Although in recent years the "Four P's- model has came under criticism for being out of touch with today's relationship marketing approach and new models have been suggested such as the addition of a further three P's (people, physical evidence and process) and the "4 C's- (Customer value, convenience, communication and cost to customer) it is still the prevalent and favoured approach to marketing. This report intends to concentrate on McDonald's application of each individually and the marketing mix as a whole.
Company Profile.
McDonald's is the largest and best-known global foodservice retailer with more than 28,000 restaurants in 120 countries. McDonald's Restaurants Ltd is the UK operating division of the company, which claims to be the world's best quick service restaurant experience. Within the UK alone, they serve an estimated 2.5 million people each day, and control over 50% of the UK Fast food Market - a fast-growing sector in the UK eating out market, accounting for almost 32% of the consumer catering market (Mintel 2000). The company continues to grow sales through its policy of new restaurant openings (average of 100 new restaurants opening per annum in the UK), with total system sales reaching £1.5 billion in the UK and $40 billion worldwide in 2000. .
Source - McDonald's Annual Report 2000.
The above table shows what a worldwide phenomenon the fast food industry has become and the success that McDonald's has had in its aim of global domination. What it doesn't show is how McDonald's achieved this. What key elements of the marketing mix contributed to McDonald's success?.
Product.
The "product- is the combination of goods and services the company offers to its target market, this includes product quality, variety, features and design. .
Ensuring the quality of its products is an essential part of McDonald's business, after all McDonald's relies on customer loyalty and retention, and if the quality and variety is sub par then in the fiercely competitive fast food marketplace the consumer has plenty of alternative options to choose from.