Food Waste Marketing Brief

1.Background

In Australia, food waste is one of the largest components of household refuse. In Australia, the number of councils considering trials or implementing a food waste recycling service is increasing. From economic perspective, less food waste will lower the price for food, which can benefit both supplier and buyer. Food waste is also a financial issue. According to the Australia Institute (2009) Australian households throw out more than $5 billion worth of food each year.. The Institute estimates that the average household in Australia throws out about $616 worth of food a year, or $239 per person. South Australia’s figures are substantial; each household wastes around $517 or $213 per person (Australia institute, 2009).

Wasted food also wastes water and other resources used to produce the food. As McDonald is the world largest fast-food chains, it is the obligation to participate into sustainable development program with other ethical corporation.

2.Business and Research Objectives.

McDonald’s Australia is a quick service restaurant company. As of 31 Dec 2013 there are 890 McDonald’s restaurants across the country and employ approximately 95,000 people in both restaurants and management offices. But wastage always happens in McDonald’s restaurants. For example, McDonald’s have strict holding times for products to ensure quality as the unsold chips have to be thrown out after seven minutes, and the burgers after 20 minutes in theory. Normally, the unnecessary waste happens when oversupply burger/chips at busy dinner time, if less people comes, those extra food will be throw away. (McDonald AUS, 2013)

The aim for the research is by offering reliable data analysis for food waste to convince McDonalds improve food processed techniques and take on their CSR to educate customer get involved with environmental friendly activities. The specific content as below:

Build awareness and knowledge of the food waste in McDonald’s employee and customer’s perception Identify the motivation of customer get involved with reducing waste identify barriers and difficulties encountered by customers Examine future sustainability of McDonald

Examine other aspects of behavior relating to food waste

Those diagnose will cover food waste both inside and outside McDonald’s restaurant, but mainly analyses inside the restaurant. Finally, the research client will provide possible solution and recommendation for the company.

Recommendation

Shop wisely as planned or better healthy meal provide from McDonalds. “Green global” advertising on the service plate and surface of food package. Non-fat chips or burgers can cut off people’s hesitation for eat whole meal or not. New processed technology to ensure the food can keep fresh longer. Reduce the unnecessary package like convince customer eat inside the restaurant. Forecast the customer volume in peak time and prepare accurate numbers of food supply. Different size meal at different times, such as keep-diet meal and non-sugar meal. Award insider CSR participants through limited value menus, promotional games to promote old/new items on the menu eg; Happy Meal toys, Big Mac Hockey Contest and card games.

3. Research Methodology

Qualitative

Here, the purpose is to explore and understand consumer behavior and attitude rather than a statistical data. We employed group discussions (up to 200 participants are invited from the three segments each) and in-depth interviews. The discussion normally last around 1½ hours and in-depth interviews 45 – 60 minutes, household customer are the major participants. Most interviews were done by face-to-face interviewing. Some award as happy meal’s toys (limited version). The topics are around McDonald better food & service, Green McDonalds interaction, McDonald advertising preview and generally interaction feedback gathering. All and all, it focuses on overall McDonald experience and life style.

4. Target Market

The research target for food waste of McDonalds in Australia (particular in South Australia & VIC) segmentation is divided into three different bases (Marketing thesis, 2010). 1)Demographic Segmentation: Kids, Family and Students

McDonalds offers different products like Happy Meal which includes a free toy for kids. However, sometimes kids are only care about the toys rather than food, which lead to waste. Possible solutions as make it “doggy bag” or parent guidance. For families it has made different outlets and meals which are suitable for takeaways and drive-thru. In case of the bump during the driving time, McDonald should provide user friendly package to avoid leakage with recycled package material. It also should apply for students that have lunch at McDonalds. 2) Psychographic segmentation: Convenience and lifestyle

McDonalds has adopted itself to the convenience and lifestyle of the consumers. The brand resonance can be decoded as “Easy to have, Easy to recycle”. To certain degree, the food process technology is key as keep food fresh longer. 3) Behavioral segmentation: Occasions, Birthday Parties of kids, finishing assessment international student For the rush user group, McDonalds should design a healthy plan or food combination at special time like midnight served meal with less cholesterol and calorie.

5. Timing
The expected pending feedback access from McDonalds: 1 month
Research materials preparation: 1 week
Fieldwork: 2 weeks
Analysis and reporting: 2 weeks

6. Available Budget
The budget can be provided by request

7. Contact Details
Jeff Winger
Managing Director/ Legal adviser – Melbourne
[email protected]

Max Black
Marketing Director/ Food supply officer – Melbourne
[email protected]

8. Reference
D Baker, J Fear and R Denniss, What a waste: An analysis of household expenditure on food, Policy brief no. 6, The Australia Institute, Canberra, November 2009, viewed 31 January 2010, Last accessed 06th Aug 2013, .

McDonald Australia. (2013). Review of Franchising Code of Conduct. Available: www.innovation.gov.au/SmallBusiness/…/McDonalds%20Australia.pdf. Last accessed 06th Aug 2013.

Marketing thesis. (2010). Marketing stratergies. Available: http://newmarketingblogs.blogspot.com.au/2010/10/segmentation-targeting-and-positioning.html. Last accessed 06th Aug 2013.