McDonald’s developed marketing strategies and customized them for different regions based on the cultural and national variations to serve specific target markets. Researches are carried out in areas where they wish to open based on a few elements, including social, cultural, technological, political, and economic situations.
Economic
• McDonald’s faces different monetary values in different countries which is why it is required to change the pricing strategy. For instance, the value of a Big Mac varies worldwide. In Switzerland, the Big Mac is valued $0.60 over the U.S. (price base of the product). Whereas, in China, it is undervalued by $0.60 in comparison to the price of the Big Mac in the U.S.
• With its bargain deals on food items, McDonald’s started catering to people belonging to the lower income levels which contributed to its growth.
• The economy of each country they operate in ultimately affects their results. It is up to them according to the current situation whether to import raw material from another country or not. Taxes and tariffs on imported material play a major role in deciding this for the giant.
Social
• Customers in different regions have got different culture and religion. For Example, McDonalds restaurants in India serve fish and chicken items only and not beef as it is considered sacred. Similarly, for Muslims they introduced Halal Meat for burger. Adapting to customer choices and preferences enabled it to grow.
• Other foods were also added to the non-standardized menu including McAloo Tiki Burger, and other common Indian dishes. Since taste and preferences differ from place to place, they analyse the preferred taste in accordance to the local cultures. Furthermore, the company has created flavours to meet the general preferences which actually had a great impact on the growth of this fast food restaurant.
• As one of the most popular fast food chains around the world, McDonald’s has had to revamp its menu, redesign its restaurants and bring in new technology to remain competitive in an ever-expanding market. Here’s a look at how its food and restaurants have changed over the years.
Demographic
• Demographic factors affecting McDonald’s growth refer to the age, gender, population growth, and family influences of its customers.
• McDonalds target anyone who is looking for a quick and cheap meal. They aimed to appeal families with free Wi-Fi and cleanliness, workers with on-the-go breakfast, and kids especially with their Happy Meal.
