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Alfredocorpuzv5310stepmarketing

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10 step product marketing plan …

10 step product marketing plan


McDonald’s SM Fairview’s primary target market are shoppers of the mall
who want to satisfy their hunger fast. They can choose Jollibee, KFC, Chowking and nearby fast-foods or food-court and kiosks.Gap is nearby fast-food restaurants are always crowded and food is served slower. The market size is the average daily foot traffic of 130,000 of the mall.

McDonald’s is a fast-food giant that offers standard products worldwide It is priced relatively at par with Jollibee, 2% less than KFC and 15% less than Chowking.
Brand is advertised thru TV, radio, print, events & experiences. It is conveniently located inside SM Fairview and uses supply and distribution leverage strategy to win customers.

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  • 1. Alfredo B. Corpuz Jr. Feb 2011 10 STEP Marketing Plan for McDonald’s SM Fairview
  • 2.
    • This 10 Step Marketing Plan is part of the mandatory requirements of Prof. Remigio Joseph De Ungria’s AGSB marketing management class.
    • The data included in this report are based on publicly available data such as those on internet websites, news, package declarations, public reports.
    • When appropriate, data are “masked” so as not to create unexpected conflicts.
    • The reports are posted and linked on slideshare, blogs and Facebook so that there is easier sharing among students from different marketing classes.
    Disclaimer
  • 3.
    • McDonald’s SM Fairview’s primary target market are shoppers of the mall
    • Who want to satisfy their hunger fast
    • Can choose Jollibee and KFC
    • Gap is nearby fast-food restaurants are always crowded and food is served slower
    • The market size is the average daily foot traffic of 130,000 of the mall
    Steps 1 to 5 Summary headline of your PTM and market
  • 4.
    • McDonald’s is a fast-food giant that offers standard products worldwide
    • Is priced relatively at par with Jollibee, 2% less than KFC and 15% less than Chowking
    • Brand advertised thru TV, radio, print, events & experiences
    • Conveniently located inside SM Fairview
    • Uses location and available space to win customers
    Steps 6 to 10 Summary headline of the marketing mix & strategy
  • 5. 1. McDonald’s SM Fairview’s Primary Target Market are shoppers of SM Fairview
    • Ages 17-40; Male and Female; social class lower B,C and D, single and married
    • College students and middle-aged parents
    • Go to malls to shop, relax or meet friends/family
  • 6. PTM needs to eat in a respectable place Reference: Maslow’s Hierarchy of Needs Marketing Management, 11 th ed, Philip Kotler I need to eat Ability to eat with friends in a fast-food is a status symbol
  • 7. 2. PTM’s needs, wants & demands
    • Shoppers need to satisfy their physiological needs, the need to belong and gain self-esteem.
    • They prefer McDonald’s because of reasonable price of products and value meals, the place enjoys a higher class stature of not being lowly branded as “for masses” or “for kids” fast-food.
    • They demand fast service, good food quality and a convenient place to dine
  • 8. 3a. Direct and indirect products that address my PTM’s NWD
    • Direct: Jollibee, KFC, Chowking
    • Indirect: Food Court, Food-stalls/carts/kiosks
    • Variables: Age, price, fast quality service , availability of tables, clean and convenient place to meet friends/classmates , brand name
  • 9. Example of a 2x2 competitive position map for fast-food Place vs. Age Matrix as of 2011 Chowking KFC McDonald’s McDonald’s Jollibee Chowking KFC McDonald’s Chowking KFC Jollibee Jollibee Jollibee McDonald’s Chowking KFC Place/ Age Matrix 0-16 yrs 17-22 yrs 23-49 yrs 50yrs up Peak and Lean hours
  • 10. Example of a benefit positioning vs. brand map for fast-food chains Benefit Positioning vs. Brand Matrix as of 2011
  • 11. 4. Identify the gap between customers and competition
    • McDonald’s SM Fairview
    • is the only fast-food with restroom in the mall
    • enough space to accommodate groups of people most of the time
    • follows global standard of McDonald’s Service Quality Policy
    • Easy identifiable location to meet
    • McDonald’s SM Fairview and other fast-foods in the mall are trying improve space to accommodate groups of people usually classmates / barkada
  • 12. 4. Identify the gap between customers and competition
    • McDonald’s SM Fairview and other fast-foods in the mall are trying improve space to accommodate groups of people usually classmates / “barkada”
    • Traditional positioning has been on providing package meals with immovable tables and chairs to dine
  • 13. 4. “Positioning: brand identity from the maker
    • love ko to
    • i’m lovin’ it
  • 14. 5a. Based on competitor data, fast-food industry is over P 30 Billion in year 2000 http://www.pecc.org/food/papers/2005-2006/Philippines/ppecc-catelo-paper.pdf Reference: Estimating inflation at an average of 5% annually, fast-food industry is roughly around P 48 billion
  • 15. 5b. At 5% average annual inflation rate, fast-food industry is roughly around P 48 billion http://www.oppapers.com/essays/Jollibee-Case/343260?topic Market Share: Jollibee: 52% McDonalds: 16% Sales: Jollibee: 19.46 billion McDonalds: 5.99 billion ((19.46B/.52) x 16%) http://www.cnbc.com/id/41699042/TABLE_Philippines_Jollibee_Q4_net_income_up_16_pct
  • 16. 6a. Photo of product category
  • 17. 6b. Product Description McDonald’s around the world uses 100% pure beef for its Hamburger, Cheeseburger, Big Mac, and Quarter Pounder with cheese, with no additives, preservatives or flavor enhancers. Everyday, burger patties are prepared and packaged at McDonald’s approved meat plant. Even before the beef blocks arrive at the plant, McDonald’s supplier conducts several quality checks on every batch. McDonald’s patties are grilled without using fats and oils, seasoned only with salt and pepper for flavoring.
  • 18. 6b. Product Description They use freshly shredded lettuce in burgers. Lettuce heads contain no additives or preservatives, sourced from the cold mountains of Bukidnon and Baguio, shredded in McDonald’s approved facility
  • 19. 6b. Product Description It uses pasteurized process American cheese slices, perfectly complementing the flavor of pure beef
  • 20. 6b. Product Description McDonald’s Chicken McNuggets and Chicken Patties (used for McChicken Sandwich) are made from boneless breast and thigh meat, coated in a tempura batter coating. Chicken McNuggets are shaped to ensure its consistency in weight and coated in a specially seasoned breading. The fried chicken is made from bone-in chicken sourced from reputable suppliers.
  • 21. 6b. Product Description Only skinless, prime white fish is used in McDonald’s Filet-O-Fish. The fish is sealed and stored in a temperature-controlled environment to lock in its ocean-fresh quality
  • 22. 6b. Product Description McDonald’s world-famous French Fries are produced from only the best, high-quality potatoes of the Russet Burbank, Russet Rangers and Shepody variety. These potatoes are specially blanched and processed to retain its maximum nutrients, then cooked with fat-free Palm Olein Oil. That explains the fluffy inside, crispy outside freshness of McDonald’s fries
  • 23. 6b. Product Description Buns are baked locally and delivered fresh regularly to guarantee maximum taste and freshness
  • 24. 6b. Product Description Sundaes are made from milk, sugar, palm oil and stabilizer – a necessary ingredient to give the smooth creamy taste
  • 25. 6b. Product Description All eggs have thick whites and round, well-centered, protruded yolks. That is because McDonald’s uses farm-fresh, low-cholesterol, grade-A eggs, each going through the rigorous candling process. These eggs are washed and sanitized to remove dirt, then re-coated with mineral oil to ensure they are clean. These are chilled and are only cracked before cooking to retain its quality and taste
  • 26. 6b. What sets McDonald’s apart from competition McDonald’s maintains one of the most stringent food standards in the world. Every product is meticulously prepared, with superior quality ingredients from McDonald’s approved suppliers, so customers are assured that all McDonald’s products are fresh, safe, and delicious Quality and Safety : This is McDonald’s promise when it comes to food
  • 27. 7. Price Comparison of package meals against Jollibee as of 2011
  • 28. 7. Price Comparison of package meals against Jollibee as of 2011
  • 29. 7. Price Conclusion
    • McDonald’s and Jollibee’s products are priced almost similarly except on Chicken meals where McDonald’s are priced 19% higher
    • Both company uses package meals sold at lower prices to encourage sales
    • Jollibee offers more package meals and sold at lower prices
  • 30. 8a. McDonald’s modes of promotion (mass) 1. The promotions aspect of McDonald’s covers all types of marketing communications. One of the methods employed is advertising, sometimes known as ‘above the line’ activity. Advertising is conducted on TV, radio, in cinema, online, using poster sites and in the press for example in newspapers and magazines
  • 31. 8a. McDonald’s modes of promotion (mass) McDonald’s commercials: http://www.youtube.com/watch?v=PmrTDZy3f2M http://www.youtube.com/watch?v=8VdG8eCxors&playnext=1&list=PL62AA6108C2524211 http://www.youtube.com/watch?v=sxlyWieYZsE&feature=related
  • 32. 8a. McDonald’s modes of promotion (mass) 2. Sales promotion
  • 33. 8a. McDonald’s modes of promotion (mass) 3. Public relations
  • 34. 8a. McDonald’s modes of promotion (mass) 4. Events and Experiences
  • 35. 8a. McDonald’s modes of promotion (personal)
    • 5. Direct marketing
    • Interactive marketing
    • Personal selling
    • Word of mouth
  • 36. 8b. Competitor promo http://www.youtube.com/watch?v=SWEv3gdcbms Jollibee commercials: http://www.youtube.com/watch?v=3qIDUa-zzLs&feature=related http://www.youtube.com/watch?v=vNki_ol8lvk KFC commercial:
  • 37. 9. McDonald’s is a landmark
    • Stores are located in malls, near schools and offices in cities and provinces
    • Nationwide
    • 24-hour delivery service
  • 38. 10. What is the generic winning strategy?
      • Low Cost Producer
      • Supply and Distribution Leverage
      • Differentiation
      • Niche
  • 39. Sources http://www.mcdonalds.com.ph/ http://www.pecc.org/food/papers/2005-2006/Philippines/ppecc-catelo-paper.pdf http://www.oppapers.com/essays/Jollibee-Case/343260?topic On market share and sales: On products: http://www.cnbc.com/id/41699042/TABLE_Philippines_Jollibee_Q4_net_income_up_16_pct
  • 40. SUMMARY
  • 41.
    • McDonald’s SM Fairview’s primary target market are shoppers of the mall
    • Who want to satisfy their hunger fast
    • Can choose Jollibee and KFC
    • Gap is nearby fast-food restaurants are always crowded and food is served slower
    • The market size is the average daily foot traffic of 130,000 of the mall
    Steps 1 to 5 Summary headline of your PTM and market
  • 42.
    • McDonald’s is a fast-food giant that offers standard products worldwide
    • Is priced relatively at par with Jollibee, 2% less than KFC and 15% less than Chowking
    • Brand advertised thru TV, radio, print, events & experiences
    • Conveniently located inside SM Fairview
    • Uses location and available space to win customers
    Steps 6 to 10 Summary headline of the marketing mix & strategy