McDonald's Gears for Focussed Strategy to Recapture Market Share

Following their announcement of lower-than expected earnings in 2013 and an overall slowdown in growth, McDonald's is confident that their new marketing strategy - based on insight, innovation, value, modernisation and quality - will see their sales recover in the new year.

The fast food chain's Chief Executive, Don Thompson explained that they have now "found the silver bullet to increasing new customer numbers". In addition to their marketing plans, McDonald's is to usher in a new menu for 2014, both of which will more effectively balance affordability with core products, new choices and limited time offers.

A further tactic aimed at regaining market share is marketing campaigns that definitively promote the brand as a restaurant that cooks and prepares fresh "high-quality food", including customised sandwiches.

McDonald's is also seeking to launch more premium products with the hopes of recapturing younger consumers who have been migrating to competitors such as Starbucks. This approach will be complimented by modernising over 1,000 restaurants in targeted regions, including 320 outlets in Europe and 250 in the US.

Thompson concluded: "One of the things we have all discussed is that we have got to really get back to a much stronger focus on what we call 5P execution... people, product, place, price, promotion. Those five areas we have got to make sure that we're maxing out our execution strategies for whatever initiative that we implement in any market around the world. That's going to help us create that relevance again with our customer."

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