The world’s largest hamburger chain, McDonald’s (NYSE:MCD) has been recently experiencing a downfall in its sales and the major reason for this downfall is the failure of the corporation to connect on the same level with the Millennials. Fred Ehle, McDonald’s (NYSE:MCD) very first VP-customer officer who reports to the McDonalds (NYSE:MCD) chief marketing officer in the U.S., Deborah Wahl. Ehle is aiming to improve the McDonald’s (NYSE:MCD) customer experience and in turn getting Millennials interested.
The major problem is that millennials are more willing to turn to quality chains like Chipotle Mexican Grill (NYSE:CMG) and this is what McDonalds (NYSE:MCD) is finding hard to change. The choice of a quality option against a famous brand name for Millennials is an easy choice as quality is always preferred. The pressure is high on Ehle at the moment with so much to consider. Shareholders are not appreciating the numbers that the corporation posted recently with same store sales going down by 2.8 percent this August with a 3.2 decrease in July.
Nowadays generation Y is emphasizing on family time in restaurants rather than fast food joints. McDonalds (NYSE:MCD) has tried to incorporate a healthy diet in its menu with chicken and vegetable sandwiches for its breakfast menu but failed miserably. It is trying its best to deal with the competition at hand and as usual McDonalds (NYSE:MCD) may break the odds and come out number one, or maybe not?
RetailWire had a discussion which said that in order to deal with the Millennials, changes will be necessary which doesn’t really mean different advertising. The most important for them being quality, health options as well excellent service for them. The senior associate of Packaging and Technology, Anne Bieler said that McDonalds (NYSE:MCD) has to get out of the dark and focus its marketing to as well as improve the product. She says that the corporation doesn’t provide an excellent customer experience to its customers and it can surely work on improving other areas as well.
The VP of the global integrated retail unit SAP, Mohamed Amer, said that the McDonalds (NYSE:MCD) is a global brand and has high awareness regardless of consumer segments. The problem he states is that consumers do not value fast foods anymore because it is something which is a given and everyone expects.
McDonald’s (NYSE:MCD) current model is not suited in this modern age, as the industry has developed and McDonalds (NYSE:MCD) is still stuck with age old strategies. BrainTrust states that the hamburger chain should adopt a radical strategy as quickly as possible. The EVP of WD partners of creative services, Lee Peterson stated that the young people are better at responding to the truth as they think that irrelevant details are insincere efforts to lure them. The quality of the product must be improved first of all, better service, improved options with lower prices. It was advised in turn that an advising committee of young people should be adopted in order to get the quality.