Overview
The article “McDonald's fights back with free coffee” was published on CNN Money on March 28th, 2014 by Parija Kavilanz. The article primarily focuses on the multinational fast food restaurant, McDonalds, beginning to offer its breakfast customers a free 12-ounce small coffee. This is due to the fact that McDonalds is facing a decrease in sales since its competitor, Taco Bell, recently introduced their first-ever breakfast menu. Additionally, to have a competitive edge, Taco Bell is also introducing unique breakfast items as opposed to the ordinary scrambled eggs or bagel. As a result, the North American McDonalds are leaving it up to the independent franchises to decide whether they will provide their customers with free refills. Additionally, McDonald’s is also extending their breakfast hours, which usually ends at 10:30 am.
The article “McDonald's fights back with free coffee” was published on CNN Money on March 28th, 2014 by Parija Kavilanz. The article primarily focuses on the multinational fast food restaurant, McDonalds, beginning to offer its breakfast customers a free 12-ounce small coffee. This is due to the fact that McDonalds is facing a decrease in sales since its competitor, Taco Bell, recently introduced their first-ever breakfast menu. Additionally, to have a competitive edge, Taco Bell is also introducing unique breakfast items as opposed to the ordinary scrambled eggs or bagel. As a result, the North American McDonalds are leaving it up to the independent franchises to decide whether they will provide their customers with free refills. Additionally, McDonald’s is also extending their breakfast hours, which usually ends at 10:30 am.
Business Strand
McDonald’s is well known international company that serves and provides its selection of fast food all around the world. Nevertheless, McDonalds has been facing intense competition from Taco Bell and as a result, is precisely related to the marketing challenges, approaches and distribution strand of international business. This is due to the fact that since Taco Bell has begun to offer a unique breakfast menu, McDonalds needs a way to promote and brand themselves as a morning coffee shop. The process of brand acquisition and attraction of a new target market is difficult and requires strategies such as free giveaways. Ad promotion is one of the key elements of marketing, in order for an internal company to stay competitive, alterations have to constantly be made to keep up with the competitors and their advantages.
McDonald’s is well known international company that serves and provides its selection of fast food all around the world. Nevertheless, McDonalds has been facing intense competition from Taco Bell and as a result, is precisely related to the marketing challenges, approaches and distribution strand of international business. This is due to the fact that since Taco Bell has begun to offer a unique breakfast menu, McDonalds needs a way to promote and brand themselves as a morning coffee shop. The process of brand acquisition and attraction of a new target market is difficult and requires strategies such as free giveaways. Ad promotion is one of the key elements of marketing, in order for an internal company to stay competitive, alterations have to constantly be made to keep up with the competitors and their advantages.
Opinion
In my opinion, I believe that McDonald’s is going to have to promote their ‘breakfast friendly’ image a little more. It is unquestionable that marketing and promoting is important for attracting new customers but attracting a whole new target market for McDonald’s morning breakfast is going to take more than free coffee. This is because they are already known as the fast food restaurant the quick lunch or meal and if McDonald’s only markets free coffee, many individuals will show up for the free coffee and not purchase anything else. This can ultimately decrease sales. I think that McDonald’s should also start to offer unique morning products that distinguish them from their competitors and ‘want’ the customers to come to their restaurant and not come for the free coffee but as well as the other breakfast items. Al in all, if McDonald’s does not change their marketing strategy, they can potentially lose revenue due to their free giveaways.
In my opinion, I believe that McDonald’s is going to have to promote their ‘breakfast friendly’ image a little more. It is unquestionable that marketing and promoting is important for attracting new customers but attracting a whole new target market for McDonald’s morning breakfast is going to take more than free coffee. This is because they are already known as the fast food restaurant the quick lunch or meal and if McDonald’s only markets free coffee, many individuals will show up for the free coffee and not purchase anything else. This can ultimately decrease sales. I think that McDonald’s should also start to offer unique morning products that distinguish them from their competitors and ‘want’ the customers to come to their restaurant and not come for the free coffee but as well as the other breakfast items. Al in all, if McDonald’s does not change their marketing strategy, they can potentially lose revenue due to their free giveaways.
Kavilanz, Parija. "McDonald's fights back with free coffee." CNNMoney. Cable News Network, 28 Mar. 2014. Web. 28 Apr. 2014. <http://money.cnn.com/2014/03/28/news/companies/mcdonalds-free-coffee/index.html?iid=SF_BN_River>.