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McDonalds Case Study

Essay by   •  December 8, 2010  •  Case Study  •  711 Words (3 Pages)  •  1,028 Views

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McDonald's is the world's leading food service retailer with more than 30,000 restaurants in 119 countries serving 47 million customers each day. It is one of the worlds most well-known brands and holds a leading share in the globally branded quick service restaurant segment of the informal eating-out market in every country they do business. McDonald's marketing strategy is having friendly people serving the right product with affordable prices. McDonalds's showcase their restaurants as clean, comfortable and welcoming, and create promotions that resonate with key consumer groups. They want to stay in tune with customer's lifestyle.

Suzanne Drolet is manager of a McDonald's restaurant in a city with many seniors. To attract seniors to McDonalds's Suzanne has a $1.99 breakfast special every fourth Monday. This was a resounding success. Between 100-150 seniors were attracted initially by that monthly breakfast special for people aged 55 and older. Now that many seniors come for breakfast daily and surely revenue has increased. Most are gone before the lunch crowds at 11:30, however, some stay until at 3 p.m.

McDonald's strengths are an established fast food restaurant with a friendly caring staff. Suzanne's employees embrace that philosophy by being friendly and caring to the seniors. Another plus is the seniors are friendly and neat and someone that isn't a regular would perceive the place as a friendly place. Further they are neater than most customers and clean up their tables before they leave. This requires less clean-up by the staff.

Suzanne is correct to wonder if anything should be done about her growing "non-fast food" clientele. She is concerned that her restaurant might come to be known as an old people's restaurant which might discourage some younger customers.

Suzanne must analyze the facts and make a series of strategy oriented decisions. Currently she is thinking about the problems as she perceives them; however she needs to develop a plan and implement it.

Suzanne is considering bingo games during the slow morning hour's 9 - 11 a. m. I recommend she start slow by hosting bingo once a week. This will allow her to determine if her perceptions that bingo is popular with some seniors and would be a new revenue source is accurate. The level of effort required to host bingo may not be worth the revenue. I'm alarmed the prizes are coupons for purchases at her store and they would add up to two thirds



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