McDonald’s mix benefits of a great range

McDonald’s mix benefits of a great range

McDonald’s Smoothies: Creative Brief |Client/Brand: |McDonald’s Australia |Date: |September 2, 2011 | 1. The Company McDonald’s Australia is a 3. 2 b dollar business.

It is not only known to people for its iconic golden arch, mouth-watering burgers, fries and nuggets, but also for its community service, strong partnership with local growers and suppliers and an array of corporate social activities. 2. Brand Issues McDonald’s is a recognized representation of fast food and often not deemed as a ‘healthy’ food option.Therefore, McDonald’s goal to stretch its product range to fresh fruit smoothie is a challenge. Further in Australia, there are established players, specifically targeting smoothies and fruit drink segment. Customers therefore, have a wider available choice already.

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When the scenario is like this, reasons why people would still buy McDonald’s smoothies are: • No competitor can provide mix benefits of a great range of meal options and cheerful in-store ambience along with smoothies that McDonald’s can. With 808 restaurants in Australia, out of which roughly 30% operates 24/7, McDonald’s offers widest availability and greatest convenience than any of its competitors. • In 2009, McDonald’s introduced McCafe that offers finely brewed made to order coffee drinks that has been a great success. It means if smoothies can be properly positioned keeping consistency with brand’s core values, people would also love it. • In Australia, McDonald’s good relationships with trusted growers and suppliers are drawing customers’ positive perception.

Recently it has attained ‘heart foundation tick’ for its number of foods in Australia that ascertains its healthiness and high quality. 3. Target Audience and Buying Situation 1) Who are we talking to? People range from 8-40 will be the target market where urban professionals, women in the early 20s, teenagers/university students and parents with young children will be the bulls eye.

• They are health-conscious and aware of what they intake. • They are often time strained with workloads. • They want to have fun, something new and an enjoying experience. They want to select healthier drinks for their children which can substitute carbonated beverages.

• They are time poverty to make meals everyday and love to grab quick food from fast food chains. From psychographic point of view, the basic target will be Achievers, Strivers and Experiencers who are goal oriented, trendy and fun loving, young, enthusiastic and often impulsive. 2) Buying Situation • Smoothies ordered instead of soft drinks with a normal McMeal (regular purchase) to have fun with friends and family. Drive through the window and pick up something good for their bodies (convenience purchase) along with a meal. • Be informed about the newly launched smoothie and give it a try (trial purchase). People approach to smoothies because of the rising awareness of health and are influenced by time and physical (stressed, need a break) condition. Decision making process hence has limited involvement.

4. Market Situation Issues 1) Who are the competing brands and what are they doing? a. Primary Competitors (major threats)Direct competitors include Boost Juice Bars, Kick Juice Bars, Wendy’s, Dr. Smoothie, Thirst, providing products in health, fresh fruits category.

Low fat juice, smoothies, frozen yogurt and beverages are their main offer with almost no sitting arrangement. Some of them serve hot dogs or donuts which are not McDonald’s primary concern. b. Secondary competitors (influence industry structure) Secondary competitors are providing substitute that influence fast food market, such as Gloria Jean’s Coffee, Donut King and Emma and Tom’s.

The existing players have established their position in health/fast beverage market while occupying certain proportion of market share. The growing number of franchise and the supplement of e-marketing moves are note worthy. 2) What opportunities/threats are emerging and what can threaten McDonald’s smoothies? • Social trends towards healthier/fresh food/beverage products denotes a positive drive. • Economic pressures in today’s consumer food/beverage market mean less disposable income to spend on (especially due to the fact that smoothies are considered a discretionary purchase). Australia has several regulations regarding using Benzene in beverages and non nutritive sweetener and colours. It also has comprehensive beverage standards that McDonald’s will have to follow.

3) What do customers think, feel and do about the selected brand (Based on the opinion of38 regular consumers of smoothies)? a. How do they think of the real fruit smoothies? “Ingredients are not a big concern as they believe fruit smoothies are ought to be made of real fruit to contain its original taste. ” b.

What do they think and feel about McDonald’s?Their attitude towards McDonald’s is mostly positive, even though they also believe McDonald’s is not the best healthy option. Our interviewees stated their readiness of trying smoothies in McDonald’s as they believe McCafe is serving with real coffee, which made them feel confident about its real fruit smoothies. c. What do they think about the differences between brands? Although, for now, they couldn’t see any point of difference provided by McDonald’s in terms of real fruit smoothies, they agree the sitting areas and ambiance that McDonald’s provide is a benefit. 5.Communication Objectives and Big Idea 1) Communication Challenges Two main challenges include 1) positioning McDonald’s smoothies as a healthy ‘real’ fruit drink and 2) distinguish its smoothies from the rest.

2) Reasons for Communication Campaign To launch and establish McDonald’s smoothies, we would deliver information about the quality of the product, beyond that, we would lead customers to jump on the feeling state where they should be able to “experience” the extra intangible value that we provide to distinguish McDonald’s from competitors. 3) Communication ObjectivesBased on McDonald’s strong brand value, capability of serving real foods, commitment to happiness of the consumer, we aspire to increase consumers’ awareness of new real fruit smoothies, as well as to develop their readiness for it. Goal 1: Market Share- Grow McDonald’s market share from 0% to 4% within first 6 months of the launch and growing it up to 8% in 12 months.

Goal 2: Top of Mind Awareness & Trial- Gaining 60 % awareness within first 3 months of the launch and 80% within 6 months of the launch. Gaining a total of 25% top of mind awareness by the end of the campaign.Ensuring 20% trial in first 3 months, 30% in 6 months and 45% in 12 months of launch. 4) Big Idea McSmoothies: “The Real Smooth Moments of Your Life” McSmoothies (McDonald’s Smoothies) will be positioned based on this proposition.

This proposition is a culmination that states both rational and emotional benefit of McSmoothies. The Real part is basically signifying the real fresh fruit and ingredients that McDonald’s will offer to its customer. Smooth Moment is what we help customers to find a balance in their lives. While their body health has been taken care, we also want to care for their social life.All of our targeted customers go through a lot of difficult and hard times in their professional and personal life, almost everyday.

This often creates a distance in relationship of a person with his/her near and dear ones. In these crucial moments people want to rejuvenate themselves with some fun and happiness to bridge the distance, for instance during a short lunch break, by finding a comfy corner, having real fruit smoothies, chit chatting with partners, friends, peers or colleagues for maybe only ten minutes. And we want to say those special rejuvenating moments as ‘Smooth Moments’ that people can enjoy having real fruit McSmoothies.This communication campaign will run for a year consisting of print ads, TV commercials, innovative teaser campaigns and two major communication programs i.

e. ‘McPictomaniac’ (click and share McSmoothies enjoying moments and become a celebrity by finding your photos on billboards and all McDonald’s stores) and ‘The Smooth Stories’ (post real life smooth stories and win a chance to travel to Hollywood to see the real making of a Hollywood movie. Also get your story published in the book called The Smooth Stories). The campaign will use most effective communication touch-points for executions. Agency: The FOURce Drafted By: |Name: |Planner: |Name: | |Group Director: |Mehdad Mannan |Executive Creative Director |Amanada Barakat | |Managing Director: |Yujen Hu |Planning Director |Ngai Kwan | References: 1. Australian Beverages, 2008. Home Page.

online Available at: Accessed 20 August 2011 2. Donut King, 2010. Home Page. online Available at: Accessed 22 August 2011 3.Dr. Smoothie, 2010.

Home Page. online Available at: Accessed 22 August 2011 4. Emma & Tom’s, N/A.

Our Range. online Available at: Accessed 22 August 2011 5. Gloria Jean’s Coffees, 2004.

Home Page. online Available at: Accessed 22 August 2011 6. Kick Juice, N/A. Home Page.

online Available at: Accessed 26 August 2011 7. McDonald’s, 2009. Home Page. online Available at: Accessed 29 August 2011 8. Thirst Frappes & Smoothies, 2006. Home Page.

online Available at: Accessed 26 August 2011  9. Wendy’s, 2011. Home Page. online Available at: Accessed 26

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