies.

MARKETING
ESSENTIALS

Table of Contents
INTRODUCTION...........................................................................................................................1
MAIN BODY...................................................................................................................................1
1. The concept of marketing, including current and future trends.............................................1
2. An overview of the different marketing processes................................................................2
3. The role and responsibilities of a marketing manager in the context of McDonald...............2
4. How marketing influences and interrelates with other functional departments of
McDonald's.................................................................................................................................3
5. The value and importance of the marketing role in the context of the organisation..............3
6. Conclusions that emphasise the significance of having effective interrelationships between
different functional departments.................................................................................................4
7. Marketing mix of McDonald to the marketing planning process..........................................4
8. Produce and evaluate a basic marketing plan for McDonald's..............................................7
CONCLUSION .............................................................................................................................10
REFERENCES..............................................................................................................................11

INTRODUCTION
Marketing is a most crucial concept that assist in creating relationship with target
customers. Main objectives of this procedure is to analysing market demand for specific product
for delivering quality services to customers (Ahrens, 2011). It also includes advertising,
delivering, selling and promoting products to target audience. On the basis of these practices
marketing executive of an organisation can easily enhance buying behaviour of customers. This
report is based on McDonald which was founded in the year of 1940 by Richard and Maurice
McDonald. This is a largest fast food which having around 37000 outlets in approx. 120
countries. This reports is going to explain the concept of marketing including current and future
trends, overview of marketing process as well as the responsibility of marketing manager. It also
determines the interrelationship between different functional departments as well as specific
marketing process by conducting marketing mix approach. At last it determines marketing plan
of McDonald for introducing new services.
MAIN BODY
1. The concept of marketing, including current and future trends
In an organisation, Marketing play a most important role in determine demand of new
products, action plan for business services, competitive rivalries, required cost and so on.
Through these practices, McDonald can promote their product and services in target market.
Marketing include numerous trend as -
Current trends – These activities determine impact of marketing practices on McDonald.
Organisation having their own marketing strategy as -
 Online marketing – McDonald basically promote their products and services through
social media as well as on digital platform (Bellenger, Bernhardt and Goldstucker,
2011). Main reason behind these practices are, it consume low cost as well as provides
desired benefits in limited time period.
 Mobile marketing – Now a days, each and every organisation promote their business
services through mobile marketing. Through this, they can update new services to
customers by calls and text messages. These are the quick tools of promoting products
directly to customers.
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Future trends – In future, marketing trend can be transform through nee and effective in which
digitalisation will providing their effective contribution. Through this business can transform
their services effectively for getting instant benefits and growth as well. The emerging ideas will
be more transforming for effective and requisite results.
MARKETING CONCEPT
Production Concept:- The idea of production through which product is available widely
at highly affordable price. This is one of the oldest marketing management concept that guide
seller.
Product Concept:- According to this concept organization should focuses on continuous
production improvement by improving quality, technique, performance etc. because consumer
prefer those products which is most quality, performance and innovative features.
Selling Concept:- Customer buy only those products which a company aggressively
promoting or selling because it attract the customers. The cases on which this approach
applicable are unsought goods like life insurance, vacuum cleaner, fire fighting equipments etc.
Marketing Concept:- This concept focus on the needs and wants of target market and
want to deliver desire satisfaction better than competitors. In it full file customer values and
satisfaction is the main motive of company.
Social Marketing Concept:- Its main focuses on need and wants of target markets by
delivering better products and services than competitors with the consideration of social well
being.
McDonald must use Production Concept because through it they can attract huge group
of people on the basis of income, age, availability etc. like if the respective company make
products in different price rang starting from low to high, it will be affordable by every customer
group. McDonald currently implement high brand equity marketing concept in their business
operations that enable them to maximise their market size and structure properly. High brand
equity enables McDonald’s to gain a lot of competitive advantages.
2. An overview of the different marketing processes
Marketing is a wide but smooth concept that assist in building direct connection with
services users (Bird, 2012). For this, marketing division of McDonald needs to implement new
ideas for effectiveness of analytical practices. There are several marketing processes are
determine below as -
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 Situational analysis – McDonald implement most appropriate and unique marketing
strategy that assist in analysing impact of different factor on business decision making.
For this marketing manager needs to make appropriate strategies for the effective analysis
of influence of internal and external business environment.
 Marketing strategy – McDonald basically conducts marketing activities by having an
impactful strategy or plan. Thus, through this they promote services on similar platforms
on which they can build direct connection with services users. All these activities assist in
providing detailed information of each aspects to customers.
 Marketing decision – For a business organisation, it is required to analyse need of
conducting marketing procedure. Through this they can make appropriate decision for its
effective implementation.
 Implementation and control – McDonald needs to implement new ideas in their
business procedure so that they can make proper changes in business techniques (Brooks
and Simkin, 2012). On the other hand, management also needs to pay their attention
toward additional working approaches to control them easily.
3. The role and responsibilities of a marketing manager in the context of McDonald
In an organisation manager play a most important role in strategic planning and decision
making practices. In McDonald, marketing manager have numerous responsibility that they
needs to implement properly as -
 Market analysis – Marketing manager of McDonald needs to analyse their target market
in which they can promote their product and services easily. Main objective of market
analysis is to observing requirement and need for specific products at proper location.
 Pricing – Manager play a most important role in decision making practices (Cabrera and
Williams, 2014). Thus, they having an responsibility to initiate prices of appropriate
products. Manager of McDonald analyse capability of their customers to pay a exact
amount after this, they declare prices for their products.
 Creation of employment – McDonald having a large scale in economy through their
services strategy on different location. Through this provides employment services to
individual who have ability to serve quality services to customers.
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4. How marketing influences and interrelates with other functional departments of McDonald's
In a business organisation, several working departments provides their contribution in
business growth and its success. In McDonald several employees provides their quality services
in different divisions as -
 Finance – The role of marketing department are dependent on the finance department, to
do marketing and promotion activities capital is needed as well as to generate wealth and
goodwill marketing activity is needed. For McDonald finance and marketing are two
main pillar which help them in growth and gain profit. The main aim of finance
department to gain profit, increase share etc. which is completed and achieve by
marketing strategy. Marketing and finance department of McDonald works together in
order to identifying areas of growth by raising funds easily.
 Production and manufacturing – In McDonald, production division provides their
effective services in producing quality products on the basis of customers requirement
and need. In this procedure, marketing division provides their effective services in
analysing demand of specific product in market. After this, they provides information to
production division for effective manufacturing desired services. Production function
focus on providing quality product whenever demanded by consumer and marketing
helps production to know needs and demand of different consumer group and satisfying
their demand on time and helps in increasing market share.
 HR department – Marketing and human resource are not separate as all think, both help
each other in achieving the organizational goal and objective (Coombs, 2012). Marketing
department helps human resource in various ways like attracting right talent by targeting
appropriate audiences, keep employees and customer happy, keeping up with change etc.
like if McDonald wants to recruitment, HR department identify requirement, number of
vacant position, make strategy accordingly and marketing department help them in
publishing on various media.
5. The value and importance of the marketing role in the context of the organisation
In McDonald, marketing play a most important role in order to getting heights by their
products and services. They work with an strategy to analysing demand of customers for
providing them exact services for building long term relationship with them easily. There are
different value and importance of the marketing role in McDonald are determine below as -
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 Marketing Helps in Transfer, Exchange and Movement of Goods – Main objectives
of marketing division in McDonald is to analysing requirement of customers in order to
transfer desired goods and services to them easily. Through this they builds direct and
long term relation with services users.
 Marketing Is Helpful In Raising the Standard Of Living Of The Community –
Implementation of marketing services is beneficial for customers and organisation too
(Cooper and et. al., 2014). Because through customers can get desired products and
services easily that helps in maximising their living standard.
 Marketing Creates Employment – McDonald is large scale organisation in which
number of employees are working. Firm provides employment facility and services to
desired candidates by hiring them in their own organisation.
6. Conclusions that emphasise the significance of having effective interrelationships between
different functional departments
In an organisation each and every department provides their effective contribution for
attaining business goals and objectives properly (Daniel, 2011). In this procedure management of
firm having an responsibility to analysing skill of each employees so that provide them
appropriate department of working. Major working division of McDonald's are Finance, human
resource, Information technology, production, operations, marketing and so on. These both
division are interrelated to each other in different manner as they provide quality services for
accomplishment of business objectives. Through this, organisation can maximise their quality
services by satisfying need and demand of customers through their effective as well as quality
services.
7. Marketing mix of McDonald to the marketing planning process
For a business organisation it is required to analyse their position in market by
conducting numerous strategic planning. In this procedure marketing mix in determining
appropriate information of different segments of firm as -
Basis McDonald Subway
Product McDonald is well known fast food
organisation which is basically deals in
French fries, burgers, chicken products,
Subway is also dealing in fast food
services in which they majorly
include Submarine Sandwich,
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breakfast items, soft drinks, desserts etc..
For further, McDonald requires to
introduce healthy and sugar-free products
for each age group of people that helps
them in creating a positive image in target
market.
doughnuts, wraps, muffins, salads etc.
the option of variety having in veg
and non-veg both categories.
Price McDonald basically implement cost
effective strategy for their products and
services that assist them to capturing
consumers attention towards their
services. Their main objectives is to
provide quality goods to customers on
affordable prices. These appropriate value
aid to fulfil the distinctive needs of clients
effectively (Friis, 2012).
Subway provides their products and
services on high cost than others.
Main reason behind their prices is that
firm provide calories concision
services that claims for healthier
services. Thus, the costs of subway's
products are consist quality that
determine its services own. These
pricing strategy assist to make them
different from other rivalry
organisations. For further
improvement, firm requires to
introduce their product and services
on adequate and effective costs.
Place McDonald is large fast food organisation
which provides their quality services in
around 120 countries. In these locations
they having approx. 37000 on different
places. The locality of McDonald is
basically having areas where having
strong gathering of customers. To operate
their business on these locations, firm
implement digital technology that provide
beneficial services to customers.
Subway does not having numerous
outlets in so many countries.
Management of firm is basically pay
their maximum attention for
maximising numbers of their store
because the having high numbers of
customers who are looking for their
new outlets. Subway basically
encountered their services on malls,
nearby airports etc.
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Promotion McDonald's pay their maximum attention
toward promotion practices of their
products and services. For this, they
implement paper media, digital
promotion, social media services and
print media as well. Through this, they
update new information to customers
about offers and lightening dales. One
most effective sources of organisation is
cost effective strategy that assist in
grabbing users attention easily toward
business services. For further, McDonald
needs to introduce promotional policies
that help them to introducing healthy
services in the market.
Subway also implement different
strategy for promoting their products
and services to customers. Its slogan
is “Eat Fresh” in order to promote
high quality and fresh food that they
make. Subway also requires to
conduct strategies for promotion and
advertising in order to paying
customer's attention easily.
Process McDonald always implement new ideas
and techniques for production and
delivering quality goods to customers.
These kind of business ideas assist in
delivering fast services to customers in a
small time period. Through this, services
of organisation getting smooth and
frequent as well. McDonald needs to
possess their working activities properly
so that they can manage excess rush in
their outlets properly.
Subway basically implement Unique
Selling Proposition for their products
and services. For this they majorly
focuses to delivering fresh services.
For them it is required to pay their
maximum attention toward digital
techniques that assist to reduce time
in production and delivering services.
People McDonald's basically pay their maximum
attention toward their employees as well
as customer's need. Therefore, they
conducts several training and
Subway is also a well known food
chain organisation in which numerous
employees provides their quality
services. Management of firm pay
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development practices that assist in
improving interpersonal skills and
working abilities of workers. Through
this, they can build direct connection with
service users by analysing their
requirement and need effectively.
McDonald also provides health care
safety plans to their employees for their
carte plan practices.
their maximum attention toward their
employees and their working skill.
These monitoring practices assist in
maximising their confidence level for
quality servicing. Firm provides
numerous facilities to their employees
as a motivation tool. For further
improvements, firm requires to
provide proper training to develop
skills and working abilities of their
employees.
Physical
evidence
McDonald's restaurant provides best
facilities to their customers in their outlets
included cleanliness, service speed,
transparency in process, hygiene and
quality. Through this, customers feels
comfortable and happy while getting
experience of their food and services.
They also provide dress code to their
employees that assist to make their
services more unique. One most
important facility that they may
implement is to providing parking
facilities to service users for the further
improvements.
Subway restaurant also pay their
maximum attention towards the
physical evidence in their stores.
These activities includes Ambience ,
stores maintenance, furnishing,
locality, parking facility and many
more. In their products services they
analyse quality of vegetable, used
breads, chicken and so on to provide
quality experience to consumers.
For McDonald, effective marketing strategies can be -
PRODUCT: McDonald's have a product mix of foods and beverage which consists of
large variety and covers a huge market share of targeted group. It mainly deals in burgers but
other products like fish, chicken and breakfast meals are also offered to provide variety in
products.
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PLACE: Location for these consumable products must be in easy access to consumers
and McDonald's is very much competent in this mix as outlets are in such area where consumers
can easily reach and company generate more revenues.
PRICE: Price is most important factor to attract its targeted consumer and McDonald's
provide its products in all price range that attracts large consumer group and this leads to more
revenue for company.
8. Produce and evaluate a basic marketing plan for McDonald's
Marketing plan is a strategical framework which is basically designed to analysing
business strategies and tactics (Hsu, 2011). Main objectives of this procedure is to determine
several marketing aspects as requirement of new products, demand for new cost of existing
goods, instance action step, competitive rivalries and so on. There are different step of a
marketing plan of McDonald is determine below -
Introduction of company: McDonald is a large scale fast food chain which was founded
in the year of 1940 by Richard and Maurice McDonald. The organisation basically provide their
services in Cheeseburgers, chicken products, desserts, break fast items, soft drinks etc. main
objectives of organisation is to provide delicious food services to customers on the basis of their
requirement and need.
Vision: McDonald having a clear vision as to render the quality experience to service
users of quick and desired services. Best means offering quality, value, cleanliness and service
which make the smile of face of every customer. Thus, the services requires to having long term
relationship with target customers.
Mission: Mission of McDonald is to be the favourite place for customers where they can
drink and eat desired products (Ionitã, 2012). For the betterment of their mission, organisation
pay their maximum attention toward business services and customers demand that should have to
be similar to each others.
Marketing Objectives of McDonald : Organisation having some clear objective as to
providing quality food products to customers. For planning success and heights McDonald
create new objectives as -
 To deliver variety of burgers by implementing health supplements for customers that
enhance numbers of customers around 30% more.
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 To improve business sales more than 20% within 6 month by implementing new business
idea.
Segmentation, Targetting and Positioning
 Segmentation: In these kind of procedure, market is basically divide on the basis of
geographic, behavioural, demographic and psycho-graphic approaches (Jones, 2011). For
McDonald, it is required to having demographic and behavioural practices in their
business that assist them to attaining desired objectives by analysing consumer behaviour
as well as their required needs.
 Targeting: McDonald is a fast food organisation that provide delicious products and
services to their customers. In order to capture customer's eyes, organisation basically
provides offers and discount services to customers. Thus, the target market of McDonald
are Kids, Teenagers and Youth who always desired for exploring new products and
services.
 Positioning: In order to analysing positioning of an organisation it is required to
conduct a market monitoring practices that assist in determining position of firm in target
market. McDonald having a topmost position in fast food market due to variety and taste
of different products.
SWOT analysis
 Strength: McDonald has a strong goodwill in market that assist them to enhancing
attention of customers toward their services. The products and services of organisation
has grown their income through the desired sales and better consumers relations
(Kennedy and Parsons, 2014). McDonald also implement cost effective services that aid
them in getting higher competitive advantages from target market.
 Weaknesses: McDonald have a complex menu that create confusion in customer's mind
for choosing specific product. On the others hand, another weak point of McDonald is
fast foods which can not be healthy for customers. Therefore, firm needs to pay their
maximum attention towards these services to reduce complexity in business servicing.
 Opportunities: McDonald provides their business services at international level that
assist them to maximising business revenue easily. Through these kind of strategies
organisation can build their direct connection with a large number of customers who are
fond off delicious and spicy foods services.
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