These companies have developed mechanism for promotion, pricing, product development and distribution that have ensured their success or failure in business practices. For the case of promotion each have had strategic campaigns to market their products. Burger King have successful campaigns since their inception of the chain supply as regional fast food industry. In the 1970s it run a very popular promotion using the Mascot Burger King name that revolutionized its market share successfully expanded in profits and regional presence.
Slogans such as ‘have it your way’ and ‘It takes two hands to hold a whopper’ proved to be successful in their promotional campaigns. This failed when owner transfers occurred in late 1970s and 1980s. The growth of the company slowed down to near collapse. However, other promotional campaigns such as tie-ins that involved celebrities, film industry and other big personalties were successful and increased their sales significantly. Burger King is also credited in organizing successful campaigns with animated company owners Walt Disney in the 1980s through to 1990s. It later released its own films that had different story.
One of their major unsuccessful campaign used by Burger King was ‘where is the herb’ did not make an impact on the audience (Burger King 2008). In the case of McDonald it had extensive media advertisement ran in all major media outlets. It also had billboards and signage in roads, buildings and premises. Television advertisement was the major media outlet it used to promote its products and used more than twenty three slogans within US and internationally. One of the major unique promotional identity of McDonald stores was the presence of playgrounds in almost all stores.
They were either indoor or out door where different types of age group of customers could relax as they enjoy McDonald hamburger’s. Most of the playgrounds was designed to meet the needs of the young children and they had ads placed strategically on them. They also rebranded their premises with a new look of yellow and red color intertwined with tetra cotta. Prices of the product varied depending on the type of the restaurant. For instance Burger King developed each product to suit a given demographic level. In 1979 a non-hamburger sandwich from chicken was designed for customers aged 18 to 34 that desired high quality food.
In 1993 Burger King developed a multi-tier value menu that competed favorably with Wendy’s single value menu. This was later transformed into standardized menu and led to the formation of value menu. McDonald pricing of the products have been identical to the agreement in which it has entered. The prices are regional specific and determined by the conditions of the host country. This has made McDonald to be considered as in indicator of the purchasing parity of countries. Most of the McDonald restaurants are owned by franchisees who determine the price and solicit materials from approved third party suppliers.
The products of these two major corporations are similar in type but identical depending on the way they are prepared. Burger King has a list of items such as hamburgers, French fries, soft drinks and desserts. In 1979 Burger King introduced chicken fries for high quality consumer market. It also introduced breakfast line such as croissanwich in 1983 and BK Am express. Due to several controversies in international market Burger King modernized their product by considering cultural, regional and religious influence hence products like teriyaki, beetroot, fried egg and whopper in Europe and halal in Israel were developed.
There were other short term products to cater for certain times and sales such as the Texas double whopper. Multi-tier value menus were added while others failed to make impact such as the meatloaf specialty. Burger King has introduced the value menu that contained several product items which were later revitalized, deleted, added or modified. Adult client caused Burger King to introduce the BK Joe brand coffee. Unsuccessful product items were enormous omelet sandwich, BK stacker and BK Baguette (Burger King 2008).
McDonald has substantial wide range of products that were localized to suit certain customer based on their locality, culture and religious beliefs. The products included hamburger, cheese burger, chicken products, French fries, breakfast line, soft drinks, milk shakes, desserts, salads, wraps among others. In Indonesia and Asia subcontinent it introduced diet that contained no beef such as the McRice. Others include McOz(Australia), Croque McDo (Belgium) and Cheddar (Brazil). The distribution of these two major companies is global but McDonald is the leading fast food chain restaurant.
It has presence on over than 120 countries employing thousands of people. It operates brands like Piles Cafe and Pret a Manger, it owns large portion of shares in the Chipotle Mexican grill and Donalus Pizza up to 2003. McDonald’s stores are found almost in all gas stations, shopping malls, walmart streets. It has McCafes located at strategic places in cities and suburban areas they operate. It has McStop in truck shops that serve traveling customers. Other established restaurants have large outdoor playing fields or indoors playgrounds at the heart of urban centers.
Burger King is the second largest fast food chain of restaurant with over 11,300 outlets in world wide. It has presence in 69 countries with more than a third located in United States of America. At least 90 percent is owned privately with over 37,000 workforce. The store operates franchise in different regions who manage and sub-licence according to laid down agreements. WEB SITES SYNOPSIS The websites of the three companies are excellent and provide needed information though not comprehensive enough. The are both user friendly, interactive. Coupons are available for McDonald and Burger King. Locations and directions are well articulated