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Particular A Locally Owned Company An Employer of Opportunity Respect for Indian Customs and Culture Quality, Service, Cleanliness & Value (QSC & V) Service is tangible or intangible Major Supplementary Product or Service 7 Ps of Service Marketing for Mc Donald Methods Using for Service Delivery Promotional Activities Number of Employee in Organization Feedback Process SWOT ANALYSIS Five Reason to Choose Mc Donald Methods for Customer Relationship or To retain Customers Display Menu Challenges faced by Mc Donald Bibliography Annexure 1-Menu
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Interviewed Person Name : Mr. Hasmukh Designation: Manager Visited Location: Mc Donald(Ashram Road) 1. A Locally Owned Company
McDonald's is the world's leading food service retailer with more than 33,000 restaurants in 118 countries serving more than 67 million customers each day. In India, McDonald's has two Indian entrepreneurs: Hasmukh Jatia, Vice Chairman, Hardcastle Restaurants Pvt. Ltd, which has been awarded a Development Licensee status by McDonald's Corporation, U.S.A, spearheads McDonald's operations in West & South India, while McDonald's restaurants in North & East India is managed by Vikram Bakshi's Connaught Plaza Restaurants Private Limited, which is still a Joint Venture with McDonald's Corporation. For Hardcastle Restaurants Pvt. Ltd ('HRPL'), the transition to a Development Licensee implies a higher level of commitment by McDonald's Corporation as it enhances its trust in the local partner. McDonald's ensures that the evolution to a Development Licensee takes place only after the financial strength, viability, profitability and long - term sustainability of the business is assured. Celebrating over 15 years of leadership in food service retailing in India, McDonald's India now has a network of over 250 restaurants across the country. McDonald's India is a leader in the food retail space, with a presence of more than 250 restaurants serving more than 6.5 lakh customers daily in India. McDonald's India and HRPL in particular has an aggressive expansion plan - including market expansion, new customer outreach formats and menu expansion. With HRPL becoming a Development Licensee in the year 2010, there are strong and robust commitments to investments, expansion and growth. By 2014, HRPL plans todouble the number of restaurants it currently has. HRPL is expanding its reach by expanding the portfolio and access points with formats like from kiosks, drive thrus, web-delivery and petrol pumps in addition to the restaurants. In 2012, HRPL plans to open another 35-40 McDonald's restaurants in West and South India.
2. An Employer of Opportunity
McDonald's India is an employer of opportunity, providing quality employment and long-term careers to professionals across the country. The average McDonald's restaurant employs 40-60 people from crew to restaurant manager. McDonald's invests in its employees, leveraging world class-training inputs to create ambassadors of the brand and creating food service professionals with global outlook. The brand currently has over 10,000 employees in India.
Price When we have asked about price he replied that 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 Rs20-30. This has been done to satisfy consumers which different price perceptions. Promotion When we have asked about which are the promotional tools used by Mc Donald than he replied that 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 marketing communications 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.
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 When we asked about the place of Mc Donald Mr. Hasmukh replied that 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 Regarding people or employee Mr. Hasmukh told that, the employees in McDonalds have a standard uniform and McDonalds specially focuses on friendly and prompt service to its customers from their employees. Process When we have asked about the process followed by the Mc Donald than Mr. Hasmukh Replied that the food manufacturing process at McDonalds is completely transparent i.e. the whole process is visible to the customers. In fact, the fast food joint allows its customers to view and judge the hygienic standards at McDonalds 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 When we have asked about P.A. of Mc Donald than Mr. Hasmukh replied that Mc Donalds 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.
9. Promotional Activities
When we have asked about which are the promotional tools used by Mc Donald than he replied that 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 marketing communications is to develop a campaign which uses several of these methods in a way that provides the most effective results. For example, TV 6
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.
Weakness The weakness that hits the list of employee turnover rate. Every year many of their employees are fired out of the restaurant. McDonalds mostly advertises products and food items that targets children. Health conscious people often complain that they do not provide us with the organic and healthy food. This becomes their weakness when they get in the complaints. They also face quality issue at times. This affects the business as they are running the outlet worldwide, if one franchise gets affected others also get a bad name.
Opportunities It can open up online services for their customers so that they can easily order their desired meals sitting at home. Discounts given on every food item may help them gain more customers. They can go for a joint venture with the retailers they work with. They can introduce healthy hamburgers and healthy drinks for the people who are health conscious. In order to be environment friendly, they can use packing material which can be recycled later or material that does not create pollution.
Health issue also becomes a problem when it comes to food. As it is a multinational food outlet, fluctuations in the currency of other countries becomes a problem for such companies. Recession in any country would definitely affect the whole outlet worldwide. People facing heart problems and obesity accuse McDonalds for not providing them with the healthy food. They have a threat of local food outlets in different countries. McDonalds is operating in a fully fledged economy where competition is increasing day by day therefore they should work effectively to overcome their drawbacks because of the recession.
accentuated when they introduced the "healthy tick" concept, which target those people who wants to watch what they eat (even though it doesn't make sense to go to a fast food restaurant to eat healthy). 5. Consistency The last reason is, McDonald's is so successful because of its consistency. The expectations that we have about everything surrounding the store are fulfilled in almost every store nationwide, worldwide. So everybody knows what they're getting into before they come to McDonald's, and by being so consistent, it has a solid reputation to uphold.
According to Mr. Hasmukh, Display menu is bring by the Mc Donald first in India. Which is very user-friendly and its give excitement to the customer to choose their product.
More demand of Vegetable food In our product portfolio there are only some products of vegetable product and people want new product of vegetable. Area limitation means one Outlet can cover only one area so that we required more number of Outlets.
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17. Bibliography
http://www.mcdonaldsindia.com/aboutus.html
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