Success Case Study: McDonald’s Japan - Investing in market research and modernization to revitalize business and woo back customers
Summary McDonald’s Japan had grown into the biggest quick-service restaurant in Japan by 2013.However, the company was hit by a series of food scandals in 2014 and 2015.
McDonald’s Japan made a strong comeback from the crisis in the following years through a more consumer-oriented approach.
Towards the end of 2014, McDonald’s Japan was struck by a major food safety scandal, which attracted a huge public backlash and led to a steep decline in guest-count and sales revenues at restaurants.The company’s management implemented a four-pronged business revitalization plan that was rooted in customer feedback.
Subsequently, Japanese diners returned to McDonald’s, with restaurants registering a strong turnaround in guest-count and sales.
Scope - McDonald’s management invested in market research, sourcing feedback from diners and restaurant staff to refine its operations and bridge the gap in customer expectations. - Restaurants raised their quality and safety standards, and took steps to communicate the same to diners in order to restore customer confidence in the McDonald’s brand. - The company adapted its restaurant menu to suit local tastes and budgets. - McDonald’s launched a digital marketing campaign including a successful promotion based on the Pokémon Go video game, and modernized its restaurants with digital technologies to attract tech-savvy Japanese consumers.
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