Big Mac to Big Data: Why Mcdonald’s is betting its future on digital innovation

Big Mac to Big Data: Why Mcdonald’s is betting its future on digital innovation

D0773626 李秋霞

McDonald's is going to change strategy from "mass marketing" to "mass customization". Decision Technology has the ability to analyze and interpret the huge data such as the weather, traffic, time, in-store flow, and customers' plate numbers when ordering food. McDonald's can use these data to customize the menu content, making the menu more popular. For example, when the temperature in summer is very hot, customers may be advised to have a cup of ice cola. When the winter is cold, it is recommended to bring a hot latte. When there are long queues during peak hours, it is recommended that customers choose meals that only need a short time to prepare. It is doing with big data analysis and to create a good consumer experience.

This digital menu display will also make super-specific adjustments from store to store in each store. Assuming that some teenagers after playing basketball will always dine at a McDonald's next to a high school, the store's menu will be adjusted accordingly, and it will focus on the cheaper menu. It will also suggest other additional items based on the content the customer has selected. For example, if the customer orders something salty, it will suggest whether to order a glass of soda drink.

What can be known is that we use big data to record the customer's order, meal, and payment methods every day, we can obtain a large and meaningful data.



Comments

  1. In my opinion, this is a really interesting article that I enjoyed reading. I always enjoy more to read articles that are related to things we are used to see on a daily basis, and this article talks about Mc Donalds, and we all know it is very present in many people's life these days. I found it very interesting to see that Mc Donalds wants to use Big Data to offer more "customization" in there menu for its customers. They will use big data and analyze a lot of factors to decide what is the best menu suggestion at that time for its customers. I think it is a really good idea to customize the digital menu depending on other variables, this can be convenient for the customers that can get items based on those factors, and it can also improve Mc Donalds sales, because it can influence people and make them buy an item because it looks good and appropriate for that moment. For example, by using the same example used in their article, they said that in a cold day they would recommend you buying a hot latte, so maybe the person did not even think or planned to buy a hot latte, but because of the circumstances (the cold) and because it was showed on the digital menu on the right time and right circumstances, maybe the person would be attracted and feel like buying a hot latte, making the company improve its sales. I think it is a great way to improve customers experience by using Big Data, as this can give them recommendations on what to buy, can decrease the waiting time by suggesting meals that only need a short time to prepare etc.
    I really enjoyed reading this article and learning more about how big data can be used to improve Mc Donalds.

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  4. Love this blog, I also thinking about another case, for example like Burger King. They would like to survive in this increasingly competitive landscape, fast food restaurant chains need to be creative and leverage innovative technology to respond to fast-changing market trends. To increase top-line growth, menus are getting more complex, plant-based options are being integrated, and new product innovations such as CBD-infused products are on the rise. Restaurants must now figure out how to extract the most value from their customers, increase their loyalty to the brand, and understand at a unit level which of their products are most profitable. At the same time, costs are controlled by consolidating stores and stream-lining operations.

    Moreover, another aspect of Burger King that has been optimised thanks to big data and analytics has been the drive-thru experience. By knowing three different factors: design of the drive-thru, information that is provided to the customer during the drive-thru and the people waiting in line to order at a drive-thru, Burger King are more able to create a more enjoyable drive-thru experience.

    For example, knowing what times of day customers are more likely to go through a drive-thru will help them prepare and improve efficiency for the spike in demand ahead of time. Finding the optimal solutions for the design, information and people is an ongoing process that changes over time, context and cultures. Other information that Burger King collects includes in store traffic, customer interactions, flow throughs in the drive-thru’s, ordering patterns, point-of-sales data, video data and sensor data. These factors impact every part of the Burger King empire from refining their menu design to optimising their training programmes.

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