With some fanfare, on December 23rd McDonald’s launched a new concept store in Japan called Quarter Pounder, a restaurant selling—you guessed it—only Quarter Pounders.
At a minimum, by seeding the crowd with paid fans, McDonald’s guaranteed the stores would appear to be a success. But the the buzz apparently helped and the results were phenomenal.
In an era where authenticity and transparency are expected, was McDonald’s deception responsible? Did the ends justify the means?
In New ads: battle of the brands, the Christian Science Monitor argues all this comparative advertising might backfire.
Why?
After a negative, protracted political campaign season, people are fed up with negative advertising. And when one brand compares itself to another, both brands receive publicity.
I’ll buy that.
But while some ads can be downright brutal, the fact is consumers are overwhelmed with choices and information, and by comparing one product to another—even though it’s biased—they are learning about differences they might not have been aware of before.
So, do you love or hate comparative ads?
Are there particular brands that you think are doing this type of advertising particularly well?
Since everyone in America has heard of or tried a Whopper and the Big Mac, conduct taste tests in locations that have never even heard of Burger King or McDonald’s signature products.
And that’s what Burger King did—took their taste tests to remote locations in Romania, Greenland and Thailand.
Here’s a short film documenting their project, released yesterday, December 7th at WhopperVirgins.com:
While more subdued than some of Burger King’s recent advertising, the Whopper Virgins campaign has been called exploitive and offensive.
Criticisms include:
Taste tests were conducted in impoverished areas
Cultural insensitivity; use of cultural stereotypes
The use of the word “Virgin” in a mainstream ad campaign
Most feedback has come in response to the :30 documentary teasers (1, 2).
But after watching the actual documentary, do you believe Burger King’s Whopper Virgins campaign is responsible marketing or not?
At a time when most companies are looking for ways to extend their brand to gain a greater share of the customer’s wallet, McDonalds has “secretly” introduced Quarter Pounder, a new concept store in Japan that sells only Quarter Pounders.
That’s right, you can get a Quarter Pounder, or a Double Quarter Pounder, fries and a drink—and nothing else.
No Egg McMuffins, McNuggets, McFlurry’s—and certainly no clown. In fact, there’s no McBrand, and until recently—no hint of the golden arches.
Here’s a shot of their homepage as of about a week ago, via InventorSpot:
Simplicity is a powerful concept, and focus is always a good thing. But with such a limited menu, will the Quarter Pounder store ever be anything more than a novelty?
What do you think of McDonald’s brave new concept?
It is a sociological fact that when times are tough, people turn to the past—to what they know—for comfort. With protracted wars in Afghanistan and Iraq, a subprime mortgage crisis, the highest gas prices in history, and a looming recession—there’s no question times are tough.
So, it should come as no surprise that recent advertising is taking us away from the present and into our cultural and advertising past.
A few examples:
“Max,” a 1964 Volkswagen Beetle, is the spokesperson of the auto maker’s recent ad campaign.
McDonalds has dusted off 1974’s Big Mac slogan, two-all-beef-patties special-sauce lettuce-cheese pickles-onions on-a-sesame-seed-bun and held a Big Mac Chant-Off on MySpace.
I drink a grande decaf over ice with heavy cream every morning. Although I eliminated caffeine about three years ago, it’s still part of my morning ritual. I still feel off if I don’t get my fix.
Considering over 52% of Americans over age 18 drink coffee everyday, is it any wonder McDonald’s, Dunkin’ Donuts and a slew of others want a piece of Starbucks‘ action?
Dunkin’ Donuts’ has moved much of its marketing focus to coffee and has taken direct aim at Starbucks:
Over the last few years, McDonald’s increased its coffee ad spend, and even offers Newman’s Own Organic Coffee in some locations:
In Western Washington, McDonald’s is currently offering an online coupon good for one of their new espresso drinks at select McDonald’s locations. You can print the coupon at unsnobbycoffee.com.
The site is simple, but gives you the opportunity to interact with the brand. You can play Hotshot Pinball or do a snobby coffee intervention. Fill in the blanks, then sending it to a friend. Not a bad word of mouth tool.
This competition couldn’t be coming at a tougher time for Starbucks. It’s stock is at $17.55 a share today (it’s down from $32 a year ago). Howard Schultz recently returned to the helm and has made a number of positive changes:
A return to the core business by eliminating a number of food products – “It smells like coffee again!” my barista told me yesterday
New “Pike Place Roast” coffee is fresh-ground and fresh-brewed every 30 minutes (I tried it yesterday – it’s honestly the best cup of coffee I’ve ever had at an SBUX)
New espresso machines that are lower so the baristas can see the customer
Free refills when you use your Starbuck’s card
The Starbucks refresh also included a new customer forum called My Starbucks Idea. It’s not a social networking site, but as a tool for creating conversation with customers, it’s quite good. In Starbucks adopts IdeaStorm concept, Shel Holtz did a nice job comparing it to Dell’s Ideastorm.
Who will prevail?
Dunkin’ Donuts is obviously known for their dunkers and their drip coffee. They may take some of Starbucks customers – especially those that care less about coffee or the coffee experience than they do convenience.
McDonald’s has immense distribution, so they’ll always be a threat. McDonald’s employees will probably never be trained baristas. But if their coffee tastes good enough, some will buy it there instead of walking across the parking lot to a “real coffee shop.”
My bet is on Starbucks. At a time when customers are seeking authenticity, they are returning to the recipe that helped them succeed. Their focus on service as well as improving and increasing the dialog they are having with their customers is the responsible thing to do, and I believe they will be rewarded for it.
I know Chipotle isn’t a secret anymore and the bloom is off in some markets, but every time I pay them a visit, I get another dose of their attitude–an attitude I like.
I’m a fan of companies that aren’t afraid to be bold and brave with their marketing. Chipotle realizes a big reason for their success is their brand, and they’ve maintained and built on it.
Chipotle is good example of a company that’s benefiting from responsible marketing:
Their strategic relationship with McDonalds gave them access to nationwide logistics for fresh ingredients — without giving up any control of their brand
They respect their audiences and speak with them in a human (and entertaining) voice
Their marketing implies a focus on the environment (no styrofoam packaging, FSC paper, etc.)
Their fundraising scrip programs help them give back
Want to dig a little deeper? A few years ago, I wrote an article entitled Add positioning to the menu – and hold the carbs that pitted Taco Time v. Chipotle in a battle of the brands.
