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McDONALD'S

Professional Project:
McDonald's is a global brand that caters to vastly different audiences worldwide. This project takes a closer look at three different markets: Canada, India, and England. It will examine the fast-food market, the culture, and competition in each of the countries to come up with three distinct strategies for the brand.

Canada

Trends:

  • Products with higher profit margins, such as coffee, smoothies and salads, are becoming increasingly more prominent at traditional fast food restaurants, leading to an increase in the average industry profit margin.

  • A rise in health consciousness

  • A rise in coffee culture and snacking

Secondary Research Findings:

  • McDonalds' sales were up 5.5% in the last fourth quarter, making it the tenth consecutive quarter of growth.

  • McDonald's across Canada have been modernizing their stores.

  • McDonald's coffee is considered Canada's favorite coffee.

Primary Research Findings:

  • McDonald's food is viewed as unhealthy.

  • People are less worried about calories when purchasing coffee.

  • People purchase coffee more often than fast food.

  • People often purchase a snack when buying coffee.

Consumer Insight:

People view McDonalds' food as unhealthy but are less concerned about health when purchasing coffee.

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Strategy:

Release a campaign highlighting McDonalds' coffee and bakery offerings to position McDonald's as Canada's go-to place for coffee. 

Creative Execution Suggestions:

The campaign can feature out-of-home advertising, visible to people on their way to work, to show them that McDonald's is the place for the best coffee.

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India

Trends:

  • Increasing popularity of local fast food chains.

  • Nationalism is on the rise.

  • Fast-food continues to grow despite health awareness.

  • Overpopulation continues to be a growing concern.

Secondary Research Findings:

  • 50.79% of Indians eat fast food at least once a week or more.

  • On average, travelers in Delhi, Mumbai, Bengaluru, and Kolkata spend 1.5 hours more on their daily commutes than their counterparts in other Asian cities during peak traffic times

  • McDonald’s dominates the burger market.

  • Dominos dominates the fast-food market.

     

     

Primary Research Findings:

  • People turn to fast-food because it is convenient and inexpensive.

  • McDonald's stands out among other fast-food chains due to its consistency across all chains.

  • People often go to McDonald's to have sit-down meals with family and friends.

  • People consider local fast-food chains a better alternative to a foreign chain such as McDonald's.

Consumer Insight:

Even though McDonalds' menu in India is catered to the Indian palette, people prefer going to local fast-food chains. 

Strategy:

Build a positive and meaningful connection between McDonald's and its Indian consumers, showing that they are more than just an international franchise.

Creative Execution Suggestions:

McDonald's should build a positive connection with its Indian audience by trying to solve a problem for them. An example of this is traffic. Especially in the metropolitan cities, people spend a large amount of their time daily stuck in traffic. McDonald's should launch a campaign where they talk to their audience at traffic jams and use their ads to help them. For example, the longer one is stuck in traffic, the more discounted their meal is.

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England

Trends:

  • Increasing value on convenience.

  • People are more health conscious than ever before.

  • An increase in healthy fast-food options.

Secondary Research Findings:

  • In February 2018, McDonald’s announced it would have a healthier kids menu.

  • McDonald’s is the most visited burger brand in the UK, especially among families.

  • 75% of parents of under-16s visited McDonald’s in the three months to June 2017 compared to 47% of non-parents.

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  • 4% of people who are aware of McDonald’s describe the brand as healthy, despite its ongoing efforts to innovate with healthy options. ​

  • McDonald's is still the most popular fast-food chain in the U.K.

Primary Research Findings:

  • People go to McDonald's because of convenience.

  • McDonald's has an image of being 'cheap'.

  • It is a very convenient option for commuting professionals.

  • McDonalds' ads in the U.K. give the impression that the chain offers food that is healthy and made using local and healthy ingredients.

Consumer Insight:

Families with children go to McDonald's because of its convenience. However, young professionals and other non-parents choose healthier alternatives.

Strategy:

Target the urban professionals and fight the 'cheap' image of McDonald's by positioning it as the perfect 'treat'.

Creative Executions Suggestions:

Send targetted digital ads to young professionals on their commute back home from work, featuring McDonalds' many options that would make a perfect treat after a long day of work.

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