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. COMPANY PROFILE
Established in 1955, head quarters: Oak
Brook, Illinois, U.S.
Presence in 119 countries
Revenue: $24 billions
Vision:
McDonald's complete commitment to Quality,
Service, Cleanliness and Value (QSC&V)
4. BEFORE COMING TO INDIA
Analysis 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. CONTINUE…
20 major languages, 800+ dialects
50% population literate
Advertising-Billboards, Print , Electronic
8 languages for National launch
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 McDonald's in Indonesia and
the US before launch
Always been a franchising Company
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. 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. 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. 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. TARGETING MARKETS
Kids & The Young family (<30 years)
Only < 10% population-possible target market
Concentrate on metros, then open branches in other cities
Phase I- Focus on cities of relatively high incomes
where citizens are exposed to western food & culture
Phase II- Move to smaller satellite towns (Gurgaon,
Pune)- Positive spillover effect of reputation
Jaipur & Agra- To attract foreign tourists
Phase III- Malls, Multiplexes, Highways, Stations &
Airports
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. PROMOTIONAL TECHNIQUES
Before 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. 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.