The franchise opportunity most preferable to invest in would be McDonald’s Hamburgers, chickens, salads. This franchise has a total number of 12,221 outlets in the U.S and has a start-up cost that ranges from $995.9K to 1.8million. There are four types of consumer products; shopping products, specialty products, convenience products, and unsought products. McDonald’s sell products of different kinds to its customers and they are mainly convenience products since they sell non-expensive products to its customers and have little shopping efforts.
Product mixes, and items that are of a variety is important to a company. McDonald’s started off by selling burgers and fries and over the years developed to selling a product mix consisting; coffee, smoothies, ice cream, frappes, hot chocolates, and pastries that go along with the beverages. On their menu they have about 90 different items.
The globalization of McDonald’s and Mc Cafe has made the franchises adopt different cultures and local tastes. Consumers have the tendency to familiarize themselves with their brand and McDonald’s phrase “I’m lovin it” in every commercial is a selling point and this keeps their customers coming back for they know it is their favorite brand.
The incorporation of MC Café as a diversification in business is a clear intent of McDonald’s to scathe into new market frontiers. Mc Café specializes in selling of cafes which is usually not offered in traditional McDonald’s store. Mc Café was first tried in Melbourne, Australia and profits increased by 15% in stores that offered Mc Café. The company’s stand point, beverages constitute $60 billion.
Consumer behavior study for McDonald’s is important since it ensures they offer products according to what their customers require and when to offer. It is researched and discovered that the population that eat fast foods during lung is 44%, 40% take morning snacks, 31% afternoon snack, 19% dinner, 12% only take out fast foods for breakfast, and 14% would eat fast foods for an evening snack. The families with more money would eat out more unlike poor families. Also, larger families eat out few times and the younger the person the higher the frequency he eats out. This substantive research helps McDonald’s develop products that suit their customers.
References
Grewal, Dhruv, and Michael Levy. Marketing. New York: McGraw-Hill/Irwin, 2012. Print.
