CHICAGO — Looking ahead to 2023, McDonald’s Corp. detailed its Accelerating the Arches 2.0 strategyon Jan. 6.
As part of the strategy kick off, the company announced the creation of four new leadership roles. As of Feb. 1, Morgan Flatley will be promoted to Executive Vice President, Global Chief Marketing Officer; Skye Anderson will be promoted to President, Global Business Services; Andrew Gregory will become Senior Vice President, Global Franchising and Development and New Business Ventures and Spero Droulias will assume the role of Senior Vice President, Chief Transformation Officer.
The company plans its future growth around M-C-D, maximizing marketing, committing to the core products and doubling down on the four Ds of delivery, digital, drive-thru and development.
Ina Jan. 6 message to McDonald’s global employees, Chris Kempczinski, president and chief executive officer, said, “As we begin 2023 from a position of strength, we cannot stand still. As Ray Kroc used to say, ‘If you’re not green and growing, you’re ripe and rotting.’ Fortunately, there remains so much growth potential within our “M-C-D” pillars,” he said. “However, to realize the full potential of our strategy, we must also objectively assess areas we can do better.”
McDonald’s added that it plans to elevate its marketing with more emphasis on campaigns like Famous Orders since they drive growth and promote its brand.
“We will continue leaning into that strategy and scale platforms across markets to find new ways to tap into the zeitgeist and have fun with our customers,” the company said.
McDonald’s also plans to find new ways to improve on classic items on its menu like the Big Mac, french fries and Chicken McNuggets. The company noted that chicken would continue to be a growth driver as it looks to increase its global market share.
A focus on digital, delivery and drive-thru during 2023 continues to be a focus for the quick-service restaurant. McDonald’s stated that in its top six markets, digital ordering represents over one-third of systemwide sales, including ordering McDelivery or at restaurant kiosks.
The company plans to continue to make new strides as demand increases. A new testing concept was recently developed for theorder ahead laneat a McDonald’s restaurant in Fort Worth, Texas.
FAQs
Alongside improving the layout and expanding the capacity of existing and new drive-thrus, McDonald's also plans to accelerate the pace of its restaurant openings, targeting a goal of 50,000 restaurants by the end of 2027. Finally, the company intends to continue to invest in new technology strategies.
What is McDonald's mission statement 2023? ›
Our mission is to make delicious feel-good moments easy for everyone. The backbone of our brand is, and always has been, a commitment to a set of core values that define who we are and how we run our business and restaurants.
What are the strategic goals of McDonald's? ›
Maximize Our Marketing
Consumers continue to prioritize brand trust, great taste and value as top reasons why they choose McDonald's. As customers' expectations are constantly shifting, we can build equity in our brand and trust by clearly articulating what we stand to do in the world: feed and foster communities.
What are the strategic issues of McDonald's? ›
The company has experienced difficulties in staffing certain restaurants adequately, which can affect service speed, operational efficiency, and customer satisfaction. Additionally, the competitive labor market has led to increased costs associated with recruitment and retention, impacting the company's profitability.
What is McDonald's strategy in 2024? ›
After facing backlash on increased prices, McDonald's announces focus on affordability. The company's CEO said McDonald's plans to focus on affordability in 2024, USA Today reported. This statement comes after the company received backlash for increased prices in 2023.
What are the 5Ps of strategy McDonald's? ›
The 5Ps marketing strategy allowed them to reach a wide audience. The 5Ps are five important factors to consider: place, product, price, people, and promotion. One of McDonald's primary objectives is to ensure that the product fulfills every customer's demand and also to maintain the same bond over the long term.
What is the strategy of McDonald's 2023? ›
A focus on digital, delivery and drive-thru during 2023 continues to be a focus for the quick-service restaurant. McDonald's stated that in its top six markets, digital ordering represents over one-third of systemwide sales, including ordering McDelivery or at restaurant kiosks.
What is the innovation of McDonald's 2023? ›
Starting this year, McDonald's plans to deploy universal software for all customer and digital platforms to run on, from the mobile app to loyalty to in-store kiosks. The chain said it would enable faster innovation and more stable performance.
What are the plans for McDonald's in 2023? ›
Reimagining the Future of McDonald's: Investor Update 2023
- 50K. Number of McDonald's restaurants around the globe by the end of 2027.
- 250M. Number of active Loyalty program members by the end of 2027.
- 30% Percentage of delivery orders that will originate in the McDonald's mobile app by the end of 2027.
McDonald's. As one of the cost leaders in the fast-food industry, McDonald's optimizes its production costs, uses standardized menus, and has efficient supply chain management. This has allowed them to achieve economies of scale, providing customers with consistent quality and value at affordable prices.
McDonald's. McDonald's uses SMART goals to reduce its restaurants' environmental impact on the planet. Amongst these goals, you will find the following: A 36% reduction in absolute emissions from McDonald's restaurants and offices by 2030, using 2015 as a baseline.
What is the biggest threat to McDonald's? ›
McDonald's Threats
- Risky Investments on Technology Initiatives. ...
- Fierce Competition from Competitors like Chick-Fil-A. ...
- Cultural Threat While operating in Various Countries. ...
- New Age Fast Food Trends. ...
- McDonald's Social Advertisem*nts are Impacting Global Youth Health. ...
- Economic Uncertainty. ...
- The Rise in Health-Consciousness.
Strategic issues are those fundamental policy choices or critical challenges that must be addressed in order for a community to achieve its vision. When addressing “strategic” issues, a community is being proactive in positioning itself for the future, rather than simply reacting to problems.
What are some of McDonald's weaknesses? ›
While trying to cut costs, McDonald's has been slow to introduce new menu items and innovations, which has put it at a disadvantage compared to its competitors. This can result in a decline in sales and a loss of market share. Cost control is a weakness of McDonald's.
What is the future plan of McDonald's? ›
We're betting big on physical and digital development. Today, McDonald's has over 40,000 restaurants — and by the end of 2027, we plan to expand to 50,000 restaurants around the world. To put that into perspective, this period of restaurant expansion will be the fastest unit growth in the history of McDonald's.
What business strategy McDonald has been adopting? ›
McDonald's global strategy operates through a dual marketing plan that balances standardization and adaptation. Standardization Strategy — McDonald's maintains a consistent brand image globally by offering identical food products such as McFlurry, McNuggets, McChicken, Happy Meal, and Filet-O-Fish worldwide.
What is McDonald's technology strategy? ›
Using technology to unlock greater speed and efficiency
In December, McDonald's announced a strategic partnership with Google Cloud to connect the latest cloud technology and apply generative AI (Gen AI) solutions across its restaurants worldwide.
