Mc donald’s (2)


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Mc donald’s (2)

  1. 1. MCDONALD’SINDIA. By Umapathi 11hm18 NITK,SURATHKAL
  2. 2. CONTENTS Company Profile Before coming to India India Vision & Entry Indian Market Supply Chain Management Product Adoption Targeting Markets Marketing Strategy Promotional Techniques Success story
  3. 3. COMPANY PROFILE Established in 1955, head quarters: Oak Brook, Illinois, U.S. Presence in 119 countries Revenue: $24 billionsVision:McDonalds complete commitment to Quality,Service, Cleanliness and Value (QSC&V)
  4. 4. BEFORE COMING TO INDIAAnalysis about India: Huge Sub-continent 4 times the population of the US 4th largest economy Size of „Eating Out‟ market- substantial Consumer spending growing Highly fragmented food market Millions of roadside stalls / carts- major market share Udipi, Sandwich, PavBhaji, Chaats, Chinese,Namk eens, Pizza Organised chains- Narula‟s, Wimpys, Udipis
  5. 5. CONTINUE… 20 major languages, 800+ dialects 50% population literate Advertising-Billboards, Print , Electronic 8 languages for National launch
  6. 6. INDIA VISION & ENTRY To be India‟s "best" quick service restaurant experience - supported by principles and core values Entered in 1996, 50:50 Joint Venture with ConnaughtPlaza Restaurants-Vikram Bakshi- North &Hardcastle Restaurants-Amit Jatia- West Trained extensively, along with their Indian management team, in McDonalds in Indonesia and the US before launch Always been a franchising Company
  7. 7. INDIAN MARKET 1991 Open to FDI KFC (1995), Kelloggs (1991) were not succeeded Overconfidence, Lack of demand High cost, lack of local taste and Over estimation on demand Inappropriate strategies and Limited purchase power Significant vegetarian population
  8. 8. SUPPLY CHAIN MANAGEMENT Local network for supply chain & distribution Local suppliers, distributors to mat Quality and hygiene standards Invested Rs 50 crore in setting up, before opening 1st outlet and by 2000- Investment in supply chain – Rs 300 crore.Geographically diverse sourcing: Buns from North Chicken & Cheese from West Fish, Lettuce & Pickles from South 98% paper, locally sourced French fries imported from Indonesia 40 suppliers in the chain
  9. 9. PRODUCT ADOPTION The Indian Challenge Menu Development Restaurant Management System International Standards Family Restaurant Value Pricing Respect to Indian customs and Culture. Widening Customer base Community Partnership /CSR
  10. 10. MENU Veg McCurry Pan Chicken McCurry pan Maharaja mac Mexican style wraps Paneer salsa Veg burger McVeggie Pizza McCuff Veggie Mc Muffin Chicken Patty McAloo Burger French fries Beverages Ice creams etc.
  11. 11. TARGETING MARKETS Kids & The Young family (<30 years) Only < 10% population-possible target market Concentrate on metros, then open branches in other citiesPhase I- Focus on cities of relatively high incomeswhere citizens are exposed to western food & culturePhase II- Move to smaller satellite towns (Gurgaon,Pune)- Positive spillover effect of reputationJaipur & Agra- To attract foreign touristsPhase III- Malls, Multiplexes, Highways, Stations &Airports
  12. 12. MARKET STRATEGY Promotional strategy to convey world class experience Indian adaptations, freshness, nutrition & value Shift from worldwide positioning of drive-in convenience and speedy service Segment- The Young family (<30 years) Target- The young family who eats out Focus- Attracting children, so family follows Positioning- „McDonalds mein hai kuch baat‟ – a place for the entire family to enjoy Differentiation- highlighting brand, food & variety Happy meal film on Cartoon Network, Zee Special promotions during festivals Get Lucky Promotional schemes
  13. 13. PROMOTIONAL TECHNIQUESBefore adopting promotional techniques, McDonalds survey. Ratio of Veg n non Veg customers visiting McDonald‟s Favorite product? Do you find the product line satisfactory? Favorite Advertisement? Do you find McDonald‟s value for money? Problems faced in the visits to McDonald‟s? Suggestions to improve McDonald‟s? Unique selling promotion in McDonald‟s?
  14. 14. SUCCESS STORY After analyzing Marketing mix Mc Donald applied “Think Global, act local” policy which is the main reason for their success in India. The Profits as compared with 2004, in 2010 got doubled More than 200 outlets established in India Planned for more outlets and diversification by implementing breakfast items and new menu like McAloo tikka etc.