A critical analysis of the factors that are influencing consumer behavior in the UK's junk food industry taking the exemplory case of McDonald's and how it is responding to this change and its own consumer behavior process.
The main aim of the research dissertation is to examine the factors which are influential to the consumer decision making functions in the conditions of the junk food industry of the uk. Moreover, it aims to examine how a company like McDonald's is responding this change in consumer behaviour and environment. That is an interesting subject matter to investigate considering the high general public and political controversy about obesity in the united kingdom and its after influencing especially in young children.
McDonald's has been a sufferer of generality of the marketplace forces which can be depressingly influencing the buyer decision making process. These factors are forceful consumer towards a negative attitude curve which can be affecting the earnings production of McDonald. The objective of this dissertation research is to critically verify the various factors responsible for the negative affect within the reliable consumer of McDonald's and suggest advice for the research study about how exactly it can beat this obstacle and increase its market show.
Our two-piece "A crucial evaluation of the factors that are influencing consumer behavior in the UK's fast food industry taking the exemplory case of McDonald's and how it is responding to this change and its own consumer behaviour process" is further split into three main regions of research in order to provide the targeted questions. The three main research areas are the following for your kind perusal.
1. To identify how our chosen company (McDonald's) is evolving during the change in consumer decision making process:
A careful software of PESTEL Construction will be employed in order to identify the many major key change motorists that might have an impact on the continuing future of the UK fast food industry. .
2. To comprehend and identify the critical indicators that are influencing consumer purchasing decisions in regards to the junk food products:
An study of the buyer Decision Making Process will be conducted, specifically in the psychological areas, primarily centering on fast food consumer behaviour towards McDonald's products. Furthermore, the various socio-cultural environmental attributes will be viewed that had an effect on consumer decision making process.
3. Corporate reactions and strategy formulation in regards to the above changes:
Learning about how exactly McDonald's is responding to these changes which consists of unique marketing combination and communication strategy. The experts also seek to propose certain suggestions aiming at future marketing actions of McDonald's firm.
McDonald's is a establish in the junk food industry now world head in the sector. The company has over 31, 000 fast food restaurants in over 120 countries. The company operates primarily in america and the united kingdom. It is headquartered in Oak Brook, Illinois and employs 447, 000 people all over the world. According to Datamonitor ( 2010) McDonalds currently operates in more than 1, 316 restaurants throughout the united kingdom. Its earnings grew by 55% this year 2010.
In 2003 the company was losing money for the fist amount of time in its five-decade record, as it was serving mainly oily food and for that reason fuelling the obesity epidemic. Moreover the business was getting rid of important consumers trust scheduled to release of the documentary 'Super size me' and critical publication "JUNK FOOD Nation". Corresponding to Clark ( 2008) McDonalds introduced healthier menus and just recently in the Total annual Financial Article in 2011 has declared that its sales possessed rocketed, mailing its stocks soaring to a six 12 months high. United kingdom restaurants were designated among the biggest improvers in performance
Consumer behaviour can be defined as the examination of the functions/techniques which can be occupied when a person or a collective set of individuals chooses to choose, buy, use or give away products/services/ideas or their shopping encounters. Relating to Solomon ( 2006) The center focus of this behaviour pattern is based on various methods using which individual or a collective group of individuals take decision for spending their accessible money on items related to usage. According to Schiffman and Kanuk ( 2004) That includes what they buy, why they buy, when they buy, where they buy it, how often they buy it how often they utilize it, how they assess it after they purchase and the impact of such evaluations on future acquisitions, and exactly how they dispose it
According to the dictionary. com website (2011), As per the definition made available from junk food is any food that's available at a cheap price in an easily accessible restaurant for eating or take away and which is being well prepared in a bulk volume using a standardized method and that may be easily dispensed.
According to the meals Survey article (2011) According to the processed foods is the name directed at a food product that is incredibly low in nutritional value and which is usually highly oily or highly processed and which is used instead of or along with a well balanced food.
According to Bairs (2008) showed in his research that the word which is commonly used to spell it out junk food is junk food and just lately, there are furious debates over its utilization for describing bad food, whether it's justified or not. Many skillfully developed believe that the term junk food can be used for selective description depending upon the positioning of the meals outlet, as almost all of the food outlet stores in metropolitan or suburban locations are termed processed foods outlets whereas it is not used to spell it out posh locations. Therefore, it is being seen that the word junk food can be used to disapprove a selective category of foods.
According to Boseley (2008) has demonstrated in his research that it's nowadays quite typical to be fat or obese in the united kingdom; which is proven by the official statistics that presents that around two third of men and nearly 58 percent of women are extremely overweight in the UK. The study further reveals that the UK is their state which ranks number one for the highest range of obese or fats people across all the 27 areas of Europe which was referred to as grotesque by the UK health secretary.
It is shocking to hear that that even though you'll find so many serious concern against junk food in the united kingdom and for this being associated with various issues such as fatness, diabetes, heart burning up, food poisoning, scares and canine cruelty adverts, the united kingdom fast food industry still remains the most effective growing industry over the last few years. Relating to Euro Monitor( 2010 )In terms of per capita costs, between 2005 and 2010, the fast food shops have been growing at the most effective pace within the buyer food service sector
The books review provides visitors with a backdrop for understanding current knowledge on a topic and illuminates the importance of the new research. It will help the reader to comprehend and identify research techniques and instruments which may have been utilized efficiently in the past. Thereby, it identifies, does comparisons and contrasts views and theories of other writers in relation to the research subject. Furthermore, it provides the stepping stone towards the study methodology chapter of the research work.
This literature review provides pointers towards the formation of possible marketing strategies and tips that our research study organization might pursue to be able to provide a strong and positive response to the changing consumer behaviour and environment. This review will provide the reader with an perception into the subsequent theories related to:
Process of consumer decision making.
Change and creation of consumer frame of mind.
Innovative mix of marketing.
PART 1 - CASE STUDY (MCDONALD'S) REVIEW
European JUNK FOOD Industry
Figure 1. 2: European market position of McDonald's by 2010
(All financial principles stated in pound sterling and publicized as of September 2011)
Source: Retail Index Website, 2011
As we can evidently understand from the above shape that McDonald's remains at the maximum of the market share across the European Union. It has a annual turnover which is massively before its nearest competition and for that reason leaves without doubt how critical it is ideal for McDonald's to keep this top position.
Figure 1. 3: Company Financial Results for the entire year 2011
Source: moneycentral. msn. com,
According to the annual report 2011The above body is seen from the of McDonald's as printed on the MSN website. The company shows more than 20 percent world wide web profit margin which really is a great accomplishment in this overly busy junk food market. As stated in the financial article, the business has declared the benefit along with dividend payouts. Above information evidently signifies the strong progress and success of McDonald's.
This chapter is solely devoted to provide insights in to the various research methodologies that exist and thereby builds up into providing the look and the study methodology which is employed to answer the research question in this dissertation. Furthermore, it offers a definite descriptive analysis of the research models and idea.
This is one of the most important chapters of this dissertation research work and provides detail presentation of the information and data that was obtained using the many research tools and methodology. To create it further simple to understand, this chapter is split into parts, first of all, the PESTEL examination is applied to be able to clarify the participation of McDonald's and second of all the key factors that are influencing the process of consumer decision making is analysed and reviewed.
It was very insightful while investigating the response of McDonald's with respect to the documentary Super Size Me. To everyone's shock, McDonald's has brought up on the website that the they agree with the what is shown in the documentary and completely endorse the note which says that everyone should follow a healthy lifestyle. Further, they argued that the central personality ate a one-dimensional food for nearly thirty days which consisted of 5000 calories per day and which is two times the advised amount for an adult. Also, he gave up an active lifestyle to a more sedentary lifestyle stopping all his physical activities. On the other hand McDonald's supports all their consumers by offering healthy living advice available in restaurants and websites. McDonald's also launched a website in response to the documentary to provide various reasoning to the same.
Referring to WHO Record (2010), the education can play a vital part towards the pursuit of a knowledge of consumer with respect to healthy food patterns and lifestyle and may take place within home, social environment or university. This may be the reason why among all the overall participants, the group who has finished their last time studies do not eat at McDonald's.
A very prolonged discussion took place concerning Government's involvement for attracting laws to control or regulate the junk food industry or even to allow industry self regulate itself and allow consumer be left to truly have a free choice. A lot of the group recognized the legislation in conditions of issues related to children and advocated to leave the adult for making their own options.
There was a final debate over the last question that discusses the fast food companies being placed responsible for the existing obesity epidemic in the UK, everyone except one participant said yes and added his defence by expressing: "Junk food companies are well aware about the products which they are providing in their restaurants and what impact it acquired on the consumer. However they are more concerned about the adverse effect on the people as they are busy earning money for their business these companies should know where to draw the series to understand what is wrong and what is right".
Now reaching the final part of the research dissertation which is about understanding the results of the research from the questionnaire, that was developed using the Focus group interviews. It should be known that the first three questions are designed to give attention to consumer's behaviour towards junk food and McDonald's as an organization. While the previous three questions are exploring the impacts that might come from exterior environment having influence on consumer decision making process in regards to the junk food items. The complete questionnaire can be seen in the Appendix chapter.
2. 9 Internal Determinants
Every consumer possesses an alternative kind of mental and emotional characteristics which allow him to take decision and think in a different way. These inside characteristics would be Motivation, Attitude, Conception, Personality, self confidence and life-style. In this particular Section our company is examined these factors which effect consumer to consider effective decision and what forces functioning on consumer at the time of decision.
Motivation is a key factor to delivering consumer on the market. When need happen consumer start think which product and which location I need to go. The necessity is a source of motivation. The initial talk about when consumer not bothers about the necessity and in the status of no action, then the determination invoke consumer to start out search desired need and acquire their goal. It is difficult for the buyer to get the desired product but by motivating we can perform our goal. Our goal is to motivate the consumer to buy our product which product satisfies the consumer needs. The one power is inspiration which achieves the desired results. Needs can be categories into Utilitarian and hedonic/Experiential needs. Utilitarian needs always consider the capabilities and advantages of the merchandise and consider the product related issues. However, "Hedonic/Experiential needs presumed on subjective reactions, pleasures and aesthetic concerns" Diwakar & Dolon, 2008). The difference between desired and genuine express is increased but scheduled to drive it lessens. The huge benefit of motivation is taking consumer from first state to a state of done.
Attitude is referred to a standard consumers feels, behaviours and cognitive believes. Frame of mind has many traits enjoy it could vary in power, positive or negative guidelines or steadiness (Hawkins, 2009). Attitude does not have same amount of trust plus they fluctuate consumer to consumer. Also attitude predicated on the buyer behaviours, when experience is good then frame of mind is different when experience is bad then attitude is bad or methodology differs. Consumer wants more information about the product before making any kind of decision because they are not positive in attitude. With less attitude the confidence of the consumer is continually be suspected about the product, in the case of McDonald consumer attitude range because of products and services they provide. The best identified by the Extended Fishbein in his model where he said that attitude revolved up against the motive and he built his entire theory about it (Mathew & Penguin, 2009).
Perception related to knowing, understanding, viewpoint, thought, interpreting, and stimuli to help make the sense about the earth (Le Anre, 2010). Consumer always consider on their perceptions about the brand or product but they do not understand the needs, behaviour, believes and activities. Before making any sort of perception about the merchandise it important to comprehend that it not discord with frame of mind, aspiration and motivations. If consumer primary perception is positive then customer will dsicover the menu normally it disregard the product and expire.
Personality is a key feature of the business and decision making process. First impression is a last impression, customer always go for the reason that place where personnel is friendly and helpful. On this conditions Personality of staff and management things. If sales man personality is not good then nobody should come to him and it result the sales. Personality signifies the culture of the organization and standard of which corporation stands.
E) SELF-CONFIDENCE and Life Style
As per Hawkes & Merlyn (2008), life-style gives the idea how the consumer lives, thoughts and take decision. In addition, it gives the understanding that how consumer spends the amount of money, time and what they consider the important factors and their activities. Consumer passions and Opinions are also comes in the light of life-style. There will vary factors which related to the lifestyle like population, if population increase it improve the submarket and new phenomena emerge of competitions and it problematic for the consumer to use decision about the product.
In above we explain the inner consumer behaviour attribute which influencing consumer to make decision but there are external consumer behaviour factors also which includes their own impact and weight age group.
2. 10 External Determinants
Consumers not are in isolation. The surrounding environment effect the consumer decisions like prices, believes and thoughts. The exterior factors which affect the clients are culture, sociable course, family and public groups.
Culture contain traditions, customs, cultural believes, norms, and artefacts. Worth can be distributed peoples practices the trends. People discourse and thought end up being the ethnicities. If parents bring their children to McDonald and then it show where we do dinner to his friend (Fitzgerald, Chatrier and Ralph, 2010). This pattern becomes a culture so other individuals start third, trend. Principles are inter related with the cultures and values identify the nation character. Values effect the world and at the end it become culture like there was a trend to go to fast food shops but know it is an integral part of the culture people proceeded to go there eat food and discuss their issues. These restaurants become a part of their culture and conference point. By choosing the good fast food out let signify the decision making by the buyer and mostly consumer take your choice based on the culture and prices.
B) Sociable Class
Classes always explain the social categories of the people. It also indicates folks ability, prestige and position which they belongs too. There are numerous variables which surfaced from research where social class based on. Economical and Political factors are important which describe different kinds of classes (Haysman, 2009). There are main there classes, higher, middle and lower school. What upper course adopts, the other two classes also make an effort to be copied. This class culture determined the consumer purchasing ability and but in the truth of McDonald this category culture not important because this fast food restaurant has quantity of goods that are reachable to lower class consumer.
The family is most influential group where everyone influence one another decision. Selecting the restaurant or menu everyone has its choice but family always consider the guideline of majority is power. Family principles and believes are very important, some people do like open public gathering and many people like public collect, some individuals like personal privacy and many people enjoy with everyone. So usually the decision is so controversial and delayed. The consumer behaviour is so complicated regarding the family. Clarke (2008) is convinced that individuals changes over time and this is named a family life cycle where new members of family added so there perspective with time is different too and ranges in line with the needs.
D) Social Groups
Number of individuals that has same institution thought make an organization and put into practice their perspective on whole modern culture. In this kind of consumer behavior where collections of men and women take decision closely impact on the business enterprise. If consumer belongs to some influential group then it insist the other associates of the groupings to follow its experience about the product or avoid the merchandise. These kinds of groups focus on make or break who make their own perception and strictly follows the rules.
E) Variables Driving a vehicle Choice
In this section we discuss at length that consumer behaviour change scheduled to environmentally friendly products. Among the major factors in consumer point of this product should be environment friendly and according to the health ideas. Therefore, nowadays it is just a one of major factor which affect consumer behavior.
E. 1 Idea and Knowledge
It is important to realize that how knowledge effect the buyer and ecological behaviour. In some of the circumstances it is pointed out that on the bases of the data consumer gather a information, organize and evaluate the information (Schiffman & Kanuk, 2004). Consumer also fined that product which has environment friendly behavior (Wright, 2010). Knowledge is important to produce a right decision but incorrect information causes a less favourable choice. The renowned example that soapsuds clean the clothes very effectively but actually it give the "impression to the consumer that it will clean. But actually it harms the environment (Zavier, 2008). In junk food industry also face criticism about the merchandise that are not accordingly health and safety or environmentally friendly. It is also important educate consumer about recycle products, in fast food industry mostly materials is used from recycling materials and consumers have many myths about the material that used in packing and serving.
E. 2 Demographics
In this research I wish to include the inexperienced consumers. We know that upon this issue a whole lot research has been done but it is very important factor. Based on previous studies, demographic consumers get caught in these categories: Education, Era, Gender, Income, Intentions.
E. 2. 1 Education
Education is very important for the consumer. The training about the product or Consumer personal education both related to green consumer behavior and attitude. The majority of work already done on the inexperienced consumer education where behavior and education is correlated with each other favorably (Fitzgerald, Chatrier and Ralph, 2010). Education gives the idea to select from good or bad and distinguishes your decision. McDonald offers number of items or discounts in their outlet stores but if the consumer is informed then it find the right choice and save the money. Additionally it is good for the company as well as because the belief of consumer is vital after departing the store. McDonald also provides details in their Menu list to avoid from any kind of misunderstanding or bafflement.
E. 2. 2 Age
Aging affect the consumer behaviour and choice. Demographic profile of young people base on doubt. The decision and behavior of young people cannot be forecasted so long period and they switch the assistance in very short time. Aging affect typically business and in junk food industry mostly focused the consumers between 5 to 20 years. Therefore, Fast food industry never trusts these customers and for motivation brings new discounts and services. Renewable consumers are older than these consumers and the relationship between behaviour and choice is negatively correlated between them. Additionally it is found that the partnership between these ageing teams is uncertain plus more research needed in this area.
E. 2. 3 Gender
Gender relates studies are extremely difficult because it involves volume of areas where you will need to look into and then you reach at any realization. It also pointed out that females are more like to be ecologically conscious (Baines, Pomael and Joel, 2009). The relationship between gender and environment is concern and their marriage would be significant (Abraham, 2009). The feminine individuals are more mindful about the surroundings and they purchased products which are more conditions friendly. In junk food industry also service the surroundings and bring new advertising campaign to get these consumers.
E. 2. 4 Income
The power of purchasing and income is straight proportional. If the buyer makes more than they spent more. It also be pointed out that consumers are price conscious atlanta divorce attorneys industry. Especially in food industry consumer want good food in good deal, so competition in junk food industry is high as well. McDonald offers good food in less price but it need to keep eye in market rivals like KFC or Burger Ruler which also provides a fast food in good deal. There may be theory which express, if consumer put in less then there are more chances to save the environment. So some people this theory and give alternative ways to save lots of the environment rather than relate this theory with Income. Sales also have an effect on from the income in case the inflation rate is not controllable then consumer behaviour is also changed.
E. 2. 5 Intention
Intention defined the activities and activities are taken credited to intentions. If consumer has an intention to save the environment they it purchase an environment friendly product. Motives are internal feelings which motivate consumer something which heading to be incorrect or un predicted event. It is also said that intentions are decisive factor to take decision. You will discover many studies who recognize between Intentions and actual behavior (Ayarts & Doris, 2008). Some companies take more money from the consumers in the name of environment friendly product but some critics said from the company responsibility to provide environmentally friendly product without taking extra cash.
There are two Intervening parameters which affect consumer's motives:
"Labelling is Distress", is it labelling give two thoughts? Yes some times in consumer perspective. The improper labelling always confuses customers plus some products are labelled they are environment friendly. If some companies attaching brands using their product, it does not imply that consumer proper understand it too. (Baker and Bayer, 2009). The method of create consciousness in consumer are used is called holistic approach. This process used to teach consumer using eco labelling, the impact of product on environment. Companies need to comprehend that environment labelling offers them support to increase a sale but actually they need to contribute by dumping wastage product and in development process. History studies shows that labelling play a important part when consumer taking purchasing decision of course, if the message convey properly then consumer trust the merchandise more.
Every one boasts that, their products are environment friendly or area of the green environment. According to the research of Fairbrother (2010), 63 percent of consumers think that product are not environmentally friendly and their processing in dubious. By boasting every company that they are environment friendly, consumer are confused. Know they do believe on their saying. Media performed an important role to expose these companies and create misunderstandings in the mind of consumers. Folks are resisting to provide more income which products are tagged environment friendly because their trust is shatter anticipated to miss trust. Individuals feel that companies are misleading and take benefit of character (Brooks and Javier 2009).
PART 3 - MARKETING Ideas/THEORIES REVIEW
2. 11 Marketing Mix
Marketing mix known as a changing, by controlling this variable manager's control the brand sales and market share. Traditionally, we acknowledge them as four P's of marketing regarding Product, Price, Campaign and Place (Vladimir and Essex, 2009). The main goal of the marketing is to deliver the product in the market which fulfils the customer needs. This involve of range of decisions like the merchandise or products of which they have to offer to sale and the market where these products are going to be sale it out, it means that communication with customer is vital. Each one of these decision form a conclusion Mix.
However, because of the growth and importance of service in recent years, a particular attention is concentrated towards marketing of services. Various academicians have advised and theoretically regarded additional variables, that may be easily supplemented to the prevailing four P's of marketing. Also, the added parameters are now a fundamental element of the marketing mixture i. e. Process, Physical and folks (Morgan, 2009). We want to apply the seven P's for interpreting the marketing mixture of this research case study i. e. McDonald in the next way:
1. Product - Quality/Features and Number.
2. Place - Variety of business locations.
3. Price - Pricing Strategy, Price Determinants.
4. Promotion - Innovative Promotions, PR, Advertising.
5. People - HR, Promotion, Reputation, Quality.
6. Process - Legal Procedures, Automation.
7. Physical - Customer Marriage, Restaurant Decor, Ambience.
The audience should note that in this research dissertation, the writer will not be elaborating each of this marketing mix from the 7P's, as not all are highly relevant to our research analysis. The real target would be emphasized on Product, Promotion and Physical features of the marketing mixture.
As demonstrated earlier, that the consumer purchases the products related to junk food category somewhat impulsively, therefore they may be regarded products of low participation. It is recognized that the magnitude of consumer participation in a product category has turn out to be a chief factor important to strategies of advertising and advertising (Diwakar & Dolon 2008).
Therefore, we can carefully suggest that McDonald's would wish hire expert marketing and advertising professionals in order to positively influence the consumer attitudes.
2. 12 Major Concepts of Marketing Mix
The procedures of Marketing and circulation products are incredibly important and it is management responsibility to provide attention until the product is not sales out. Marketing combination is the process in which variety of elopements is included and design in this way it achieve an venture target. These elements are explained as Product, Price, Place and campaign. The Marketing Blend term also be defined that quantity techniques and tactics used to accomplish goal by marketing its products or services. It's important for every company that ensures them marketing right product, right place, right person, right price and right time. For instance in McDonald, The burger is something, Good deal (price), Providing at McDonald Outlet stores (place), promoting it by distributing leaflets. In marketing concentrating on an audience is very important. So choosing a right group of individuals and selling the merchandise is real process in marketing.
In 4p's, decision which related to the merchandise include range of decision in which labelling, creation and product packaging of the product. Decision relating to price is vital, because deal is directly afflicted by this element of Marketing Combine. Managers need to take decision about taking even price for the merchandise or different charges for the same product in different markets. 3rd component is Place where this product is going to be sale it away. Therefore, Identification of market is key of success. Previous element is Campaign, in what ways sales could be increase. Managers need to think about the campaign of product and need to adopt different techniques and tools which improve the sale of the merchandise.
Manager also have to consider the buyer behaviour which is exterior force, like in the case of the McDonald new bargains are offered as well as for attracting children playthings are made available from the company. Consumer behaviour is very important to the professionals and company and other market rival strategy as well.
2. 13 Characteristics of Marketing Mix
Crux of Marketing Blend:
Number of elements are involved in the marketing blend, so each component has its weightage. Anne (2009) feels that mixing in way that all aspect do not lose it weightage rather than surpass from it weightage give us desired consequence. So it very important to the professionals keep balance between these elements and not ignore the element.
Changing Needs and Steady Overview of Marketing Blend :
The constantly changing factors of the market segments need to considered by the management as a priority. Changes such as change in cost of a product or service owned by a competitor should be instantly improved in the marketing combine elements for offering competition to the new change (Bernard, 2008). Regularly revisiting the online marketing strategy is the genuine key to success and which give newer ideas for improvement of any companies product and services in turn increasing the earnings.
Change in Exterior Environment insist to change in Marketing Combine :
As per Noir (2010), exterior Environment never remains frequent on a regular basis. The main factor in exterior environment is consumer. The change in behavior of customer in product way always create problem for the professionals. Managers need to understand the customer's needs and respond well-timed to fulfil the customer requirement.
Change in Internal Environment demand to improve in Marketing Mix :
The marketing combination calls for an action of change because of the change in internal environment as it is similarly important as exterior environment. A number of the inner environment changes includes change in technological attributes, products, sizing and scalability of interior operations. Each one of these changes require immediate change in the marketing mixture and related operations of a company (Wright, 2010).
2. 14 Elements of Marketing Mix
There are 7 major elements as shown below
Marketing is approximately identifying the customer needs and satisfying the client needs. It is important for the director to choose right menu in fast food industry. Like in McDonald number of items are contained in menu list but administrator need to understand that customer spend a money where he get good food with low price. Adding items in list is not a big thing but it important that what customer want. Therefore, in case there is McDonald it emphasizes on menu list and offers more goods that is highly demandable by the clients. It is important to understand the client psychology, an item today is very demandable and part of the fashion, may be discarded tomorrow. Marketing suggest to ongoing analyzing customer needs and needs.
Product can be physical or services or idea which fulfils the consumer needs which he willing to pay (McCarthy, 1996). Product is Key factor of the Marketing Combine in which we need to examine these factors:
Attribute Related to product
Product Packaging and Labelling
Product Support Services
Attribute related to product are quality, design and size. Like in McDonald, it is vital the grade of burger should be better than other competitor's burger. The design where product is manufactured means in the case of burger shape is important and how big is burger is important because against all these consumer is spending money on it. In competition market product is distinguish based on the taste as if McDonald and KFC burger have different taste.
Branding is another factor which is very important in product element. A number of the products are acknowledged by the brand name. Like Mozzarella cheese burger, saver menu and other products which are renowned by the brand and consumer remember the brand of the merchandise. When branding a product, it's important for professionals that it should be easy to pronounce, easy in reading and it has appeal which entice customers to bring them into restaurant.
Packaging is another essential aspect which appeal to customer and it related to the merchandise. Packaging and labelling is a very difficult decision and product packaging means that putting product in package or packet like we've big boxes are available at McDonald whenever we buy a burger. Packaging is important because in this manner product remains protected and easy to carry. Polythene and Clear plastic is not considering as a good materials to pack the food product so that it better to use the gentle material. The clear plastic bags use should be averted.
Another factor which is part of the presentation is labelling. Labelling reveals the name, size, making date, expiry time frame and ingredients that used to develop the merchandise. Everything is distributed by the company should be authenticated and consumer who are health conscious or not used some of the medical reasons need to know what they are really eating. Consumers also consider the expiry time because junk food cannot be avoided so long.
In the framework of fast of industry services in shops are very important. After inserting an order customer want quick food in their stand (Schwartz, 2009). Because of modern technology product is order by phone or online purchasing. In this framework managers need to provide quick service to attain product at destination so Service are straight related to the merchandise. If the product is food then it is vital that order reach at destination as soon as possible because of hygienic reasons.
Another decision about the product is where this product emerges. Finding market for the merchandise and location of wall socket need research. It rely upon the business where the product is offered, sometime it happened that lots of product are launched together plus some time new product is launched in replacement unit on any product. This type of decision is named a combination decision and products decisions.
As per Kiel and Layton (2010), there are two main objective of Promotion:
Telling existing customers or positional customer about the product.
Motivating customer to purchase the product.
It is very import element of marketing mix because without doing any type of communication with customer we cannot increase deal and customer need to find out, is this product fulfil my needs?. Your choice about the selecting the tool for promotion depends upon the business. You will find main four tools of Advertising Mix:
Advertising the product
Factors Governing Campaign Mix:
Aspect of Product:
Every company has many products so each company in characteristics is different. For every product there differs promotion combine. Like junk food industry it is good for personal sale strategy to adopt but also for industrial goods this system is bad, because they want more technical knowledge.
Kind of Market:
If the marketplace is spread over large geographical area then advertisements approach is good because there are large number of customers who propagate all over the areas. But if customer is not multiply in large geographical area then personal offering or sale promotion techniques are good.
Product Life cycle Stage:
All the periods are essential for the merchandise, the writer has described in detail Product life routine in Product section.
Thrust Vs Move Strategy:
In this plan companies pushes the product into the middle man and he force the product towards the buyer, it is named a force strategy. In this type of strategy personal selling or display strategy would be better as compare to advertising campaign. In pull strategy company directly approaches to consumer without including middleman. Advertising consider more appropriate in this case. In mixture with proper tools we can perform our results.
As the respondents to the questionnaire were not randomly selected for this study, we can not generalize from the resulting responses. The research aim was obviously mentioned in the very beginning of the questionnaire so as to clearly advise the respondents. The key highlighter issues or themes or templates were identified from this focus group analysis and down the road used as a basis to create the close ended questions. The top or the key topics such as fast food quality, cruelty towards aspect/animals, Brand collateral, and Media influence on consumer behaviour developed the crux of the questionnaire. The reader can refer to the appendix B for getting more information about the questionnaire.
The pursuing is a study project doing by students of MBA and we want to study about the effectiveness of consumer behavior in the fast food industry and exactly how McDonald's have the ability to counter this changing environment and consumer behavior. This research is for academic purpose only. The information will be retained confidential as well as your name is not required. Your cooperation in concluding this questionnaire by responding to the next questions will enrich our understanding and would be greatly appreciated.
A) Concentration GROUP
Focus group took place at the Guildhall library garden on 27th of November 2011. The group experienced participant of all ages and qualifications and ethic orientation.
QUESTIONS ASKED DURING Target GROUP
1) Your general view about fast food industry (McDonalds) and its own typical products?
a) Food quality/b) Honest aspects
2) What do you feel about the fast food restaurants and junk food products in general?
3) Reason that drive you to eat at McDonald's?
4) Perhaps you have heard about the current obesity issue in the UK (e. g. The federal government anti-obesity plan/Jamie Oliver advertising campaign etc. ), And is there any influence on you?
5) Should there be considered a regulation of these fast food companies?
6) Are these fast food companies responsible for rising fatness in UK?
1. Select gender
2. Select age group:
Under 15/16-25/26-35/36-45/Over 46
3. Consistency of visiting McDonald's?
Every day/3 times a week/Once a week/3 times a month/Once every month/I don't eat fast food
4. Utilizing a scale of 1 1 to 7 (1 being most detrimental quality and 7 as best quality) value nourishment of McDonalds' products?
Beef Burgers/Vegetable burgers/Salads/Fruits/Pies/Chicken Sandwiches/McDonald's MacNugget's/ Fries.
5. Did you ever visit a list of diet facts in a McDonald's restaurant?
6. If yes, then can you trust it?
7. Does one agree to the actual fact that McDonald's put chemicals in their food? (For increasing the tastes and/or feel)
8. Would you buy into the state of McDonald's about using fresh substances, Please mark over a range from 1 to 5 (1 is really as least agreeable).
9. If McDonald's uses 100% trim beef or fowl in its burgers, more fresh vegetables and apples etc. Would that inspire you to go to its restaurants more regularly?
10. Perhaps you have ever visited the state McDonald's Website?
11. If yes, was it fascinating and/or useful?
12. In the event that you haven't, will you intend in the foreseeable future?
13. What do you take in at McDonald's?
Nothing else but dying of being hungry/Simply a convenient option/It offers great affordability and health/Because I really like its burgers flavour/I haven't gone to McDonald's
14. Have you considered the moral issues (pet welfare etc. ) In McDonald's substances?
Very familiar/Quite familiar/Don't know what that is
15. Does indeed the ethical issue bothers you while eating a poultry sandwich at McDonald's?
Yes it does indeed/Yes it can, but I eat my chicken/It doesn't take the time me/I don't eat chicken
16. In the event that you were informed that McDonald's uses 100% obviously raised chicken meat than would it motivate you to consume chicken more regularly?
18. Perhaps you have heard of the obesity promotions in the UK?
19. Do these debates have any influence on your perception about the fast food industry?
Yes, now I believe differently about fast food and do not eat any longer/Yes, but I still surely got to eat however, not normally as before/No, it didn't affect me in any way/I never use to eat in such restaurants
20. Perhaps you have seen the documentary about McDonalds "Super Size Me"?
21. After enjoying it does it stop you from heading to McDonald's?
Yes indeed/Yes, for some time, however now I go as often as before/Not at all
22. What do you consider 's the reason for the UK being chosen as the fattest country in Europe.
Busier lifestyle/Sedentary lifestyle/Lack of education/Eating too much "processed foods"