Service Marketing

[Type the document subtitle]

1/2/2012

Presented By

SHOBHA MADHURI. M

Roll No: 144

Restaurants

Nature of the Restaurants

Goods and services. Food services and drinking places may be the world's most

widespread and familiar industry. These establishments include all types of

restaurants, from fast-food eateries to formal dining establishments. They also

include cafeterias, caterers, bars, and food service contractors that operate the

food services at places such as schools, sports arenas, and hospitals.

Industry organization. In 2008, there were 546,300 privately owned food

service and drinking places across the United States. As shown in table 1, about

47 percent of establishments in this industry are limited-service eating places,

such as fast-food restaurants, cafeterias, and snack and nonalcoholic beverage

bars; these establishments primarily serve patrons who order or select items and

pay before eating. Full-service restaurants account for about 39 percent of

establishments and cater to patrons who order, are served, and consume their

food while seated, and then pay after eating. Drinking places (alcoholic

beverages)—bars, pubs, nightclubs, and taverns—primarily prepare and serve

alcoholic beverages for consumption on the premises. Drinking places comprise

about 9 percent of all establishments in this industry. Special food services, such

as food-service contractors, caterers, and mobile food-service vendors, account

for 5 percent of establishments in the industry.

The most common type of a limited-service eating place is a franchised operation

of a nationwide restaurant chain that sells fast food. Features that characterize

these restaurants include a limited menu, the absence of waiters and waitresses,

and emphasis on limited service. Menu selections usually offer limited variety and

are prepared by workers with minimal cooking or food-handling skills. Food

typically is served in disposable take-out containers that retain the food's warmth,

allowing restaurants to prepare orders in advance of customers' requests. A

growing number of fast-food restaurants provide drive-through and walk-up

services.

Cafeterias are another type of limited-service eating place and usually offer a

somewhat limited selection that varies daily. Cafeterias also may provide separate

serving stations for salads or short-order grill items, such as grilled sandwiches or

hamburgers. Patrons select from food and drink items on display in a continuous

cafeteria line or from separate food stations that may cluster items according to

serving temperature or type of dish, such as appetizers, salads, or desserts.

Cafeteria selections may include foods that require more complicated

preparations and greater culinary skills than are required in fast-food restaurants.

Selections usually are prepared ahead in large quantities and seldom are cooked

to the customer's order.

Limited-service snack and nonalcoholic beverage bars carry and sell a

combination of snacks, pastries, nonalcoholic beverages, and other related

products, but generally promote and sell a unique snack or beverage for

consumption on or near the premises. For example, some prepare and serve

specialty snacks including ice cream, frozen yogurt, cookies, or popcorn. Others

serve primarily coffee, juices, or soda.

Full-service restaurants typically offer several menu categories, including

appetizers, entrees, salads, side dishes, desserts, and beverages, with varied

choices within each category. Chefs and cooks prepare items to order, which may

run from grilling a hamburger to composing a more complex and sophisticated

menu item. Waiters and waitresses offer table service in comfortable

surroundings. Patrons increasingly eat at mid-scale or family restaurants, typically

run by a national chain. These restaurants usually offer efficient table service, and

well-priced familiar menu items prepared by moderately skilled kitchen workers.

By contrast, customers at upscale dining places tend to seek a nicer atmosphere

with skillfully prepared cuisine and leisurely, professional service. While chains are

an important segment of the restaurant market, many restaurants remain

independently owned and locally operated.

Some drinking places also offer patrons limited dining services in addition to

providing alcoholic beverages. In some States, drinking places also sell packaged

alcoholic beverages for consumption off the premises. Establishments selling

alcoholic beverages are closely regulated by State and local alcoholic beverage

control authorities.

Finally, the food services and drinking places industry covers a variety of special

food services establishments, including food service contractors, concession

stands at sporting events, catering firms, and mobile food services, such as ice

cream trucks and other street vendors who sell food.

Recent developments. Technology influences the food services and drinking

places industry in many ways by enhancing efficiency and productivity. Many

restaurants use computers to track orders, inventory, and patron seating. Point-of-

service (POS) systems allow servers to key in customers’ orders, either tableside

using a hand-held device or from a computer terminal in the dining room, and

send the order to the kitchen instantaneously so preparation can begin. The same

system totals and prints checks, functions as a cash register, connects to credit

card authorizers, and tracks sales. Many managers use inventory-tracking

software to compare the record of sales from the POS with a record of present

inventory to minimize food costs and spoilage. Some establishments enter an

inventory of standard ingredients and suppliers into their POS system. When

supplies of particular ingredients run low, additional inventory can be ordered

directly from the supplier using this preprogrammed information. Computers also

allow restaurant and food service managers to more efficiently keep track of

employee schedules and pay.

Food service managers use the Internet to track industry news, find recipes,

conduct market research, purchase supplies or equipment, recruit employees, and

train staff. Internet access also makes service to customers more efficient. Many

restaurants maintain Web sites that include menus and online promotions,

provide information about the restaurant's location, and offer the option to make

a reservation. Wireless communication headsets are now being used by some

managers, hosts and hostesses, and chefs. Headsets allow a means of hands-free

communications with other staff so that they can prevent order backups in the

kitchen, better serve patrons in the dining room, or more easily accommodate

special requests, such as large groups, diners with special dietary needs, or

disability accessible seating requirements. Other wireless technology systems

allow managers to monitor orders placed through individual terminals or by

particular employees, instantly check inventories, and ensure timely preparation

of customers' orders.

Diners continue to express their preferences for fast, on-the-go menu choices, and

restaurants of all types are responding. In addition to the typical fast-food

restaurant that offers drive-thru service, many restaurants, including full-service

restaurants, now routinely accept carryout orders, take food orders by fax or

Internet, and offer more menu items in conveniently sized portions. To sustain a

lively dining district and please local patrons, some restaurants offer limited

delivery services, often through an independent company that serves many

neighborhood restaurants.

MARTEKING MIX IN SERVICE

INDUSTRY

McDonalds

The business began in 1940, with a restaurant opened by brothers Richard and Maurice McDonald in San Bernardino, California. Their introduction of the "Speedee Service System" in 1948 furthered the principles of the modern fast-food restaurant that the White Castle hamburger chain had already put into practice more than two decades earlier. The original mascot of McDonald's was a man with a chef's hat on top of a hamburger shaped head whose name was "Speedee." Speedee was eventually replaced with Ronald McDonald by 1967 when the company first filed a U.S. trademark on a clown shaped man having puffed out costume legs.

McDonald's first filed for a U.S. trademark on the name "McDonald's" on May 4, 1961, with the description "Drive-In Restaurant Services," which continues to be renewed through the end of December 2009. In the same year, on September 13, 1961, the company filed a logo trademark on an overlapping, double arched "M" symbol. The overlapping double arched "M" symbol logo was temporarily disfavored by September 6, 1962, when a trademark was filed for a single arch, shaped over many of the early McDonald's restaurants in the early years. Although the "Golden Arches" appeared in various forms, the present form as a letter "M" did not appear until November 18, 1968, when the company applied for a U.S. trademark.

The present corporation dates its founding to the opening of a franchised restaurant by Ray Kroc, in Des Plaines, Illinois, on April 15, 1955,[8] the ninth McDonald's restaurant overall. Kroc later purchased the McDonald brothers' equity in the company and led its worldwide expansion, and the company became listed on the public stock markets in 1965.[9] Kroc was also noted for aggressive business practices, compelling the McDonald brothers to leave the fast food industry. The McDonald brothers and Kroc feuded over control of the business, as documented in both Kroc's autobiography and in the McDonald brothers' autobiography. The site of the McDonald brothers' original restaurant is now a monument.

With the expansion of McDonald's into many international markets, the company has become a symbol of globalization and the spread of the American way of life. Its prominence has also made it a frequent topic of public debates about obesity, corporate ethics and consumer responsibility.

7 P’s McDonalds

 After segmenting the market, finding the target segment and positioning itself, each company needs to come up with an offer. The 7 P’s used by McDonald’s are:

   1. Product

   2. Place

   3. Price

   4. Promotion

   5. People

   6. Process

   7. Physical Evidence

Product

Product is the physical product or service offered to the consumer. Product includes certain aspects such as packaging, guarantee, looks etc. This includes both the tangible and the non tangible aspects of the product and service. McDonald’s has intentionally kept its product depth and product width limited. McDonald’s studied the behavior of the Indian customer and provided a totally different menu as compared to its International offering. It dropped ham, beef and mutton burgers from the menu. India is the only country where McDonald’s serve vegetarian menu. Even the sauce and cheese used in India are 100% vegetarian. McDonald’s continuously innovates its products according to the changing preferences and tastes of its customers. The recent example is the introduction of

the Chicken Maharaja Mac. McDonald’s bring with it a globally reputed brand, world class food quality and excellent customer specific product features.

Below are listed the basic items sold by the company.

Burgers

Big Mac : Along with the Quarter Pounder with cheese, this is one of the two McDonald's signature menu items. Introduced in 1967 as a response to the flagship burger at Big Boy restaurants. Two 1.6-ounce (45 g) (approx. uncooked weight) ground beef patties, special Big Mac sauce (similar to Thousand Island dressing), shredded iceberg lettuce, cheese, two pickle slices, and re-hydrated onions on a toasted sesame seed bun, with an additional middle bun (called a "club layer") separating both beef patties. In Australia a Big Mac average serving size is 201 grams. In most European markets, a wrap called the Greek Mac was sold. It consists of two burger patties wrapped in a pita with yogurt sauce, tomato slices, iceberg lettuce and onions. The sandwich is offered in Belgium, Bulgaria, the Czech Republic, Cyprus, Poland, Portugal, Russia, Serbia (seasonal), Spain, and selected outlets in the United Kingdom.

Quarter Pounder : Along with the Big Mac, this is one of the two McDonald's signature menu items. 4-ounce (113 g) (approx. uncooked weight) ground beef patty with ketchup, mustard, slivered onions, two pickle slices (many countries don't include pickles), and two slices of cheese. The Quarter Pounder was invented by Al Bernardin, a franchise owner and former McDonald's Vice President of product development, at his McDonald's in Fremont, California, in 1971.[3] In some markets unfamiliar with Imperial measurements (such as France), it is known as a Royal Cheese, or variants thereof, such as McRoyale.[4]

Also available as the Double Quarter Pounder with Cheese, which includes another patty of the same proportions and a slice of cheese, or as a quad sandwich in parts of Australia.

Hamburger and cheeseburger: a 1.6-ounce (45 g) ground beef patty, with 0.125 ounces (3.5 g) ketchup, mustard, a single dill pickle, re-hydrated onions, on a toasted bun. At one time early in McDonald’s history, the pickle was removed from the sandwich.[5] Also sold as a double or triple, adding an extra pickle slice for each beef patty added. The double cheeseburger was originally offered as a promotional item in the 1950s, and was added to the regular menu in 1965. A triple burger and a bacon double cheeseburger are optional items and are not always available in all restaurants or markets. A green chilli double cheeseburger with chilli peppers is offered in New Mexico. In Australia the average serving size for a Cheeseburger is 110 grams.

Double Cheeseburger has two 1.6-ounce (45 g) ground beef patties, with 0.125 ounces (3.5 g) ketchup, mustard, two slices of dill pickle, re-hydrated onions, and two pieces of cheese on a toasted bun.

McDouble, similar to a Double Cheeseburger, but with just one slice of cheese. Reintroduced as a permanent dollar-menu item in December 2008 – had previously been a short term product in 1997, advertised with "Eddie the Echo."

Daily Double – Similar to the double cheeseburger, however the toppings are different. The Daily Double was is with lettuce, tomato, slivered onions, and mayonnaise. It also has only one slice of cheese, rather than the two slices that are on the double cheeseburger. It is now[when?] being test marketed in various regional locations.

The Big N' Tasty, introduced in 1997, is a 4-ounce (113 g) beef patty with ketchup, mayonnaise with a grill flavoring, diced onions, two pickles, leaf lettuce, and a tomato slice, on a toasted bun. It was devised to resemble Burger King's Whopper sandwich.[6] It is also known as the Big Xtra in Slovenia and most of Canada; the McXtra in Québec, Canada; the McFeast Deluxe in Australia; the Big Tasty (without the 'N') in Brazil, Bulgaria, France, Germany (without ketchup), Ireland, The Netherlands, Poland, Sweden, the United Kingdom; the Quarter Pounder Deluxe in South Africa; and the McNifica (a play on Spanish magnifica, 'wonderful') in Mexico and Latin America. It was taken off menu boards on September 1, 2010, replaced with a "2 Cheeseburger Meal", and only sold as a sandwich. As of January 1, 2011, it is no longer available as a sandwich either in U.S. locations, but it is still sold outside America.

Angus Third Pounders – There are four sandwiches: the Angus Deluxe (American cheese, sliced red onions and sliced red tomatoes, iceberg lettuce, pickles, mustard, and mayonnaise); Angus Mushroom and Swiss (sautéed mushrooms, Swiss cheese and mayonnaise); Angus Bacon and Cheese (bacon, American cheese, sliced red onions, mustard, ketchup and pickles); and the Angus Chipotle BBQ Bacon (chipotle sauce, red onions, pickles, bacon, and American cheese) In Ontario it is the called the Angus Deluxe, with or without bacon, cheese, or both. Cheddar cheese is used on the Angus Deluxe in Canada instead of American cheese. In Australia and New Zealand, there are three Angus burgers sold; The Grand Angus (which is a clone of the Angus Deluxe) and the Mighty Angus (which resembles the Angus Cheese and Bacon, but with no pickles and mayonnaise and onion relish replacing the ketchup and

mustard). Also for a limited time only, the Angus The Third, similar to the Grand Angus, but with no mustard and made with a tomato chilli relish and only one slice of cheese. For a limited time, Angus the Great was also sold, a clone of the Angus Mushroom and Swiss.

McFeast: A hamburger with lettuce, tomato, and mayonnaise, in certain markets in the late 1970s. The name McFeast lives on though in Scandinavian countries, where a McFeast has been served since the mid-1980s in Sweden and later introduced to the rest of the Nordic countries, the McFeast in Sweden contains a quarter pounder patty, lettuce, modified mayonnaise with lemon juice, onion and tomato. In the rest of the countries, the McFeast also contains ketchup, but not in Sweden. The same burger was sold under the name Mega Feast in New Zealand for several years during the 1990s, but has since been discontinued. The McFeast Deluxe was sold in Australia until the late nineties and contained: mustard, ketchup, large onions, McFeast Deluxe sauce, lettuce, 1 tomato slice, regular cheese and a 4:1 quarter pounder patty served in a Quarter Pounder/McChicken Bun. It returned to the Australian menu in 2009 and in August 2011 using the same ingredients, however contained McChicken sauce in place of the original 'McFeast Deluxe' sauce. The McFeast is still being sold in Germany and Austria since the 1990s, named "Hamburger Royal TS" (T for "Tomate" (tomato); S for "Salat", the German word for lettuce). It contains a quarter-pounder patty, lettuce, tomatoes, onions, cheese and the McChicken mayo sauce. For special occasions, it is sold in Germany as a "McFresh" which additionally contains cucumber slices.

Chicken, fish and pork

McChicken – Also offered as the Hot 'n Spicy in some markets, it is a mildly spicy chicken sandwich. Made from 100% ground white meat chicken, mayonnaise, and shredded lettuce, on a toasted bun. It was introduced in 1980, then later removed, but then later reintroduced in 1988. In some markets it is not spicy, and in others a cajun spiced version is also offered. It still remains one of the biggest sellers, just behind the Big Mac. This was replaced with the Crispy Chicken Deluxe in 1996 and brought back in 1998. In Australia the average serving size for a Mc Chicken is 185 grams.

Premium chicken sandwiches – The Classic is a rebranding of the Crispy Chicken and Chicken McGrill sandwiches, with mayonnaise, leaf lettuce, and a tomato slice. The Ranch BLT contains ranch sauce instead of mayonnaise and includes bacon. The Club is similar to the Classic with added bacon and a piece of Swiss cheese. In Latin America, there are the Classic, the Club, but instead

of the BLT, a Honey-mustard chicken sandwich. All are served on a whole-grain roll, with either a grilled or crispy chicken breast.

Southern Style Chicken Sandwich – A southern-style fried chicken breast filet, on a steamed bun, dressed with butter and two pickles. Nearly identical to a Chick-fil-A chicken sandwich.

Snack Wrap – McDonald's version of a wrap made with white meat chicken breast (crispy or grilled), lettuce, shredded Cheddar cheese and Monterey Jack cheese, and a sauce (Spicy Buffalo, Ranch, Honey Mustard, Chipotle barbecue, or Salsa Roja, the breakfast sauce on the McSkillet), wrapped in a soft flour tortilla. Officially launched on July 1, 2006. Chipotle BBQ is the most recent flavor. Available in the United States, The Netherlands, United Kingdom, Canada, Australia and Brazil.[7][8][9] There is also a Mac Snack Wrap which features the fixings of the Big Mac, but without the bun and wrapped in a tortilla shell, and uses one half of a piece of quarter meat.[10]

Chicken Fajita – Chicken, cheese, red and green bell peppers, and diced onions in a flour tortilla. Comes with Picante sauce packets on request, which are available in mild and spicy. Available in only a few markets.

The McRib

Chicken McNuggets – Introduced in 1980 as a replacement for the McChicken, these are small chicken chunks served with dipping sauces of Barbecue, Sweet n' Sour, Honey, and Hot Mustard. Available in 4, 6, 10 (originally 9), or 20 pieces. Up until 2003, they were a combination of liquified white and dark meat, now they are made with only liquefied white meat. In 2011, 4 new dipping sauces were introduced and added to the lineup: Sweet Chili, Honey Mustard, Spicy Buffalo, and Creamy Ranch.

Chicken Selects – McDonald's version of chicken strips. They were introduced since early-1998 and offered again as a permanent part of the menu in late-October 2003. They are sold in 3, 5, or 10 pieces sizes and include choices of spicy buffalo, creamy ranch, Honey Mustard, and Chipotle barbecue dipping sauces; sauce selections in the UK are smokey barbecue, sour cream and sweet chili sauce.[11] Sold in the United States, Canada, Israel and the UK. Available in Australia under the name Chicken McDippers.[12]

Filet-O-Fish – A whitefish fillet with tartar sauce and a half slice of cheese, on a steamed bun. It was introduced in Cincinnati in 1962 when it was discovered that many Roman Catholics chose to eat at Frisch's Big Boy on Fridays and during Lent, as it offered a fish sandwich so they could go without meat.[13] This was replaced with the Fish Filet Deluxe in 1996 and brought back in 1998 abiet a larger fish patty.

McRib – A sandwich featuring boneless pork with barbecue sauce, slivered onions, and pickles. First seen in test-market stores near interstate highways around Milwaukee and Madison, Wisconsin, in the late 1970s (along with early tests of personal-sized pizza) the McRib was more widely released in 1981, but pulled from menu in 1985. Now released annually in the US as a limited time promotion. Since 2005, the McRib has reappeared in late October and stays on the menu for one month. This limited time marketing strategy was parodied on The Simpsons, with the "Krusty Burger Ribwich". The McRib was released in Canada as a promotional sandwich from March 18 through April 8, 2008 and again in summer 2011. The McRib is presently on some European menus, e.g. Germany.[14] The sandwich is being sold again for 3 weeks in the U.S. starting on October 24, 2011.[15]

Chicken McBites - Popcorn chicken breast with "home-style seasoning" offered through April 20, 2012 in 3-ounce, 5-ounce and 10-ounce versions.

Other products

McDonald's French Fries

McDonald's first introduced salads to its menu in 1985. Since that time, they have restructured their salad lines several times. In the U.S., the newest salad offerings are part of the McDonald's Premium line. First introduced in 2003, the Premium Salads all are a mixture of iceberg lettuce and a special lettuce assortment (romaine, etc.), with cherry tomatoes and different toppings to differentiate them; additionally all salads can be topped with warm grilled or crispy chicken. All of its salads are part of McDonald's move towards creating a healthier image.

The Happy Meal/Mighty Kids Meal – McDonald's capitalized on Burger Chef's Funmeal concept of a children's meal when it introduced the first Happy Meal in 1979. The meal includes an entrée, a side dish, a beverage and a toy. Happy meals include a tiny order fries (far less than a small order of fries) and fruit,

optional sauce for fries, and a choice of nuggets, a single patty burger, or wraps. An additional product, Pasta Zoo was discontinued in 2008. The Mighty Kids Meal contains more food than the Happy Meal, less than the adult meal, and still contains a toy.

The toy is usually a product tie-in with a movie or popular television show.

In the U.S., the traditional entrée is a choice of hamburger, cheeseburger, or a four piece order of Chicken McNuggets (or a double cheeseburger or six piece order of Chicken McNuggets for the Mighty Kids Meals); the sides are fries and sliced apple with caramel dip. Milk, chocolate milk, boxed apple juice, and the traditional soda are choices for drinks. Some U.S. franchises also include a small cellophane package of McDonaldland cookies. In 2009, McDonald's offered a Happy Meal Wrap, but it was discontinued later that year due to low sales.

In the UK, the entrée is a choice of hamburger, cheeseburger, four Chicken McNuggets, or three fish sticks; the sides are a choice of fries, carrot sticks or sliced apples and grapes. Organic milk, Tropicana orange juice, apple and blackcurrant Robinsons Fruit Shoot, milkshakes, water and the traditional soda are the choices for drinks.

In New Zealand and Australia, the entrée is a choice of hamburger, small serving of pasta animals with tomato sauce, cheeseburger, three or six piece order of Chicken McNuggets or a crispy or seared Chicken Snack Wrap; the sides are a choice of french fries or apple slices. Thickshake, boxed chocolate milk, apple or water pop tops, orange juice, and the traditional soda are choices for drinks.

In Canada, the entrée is a choice of hamburger, cheeseburger, four piece Chicken McNuggets, grilled cheese, or chicken snack wraps; the sides are a choice of fries or apple slices with caramel dip. Milk, chocolate milk, boxed apple juice, orange juice, and the traditional soda are choices for drinks.

Chicken McNuggets

In Belgium, the entrée is a choice of hamburger, cheeseburger, four piece order of Chicken McNuggets, McFish or a Ketchup Wrap.

McDonald's line of larger chicken sandwiches (The Classic, Club, Ranch BLT and Southwest), which are part of the McDonald's Premium line were introduced in July 2005 as part of McDonald's menu revamp. o The Classic includes Lettuce, Tomato, and Mayo.o The Club also has Lettuce Tomato and Mayo, but also comes with

Swiss cheese and bacon.o The Ranch BLT comes with a creamy ranch sauce, bacon, lettuce and

tomato.o The Grand Chicken Burger: Large chicken patty with two layers of

cheese, tomatoes, lettuce and sauceo The Southwest comes with a southwest style ancho chili sauce,

lettuce, tomato, and spicy pepperjack cheese.

All four can be chosen with either crispy or grilled chicken and all are served on a wheat ciabatta bun.

Deli Choices is a line of deli-style sandwiches that are sold internationally. It is targeted at health-conscious customers and is available in Australia, Austria, Canada, Germany, and Britain, and is testing in the United States. It is similar to the McHero sandwich, sold in parts of the United States.

McDonald's sells French fries as its primary side order. Until 1967, French fries were never frozen, but were cut on-site from potatoes and immediately fried. In some international locations, they sell potato wedges, a type of French fry that is thick cut and wedge shaped and fried onion pieces that are similar to onion rings.

Many McDonald's locations in Wal-Mart stores offer freshly popped popcorn and soft pretzels in addition to the normal menu. In PA stores, only soft pretzels are offered as a side option.

McKinley Mac – A burger that looks like the Big Mac, but it uses two quarter pound beef patties. Sold only in Alaska.

Mclobster

McLobster – Some McDonald's restaurants in New England and the Canadian Maritimes offer lobster rolls as a seasonal menu item, called the McLobster.

McCrab – In response to the McLobster, McDonald's along the southern coast of the Delmarva peninsula (comprising parts of Delaware, Maryland and Virginia) developed the McCrab sandwich, a McDonald's version of the Chesapeake crabcake.

Poutine – In Quebec and New Brunswick, two French speaking Canadian provinces, McDonald's also offers Poutine which consists of French fries and cheese curds, covered with brown sauce. Poutine was also a menu item for a limited time only in the mid 90s in select locations in Ontario, Canada, including Timmins.[17]

Brownie Melt – similar to a Cinnamelt, it is a rich chocolate brownie with chocolate and white frosting.

McRice – Most McDonald's restaurants in countries in Asia serve the product due to customers demand. It is normal rice.

Angus Snack Wrap – Wrap with Angus burger introduced to the US market on August 9, 2010. Angus Snack wraps are available three ways: Deluxe (lettuce, tomato, onions, pickles, American cheese, mayo, mustard); Bacon & Cheese (onions, pickles, American cheese, ketchup, mustard, a strip of bacon); and Mushroom & Swiss (sauteed mushrooms, Swiss cheese, mayo). The Angus Wrap uses 1/2 of a regular Angus burger pattie.[18]

The McVeggie burger – a vegetarian burger on a whole wheat bun. Available in India and Slovenia. A special version is available in Cheung Chau branch in Hong Kong while there is holding Cheung Chau Bun Festival.

The menu in India has numerous unique items:

o Chicken Maharaja Mac – like a Big Mac, but with two pressed spiced chicken patties instead of beef, served with a mustard sauce

o Paneer Salsa Wrap ("paneer is an Indian unsalted white cheese).o Chicken Mexican Wrapo McAloo Tiki – Breaded potato patty with onion and tomato on a plain

bun ("aloo" is "potato").o Chicken McGrill

Breakfast

McDonald's introduced breakfast foods in 1972.

Egg McMuffin

McDonald's primary breakfast offerings are breakfast sandwiches. o McMuffins are McDonald's signature breakfast sandwich, first sold at

select restaurants in 1972 as the Egg McMuffin, just five years before breakfast officially went into effect, it consists of a poached egg, Canadian Bacon and American cheese on a toasted English muffin. Sausage or bacon McMuffins are also available.

o McDonald's offers a line of breakfast sandwiches: bagels, biscuits, and a special type of maple flavored pancake called McGriddles. All can all be ordered with sausage, ham or bacon, with an optional choice of cheese and/or egg. Regional meat offerings include fried chicken, steak, spam and bacon.

o The McDonald's Hamdesal is a new breakfast sandwich which consist of a slice of ham on pandesal, which can be ordered plain, with eggs or with cheese. This sandwich is currently available in the Philippines.[19]

There are two styles of breakfast burritos available. The Sausage Burrito is made with a flour tortilla, sausage, American cheese, eggs, onions, and peppers. The new McSkillet wrap burrito adds potatoes and salsa. Chicken and steak variants of the McSkillet exists in limited areas. Outside the US, the breakfast burrito may be called a breakfast wrap.

Additional breakfast items include hotcakes; several breakfast platters with eggs, hash browns and meats or breads; a type of cinnamon roll called a Cinnamon Melt; and Danish. Biscuits and gravy are available in parts of the southern US.

Oatmeal was added to the breakfast menu on December 27, 2010, after it test marketed well in Washington, DC and some parts of Maryland. In the test market areas, oatmeal started selling in March 2010.

Waffles with the maple syrup already baked in (similar to the McGriddle pancakes) were introduced in some markets in 1999.

Hawai ̒ i and Guam McDonald's offers local breakfast items such as Spam, Portuguese sausage and fresh cut pineapple.

Cinnamon Melts-a popular cinnamon roll type item with cream cheese icing.

Beverages

(Varies regionally):

McDonald's primary soft drink supplier is the Coca-Cola Company, except in restaurants which fall under an overall contract with PepsiCo. For example: the Mall of America, the Detroit Metropolitan Wayne County Airport and the University of Maryland, College Park Student Union. In the US and Canada, Cadbury-Schweppes supplies Dr Pepper.

S&D Coffee , Gavina and Kraft supply McDonald's Premium Roast Coffee for McDonald's US restaurants besides the New England area. Green Mountain Coffee Roasters supplies Newman's Own branded coffee for McDonald's New England area restaurants.

Hot and iced tea (supplied by S&D Coffee in the US), hot chocolate, various juices and other regional beverages are available in various markets.

The McCafe is an umbrella term for lattes, espresso, iced coffee, hot chocolate, mocha, smoothies, and other drinks that are sold in several markets worldwide.

Milkshakes are available in all of McDonald's US and global markets (except for the Argentinian and Paraguayan branches)[citation needed]. Permanent flavors are vanilla, strawberry, and chocolate; regional or seasonal flavors include Caramel, Coffee, Cherry, Eggnog (during Christmas), Banana, Pumpkin (during Halloween), Strawberry Banana, Lime, Mango Raspberry, Honeycomb, Arctic Orange (sherbet), Orange Cream, Shamrock Shake (a green, spearmint Limited Time Offer shake for St. Patrick's Day), Chocolate Mint, and Rolo (available only in Canada and the UK. This flavoured milkshake was also available in the Republic of Ireland during the summer of 2007 for a limited time only). In June 1975, 13 months before the celebration of the United States Bicentennial, McDonald's introduced a blueberry-flavored shake in order to advertise "Red, White, and Blueberry Shakes" for independence day celebrations, and lasting through August of that year. The run was repeated in summer 1976, but not since. In the U.S., starting in February 2010, "Triple Thick Shakes" were discontinued and new McCafe Shakes were introduced, which are the same shakes as before, save the addition of whipped cream and a cherry on top, and a significant reduction in size.

Beer of different brands (varies locally) is available at McDonald's in France, Belgium, Germany, Spain, Portugal, Romania, Lithuania, Czech Republic, Italy and Slovenia.

Irn-Bru is available in some Scottish McDonald's locations.

McDonald's also offers 1% milk, 1% chocolate milk, and apple juice, most often as replacements for fountain drinks in Happy Meals.

As of 2009, McDonald's New Zealand and Australia began offering Frozen Coke as part of their menu. It is available in medium or large sizes or a 'Mini Value-Pick' size.

Desserts

McDonald's apple pies

A soft serve ice cream product is available in several forms, including sundaes, cones (either vanilla, chocolate (Most McDonald's have discontinued to sell it, due to it being an "optional" item) or chocolate-dipped), and as the primary ingredient in the McFlurry. As with many other formulations of soft serve, cellulose gum is utilized as an extender and thickener.

o The McFlurry is a vanilla ice cream dessert that has pieces of candy or cookies mixed into it. The flavors are crushed Oreo, M&M's Minis, and a range of crushed biscuits. McDonald's also does limited time only flavors e.g. for Shrek 3 it released the Ogre-Load flavor. In Australia they had a special range for their 40 years in Australia cerebration the flavors were double choc fudge, bubblegum squash, strawberry crumble and caramel cookie. A new flavor which is likely to be offered in the near future is Strander Frander. The mixing blade for the dessert is actually a specially designed spoon with a hollow handle that attaches to the mixer spindle. The blade is used once then given to the customer to use to eat the product. Available in most of its markets.

McDonaldland Cookies: McDonaldland cookies are traditionally available and are similar to animal crackers, except the shapes of the cookies are of Ronald McDonald, Grimace, Birdie the Early Bird, the Hamburglar, and the Fry Guys.

Freshly baked cookies: Freshly baked cookies manufactured by Nestlé are available in some markets. Among some of the cookies offered are sugar, oatmeal raisin, or chocolate chip.

Pies: McDonald's pies are actually turnovers and come in apple or, in some markets, cherry and other seasonal or limited-time-only flavors such as pumpkin pie and Holiday pie, and in Hawaii, taro, haupia and banana. In Canada, in the 1970s, blueberry was standard, as was the Great Fruit Pie. During some seasonal promotions, cherry and strawberry are an available pie flavor in Canada; also, newly featured is Blueberry Maple and Peach. Currently McDonald's is selling raspberry pies, for a

limited time. In Thailand and Guam, taro pie is featured occasionally. Other regional flavors include coconut and tuna (all in Guam as limited-time), and corn in Japan. In Mexico, cheese pie is available all year round. In Cyprus, strawberry and custard pies are available all year round also, along with the apple one. In Brazil, banana pies are available.

o Brownie melts – Similar to the Cinnamon melt, only chocolate flavored with fudge and cream cheese icing on top. Available only in select markets.

The Fruit and Yogurt Parfait – a mix of frozen strawberries and blueberries and vanilla yogurt, sold with a package of granola topping.

Smoothies are available in some locations in Wild Berry, Strawberry Banana, or Mango-Pineapple flavors.

In 2010, McDonald's New Zealand began offering a 'Frozen Coke Float' mini-sized dessert. It contained Frozen Coke and a small amount of soft serve.

 

McDonald’s Indian Menu:

Vegetarian

      McVeggie

      McAlooTikki

      Paneer Salsa Wrap

      McCurry Pan

      Pizza McPuff 

Non vegetarian

      Chicken Maharaja Mac

      McChicken Burger

      Shahi Chicken McCurry

      Wrap Chicken Mexican

      Fillet-O-Fish

      Chicken McNuggets 

Place

 

The place mainly consists of the distribution channels. It is important so that the product is available to the customer at the right place, at the right time and in the right quantity.

Nearly 50% of U.S.A is within a 3 minute drive from a McDonald’s outlet. There is a certain degree of fun and happiness that a customer feels each time he dines at McDonald’s. There are certain value propositions that McDonald’s offer to its customers based on their needs. McDonald’s offers hygienic environment, good ambience and great service. Now McDonald’s have also started giving internet facility at their centres and they have been playing music through radio instead of the normal music. There are certain dedicated areas for children where they can play while their parents can have some quality time together.

Marketing experts know that the best product in the world will never make an impact in the business world if no one can locate and obtain it (Delaney, 1994). Keeping this simple, yet vital brick in the house of marketing, McDonald's gives careful consideration to the placement of its restaurants. Within their marketing research, they take into consideration the population of a given area, major roadways in the vicinity of the proposed restaurant site, traffic that passes by the restaurant site, and the demographics of the area, as they know a great deal about their customers (more about this in the "People" section of this paper). The construction of a McDonald's restaurant costs millions of dollars, and in order for the operation to be profitable, placement must be in an area that maximizes the

customer exposure, therefore increasing the chance of generating business. As mentioned previously, however, please keep in mind that McDonald's leaves nothing to chance. They do their marketing homework, and it shows. The fact that McDonald's always seems to be "right around the corner" is due to a great deal of extensive marketing research, planning and execution. If you really give this idea a great deal of thought, take into consideration the very low number of McDonald's restaurants that go out of business in a given community. This is not sheer luck, nor is it just something that has happened by chance. It only looks like a coincidence! While other fast food chains come and go, McDonald's is always there for you, right around the corner in most cases.

Price

 

Pricing includes the list price, the discount functions available, the financing options available etc. It should also take into the consideration the probable reaction from the competitor to the pricing strategy. This is the most important part of the marketing mix as this is the only part which generates revenue. All the other three are expenses incurred. The price must take into consideration the appropriate demand-supply equation.

McDonald’s came up with a very catchy punch line

“Aap ke zamane mein ,baap ke zamane

ke daam”. This was to attract the middle and lower class consumers and the effect can clearly be seen in the consumer base McDonald’s has now.

McDonald’s has certain value pricing and bundling strategies such as happy meal, combo meal, family meal and happy price menu  to increase overall sales volumes. If you build a McDonald's in the right area, the people will come, but good pricing surely plays a role in getting them to come back. One of the main elements of McDonald's marketing strategy is effective pricing of their product. Knowing that their target market consists in large part of families, who often need an affordable way to dine out with the children, their menu over the years has been priced in a way that allows virtually anyone to eat at McDonald's and enjoy a quality meal without spending a large amount of money. What it really comes

down to is value- people enjoy McDonald's food which is a big part of repeat business; the best pricing in the world will not sell a product if the consumer does not perceive value in what they are purchasing (McCracken, 1990). In fact, McDonald's states this outright in their "Value Menu" offerings of recent years, which provide selected menu items at a bargain price, most times, $1.00 or less. To integrate another marketing concept into the strategy of the Value Menu, the items on the Value Menu often serve as "loss leaders" in order to sell other products which are profitable; for example, you may purchase McNuggets for $.99, which represents a tiny if any profit for McDonald's, but the French fries and soft drink that you select to accompany the McNuggets are usually profitable, so that you have gotten a good price, but McDonald's has also realized a profit. Loss leaders are an age-old marketing strategy that McDonald's has raised to an art form. In a form of quid-pro-quo, the concept of giving something to get something more valuable in return has become a theme in the menu of this fast food giant, and again, it is done so well that the average person does not realize it, which is one of the ideas of skillful marketing to begin with.

                                               

Promotion

 

The various promotion channels being used by McDonald’s to effectively communicate the product information are given above. A clear understanding of the customer value helps decide whether the cost of promotion is worth spending. There are three main objectives of advertising for McDonald’s are to make people aware of an item, feel positive about it and remember it. The right message has to be communicated to the right audience through the right media. McDonald’s does its promotion through television, hoardings and bus shelters. They use print ads and the television programs are also an important marketing medium for promotion.

Some of the most famous marketing campaigns of McDonald’s are:      

      “You deserve a break today, so get up and get away- To McDonald’s”

      “Aap ke zamane mein ,baap ke zamane ke daam”.

      “Food, Folks, and Fun”

      “I’m loving it”.

When talking about McDonald's within the scope of marketing promotion, one hardly knows where to start. As a general statement, it is fair and accurate to say that promotion is one of the pillars of McDonald's success. Let us clarify this statement; while it is indisputable that McDonald's has built a loyal following for decades through a quality product, easy availability and value, none of these wonderful things that McDonald's has perfected would be known by anyone if they

were not properly promoted. The success of the promotional message is evidenced by the cross-generational loyalty of customers and many other factors.

The promotion that McDonald's utilizes takes many forms and has evolved over the years. Their longest-living promotional "spokesman", who is known in virtually every corner of the planet, is Ronald McDonald. This cartoon-like character (who has in fact been portrayed by real-life actors and cartoon characterization alike) brings smiles to the faces of "children of all ages" and lends a sort of hometown good feeling to McDonald's restaurants. As an offshoot of Ronald McDonald, the cast of characters over the years has expanded to include such luminaries as HamBurgular, Mayor McCheese, and Grimace, the purple hero of billions of people long before Barney the Dinosaur ever existed. These carefully created characters not only promote good will for the company as a whole, but their appearance and names in many cases cause an association with a certain menu offering within the mind of the customer.

Another recent marketing phenomenon that McDonald's has struck gold with is product placement. Not to be confused with their product strategy, this instead refers to having McDonald's products and logos clearly visible in motion pictures and television programs, which McDonald's pays big dollars for, of course. For example, when the gang on "Friends" is eating Quarter Pounders, it is advertising within the plot of the show itself, so even those who ignore regular television commercials receive the McDonald's marketing message without realizing it.

McDonald's also engages in a sort of "co-operative" marketing with popular movies by offering "limited edition" collectibles or toys featuring characters from the movie, often alongside Mayor McCheese or HamBurglar. The collaborative effort attracts moviegoers to the restaurant and vice versa - -everyone wins!

Within conventional promotion as well, McDonald's spends billions of dollars each year on print, radio and television advertising. This advertising allows McDonald's to use their well established characters such as Ronald and Grimace to communicate the message that "you deserve a break today". In some cases, celebrities and sports personalities are used in advertisements for the product, in order to appeal to a wider audience beyond children and the McDonald's faithful.

Another promotional tool that McDonald's has skillfully used in recent years is the promotion of "healthy" menu items such as salads, fruit and yogurt, and the like. This was likely sparked by the government requirements that restaurants such as McDonald's make public the nutritional facts of their food. Turning this into a positive, they have added "healthy" items to the menu and emphasized them both in an effort to appeal to a new market segment, but also to downplay the less than positive nutritional facts of many of their traditional menu offerings. If the traditional McDonald's customers eating habits have changed, the menu has also changed to accommodate them. This is an excellent example of marketing that evolves in relation to the changing needs of loyal customers. At the risk of sounding too technical, this is truly innovative.

Physical evidence

 Mc Donalds focuses on clean and hygienic interiors of is outlets and at the same time the interiors are attractive and the fast food joint maintains a proper decorum at its joints.

The physical appearance affects not only the impression outsiders have of a business but also the way that business functions. McDonald’s focuses on clean and hygienic interiors of its out lets at the same time they are attractive. It maintains a proper decorum at its joints. Staff members dress in McDonald’s Dress code with Green shirts, Blue trousers, Black caps and Customized Ronald McDonald’s tie.

Building maintenance and visible cues are provided by the golden arches, the trademarks and the logo’s in the premises. The delivery scooters also add to the physicality of the company.

People

McDonald’s understands the value of both its employees and its customers. It understands the fact that a happy employee can serve well and result in a happy customer.

McDonald continuously does Internal Marketing. This is important as it must proceed

External marketing. This includes hiring, training and motivating able employees. This way

They serve customers well and the final result is a happy customer.

The level of importance has changed to be in the following order (the more important people are at the top):

1. Customers

2. Front line employees

3. Middle level managers

4. Front line managers

Processes

McDonald’s worldwide is well known for the high degree of respect for the local customs and culture. McDonald’s has developed a menu especially for India with vegetarian selections to suit Indian tastes and preferences. Keeping in line with this, McDonald’s does not offer any beef or pork items in India. In the last decade it has introduced some vegetarian and non-vegetarian products with local flavors that have appealed to the Indian palate. There have been continuous efforts to enhance variety in the menu by developing more such products. It is completely transparent and visible to the customers, allowing them to judge hygiene standards where the process takes place. The customers are even invited to check the ingredients used in the food.

 The food manufacturing process at Mc Donalds is completely transparent i.e. the whole process is visible to the customers. In fact, the fast food joint allows its customers to view and judge the hygienic standards at Mc Donalds by allowing them to enter the area where the process takes place. The customers are invited to check the ingredients used in food

McDonald’s has also re-engineered its operations repeatedly in its 11 years in India to address the special requirements of a vegetarian menu. Vegetable products are 100% vegetarian, i.e,

They are prepared separately, using dedicated equipment and utensils. Only pure vegetarian oil is used as a cooking medium. Cheese and sauces are completely vegetarian and egg less. Separation of vegetarian and non-vegetarian food products is maintained

throughout the various stages of procurement, cooking and serving. Food manufacturing transparent to customers across the counter. Training to the licensees about how to operate the franchise. Invented the most efficient cooking equipment with use of latest

technology. New methods of food packaging and distribution are followed