McDonalds Marketing Performance in India - Essay Example

- Low-priced meals for lunch and dinner time have helped the brand to attract young consumers in the McDonalds outlets, who try to cover up their eating habits with their limited pocket money-based finances (ICMR, n.d., p.7-8).- The menu is highly customized in nature to cater to the taste and preferences of Indian consumers (ICMR, n.d., p.6-7).- Highly segmented division of food menus for catering to both vegetarian and nonvegetarian consumers (ICMR, n.d., p.7).- Provides value for money products for single items and bundled product offerings for multiple items, thereby giving the customers a very effective pricing advantage that fits into their consumption styles and patterns (ICMR, n.d., p.7).Weakness:- With the rise in fuel costs, offering flat prices for home delivery just at the rate of Rs.

10 may reduce the profit margin for the brand in the long run.- Due to the tremendous popularity of the brand, there has been a significant amount of opportunity cost involved with the failure to entertain customers. Failure to entertain customers due to the non-availability of space in the outlets may lead customers to switch to other brands like KFC, Dominos, etc.Opportunities:- From the period 1995, when McDonald's fast entered into Indian market through joint venture collaboration, an average person used to eat out only 3-4 times a month.

But there has been a significant change in consumer behavior as of recent times. As of today, more and more individuals prefer to eat out on a more regular basis with average spending ranging from Rs 100 – 150 (ICMR, n.d., p.15).- The rise of nuclear families in India has also popularized the concept of eating out and also increasing the number of footfalls at quick-service outlets like McDonald's (ICMR, n.d., p.14).Threats:- To keep up with competitors of global repute like KFC, Taco Bell, Domino’s, and Pizza Hut who aiming to gain an increase in market share in India by opening new outlets all over India at a very aggressive pace, it is increasingly necessary for McDonald to get into a hyper expansion mode and fund the expansion into small-town areas and regional locations by venturing into Tier II and Tier III cities (ICMR, n.d., p.14-15).- For developing and sustaining with the expansion process, it is increasingly necessary to develop a well-developed infrastructure and cold storage facilities for the procurement and preservation of the raw materials needed for smooth performance of daily operations at the new outlets.

With the change in customer behavior in India, there has been a significant increase in the number of customers eating out regularly. Various international brands which provide quick service delivery of foods are competing to capture the evolving Indian market. McDonald's should work out effective strategies to maintain their market domination in India while capturing the Window of Opportunity arising out of the evolving customers.