MC Donald's 1. Profile and Introduction

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Mc Donald’s

1. PROFILE AND INTRODUCTION


The business began in 1940, with a restaurant opened by brothers Richard and Maurice
McDonald at 1398 North E Street at West 14th Street in San Bernardino,
California (at 34.1255°N 117.2946°W). Their introduction of the "Speedee Service
System" in 1948 furthered the principles of the modern fast-food restaurant that
the White Castle hamburger chain had already put into practice more than two decades
earlier. The first McDonalds with the arches opened in Phoenix in March 1953. The
original mascot of McDonald's was a man with a chef's hat on top of a hamburger-shaped
head whose name was "Speedee". In 1967, Speedee was eventually replaced with Ronald
McDonald when the company first filed a U.S. trademark on a clown-shaped man having
puffed-out costume legs. On May 4 1961, McDonald's first filed for a U.S. trademark on
the name "McDonald's" with the description "Drive-In Restaurant Services", which
continues to be renewed through the end of December 2009. On September 13 that same
year, the company filed a logo trademark on an overlapping, double-arched "M" symbol.
By September 6, 1962, this M-symbol was temporarily disfavored, when a trademark was
filed for a single arch, shaped over many of the early McDonald's restaurants in the early
years. Although the "Golden Arches" logo appeared in various forms, the present version
as a letter "M" did not appear until November 18, 1968, when the company applied for a
U.S. trademark. The present corporation dates its founding to the opening of
a franchised restaurant by businessman Ray Kroc in Des Plaines, Illinois on April 15,
1955, the ninth McDonald's restaurant overall; this location was demolished in 1984 after
many remodels. Kroc later purchased the McDonald brothers' equity in the company and
led its worldwide expansion, and the company became listed on the public stock markets
ten years later. Kroc was also noted for aggressive business practices, compelling the
McDonald brothers to leave the fast-food industry. Kroc and the McDonald brothers all
feuded over control of the business, as documented in both Kroc's autobiography and in
the McDonald brothers' autobiography. The San Bernardino restaurant was demolished in
1976 (1971, according to Juan Pollo) and the site was sold to the Juan Pollo restaurant
chain. This area now serves as headquarters for the Juan Pollo chain, as well as a
McDonald's and Route 66 museum
Key Characteristics of Mc Donald’s :

 They serve politely and friendly


 Quick respon
 24 hours
 Delivery order

2. TARGET MARKET
 Demographic
Mc Donald’s targeted from low to high people and also they target kid. All people
can consume this food. They gave a different package price, they offer affordable
price. They also offer of halal food to all their customers.
 Psychographics
Mc Donald’s is the one of the favorite food in Medan. Mc Donald’s has divided
the market on social class, life style or personality characteristics.
 Behavioral
Mc donald’s make a promotion that celebrated by their customers to make their
customers want to come back again. They also make a package for “buka puasa
bersama”, “keberuntungan di hari imlek” and much more.
 Need-Based Segmentation
Mc Donald’s also friendly and has a good service for their customers. Cleanness
and convenient also make them to come back again.

3. FLOWER OF SERVICE
 Information
Mc Donald’s serve their customers with give them to know their product what
they sell and also they offer a package.
 Payment
Payment at McDonalds is done using the conventional method of payment
through cash or card. The customer is allowed to make payment through credit
card only above billing of a certain amount. Also the customers can pay with
coupons and voucher.
 Billing
In Mc Donald’s, costumers ordering the food and pay in cash also self service.
But for drive-throw, The billing process goes very systematically. A typical
customer would start by placing orders looking display board. Then, he makes his
order, the amount due is displayed on the machine after each items entered. Once
all the items have been recorded, the billing machine displays the total amount
due.The person who is recording also verbally states the amount due as a
confirmation.
 Hospitality
Mc Donald’s serve customers with friendly and politely. They also smile when
serve customers. Cleanliness and comfortable is the best priority for customers.
McDonalds offers high quality products at affordable prices which it promises to
serve on time. They have a policy of greeting every customer with the traditional
“Welcome to McDonalds, what do you like to order?” A lot of importance is
given to the smile during the greeting. Each McDonald’s outlet has a washroom
for must.
 Order Taking
They will asking customers what do they want to order and wait them to choose
the menu. Mc Donald’s also have a telephone and delivery order.
 Safe Keeping
McDonald's is driven by the philosophy of Quality, Service, and Cleanliness &
Value for Money. This translates into a commitment to provide customers high
quality products, served quickly with a smile, clean and pleasant environment at
an affordable price. The packaging at McDonalds for orders like “Happy Meals”
which most of the times contains “happy Toys” and other such items are a major
attraction for the kids. These Happy Meals have different toys which when
collected will form a set. This in turn, attracts children and increases the sales
 Consultation
The staff at the counter provides customized advice to customers who are visiting
McDonalds for the first time. They also help customers decide on what orders to
place and which combo offers to avail.
 Exceptions
If the food you have order is rotten, they will gave you the new one.

4. DISTRIBUTION OPTION
McDonald's distribution channel and the way in which this fast-food restaurant chain gets
its products to the market. In the theory of the Marketing Mix, place (distribution)
determines where the product will be sold and how it will get there. In fact, as noted on
www.mcdonalds.com, McDonald's is the leading global foodservice retailer, with more
than 30,000 local restaurants1 serving nearly 46 million people each day in 121 different
countries. Approximately 80 percent of all McDonald's restaurants company wants to be
the first in the market and establish the brand as rapidly as possible by advertising very
heavily. This effective distribution strategy (place) has helped McDonald's develop a
strong market share in the fast-food market around the world. Moreover, according to
Kotler stores must have a planned atmosphere that suits the target market and moves
customers to buy. In addition, McDonald's has pre-determined the locations for many of
its stores to help reach a variety and diverse population. In conclusion, McDonald's has
an intensive distribution process which is a credit to their Marketing department. As
businesses and other organizations move forward, the challenge of making their products
5. PRICING STRATEGY

 Value Based Pricing


McDonald’s has a unique pricing strategy that falls exclusively on their many
product lines. Their value meals fall into the category of value pricing. Mc
Donald’s has certain value pricing and bundling strategies such as happy meal.
For package big breakfast package, you will get 3pcs Mc muffin, hash brown, and
hot coffee also free French fries medium size.
But if you take a Mcd breakfast package, you will get sausage Mc muffin and hot
tea.
 Competition Based Pricing
Besides Mc Donald’s, they are a lot of brand in Medan. The example is KFC.
KFC also can be the competitor for Mc Donald’s, but Mc Donald’s give more
good service, and also have cheaper package.

6. PROMOTION
 Price Promotion
a) 1 beef buger is Rp 11.000, but if you take paket panas u will get 1 beef
burger, 1 regular fries, and 1 regular cocacola. It chepper if you take paket
panas.
b) If you order food <150.000 you will get 1 bigcola.
c) Disc 40% for Bank BRI, min payment Rp. 150.000 (only for delivery
order)
d) Mc Donald’s promotion: free cheese burger/ disc Rp. 21.500 with Bank
CITI BANK (<150.000)
e) If you have a TELKOMSEL FLASH ( T CASH),you will get 20%
 Online Advertising
a) Mc Donald’s put their advertising on facebook, twitter, line, weechat, and
also instgram.
b) Go-jeck also put Mc Donalds to their app.
 Service Outlets Advertising
Mc Donald’s can put their advertisement in the magazine/ newspaper and they
can put brochure in mall and supermarket.

7. CONCLUTION
McDonalds recognizes culturally defined expectations in allowing its franchisees around
the world tremendous freedom in designing their Services cape. McDonald’s strategy is
to have restaurants worldwide reflect the culture and community in which they are found.

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