Marketing Report: McDonald's Marketing Analysis and Plan

This report provides an in-depth analysis of McDonald's marketing strategies, focusing on the key roles and responsibilities of marketing functions within the organization. It examines how McDonald's approaches market research, promotions, distribution, and financial planning to achieve its marketing objectives. The report then delves into the organizational context of McDonald's marketing, highlighting the interrelation of the marketing department with production, finance, HR, R&D, and IT departments. A significant portion of the report is dedicated to comparing the elements of McDonald's marketing mix (product, price, place, promotion, process, people, and physical evidence) with those of its competitor, Burger King. Finally, the report concludes with a basic marketing plan, summarizing the key strategies and approaches employed by McDonald's to maintain its market position. This assignment is a valuable resource for students seeking to understand real-world marketing applications.

Marketing Essentials

Table of Contents
INTRODUCTION...........................................................................................................................3
TASK 1............................................................................................................................................3
P1: Explain the key roles and responsibilities of marketing functions.......................................3
P2: Roles and responsibilities of marketing related to organisational context...........................5
TASK 2............................................................................................................................................6
P3: Compare ways to use elements of marketing mix................................................................6
TASK 3............................................................................................................................................9
P4: Basic marketing plan............................................................................................................9
CONCLUSION..............................................................................................................................12
REFERENCES..............................................................................................................................13

INTRODUCTION
Marketing is an essential element which is essentially required to adopt by an
organisation in order to spread information about the products and services they offered in
market with an objective of attracting and influencing interest and buying behaviour of targeted
customers so as to increase revenue of company. For this, the marketing managers are held liable
to prepare a suitable marketing plan and strategies in order to execute marketing activities in an
appropriate manner. The present assignment report is based on McDonald which is one of the
largest American largest fast food company operated in multiple number of countries. Their
major products includes Hamburgers, Chicken, French Fries, Soft Drinks etc. The project covers
the different roles and responsibilities of marketing functions. In addition with this, marketing
plan has been also discussed under this report. All other aspects are also explained under this
report with the context of McDonald (Arguello, 2013)
TASK 1
P1: Explain the key roles and responsibilities of marketing functions
Marketing: It is an activity performed by an organisation with an objective of attracting
and influencing buyer's interest and behaviour towards the company's products and services so as
to increase revenue and achieve huge customer strengths.
Marketing function is an important factor of an organisation which brings many
opportunities towards company to grab in order to attain strong position in competitive market
world. McDonald is well-known brand name which has already attained huge customers base
thus to retain them, the company always tried to give efforts to identify the changing taste and
preferences through conducting research and accordingly make changes in their products
features. It directly make huge impact on the sales figure of company due to which the revenue
has also been increased. In addition with this, there are some other roles and responsibilities as
well which need to be performed by the marketing team in order to achieve desired goals and
objectives of company within pre-determined time period. Such roles and responsibilities of
marketing function are briefly described as below:
Market research: It is an essential for an organisation t conduct research or survey in
order to find out the current market trends so that further actions can be implemented to meet
such current trends (Bačík, Štefko and Gburová, 2014). The marketing manager is held liable to

make decision regarding conducting research with an objective of identifying the customer's taste
and preferences, competitors' strategies etc. which direct them to make changes in their existing
products and services in order to maximise the satisfaction level of targeted customers. This will
help company in retaining loyal customers for longer period of time.
Promotions: It is also an important marketing functions as it is essentially required to
make decisions and strategies regarding adoption of marketing tools in order to spread
information about the benefits provided in addition with the existing products and services such
as discount offers, cashback or coupons etc. It help in influencing customer's minds and buying
behaviour which brings beneficial outcome to company in terms of increasing sales and revenue.
Profit maximisation: Marketing the products and services by Marketing team of
McDonald directly make huge positive impact on the revenue of company through increasing
sales figure. For example, Advertising products on TV increases the chances of influencing
buying behaviour of customers in favourable way due to which they may show more interest in
buying their products and services (Baines, Fill and Page, 2013).
Distribution: The customers always prefer to buy such company's products whose outlets
are located nearby to them. Therefore, it is important for marketing team to find out the better
location where the company can easily get crowd. For example, In London market there are huge
number of people are present including large number of tourists thus required for McDonald to
open their new outlets at such places which directly makes favourable impact on the company's
revenue.
Financing: The marketing manager of McDonald is held responsible to prepare budget
for marketing activities with the help of taking support from finance department so that it
becomes easy to allocate cost on the basis of outcomes received in near future.
Management information system: There is requirement to adopt such system in order to
record all information gathered from research so that further actions to be implemented in order
to fulfil their needs and requirements in satisfied manner. This help in making an effective
decisions and plans for the betterment of loyal customers as well as an organisation.
P2: Roles and responsibilities of marketing related to organisational context
McDonald is well-known established brand in market which has already attained strong
image in market thus it becomes easy for them to attract customers across worldwide. But to
retain their brand identity it is essential for company to adopt various marketing tools in order to

promote their existing products and services and explain why they are better than their rivals.
Marketing includes promotions, sales, delivering products to the targeted customers etc. To bring
company ahead than their rivals, marketing need to get adequate support from other departments
such as finance, production, HR, R&D, IT department etc. which are equally liable to give
efforts in achieving desired goals and objectives of an organisation (Campbell and Martin, 2015).
All such departments are interrelated with each other which are further discussed under the
below:
Marketing department with production department: The production department are
liable to product optimum quality of products through minimising the wastage of resources. This
will enable company to provide goods at an affordable prices. To manufactured demanded
products, they need to get direction from marketing department which provides them sufficient
information about the taste and preferences of customers through conducting research about
current market trends.
Marketing department with finance department: No activity can be performed without
funds thus the marketing department need to get sufficient support from the finance department
to execute marketing activities in an effective and efficient manner. Finance department also
required to prepare financial statements which clearly indicates the expenses incurred on each
business activity. This will help company to know which marketing activity brings profitable
outcome to company. Adopting marketing tool and techniques such as media advertising, print
media etc. required huge amount of funds thus finance department need to support them in
performing marketing activities without facing any difficulties (Clow and James,2013).
Marketing department with HR department: HR department is liable to fulfil the
requirements of human resources in an organisation through organising recruitment programs
and selection. This will help marketing department to get employees having proper knowledge
about marketing functions which help them in executing marketing activities in proper manner.
Marketing department with R&D department: Marketing department mainly targeted
such locations where they can easily get crowd for their outlet so that they can market their
goods and services at such places in order to attract and influence their buying behaviour. Thus,
it requires support from R&D who brings valuable information about market trends and locations
through conducting research on regular basis. Supporting each other help company in increasing
their revenues which makes positive impact on their existence in market.

IT Department with marketing department: IT department are held liable to record and
keep information about the loyal customers through using MIS system due to which marketing
department easily get direction to target market where they need to attract from their marketing
tools and techniques (Draelos, 2010).
TASK 2
P3: Compare ways to use elements of marketing mix
Marketing mix is a combination of seven elements which includes price, product, place,
promotion, process, people and physical evidence. Such all elements should required to be
consider in order to make an effective marketing decisions and plans in order to achieve desired
goals and objectives of McDonald. It is essential for company to compare its marketing mix with
their rivals so that further actions to be implemented in order to bring company ahead than their
rivals in market. Out of many competitors, Burger King is one of the tough competitor which
brings lots of challenges towards McDonald.
Marketing mix of McDonald
Product: McDonald is well-known brand attaining huge customer base due to selling
good quality food products and services. It deals in many varieties of products such as
Hamburgers, sandwiches, desserts, cold drinks etc. due to which it becomes easy for their outlets
to get success in every locations. Due to focusing on enhancing quality, the customers shows
more trust and are more reliable which help company in achieving their loyalty.
Price: McDonald charges an effective prices which can be afforded by medium and high
income group. As they mainly focusing on improving quality due to which the company set price
little bit high than their rivals. Nowadays the people are more health conscious due to which they
prefer quality instead of price thus it brings beneficial result to company (Eslinger, 2014).
Place: McDonald has located in over 119 countries in which approx. 36,258 restaurants
are there which served company's products and services to the maximum number of people. As
they always tried to expand its business through opening new outlets in such locations where
they easily get huge crowd. For example, McDonald now preferred to reach their business to
most of the rural areas in order to increase their customer strengths.
Promotion: McDonald invested lot of money on adopting promotional tools and
techniques in order to spread information about their quality and other benefits provided in

addition to their existing products. Promotional tools includes Advertisement on TV, hoarding,
print media, social media etc. which is fruitful to grab an atte4ntion of large number of customers
across worldwide. Due to having strong brand, the company focuses on hiring celebrities to
promote their products through advertisement.
People: It is related with the staff members engaged in serving products and services to
the customers. McDonald has decided uniform for their employees which brings good image in
front of the customers. McDonald has attaining different outlets in different countries containing
clean environment and comfortable seating facilities which maximises the satisfaction level and
help company in achieving their loyalty (Fırat, 2013).
Process: The process of manufacturing food products are transparent to customers due to
which they show more trust and reliable on their quality products and services. McDonald
always focusing on adopting new methods of distribution and packaging so that maximum
number of people can easily attract from different countries.
Physical evidence: McDonald is well known brand name whose symbol or tag-line can
easily be recognised by the customers. Due to having large number of outlets in different
countries, the customers find easy to reach at their outlets to get valuable experience of products
and services of McDonald.
Marketing mix of Burger King:
Product: Burger King is also engaged in selling different varieties of food products and
services such as hamburgers, desserts, French fries etc. thus giving tough competition to
McDonald and affect their revenues as well. Offering discounts on regular basis help company in
achieving huge customer base.
Price: Burger King charges lower prices on their food items as compared to McDonald
due to which lower and middle income group are easily attracted towards their products and
services. It help company in increasing market share which makes positive impact on the
revenue of company (Lane, 2014).
Place: Burger King has attained 13000 outlets in over 79 countries due to which the
company has attained huge customer strength. Due to maintaining lower prices, their decision of
opening new outlets in new countries are more successful. It directly impacts on their revenues
and sales figure of company.

Promotion: Burger King also invested lot of money on advertising products through
adopting different marketing tools and techniques such as social media, print media,
advertisement on TV etc. Through spreading information about company's products and services,
the company easily get attention of large number of customers.
People: Burger king has employed large number of employees who are giving more
efforts in serving company's products and services to the targeted customers. They mainly recruit
employees from different nations in order to deal with customers having different cultures and
backgrounds. This will bring good image in customer's mind due to which it become easy for
company to achieve their loyalty (Marshall and Johnston, 2011).
Process: Burger King has attained multiple number of outlets due to which the company
an easily distributed to the maximum number of customers. The company mainly focuses on
offering discounts due to which they always tried to give efforts in reducing cost of production.
Physical evidence: Burger King has expand its business to over 15000 locations in over
71 countries due to which the company has make strong presence in development countries. For
example, opening outlets in India brings more profitable result to company.
TASK 3
P4: Basic marketing plan
The marketing manager of McDonald is held liable to make an effective marketing
decisions and plans for the purpose of executing marketing activities in such an effective manner
that will help them in achieving profitable outcomes in near future. Marketing plan is like a
blueprint which guides and directs the employees working in marketing department to perform
marketing activities in an expected manner. McDonald also need to consider all such aspects
which can affects the execution of marketing activities. Such aspects includes budget, objectives,
vision, mission and strategies when enter into new market (Martin, Campbelland and Harmsen,
2014).
Vision:
To offer quick services to the customers in order to enhance their experience by offering
optimum quality, value, cleanliness and valuable services.
Mission:

The mission statement of McDonald states that giving more efforts to maintain loyalty of
customers, way to drink and way and favourite place.
SWOT Analysis of McDonald
Strengths:
 It was first established in 1955 and from till to now, the company has attained strong
goodwill in the global market.
 McDonald has attained over 67000 restaurants which are located in multiple number of
countries (Vanhamme and et. al., 2012).
 Having skilled and knowledgeable staff members representing company in better manner
which brings good image in customer's mind.
Weaknesses:
 Due to high labour turnover, it becomes difficult for company to recruit skilled and
knowledgable employees.
 McDonald's pizza has not attained good image in market due to large number of
competitors.
 Nowadays people are more health conscious due to which they show less willingness to
consume junk and fast food products.
Opportunities:
 Should engaged in proving other products other than fast food products in order to
achieve huge customer strengths.
 Expanding business to developed countries in order to generate huge revenues.
Threats:
 Due to having large number of rivals in similar market, McDonald may faces lots of
challenges and threats in increasing their revenues.
 Health conscious people generally not preferred to buy such products which negatively
affects the revenue of company.
STP of ALDI
Segmentation: It refers to division of market of potential customers into different groups
and segments on the basis of certain characteristics. It can be classified into:

 Demographic: Such type of market is divided on the basis of age, gender, income,
religion etc. McDonald charges little bit high prices thus concentrating on higher as well
as medium income group. Psycho-graphic: Such type of market is segmented on the basis of interests and lifestyle
of customers etc. For example, higher income group mainly prefer to visit at their stores
with their families. Behavioural: Such type of market is segmented on the basis of buying behaviour of
customers. For an illustration, Young generation mainly prefer to consume junk and fast
food products thus required to consider their taste and preferences.
 Geographic: This type of market is segmented on the basis of location where the
company may decide to expand its business. For example, Due to having huge crowd in
London Market, the decision of opening new outlets at such locations becomes more
profitable (Marketing Structure. 2010).
Targeting:
Young people are the main targeted customers of McDonald due to which their revenue
are largely depends on their buying behaviour.
Positioning:
It indicates the position of company in market. McDonald is well known brand in market
which can be easily recognised by the customers. Due to selling quality and healthy food
products, the company has attained strong brand position in market.
Marketing Mix of McDonald
Product: McDonald deals in multiple number of products such as Hamburgers, Desserts,
cold drink etc. along with the smoothies, fish wraps and salads. This will easily attract large
number of customers.
Price: The buying behaviour of customers largely depends on the pricing factors thus
need to be maintain optimum prices so that maximum number of customers can easily afford to
buy their quality products and services (Malhotra, Birks and Wills, 2013).
Place: McDonald has been located in multiple number of countries due to which
capturing large market share. Further need to expand business to developed countries such as
India, China etc. in order to attain strong brand image in market world.

Promotion: McDonald need to continue spend amount on adoption of marketing tools
and techniques. It includes online advertised, TV advertisement, print media etc. Hiring known
celebrities will easily grab an attention of large number of customers across worldwide.
Marketing strategy:
To execute marketing activities in an effective manner, the marketing manager required to make
suitable marketing strategies and plans in order to maintain healthy relation with their loyal
customers. For this, relationship marketing is an effective option through which the company can
easily attain strong position in market.
Execution
In this, all the pre-determined steps are required to follow by the members of marketing
department in an appropriate manner in order to get profitable outcomes in near future.
Maximum efforts given by employees help company in achieving better possible outcomes
(Perreault, 2010).
Evaluation
The marketing manager are required to analyse all pre-determined activities in order to
identify the level of effectiveness of each marketing activity. Through following methods,
effectiveness can be easily identified:
Sales analysis:
Market-share analysis: It is concerned with study concerning marketing shatter whether
it is low or high and there is large market share of McDonald.
Efficiency ratios: Asset Turnover Ratio- Revenue (Sales)/Net Assets
Cost-Profitability Analysis- It consists an profit examination in addition to costs. It
shows gap between sales as well as cost.
CONCLUSION
It has been concluded from the above project report that marketing is an essential need of
every company which help them to become known in market. Marketing manager holds all roles
and responsibilities to manage and execute marketing activities in an effective and efficient
manner. Considering different promotional tools such as Advertisement on TV, social media,
print media etc. help in spreading information about company's products and services into
market due to which the customers can easily attracts towards them.

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