McDonald's is issuing a request for proposals to three major holding companies to find a single creative agency to work on its massive U.S. business. McDonald's currently has Omnicom's DDB and Publicis' Leo Burnett handling the bulk of its national advertising. Both Omnicom and Publicis are part of the RFP process that begins Monday, along with WPP. The move comes as McDonald's has determined that it wants a more uniform set of creative and strategic ideas. It also wants to be able to push those concepts more rapidly across the variety of channels where it puts its messaging, including everything from its mobile app to television commercials.

1. NEW BUSINESS PITCH
I’M LOVIN’ IT

2. NAME BRAND PITCH TYPE
Advertising
Work
MARKET
United States
DATE
April 26 , 2016
The Data You Need to Win This Pitch
McDonald’s puts
U.S. creative
account in review.
th
DESCRIPTION
McDonald's is issuing a request for proposals to three major holding companies to find a single creative agency to work on its massive
U.S. business. McDonald's currently has Omnicom's DDB and Publicis' Leo Burnett handling the bulk of its national advertising. Both
Omnicom and Publicis are part of the RFP process that begins Monday, along with WPP. The move comes as McDonald's has
determined that it wants a more uniform set of creative and strategic ideas. It also wants to be able to push those concepts more
rapidly across the variety of channels where it puts its messaging, including everything from its mobile app to television commercials.

3. Client Profile / Market
Dick and Mac McDonald opened their eponymous burger stand in
1948 in San Bernardino, Calif.
Under the guidance of Ray Kroc, a onetime milkshake-mixer
salesman wowed by the restaurant's success, McDonald's
franchises grew swiftly: by the end of the 1960s, there were more
than 1,000 across the U.S.
The first international franchise opened in 1967 in British
Columbia, and was followed by another in Costa Rica later that
year. From there, the chain spread steadily: over a six-month
period in 1971, Golden Arches popped up on three new
continents, as stores launched in Japan, Holland and a suburb of
Sydney.
A Brazilian McDonald's opened in 1979, bringing Ronald
McDonald to South America for the first time. McDonald's
reached its sixth (and, barring a sub-Arctic drive-thru, final)
continent in 1992, with the opening of a restaurant in Casablanca,
Morocco.
FINANCIAL OVERVIEWCOMPANY BACKGROUND
MAIN COMPETITORS
2015 Sales (mil)
2015 Employees
Employee Growth Percent
Assets (mil)
Net Income Growth Percent
Sales Growth Percent
25,413
420,000
NA
37,938.699
-4.8%
-7.4%

4. Fast Food industry in numbers
2015 U.S. REVENUE
$225b- IBISWorld -
50% 50%
Quick Service Restaurants (Fast Foods + Fast Casual)
account for half of sales in the entire restaurant sector
OTHERS QSR
200,000FAST FOOD IN THE U.S.
ANNUAL GROWTH 10-15
2.5%- IBISWorld -

5. Americans and Fast Foods
FAST FOOD FREQUENCY
AMERICANS EAT AT ONE FAST
FOOD EVERYDAY
50MLN
- Pew Research Center -
30%OF CHILDREN AND ADOLESCENTS,
AGED 2-19, CONSUME FAST FOOD
ON A GIVEN DAY
- CDC's National Center for Health Statistics -

6. Fast Food: a convenient choice
AMERICANS SPEND
10%
OF THEIR DISPOSABLE
INCOME ON FAST FOOD
EVERY YEAR. 20% OF ALL AMERICAN MEALS
ARE EATEN IN THE CAR
30%
22,5%
7,5%
0%
15%
In-N-OutFive GuysMcDonald’s
29%
11%
9%
17%
12,7%
4,25%
0%
8,5%
WhataburgerIn-N-OutFive Guys
17%
11%
17%
FAST FOOD WITH
THE BEST FRIES
FAST FOOD WITH THE
BEST BEEF BURGER
Cheap 31,7%
I just Like it 30,6%
Lack of other
Options
13,2%
Other 5,6%
Convenient 67,2%
REASONS TO EAT AT FAST FOOD RESTAURANTS
- Stanford University Research - - Advocate Health Care -
- YouGov, June 2015-

7. McDonald’s still the biggest player
40.000
30.000
10.000
0
20.000
McDonald’s
FAST FOOD by REVENUE
Starbucks Subway Burger King Wendy’s Taco Bell
35.447
12.688
11.900
8.640 8.512
8.200
McDonald’s 2015 Global revenue
$25.4b
of its system restaurants
40%
U.S. Market represents

8. The Golden Arches had to Face 2 Years of Decline
McDonald’s 2015 Expenditure
On measured media
$824M
(not franchised) outlet
stores in 2015
154
In U.S. McDonald’s closed
1
0
- 2
- 1
McDonald’s U.S. BUSINESS FINALLY IMPROVING
- 3
0.70%
Q3-13
Q4-13 Q1-14 Q2-14 Q3-14 Q4-14 Q1-15 Q3-15
-1.40%
-1.70%
-1.5%
-3.30%
-1.70%
-2.6%
-2%
Q3-13
0.90%
The restaurant chain’s U.S. comparable sales rose for the first time in 2 years in the third quarter
Source: Company Filings

9. McDonald’s Innovation to Rise Again
ALL DAY BREAKFAST CREATE YOUR TASTE GREEN COMMITMENTS
“Sales for Egg McMuffin in September
were up 21% compared to the in-going
period”
Mike Andres, president of
McDonald’s USA
- Nov. 2015 -
The company is working with
franchisees to develop a consistent,
predictable and compelling national
value platform.
“The new platform will not be tied to a
singular price point, but it will enable
our customers the opportunity to
bundle their own meals to suit their
desire, which they have indicated to
us is very important to them”
The company previously committed to
sourcing antibiotic-free
chicken by 2017
McDonald’s plans to use
only cage-free eggs over
the next decade
McDonald’s also has
changed beef-cooking
and bun-toasting
procedures to produce
tastier, juicier
hamburgers.

10. Consumer trends
83% of consumers like to patronize restaurants known for treating their employees well.
73% of respondents choose to patronize restaurants that support their local community or
causes they believe in.
At restaurants that promote positive business practices and responsibly source ingredients,
52% expect fresher food, 48% expect healthier food, 45% expect the food to taste better, and
33% expect the food would cost a bit more but be worth it.
The top menu claims that influence consumers' menu choices were: Fresh (86%); Local (73%);
Whole Grain (68%); All Natural (66%); and No High Fructose Corn Syrup (62%).
Other menu claims that influence ordering include: Grass Fed/Pasture Raised (59%); Hormone
Free (57%); Antibiotic Free Protein (56%); Free Range/Free Roaming (55%); Non GMO (55%);
Sustainably Caught/Raised (54%); Fair Trade (54%); Heirloom Fruits and Vegetables (52%); Cage
Free (52%); and Organic (50%).
40%
30%
10%
0
20%
Jersey Mike’s Subs
FASTEST GROWING RESTAURANT CHAINS
Chipotle Mexican Grill Firehouse Subs
- Nation’s Restaurant News, June 2015 -
Total Unit GrowthSales Growth

11. THOUGHTFUL
EATERS
• • •
• • •
QUICK DEFINITION
“These young consumers are responsible about their diet. Food
for them is a source of nutrition as well as enjoyment. They are
not on any particular diet, rather do their best to eat a healthy,
balanced lineup of meals. They try to eat breakfast every day,
regularly eat organic foods, and rarely eat fast food. Eighty-five
percent of this segment are female.”
HEALTH RESTAURANTS PEOPLE AND
SOCIETY
FOOD

12. THOUGHTFUL EATERS: FOOD MCDONALD’S
AUDIENCE CROSSOVERS
Organic & Natural foods
are poorly popular
(P: 48.3)
The Foodies trait is popular also on
McDonald’s audience
(P: 173.6)
Udi’s (R 46.9). Van’s foods (R 41.1) and
Earthbound Farm (R 78.9) are not
appreciated food brands.
Juicing Vegetable (R 34.0), Food Babe
(31.2) and 12Tomatoes (51.9) are not
followed.
TOP FOOD BRANDS TOP FOOD REFERENCES
UDI’S
VAN’S
FOODS
EARTHBOUND
FARM
JUICING
VEGETABLES
FOOD
BABE
12
TOMATOES
FOODIES
168.6
( popularity index )
ORGANIC &
NATURAL FOOD
199.6
( popularity index )
KNOW
MORE?
KNOW
MORE?

13. THOUGHTFUL EATERS: RESTAURANTS MCDONALD’S
AUDIENCE CROSSOVERS
Peet’s Coffe (R 50.2), Earth Fare (R 82.5)
and The Cinnamon Snail (R 83.6) are
underindexing.
McDonald’s audience underindexing on
Fine Dining Restaurants
(P: 73.2)
35% of McDonald’s followers is interested
in Casual Dining Restaurants
Chez Panisse, Seasons 52 (R 57.6) and
Commander’s Palace are underindexing.
TOP SERVICES
EARTH
FARE
PEET’S
COFFEE
THE CINNAMON
SNAIL
FINE DINING 26.8%
RESTAURANTS
122.9
( popularity index )
TOP SERVICES
CHEZ
PANISSE
SEASONS
52
COMMANDER’S
PALACE
Interested in casual dining
restaurants, food trucks
& others
KNOW
MORE?
KNOW
MORE?

14. THOUGHTFUL EATERS: PEOPLE & SOCIETY MCDONALD’S
AUDIENCE CROSSOVERS
They are not Local Participants at all
(P 9.1)
Just the 58.8% of McDonald’s audience is
interested in People & Society.
Social Issues and Advocacy (46.9%)
And Green living and Environmental
issues (P 32.4) don’t catch their attention.
The Non-GMO project is almost unknown
to the McDonald’s audience
(R 21.3)
80.8%
Interested in
People & Society
70.2%
cares about Social
Issues & Advocacy
Green Living &
Environmental Issues
187.7
popularity
TOP ORGANIZATION /
MOVEMENT
NON GMO
PROJECT
LOCAL PARTICIPANTS
128.5
( popularity index )
TOP SOURCES
NATURAL
NEWS
ATTAINABLE
SUSTAINABLE
ONE GREEN
PLANET
KNOW
MORE?
KNOW
MORE?

15. THOUGHTFUL EATERS: HEALTH MCDONALD’S
AUDIENCE CROSSOVERS
Sunwarrior’s holistic approach doesn’t
attract at all the McDonald’s audience.
People interested in McDonald’s isn’t
Health Conscious at all
(P 15.8)
Herbs & Oils World (R 29.5) and Mountain
Rose Herbs (R 22.7) aren’t relevant
brands.
All the resources exploited by Thoughtful
eaters are little relevant to people interest
in McDonald’s.
TOP HEALTH RELATED NEWS SOURCES
GLUTEN FREE
RESOURCES
DIRECTORY
MINIBODY
GREEN
EVERYDAY
ROOTS.COM
HEALTH
CONSCIOUS
192.7
( popularity index )
TOP HEALTH BRANDS
SUNWARRIOR
HERBS &
OILS WORLD
MOUNTAIN
ROSE HERBS
KNOW
MORE?
KNOW
MORE?

16. 4.5%
THOUGHTFUL
EATERS
McDonald’s - Thoughtful Eaters
Adherence
McDonald’s audience
share just the 4.5% of
Thoughtful Eaters
behavior on Food,
Restaurants, People
& Society matters
and Health.

17. CONSUMER
INSIGHTS SUITE
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