McDonalds Final Presentation

Matt Young Cheri WoodLesly Juber Mark YoungMargie Jacobsen Sue Young Barbara Schmeitt Katie YoungPresident Richards & LDSBC Guests

Welcome!

Purpose:To provide LDSBC students with a real-life, authentic learning experience in offering input to McDonald's Create Your Taste (CYT) pilot

Agenda:●CYT in Australia and

U.S. ●Local Store Marketing●Value-added Aspects●CYT Options●Four Functions of

Management

1.CYT in Australia and U.S.

Spencer BoardTim GambleTimothy GatesTaylor LithgowTina Mapu

Group 1

MACCA’S“We're incredibly proud to embrace our ‘Australian-only' nickname…What better way to show Aussies how proud we are to be a part of the Australian community than change our store signs to the name the community has given us?"

Group 1

Aussie Commercial:Group

1

CYT Australia: “Customisable burgers, brought to your table by a waitress on a wooden board, complete with a wire basket of fries. No, it’s not your local hipster burger joint. It’s Macca’s.” (News.com.au)

Group 1

Group 1

Group 1

Group 1

Store Design Survey

Group 1

Can you tell me what restaurant this is?

If McDonald’s looked like this, would you be more inclined to eat there?

Survey Quotes:“You can see the food!”“It’s more inviting… It looks like home (Italy)!”“It’s Blue Lemon!”“Cheesecake Factory!”“It looks like a cafe…”“I’m sorry, I don’t know anything about fine dining...”

Group 1

SWOT (Australia vs. Utah)

Strong Brand“It’s iconic”“I’m lovin It”“Red and yellow”“Kids first icon recognition”“Golden Arches” “The Hamburgler”

StrengthGroup

1

WeaknessEmployee Awareness & Cleanliness “That (Australian CYT store) actually looks clean” “Nasty restrooms and food” “Dirty play places” “There is so much trash”

Group 1

Opportunity Utah’s Demographics (Families & Ice Cream)“I don’t eat meat, but I’d take my kids”

“Kids first icon recognition”

“My kids go like to go for the play place, but I would be more inclined to eat there”

Group 1

ThreatNegative Perception“The meat grosses me out”“Intestinal woes”“Heartburn and feeling sluggish”“Obesity and diabetes”“Part of why America is obese”“GMO laden plastic”“Supersize Me”“Fat”

Group 1

Group 1

Recommendations:1.Consider CYT ice cream 2.Survey items customers want most

on their burgers, then add or subtract certain ingredients

3.Reinforce CYT training to all current and new employees

4.Survey further on customer perception of CYT competition

5.Look at changing the store layout and decor to focus on CYT, post pilot

Group 1

2. Local Store MarketingWhitney AndersenJoy ChristensenAdam FrancoTony GonzalesXavier NetaneGerardo Valladares

Group 2

How often do you go to McDonalds?

Group 2

Have you heard about CYT?

49%49%51%

Group 2

How did you hear about CYT?

Group 2

Do you follow McDonalds on social media?

Group 2

No, I do not follow them on social media.

Have you tried CYT?7%78%

15%

Group 2

Group 2

Group 2

Group 2

Recommendations:1.Advertise FREE items

(like FREE Guac)2.Implement QR Code

“Fast Pass” idea3.CYT sell, sell, sell!4.Launch Youtube ads

Group 2

3. Value-Added Aspects Sara GoldingPaul GoodrichChristian HayesBaylea JonesRebekah MateerIan McLeanDiogo Siano

Group 3

Which aspects add value?1.Metal baskets for burgers and

fries2.Table service, pucks or

number tents, pick up3.Pricing4.Freestyle Coke machines5.Kiosks

Group 3

CYT Presentation I was satisfied with the presentation of my CYT meal.

Group 3

CYT Meal Quality I was satisfied with the quality of my CYT meal.

Group 3

Table Service and PucksGroup 3

Table ServiceI liked having my food brought to my table instead of having to retrieve it myself.

Group 3

CYT Wait TimeI was satisfied with the amount of time I waited for my CYT meal.

Group 3

Table Service: Pucks vs. TentsPucks PROS Tent Stands PROS- GPS- Vibrates- Reuseable

- Low cost- Familiar to

customers- Reuseable

Pucks CONS Tent Stands CONS- Expensive- Inconsistent use

- Damage easily; will have to be replaced more frequently

Group 3

Freestyle Coke MachinesPeople love it!!

Group 3

Kiosks

Interface could be easier Make images smallerShow more options

Navigation could be difficult Make it more user-

friendly Scrolling can be

difficult Make easier and more

noticeablePerceived lack of

assistance

56% of those surveyed were satisfied with the kiosks

Group 3

CYT Pricing I was satisfied with the price of my CYT.

Group 3

CYT Repeat BusinessI would order a CYT meal again.

Group 3

Survey Comments:“The kiosk was difficult to navigate.”

“The fry baskets need improvement.”“I feel like I have a lot less fries.”

“Great food. Decent price. Took a lot of time.”

Group 3

Recommendations:1.Reinforce uniformity in food

delivery2.Reduce scrolling on kiosks.

Consider a pie-chart dial3.Proved concierge service during

lunch and dinner hours at kiosks to promote CYT

4.Sell CYT at cash registers during slow hours

Group 3

4. CYT Options - Breakfast?Eric ValerioOfa TakuvakaMorgun PhelpsAnna HeadJames Farnsworth

Group 4

In an average week, how many times do you get breakfast on the go?

Group 4

What is your favorite breakfast menu item at McDonald’s?● Over 50% of those we

surveyed stated the Egg McMuffin

● Others answers varied between breakfast burritos, pancakes, and smoothies

Group 4

What amount of time would you be willing to wait in the lobby for a customized breakfast meal?

Group 4

Base price willing to pay for a CYT breakfast sandwich:

Group 4

Would you be willing to pay an extra dollar to add another egg?

Group 4

Vegetable OptionsGroup

4

Other OptionsGroup 4

Sauce Options Group

4

Recommendations:1.Implement a CYT breakfast

sandwich option for lobby customers

2.Use CYT prebuild breakfast options in the drive-thru lanes

Group 4

5. Four Functions of ManagementHeath

AndreasenCarter Maclean Chase MarshallEthan Turner Jesse WentworthSpencer Woodland

Group 5

Four Functions of Management

●Leading

●Planning

●Organizing

●Controlling

Group 5

SummaryObserved and surveyed 14

employees from two different stores

Observed lobby customers in five stores

Observed Matt’s management style

Group 5

Observations of Matt’s “Leading”Worn-out boot:

M B W AHamburger U

Group 5

Group 5

Observations of Matt’s “Leading”Situational leadership:S2- Busy lunch hour - “Coaching”S3- Working with employees - “Supporting”S4- Gordon and Juan - “Delegating”

Group 5

“Multipliers”A “Multiplier” gets at least two times more from people around them!”

“Multiplier” Disciplines:Talent Magnet vs. Empire

BuilderLiberator vs. TyrantChallenger vs. Know-It-All

Group 5

Observations on Planning, Organizing, and Controlling:●Employee “concierge” was

a great help

●Getting people to kiosk is

the big hurdle

●Matt’s “Controlling” pays

off!

Group 5

24% 5% 15% 13% 5%

Group 5

Employee survey questions:1. Management provided sufficient training on

the CYT pilot in order for me to meet customer needs and requests

2. I understand management's expectations for my role in the CYT pilot

3. I have a positive attitude about the CYT pilot in our restaurant

4. I believe the leadership style of this restaurant’s management is effective

5. Management has shared with me the vision of our business’s future

Group 5

Group 5

Group 5

Group 5

Group 5

Group 5

In your opinion, what is the biggest problem with the current CYT pilot, and how would you improve it?“Customer awareness”

“Kiosks are confusing and people generally don’t know how to use them”

“Scrolling feature of the kiosks”

Group 5

If you were the owner of the restaurant, what would you change?“Show the food being made in

front of customers”

“Make CYT available in the drive thru”

“Share how fresh the food really is”

Group 5

Recommendations:1.Consider Matt “going on the

road” to train on CYT culture and kiosks

2.Reinforce the kiosk concierge across all stores

3.Expand mystery shopping process to include CYT

4.Make sure managers attend Hamburger U

Group 5

Thank You!

Swot MatrixInternal/External Factors: Strengths (S)

-Strong brand-New CEO, new strategies-Matt Young & his LDSBC team

Weaknesses (W) -Negative perception-Unskilled employees & high turnover-Advertising

Opportunities (O):-Demographic’s-Documentary craze

(SO) Strategies-Advertise CYT next to ice cream-Advertise to attract families

(WO) Strategies-Create a Pro-McD’s documentary

Threats (T)-Competition-Health conscious consumers-Super-Size Me

(ST) Strategies-New strategy plan (Domino’s example)-Use brand as leverage

(WT) Stratetgies-Create a Pro-McD’s documentary-Generate plan to improve the morale of McDonalds employees-New marketing plan that appeals to the health-conscious consumer

Summary of Recommendations:1. Consider CYT ice cream 2. Survey items customers want most on their

burgers, then add or subtract ingredients3. Reinforce CYT training to all current and new

employees 4. Survey further on perception of CYT

competition5. Look at changing the store layout and decor

to focus on CYT, post pilot6. Advertise FREE items (like FREE Guac)7. Implement QR Code “Fast Pass” idea8. CYT sell, sell, sell at cash registers!9. Launch Youtube ads for CYT

Summary of Recommendations (cont.):10. Reinforce uniformity in CYT food delivery11. Reduce scrolling on kiosks. Consider a pie-chart dial12. Proved concierge service at kiosks during busy hours to promote CYT13. Implement a CYT breakfast sandwich option for lobby customers14. Use CYT prebuild breakfast options in the drive-thru lanes15. Consider Matt “going on the road” to train on CYT culture and kiosks16. Expand mystery shopping process to include CYT17. Make sure managers attend Hamburger U