McDonald's McCafe Marketing Mix

In today's quickly shifting business climate, it is more important than ever to create the right mix of product, price, promotion, and place when marketing a business. Without these factors in the forefront of a marketing plan, the business will not survive. It is the purpose of this paper to discuss these elements as exemplified in the McCafe concept of McDonalds and the implications for market management decisions.

Marketing theory is of no use if the customer is not at the forefront of business planning. Market managers can work with statisticians, plan forecasts, and perform sophisticated research, but without the needs and preferences of the customer in mind, the company, regardless of how successful in the past, will decline. Kotler states that the customer is always the most important person in the office, never an interruption, not someone to argue with, the reason for the business (1997, 23). The appropriate marketing mix is important in determining the best ways to win and retain the customer.

McDonalds has been for decades almost synonymous with the concept of excellence in marketing fast food. The name is known globally, and a majority of the population in developed countries has eaten at McDonalds, at least on one occasion. The golden arches are a part of American culture, and for decades, a meal at McDonalds has been desirable for families, and especially for children. A person's culture is one of the fundamental factors in buying behavior, one of

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franchising system, and the unique variations are modified for each country. For example, religious observances are respected, and appropriate Lenten and kosher foods and drinks are offered during religious seasons (McDonalds website). In order to test the concept in North America, several McCafes were placed in Canada, the first in Montreal, followed by one in London, Ontario, Vancouver, and Burlington (CMcDonalds, 2001). Additional McCafes were added in New Brunswick and other provinces later in 2001, following the example of successful McCafes overseas for the past decade. Canada was the 15th country to be added to the McCafe roster, as McDonalds tries to get a share of the gourmet coffee market. McDonalds Restaurants of Canada and its franchisees own and operate more than 1,170 restaurants and employ more than 75,000 Canadians (CMcDonalds, 2001, 1). Almost all of the Canadian McDonalds restaurants are locally owned by independent entrepreneurs. Bill Johnson, the president and CEO of McDonald's restaurants in Canada has been with the company since 1970, starting as a crewmember at the company's first eastern Canadian outlet in London, Ontario. Johnson went back to that location last year to open and testmarket the McCaf

Category: Business - M