• Join over 1.2 million students every month
  • Accelerate your learning by 29%
  • Unlimited access from just £6.99 per month

How does McDonalds attract its customers?

Extracts from this document...


Business Studies and Economics coursework How does McDonalds attract its customers? By Lucy Sargent McDonalds started with one restaurant in the US in 1955. Today McDonalds is the largest and best-known global foodservice retailer. With more than 32,000 restaurants in over 120 countries, their global market potential is enormous. I am going to investigate how McDonalds attracts its customers by marketing. I will research into the products McDonalds sells at what prices and where and how it promotes theses products. The main group McDonalds target are about 10-25 years old. Market segmented Like all firms, McDonalds uses the 4Ps of marketing to attract its customers. The 4Ps are: 1. Product. The firm must come up with a product that people will want to buy. It must fulfil some of the customer's needs and wants. 2. Price. The price of the product must be one that the firms target customers agree with and afford - without being too cheap. 3. Promotion. The product must be promoted so that potential customers are aware that it exists. 4. Place. The product must be available for sale in a place that the customer will find convenient. ...read more.


McDonalds budget is much larger than that of a smaller private company. McDonalds uses both informative and persuasive adverts, the informative ones are about eating healthy and the persuasive ones persuade people to buy the food sometimes, with TV adverts they show people eating the food and really enjoying it. There is a theme tune for McDonalds, which is Justin Timberlake's song "I'm lovin' it." This will attract a lot of customers as Justin is a very famous star and a teenage heartthrob and the song is very famous. Although advertising gives people information and makes them aware of the product, subsidises newspapers and magazines so they cost less and makes money for the firm because it will hopefully pull in more customers, it can make a lot of people want things they do not need and costs money so the firms have to charge more for their products and if the adverts do not work then the money is wasted and the opportunity cost of employing people in advertising is they could be spent on making things. McDonalds is a very famous brand name, and because it is famous more people are attracted to it than a restaurant that is not as well know. ...read more.


McDonalds ha special offers a lot like buy one get one free, discounts and competitions which not only keep the customers they already have, but get new customers in. I think that the advertising attracts new customers but the convenience keeps the customers returning. However, the evidence that I have found out from my questionnaires show that most people have seen adverts, but are not temped by them. This might be because there are so many of them and McDonalds is everywhere, so they might just annoy people. Also McDonalds has economies of scale, which attracts customers because it's a large firm so it is able to cut costs and get more profit. This will lead to more customers and make it bigger still. I think that McDonalds is more successful than burger king and KFC and it attracts more customers because burger king and KFC cannot cut costs as much as McDonalds because they are smaller. But McDonalds has to be careful and make sure they do not have diseconomies o f scale which happens when firms get too big. Conclusion Overall, I think McDonalds is doing very well at the moment and will continue doing well if it satisfies its customers wants and needs. I think my investigation has been very successful and worthwhile. ...read more.

The above preview is unformatted text

This student written piece of work is one of many that can be found in our University Degree Marketing section.

Found what you're looking for?

  • Start learning 29% faster today
  • 150,000+ documents available
  • Just £6.99 a month

Not the one? Search for your essay title...
  • Join over 1.2 million students every month
  • Accelerate your learning by 29%
  • Unlimited access from just £6.99 per month

See related essaysSee related essays

Related University Degree Marketing essays

  1. Frito Lay Sun Chips

    intro the future, since Sun Chips has already fared better with regard to brand-awareness than O'Grady's brand potato chips in the market test. Moreover, the depth of repeat for Sun Chips in the market test was 2.9 times on an annual basis, compared to 1.9 times for O'Grady's.

  2. Retail & Services McDonalds

    Thus, McDonald's following the market development growth strategy is entering new markets with existing product. Our recommendation McDonald's being a global presence by supplying almost 1% of total population of the world should follow growth strategy. It should enter new markets with new products with a large variety of health


    There are two major categories of environments that influence the organisations. The broad environment or remote environment constitutes the firm, its industry, and other external stakeholders and their components include political, economic, social and technological and ecological, which are mostly beyond the control of the organisations.

  2. The McDonalds marketing strategy.

    It means to provide best quality of foods, fast and friendly service, clean environment and best value. (www.mcdonalds.com) (Please refer to appendix 1 for further information) 1.3 Mission Statement The corporate strategy may be reflected in the company's mission statement for most firms.

  1. Price discounts and michelin: What goes around, comes around.

    in this particular passage, more steps is worse for competition; � the "first retread" clause whereby extra bonus was earned if all Michelin tyres purchased were sent to Michelin for retreading, as although Michelin said this was not enforced in practice, it was regarded by the Commission as exclusivity; and

  2. Airbus Customers.

    Korean Air signed a Memorandum of Understanding with Airbus to acquire up to eight Airbus A380-800 passenger aircraft. Spares and training centers: * The Singapore store holds some 25,000 proprietary parts and caters to customers in Asia and the Australia-Pacific region.

  1. McDonalds' Restaurants is a worldwide company servicing an unspeakable amount of customers each day.

    It would prove to be extremely expensive to sustain on their own the necessary infrastructure to support transportation, manufacturing and service in all regions. Therefore, an alliance with reliable suppliers of materials will allow effective JIT, or similar system, to be implemented and sustained (Bask, 2001).

  2. Cadburys has many famous chocolate products which it has a variety of advertising campaigns ...

    Later as the company developed they began to make eating chocolate in wrappers to make it more convenient for the customers to eat. By this time companies Cadbury later took over began to produce their first sweets such as Maynard's sweets and Basset's liquorice allsorts.

  • Over 160,000 pieces
    of student written work
  • Annotated by
    experienced teachers
  • Ideas and feedback to
    improve your own work