Tuesday, May 8, 2012

Business Marketing

Business Marketing is the marketing of goods and services to individuals and organizations for purposes other than personal consumption." Mcdonalds focuses on its strategic alliances with suppliers for their coffee. Along with their great marketing skills they still need to maintain the great alliances they have for their new McCafe line. McDonalds and McCafes in many national markets are part of the rainforest alliance. All McDonalds outlets and McCafes in Ireland and Australia for two examples offer only Rainforest Alliance coffees.
So far in the U.S. markets Franke Espresso Super automatics are being installed along with Bunn brewers. Three roasters are now the primary coffee suppliers for the U.S. McDonalds and McCafe outlets. They are located regionally: Gaviña, Vernon, Califorinia, distant lands of Tyler, Texas; and S&D coffee of Concord, North Carolina.S & D is currently the largest supplier of McDonalds' coffee plus all of its tea. According to Distant Lands, the McCafe rollout took six years of preparation, closely working with a McDonalds team to realize a unique espresso taste. These roasting companies are privately held and maintain their own ongoing coffee roasting and packaging activities, for their own brands or for the store brand/private label sectors. F. Gaviña & Sons, owned and managed by the Gaviña family, reportedly generates more than 100 million dollars in sales, of which 15% is from McDonalds. Gaviña sources coffee to more than 3,000 McDonalds/McCafes in the western U.S, and 98 in Orange County. 

McCafe is not just for McDonalds to become excited by, the entire coffee industry from trees to bars to office and vending services to store shelves ought to be caught up in this major new development, potentially the most vigorous coffee sales initiative since Starbucks' rise. Espresso, especially with McCafe, is gaining a vast new drinking market. And it might as well bring a significant young market to the drink, which coffee needs. Certainly no one should doubt the power of McDonalds or its new commitment to coffee. Here again we watch what could be a brighter future in the brewing for coffee.

Monday, May 7, 2012

Segmenting and Targeting Markets


Market segmentation- The process of dividing a market into meaningful, relatively similar, and identifiable segments or groups.


McDonald's offers not only hamburgers like it did when it first open, but also chicken patties that are offered in crispy or grilled. Fish, chicken, and beef wraps are also available to costumers.Different types of salad (Premium Bacon Ranch Salad,Premium Bacon Ranch Salad with Crispy Chicken,Premium Southwest Salad) are offered to the health costumers. With these different chose of produtcs they can attract more customers. They focus on selling to young kids to adults. Market segmentation is also useful when setting up in a different country because not every country eats beef, pork, or chicken.  For example in china the offer you Rice Burgers, where the burgers are in between, not burger buns, but two patties of glutinous rice (below).


Having a different market segmentation will help become more liked.


There are many different types of segmentations geographic, demographic, age, gender, income, ethnic, and family life cycle.


Target market - A gruop of people or organizations for which an organiztion designs, implements, and maintains a market mix intended to meet the needs of that group, rsulting in mutually satisfying exchanges.


The target market of the happy meals are to young kids and tweens. Extra value meals are aimed at generation Y and up.

Tuesday, May 1, 2012

Developing and Managing Products

McDonalds in the United States 8 product lines and 154 products on their menu serves 68 million people per day.They feed such a large number of people and  have such a large diverse menu of foods. So how do they add a new item to the menu? Well first off by taste. Taste is by far the most important factor. They also follow trends and the way people are eating. How long does it take to make the menu? The menu process can be very long, but it depends on the product.