Pierre Woreczek (McDonald's) iStrategy London

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Pierre Woreczek discusses McDonald's social media campaigns at iStrategy London. How crowdsourcing is a key recipe for the fast food giant.

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Pierre Woreczek (McDonald's) iStrategy London

  1. 1. HOW TO CREATE GREATER CUSTOMER ENGAGEMENT THROUGH CROWDSOURCING? McDonalds Germany „Make Your Own Burger‟ 2011 Campaign Pierre Woreczek iStrategy Conference, London, May 2012
  2. 2. McDonald’s inthe new digitalcontext
  3. 3. THE RULES OF THE GAME HAVE CHANGED The consumers voices have become louder than traditional marketing
  4. 4. SOCIAL MEDIA GIVEINDIVIDUAL THE POWER TOINFLUENCE THE WORLDAROUND THEM 90% of consumer trust peer recommendations 100 60 5 3 2 10 ONLY 14% trust advertisements
  5. 5. DIGITAL REVERSED THE WAYBRAND & CUSTOMERSINTERACT From brand to customers From With the digital, people are empowered, people to have access to resources like never the brand before, get organized and are able to take action.
  6. 6. DIGITAL IS NEITHER A NEW MEDIA,NOR A NEW COMMUNICATIONTOOL… PRODUCTION CUSTOMER DISTRIBUTION RELATIONSHIPIT’S A REVOLUTIONARY BUSINESS ENGINE
  7. 7. “ We do not have a choiceon whether we DO social media, The question is how well we do it Erik Qualman ”
  8. 8. SOCIAL MEDIA The moreOFFER HUGE you are the more you can do DirectPOTENTIAL Source of feedback is creativity pricelessFOR BRANDS “Always on” customers Doing good Fans = in their life best is the advocates strongest link WoM, amazing com tool
  9. 9. THERE ARE MANY REASONS FORUS TO EMBRACE SOCIAL MEDIA Democratic Open & brand Transparent Young adults Techno oriented savvy Leader
  10. 10. LOOKING AT WHAT OURCONSUMERS WANTTo take part in To be more To be the star of To feel more the creation involved in what the kitchen listened process the brand does TO ENGAGE
  11. 11. THERE IS A BIG OPPORTUNITYFOR USConvert frequent young usersinto advocates throughgreater engagement
  12. 12. How did weapproach it?
  13. 13. EVERYTHING STARTED INGERMANY FROM A SIMPLEINSIGHT Our consumers love playing and experimenting with our products
  14. 14. USING CROWDSOURCING Crowdsourcing is how the power of the many can be leveraged to accomplish things that were once the responsibility of a specialized few. The crowd is more than wise, it’s talented, creative and stunningly productive.“Crowdsourcing, why the power of the crowd is driving the Future of Business” by Jeff Hove - 2009
  15. 15. CROWDSOURCING IS MUCHMORE THAN COMMUNICATIONMany companies have done some.But most of them have used it only asa communication mean. Crowdsourcing helps brands walking toward a new model of collaboration.
  16. 16. AFTER DECADES OF FOOD INNOVATION ...... WE DECIDED TO LET YOU DECIDE
  17. 17. AN INNOVATIVE STEP INBURGER CREATION
  18. 18. KEY PRINCIPLES FOR THE FIRST TIME, CONSUMERS CAN  Create their own burger recipe online  Design their digital campaign and promote it on social media  See their burger sold across the country DO YOUR OWN BURGER
  19. 19. OBJECTIVES• Create excitement around promotional burgers and generate footfall• Create digital buzz through viral elements & social media• Improve RMS thanks to free media coverage• Improve brand bond by leveraging positively consumers’ ego
  20. 20. …AND ALSO• Empower consumers and turn them into brand ambassadors• Position McDonald’s as a digital innovator
  21. 21. A 4 STAGE PROCESS CREATION: People create their own burger online 1 from a selection of 100 ingredients PROMOTION: They promote their burger trough 2 social network, videos, pictures and Facebook pages to get the most votes FINALISATION: The creators of the top 10 burgers are 3 invited at McDonald’s to refine their recipe with chefs ROLL OUT: The 5 winning burgers are selected by a 4 jury of food specialists and sold in all McDonald’s restaurants across the country
  22. 22. STAGE 1 - CREATION• Meinburger application launched to allow consumers to create new recipes and vote for their favorites
  23. 23. STAGE 1 - CREATION People created their own unique burger from 70 ingredients More than 5,000,000 possibilities, all achievable in our restaurants
  24. 24. STAGE 1 - CREATION Burger inventors got an overview of their burger and found out details about calories and quality of each ingredient
  25. 25. STAGE 1 - CREATION Burger inventors choose a name for their burgers before it is published
  26. 26. STAGE 2 - PROMOTION To generate more buzz, we gave people banners, a facebook profile and posters featuring their creation
  27. 27. STAGE 2 - PROMOTION Contestants could promote their burgers with a personalized video, in which they were shown as famous burger inventors
  28. 28. STAGE 2 - PROMOTIONPeople succesfullypromoted their burger bytheir ownFacebook Fan page of Kann, 800 000 + fans ! Steve, winner of the contest on World of warcraft forum
  29. 29. STAGE 2 - PROMOTION Inventors invite their friends to vote for their burgers, spreading the word about the campaign
  30. 30. STAGE 3 - FINALISATION The top 10 burgers made it into the McDonald’s kitchen
  31. 31. STAGE 3 - FINALISATION After building, tasting and finetuning their burgers, the contestants presented their creations to a jury. Based on appearance, creativity and flavour, the jury choosed the top 5 burgers.
  32. 32. STAGE 3 - FINALISATION Fans could vote on line for their favourite and the Winner was announced.
  33. 33. STAGE 4 – ROLL OUT
  34. 34. STAGE 4 – ROLL OUT
  35. 35. German TV Ad 2011
  36. 36. Case Study Video
  37. 37. What did welearn?
  38. 38. WE HAD GREAT RESULTS « We really did not expect to have this much success with the campaign. The access we had was in part 40, 50, 60 times higher than previous successful campaigns » Norma Rockmann, Razorfish Germany
  39. 39. .RESULTS OF THE FIRST EDITION..... 116.000 Burgers created............... 1.500.000 Votes Every 23 sec. a burger was created....... 12.000 Individual Campaigns........ 2.000.297 Campaign views on the McD Site......... 21.100 Facebook Likes 120.000 additional Facebook fans
  40. 40. THE 2nd EDITION ACHIEVED...EVEN BETTER RESULTS... 327.653 Burgers created............... 4.995.278 Votes Every 7 sec. a burger was created....... 22.895 Individual Campaigns........ 3.287.297 Campaign views on McD Site......... 37.150 Facebook Likes 200.000 additional Facebook fans
  41. 41. HUGE MEDIA COVERAGEONLINE & OFFLINE 41
  42. 42. AD OF THE YEAR Highest Likeability of the yearHighest ad recall of the year Ad Treck Report “Mein Burger”
  43. 43. NEW RECORDS ON FACEBOOKPOSTS AND FANS#1 Facebook fan page in Germany In the history of McDonald’s there were never so many McDonald’s have never won Facebook posts for a so many new Facebook Fans campaign throughout a campaign before
  44. 44. BEST EVER PROMOTIONAL CAMPAIGN IN SALES Mein Burger brought more guest to No campaign McDonald’s than any achieved as many other campaign before sales as “Mein Burger” The winner burger “Just All 5 wining burgers Stevinho” is the best exceeded all sold Chicken promotion expectations by far burger of the last 3 and were even partly years sold out 44Results – internal sources
  45. 45. GREAT BENEFITS FORTHE BRAND BOND QUALITY LEADERSHIP MODERNITY Opportunity to The first crowd Opportunity to Social media create an sourcing talk about the exposure & emotional experience with ingredient customisation connection with burgers quality and story trend consumers And also ... Low budget cost
  46. 46. ... AND ALSO FORTHE CONSUMERS VALORISATION CELEBRITY CUSTOMIZATION INSIDER Feel Famous on Get behind the Can create the empowered social network scene of burgers burger of their and listened but also TV, POP, creation and choice among radio meet the chefs +100 ingredients
  47. 47. A GREAT RESOURCEFOR R&D 460,000 recipes created in 2011 and 2012 We know better which ingredients and combinations consumers want - Duncan Cruttenden, R&D Manager, McD Germany
  48. 48. 5 THINGS TO REMEMBERFOR YOUR DIGITAL AGENCY Ensure that the platform is secure against hack attacks Run a stress test on the platform before you start Do not underestimate the number of participants, especially in the first hours and days Put a lot of care and attention in the design and navigation Get your community manager ready
  49. 49. COMMUNITYMANAGEMENT ISA VERY SENSITIVE TOPIC Involve Communication Department Be transparent and communicate openly and honestly with the community at any stage Never change the rules within the running campaign Be prepared to act fast
  50. 50. SOME REMAINING QUESTIONS Are we still going to be recognized for our expertise of burgers creators? What are the longer term effect on our relationship with customers? What do they expect next?
  51. 51. CONCLUSIONS• Digital technologies enable companies to better know, understand and collaborate with consumers but in exciting new ways.• Digital is not a new media. It is a new platform that generates new services.• The quest for the R Factor - Consumer Relevance - should lead the transformation process of the companies.• Social CRM is making traditional CRM outdated.
  52. 52. THANK YOU Pierre Woreczek iStrategy Conference, London, May 2012

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