McDonald's grew into a global brand under the leadership of Ray Kroc by focusing on quality, service, cleanliness and value. Over the years, McDonald's has adapted its menu and restaurant formats to different cultures while also introducing healthier options and premium products. However, McDonald's may face challenges in the future from concerns about the health effects of fast food and keeping up with changing consumer preferences.

1. McDonald’s
Q. Answer the Question.
(Fun + Family & Friends + Quality Food) = ?
It’s for sure
McD ! I’m lovin’ it.

2. History
Rey Kroc
Multimixer Salesmen
McDonald Brothers
Runners of Successful but
small Restaurant
Vision

3. Brand’s Core Values
During its rising days Kroc led McDonald’s. He always
reinforced the importance of quality, service,
cleanliness and value.
1.
• Quality of Product
2.
• Service
3.
• Cleanliness
4.
• Value
Building Customer-based
brand equity.

4. Advertising
Ronald
McDonald
Mayor McCheese
Hamburgler
Grimace
It helped in luring children
into restaurant for familiar
food experience.

5. Charity Work
McDonald’s open several services for a charitable
cause. It was meant to help children with leukemia.

6. Challenging Days
• As McDonald’s aggressively expanded overseas it had a
tough time there after.
• During 1990s to 2000s they lost their focus.
• As new employees weren’t trained well, it lead to poor
customer service and dirtier restaurants.

7. “Plan To Win” Strategy
1. People
2. Products
3. Promotions
4. Price
5. Place
McDonald’s started refocusing on higher quality consumer experience. Also they defined 5
Ps to gain stability in different environment and cultures.

8. Globally Improvement
Bacon Roll sandwich in UK
Premium M Burger in France
McPuff in China
Customizing
according to user
needs and wants.

9. Concept of Healthy Food
Perfect Alternative
As customers desired healthy foods, hence McDonalds came up with premium
salads and apple slices instead of French Fries in its Happy Meals.

10. Charging Premium Value
The healthier options targeted moms and
charged premium price.
Here is the role of Brand. Translation
of loyalty of consumers into
willingness to pay higher price.

11. Targeting Teenagers and Lower
Income Consumers
Feasibility is one of the integral abilities of the progressing firms. So in order to
accomplish such ability McDonald introduced $1 menu.

12. Services Updated
They did Brand Reinforcement
to avoid diminishing of brand
awareness and weakening of
brand image.
Wi-Fi Facility
Refurbishing Restaurant
Increasing Product Depth

13. Zoning in Restaurants
1. Linger Zone 2. Family Zone
3. Efficient Zone
McDonald’s segregated the sitting arrangements made in restaurants for efficient
accommodation of customers.

14. Introducing McCafe
When McDonald reviewed the competitive
frame of reference it realized that
Starbucks, Dunkin’ Donuts and Caribou
Coffee were affecting its market share.
Thus it led to origin of McCafe. Which
directly targeted consumers in blooming
coffee industry and stole market share
from its competitors.

15. The New York Times Talk
• Kroc’s Giving, Like McDonald’s Meals, Was Fast and Super-Sized
THIS is a story of a twice-divorced businessman and his beautiful third wife.
By PAUL SULLIVAN
Jan 20, 2017
• McDonald’s Introduces Screen Ordering and Table Service
McDonald’s on Thursday announced changes that could reshape the diner’s experience,
saying that it would expand its digital self-serve ordering stations and table service to all
of its 14,000 American restaurants.
By STPHANIE STROM
Nov 17, 2016

16. Wall Street Journal Talk
• McDonald’s China Franchise Deal Could Fetch Up to $2 Billion Up Front
U.S. private-equity giants Carlyle Group, TPG and Bain Capital, among others, have shown
interest.
By WAYNE MA in Beijing and RICK CAREW and KANE WU in Hong Kong
Oct. 4, 2016
• McDonald’s Turns to Social Media to Draw Millennials
Fast-food chain recently hired 200 people to bolster its digital efforts and win back young
adults
By JULIE JARGON
Oct. 13, 2016

17. Question 1.
What are McDonalds core brand values? Have these changes over the years?
Instant
Answer -
Then
Now

18. Question 2.
How has McDonald’s grown its brand equity over the years? Has McDonald’s
changed in different economic times or different parts of the world? Explain.
Answer -
McDonald’s has grown its brand equity by being loyal
to consumers. Reducing cost and enhancing quality.
Also consistently attracting children.
McDonald’s has changed in different economic times
and different parts of worlds too.
Changes
according to
economic
times.
Chinese Culture
Indian Culture
US Culture

19. Question 3.
What are the risks do you think McDonald’s will face in the future?
Answer -
As McDonald’s sells is altogether a fast food. It is not good for health. Such food
consumption might suit the western people but not all, because needs of body changes
according to the surrounding environment
Over Consumption
People being more health cautious nowadays, it is need of time to make products which are
not harmful to health. It needs to explore in it and increase its product length.

20. Recap
• History
• Core Brand Values
• Advertising
• Charity Work
• Challenging Days
• “Plan to Win” Strategy
• Globally Improvement
• Concept of Healthy Food
• Charging Premium Values
• Targeting Teenagers and Lower – Income Consumer
• Services Updated
• Zoning of Restaurant
• Introducing McCafee
• The New York Times Talk
• Wall Street Journal Talk
• Questions

21. Disclaimer
Created by Utkarsh Rajesh Dighe, VIT Pune, during a
marketing internship by Prof. Sameer Mathur, IIM
Lucknow.