mktg mix mcdonalds.docx

8/13/2019 Mktg Mix McDonalds.docx

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Marketing Mix of Mcdonalds

The marketing mix of a company consists of the various elements as follows which form the

core of a companys marketing system and hence helps to achieve marketing objectives.

TheService marketing mixin the case of McDonalds is as below

Product:- McDonalds places considerable emphasis on developing a menu which

customers want. Market research establishes exactly what this is. However, customers

requirements change over time. In order to meet these changes, McDonalds has introduced

new products and phased out old ones, and will continue to do so. Care is taken not to

adversely affect the sales of one choice by introducing a new choice, which will cannibalise

sales from the existing one (trade off). McDonalds knows that items on its menu will vary in

popularity. Their ability to generate profits will vary at different points in their cycle. In

India McDonalds has a diversified product range focussing more on the vegetarian products

as most consumers in India are primarily vegetarian. The happy meal for the children is agreat seller among others.

Price:- The customers perception of value is an important determinant of the price

charged. Customers draw their own mental picture of what a product is worth. A product is

more than a physical item, it also has psychological connotations for the customer. The

danger of using low price as a marketing tool is that the customer may feel that quality is

being compromised. It is important when deciding on price to be fully aware of the brand

and its integrity.

In India McDonalds classifies its products into 2 categories namely the branded

affordability (BA) and branded core value products (BCV). The BCV products mainly

include the McVeggie and McChicken burgers that cost Rs 50-60 and the BA products

include McAloo tikki and Chicken McGrill burgers which cost Rs20-3 This has been done to

satisfy consumers which different price perceptions.

Promotion:- The promotions aspect of the marketing mix covers all types of marketing

communications One of the methods employed is advertising, Advertising is conducted on

TV, radio, in cinema, online, using poster sites and in the press for example in newspapers

and magazines. Other promotional methods include sales promotions, point of sale display,

merchandising, direct mail, loyalty schemes, door drops, etc. The skill in marketingcommunications is to develop a campaign which uses several of these methods in a way that

provides the most effective results. For example, TV advertising makes people aware of a

food item and press advertising provides more detail. This may be supported by in-store

promotions to get people to try the product and a collectable promotional device to

encourage them to keep on buying the item.
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At McDonalds the prime focus is on targeting children. In happy meals too which are

targeted at children small toys are given along with the meal. Apart from this, various

schemes for winning prices by way of lucky draws and also scratch cards are given when an

order is placed on the various mean combos.

Place:- Place, as an element of the marketing mix, is not just about the physical location or

distribution points for products. It encompasses the management of a range of processes

involved in bringing products to the end consumer. McDonalds outlets are very evenly

spread throughout the cities making them very accessible. Drive in and drive through

options make McDonalds products further convenient to the consumers.

People:-The employees in Mc Donalds have a standard uniform and Mc Donalds specially

focuses on friendly and prompt service to its customers from their employees.

Process:-The food manufacturing process at Mc Donalds is completely transparent i.e. the

whole process is visible to the customers. In fact, the fast food joint allows its customers toview and judge the hygienic standards at Mc Donalds by allowing them to enter the area

where the process takes place. The customers are invited to check the ingredients used in

food.

Physical evidence:- McDonalds focuses on clean and hygienic interiors of is outlets and

at the same time the interiors are attractive and the fast food joint maintains a proper

decorum at its joints.


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Marketing Mix Cafe Coffee Day

Product

Caf Coffee Day product mix constitutes a wide range of products that appeal primarily to

Indian coffee and snack lovers. Products have a decided Indian taste to it be it food or

coffee. Most of the eatables have been adopted to meet the Indian taste buds like samosa,

biryani, masala sandwich, tikka sandwich etc. Thus they have been trying to capture the

Indian taste along with classic coffee.The best selling item in summer is frappe, which is

coffee and ice cream blended together. The young people favor it. In winter it is cappuccino.

Their merchandising includes funky stuff like t-shirts, caps etc.

Price: Considering that Caf Coffee Day knows its major customer lies in the bracket of 15-

29,it has tried to derive apolicywhereby it can satisfy all its customers. The price for a cupof coffee ranges from Rs.45 to Rs 80. From the time it first started its operations, therehas

been only minor changes in thepricingpolicy of Caf Coffee Day. The changes havebeen

more due to the government taxes than any thing else

Place:

ThestrategyCCD has adapted is to place a cafe in every possible location where some

business can be generated.This is a prime factor in determining the success of a retail chain.

Caf Coffee Day looks to cater to their target market with strategically located outlets.

Their outlets are generally located in High Street/ Family Entertainment Centers, gas

stations, near Collegesetc .

Promotion:

CCD is involved in all the areas of serious consumer passion like:

Television:Caf Coffee Day held a contest around a very popular programme on Zee English

calledFriends.All the six lead characters are shown often visiting a coffee shop.They have

tied up with Channel [V]s Get Gorgeous contest.

Tie-ups:Besides that Caf Coffee Day also tie up lot of the youth brands. So they have a

contest going on with Levis,another one with Scooty, Liril, latest one with AirtelFriends.

Association with movies:CCD can be seen in movies like Khakhee and Mai Hoon NaSales Promotion:Caf Coffee Day uses special Caf Citizen Card for rewarding Caf Coffee

Days customers. It is a loyalty program to gain new customers and retain the existing ones.
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Process:

The ordering and delivery process in CCD was earlier based on self- service. But now in

most its coffee shops the waiter comes and takes away the order and delivers the order on

table.

Physical evidence:

a)Logo , image, brand: Caf Coffee Day has used bright red and green colors in its logo. RED

stands forleadership , vitality,passion for coffee. The GREEN stroke harks back the coffee

plantations that they own.Caf is noticeably larger in the logo to denote that Caf Coffee Day

pioneered thecaf concept in India way back in 1996.The font looks as though the letters

have congealed out of a liquid.

b) Architecture and Decor:Largely wood and granite based interior with young colours of

today,like limegreen, yellow, orange, and purple predominate.

c) Literature:The literature provided by Caf Coffee Day is indicative of its youthful image.Themenus, posters, pamphlets are all designed to attract young and young at heart

People:People at Caf Coffee Day believe that People are hired for what they know

but fired for how they behave.Motivation and personal skill are laid emphasize upon.Their employees are like friend to the customer but at the same time they know about

the international standards of hygiene and cleanliness and personal grooming.

mktg mix mcdonalds.docx

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