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Why is McDonald’s suffering a slump in sales? Here’s my take on it. Several years ago, during one of my ad agency experiences, I had the opportunity to work on some of the local McDonald’s coop business. The brand had its national agencies to develop the overall brand strategy and refresh the messages that were being supported by over a million media dollars a day. Then, there were a number of regional agencies that worked directly with the coops to develop localized promotions to drive more traffic on a timely basis. Heck, we even technically had Ronald McDonald on our agency payroll. This works very well to enable the local franchisees to tie in with community events and seasonality as well as test promotions that might go national if successful. I recall one all-day meeting where there was considerable debate over the next price promotion to replace the current price promotion, which would combat the price promotions of the other fast food franchises in the market. Dollar menus, two-for-one offers, free theme park tickets. You name it everything was being considered.
Yum!
At one point in the meeting, we also broke off to discuss the recent consumer market research and I was surprised that with the exception of their fries, McD’s came in third or fourth on taste and quality of their primary entrées. It occurred to me that when it comes to fast food, it’s a pretty spontaneous decision that’s triggered more by the stomach than the wallet. A review of ongoing campaigns showed very little romancing of the food and a lot of shouting about the price and deals. While Burger King was featuring its luscious Whopper, Wendy’s got my taste buds with its Chicken sandwich, Checkers made a $1 fish filet look really tasty, Red Lobster and Olive Garden always makes their food look so good you want to go there. McDonald’s has a great quarter pounder, a luscious Big Mac, really good Chicken Tenders (not the Nuggets), and a tasty egg mcmuffin. I really think at $1.29, the McDouble is as good a burger as any. Yet, McD’s last few campaigns rarely show the food in a tasty way. The coffee looks as good as Starbucks, but the burgers are barely visible. 
The company’s new CEO, Steve Easterbrook, has said that it’s time for McD’s to go a new direction. If that means getting back to the items that customers think about first when their taste buds start acting up, then fine. But trying to emulate some of the newer fast food and casual dining establishments is not likely the answer. I just heard that now the company is testing an all-day breakfast menu. An egg mcmuffin at 8am sounds pretty appetizing. At 1pm, not so much. Mini bundt cakes may be intriguing but don’t forget it’s the burgers and fries that bring the people in not a little cake that no one can spell correctly. I agree with a columnist who says that “McDonald’s should get back to being, well, McDonald’s. That doesn’t mean to stop innovation, but it does mean that if all these new tricks and promotions don’t bring in the hungry customers, show me “two all beef patties, special sauce. (etc).
Huh?? (photo credit McDonalds)
Now, the company announces a line of Big Mac clothing. Give me a break…or at least some of the special sauce on a sesame seed bun. It’s all about food and drink (I admit I’ve become addicted to the Mocha Frappe’) and unless McD’s doesn’t put its focus back on the hunger games, it will continue to fight a slippery slope that a McRib can’t stop.
McDonald’s has one of the strongest brands in the world. To keep its customers loyal, the company needs to get back to market those features that got them saying “I’m loving it” in the first place.
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