GROUP 1

1. ANGELAI RENA (1853010022)

2. CHRESTELLA (1853010023)
3. WENDY WIJAYA (1853010035)
4. WINNIECIA (1853010036)
 1. Customisation
Most of us would know the basic
McDonald’s menu. And here’s the good
news, their burger customising kiosks .
“Create Your Taste Kiosks” will
allow you to make your own gourmet
McDonald’s burger from 26 different
ingredients. The kiosks come with Dual
Point technology, which allows customers
to order their food at one point and collect
it at another. You approach the first kiosk,
choose your ingredients from the bun to
even the cheeses and sauces, then move to
make a cashless payment at the payment
kiosk.
The ”Create Your Taste Kiosks” are also said to come with table service, where your gourmet
burgers are served to your table. Your creation served on a wooden slab with fries in a metal basket
looks every inch like something out of a gourmet burger restaurant. The prices are, of course,
“gourmet” as well, with prices going into the tens for a single burger, depending on what you put in
it. The service is currently already available in the US and Australia, and Singapore is the
first country in Asia to be able to try it out.
“We know our customers want choice and customisation and we are evolving with
them innovating as their needs, tastes and preferences change. Whether customers want
the iconic Big Mac and fast convenience McDonald’s is famous for, or a premium
burger in a more relaxed dining environment, customers now have more options than
ever before.

Since its launch, #createyourtaste has been garnering a lot of buzz on Twitter, as
McDonald’s continues to roll out their kiosks across the US, Australia, and Singapore.
The most viral is probably this video, of what is probably the biggest burger you can
make on the system:
2. Brand Image
Brand image, conversely, is how consumers perceive and experience a brand regardless of what that
company is trying to convey via brand identity. For some companies, the two terms may be nearly
synonymous a great brand manager will effectively communicate a brand’s messenge, and ensure that
the company’s actual practices are in line with that message as well. For other brands, like
McDonalds, the two may not line up when actual experience fails to line up with the qualities the
company is emphasizing.
Today, McDonalds is
making headlines left
and right for their efforts
to meet a growing
demand for healthy,
quality options.
The world’s largest chain of fast-food restaurant, McDonald’s is more famous for
its logo than its mouthwatering foods. Founded by the two brothers, this fast-food
brand is among the most valuable brand in the world. A significant part of the
success of McDonald’s is associated with its striking logo design.

The McDonald’s logo is symbolic of the arches that were the substance of the
newly constructed architecture of the first franchised restaurant in 1952.
McDonald’s uses the Golden and Red as primary colors in its logo design. The
Golden colour represents the famous arches of its first franchised restaurant, while
the red colour represents the food industry of this company.
3. Up-selling & Cross-selling
McDonald’s knows a burger never tastes as good if you don’t add on fries, and they’ve used
that formula to build a more than $20 billion dollar company all because of one simple
question, “Would you like Fries with that?”
Most people do not walk into
a McDonald’s to get just
fries. They are there for
something healthier, like a
burger, or to try a new menu
item they’ve seen advertised
around town. But with that
simple question the company
has been able to sell 9 million
pounds of fries every day
globally!
Good cross-selling is an art. It is all about timing and relevance. It is in no way about
manipulating customers. The most effective way to sell more to someone is when
they have a genuine interest in it anyway. And the textbook example is the
McDonald’s company’s ” would you like fries with that?”. That small question allows
McDonalds to sell over 4 million kilograms of fries globally every day.

And, they don’t stop there. McDonalds’ employees then ask every customer if they
would like a drink or larger sizes. The incremental revenues due to these small cross
and up sells do wonders to boost the company’s bottom line. 69 million customers per
day being asked to buy more. Interesting, isn’t it?
4. Segmentation
Segmentation is a key strategy for the implementation of a customer orientation and in the longer term, is a
source of competitive advantage and improved profitability. In segmentation, McDonald’s must identify
distinct subsets of customers in the total market for a product where any subset might eventually be selected as
a market target, and for which a distinctive marketing mix will be developed.
1. Select base(s) for segmentation and identify appropriate market segments. For example, the age target
group and the income target group.
2. Evaluate and appraise the market segments resulting from the first step. Select an overall market targeting
strategy.
3. Select specific target segments.
4. Develop a product positioning strategy for each target segment.
5. Develop an appropriate marketing mix for each chosen target segment in order to support the product
positioning strategy.
5. Customer Lifetime Value
Customer Lifetime Value (CLV) is a marketing metric that projects the value of a customer
over the entire history of that customer's relationship with a company. It is the current value of
the likely future income flow generated by an individual purchaser.
CLV determines the value of a customer to the firm over the life cycle of the customer. It seeks
to maximize profit by analyzing customer behavior and business cycles to identify and target
customers with the greatest potential net value over time.
It allows companies to know exactly how much each customer is worth in monetary terms, and
therefore exactly how much a marketing department should be willing to spend to acquire each
customer. It is a concept adopted from direct marketing which looks on the long term customer
behaviour as the key for success.
The norms for this success are based on :
 The cost of acquiring a new customer
 The benefits & costs of retaining an existing customer

Loyal customers become more valuable over time. They are different from
other customers as they tend to :
 Buy more often
 Buy more items
 Buy higher priced items
 Have lesser service cost
 Have lesser sensitivity to price
 Have higher retention rates
6. Customer Perceived Value
McDonald’s value proposition would include :
 Convenient locations
 Comfortable seating and in-store facilities
 Fast and efficient service
 Consistent quality menu items
 Distinct products, such as the Big Mac
 Good value offering and pricing
 A broad range of food choices – suitable for a variety of ages