McDonald’s, the global brand leader in fast-food is seeing a sunset on the horizon. Nostalgia isn’t cutting it with many new customers and the company is struggling to find its way toward meeting the demands of customers who have been loyal for decades and those who never knew the original Hamburglar.
The challenges McDonald’s faces are many but here are a couple of the main ones that it appears to be tackling in some manner:
The McDonald’s Nostalgia. Simply stated, nostalgia will only get you so far. With older generations, it may work and wear off slowly, but for millennials who are more than happy to drop your brand for the slightest of infractions against their deep-seated beliefs and causes, nostalgia is more of a hindrance than a benefit. So how do you meet the needs of those who have identified with your brand for decades along with those who don’t have the same sort of emotional pull?
The Better Quality of the Competition. For just a few dollars more, anybody can get a better burger in a better atmosphere. On top of this, people are generally spending more on groceries than they have in decades. So, not only are they looking to eat better at home, they are looking to eat better when they dine out as well.
Image is Everything – Especially When it Hurts. The phrase “fast food” has almost a negative connotation these days. Unfortunately, that’s exactly how many consumers see the iconic brand. What was once known as “value” has declined to the realm of “cheap.” This may be a bit on the prejudiced side of things, but that doesn’t clear McDonald’s from the part it has played in earning the “cheap” moniker.
The solutions seem to be very targeted. The brand is certainly listening – or, at the very least, paying attention to what customers are saying about the company’s offerings. Here’s what McDonald’s is currently doing to bridge the gap:
Meeting Millennials Where They Live. Technology is where most millennials live. This means online ordering and customization in a location or before visiting. It also means the ability to pay with a phone at the point of sale or prior to pick up. This is the kind of tech that today’s kids are using, and therefore demanding.
Giving Customers What They want – All Day Long. If you’re anything like us, you’ve had enough of hearing about additions to the McDonald’s menu. The brand has caught on and, instead of offering new items that require new resources, food items and other things that disrupt kitchen flow, McDonald’s is offering bigger Big Macs, all-day breakfast – the kinds of things that are so easy and effective that it makes you wonder why they hadn’t done it up to now.
Of course, this is just our take on the current situation at the global burger brand. Got thoughts of your own? We’d love to read them!
