Calvin's Blog

McDonald’s is a global icon in the fast food market and recognized throughout the globe. It has experienced great success in its decades of operation and the reason why the company has been able to establish such a strong position in the market is through its marketing strategies.

McDonald’s has realized the difference in taste and preferences of the many segments it serves and has adapted and adjusted the way they presents its products to consumers.

In North America, the restaurants have undergone sizeable renovations in recent time, in an attempt to create a dining experience that is suitable for just about any occasion. Many McDonald’s locations now have a homely environment with comfortable seats, fireplaces, and flat screen TV’s to attract those who wish to relax and enjoy time with their friends with a nice meal. Children still compose a large part of McDonald’s target demographic and so restaurants also offer booths that are big enough to accommodate the typical family. Individual seats are also available for those who only have time to stop in for a quick bite on their lunch break before having to get back to work. These upgrades that McDonald’s has made to their restaurants has not only improved the customer experience but has also expanded its range of consumer. The product is the same, but they have managed to attract more people to the market and thus generating more growth and revenue.

Aside from the physical marketing strategies of renovating existing restaurants, McDonald’s has also gained success through its advertising campaigns.  While the “I’m loving it” campaign has been widely successful in North America, McDonald’s advertises itself differently in other parts of the world. For example, in France, McDonald’s promotes the idea that everyone is welcome at their restaurants, regardless of any differences. In a recent French television commercial, McDonald’s, which shows a French teenager talking to his boyfriend on the phone while looking at a picture of their class. The teen hangs up the phone when he sees his father approaching with McDonald’s food in hand. The father, who does not know of his son’s sexual orientation looks at his class photo and jokes that it is too bad his class is all boys because he would have been really great with the girls. After the son gives his father a puzzled look, the commercial ends showing the words “venez comme vous etes,” translated as come as you are.

McDonald’s understands that not all their segments are identical and so takes on a different approach when marketing to different segments. Their understanding of the need to diversify their marketing strategies has greatly improved their appeal around the world. The “come as you are” campaign has been around in France for several years now and has increased McDonald’s market power as a result.

It is important to realize that although one strategy may do well in one segment, it does not mean that the same will the true for another segment. The best way for a company to grow is to be able to bring its product to different segments and to position themselves positively to those new segments. To do so effectively, a company must do ample research of their target segment in order to know what their preferences are, how they behave and what the best course of action would be to attract them.  Diversification is key to gain competitive advantage, but this applies to the marketing approach as much as it does to the products a company offers.

Click here to watch France’s McDonald’s Commercial

Tags: No Comments