Rebranding the Basics

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McDonald’s has announced a rebrand–and it won’t involve a new logo or positioning. It’s about getting back to basics: creating better value, service and menu items.

What do you think: can McDonald’s become more Chipotle-esque? Or is it just not part of the brand’s meaning for most consumers?

http://www.businessweek.com/articles/2014-07-23/mcdonalds-to-embark-on-rebranding-initiative-over-next-18-months

 

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2 thoughts on “Rebranding the Basics

  1. Yvonne J

    I don’t think its part of their brand and this will take more than just a year and a half to accomplish this. I think that McDonalds have been around for so long that the image of cheap, fast, and unhealthy are engraved into the minds of consumers, this would be hard to get consumers to buy into this new brand. Yes, its possible to rebrand in a year and a half, but it will take a lot longer for these consumers to resonate or trust with the brand if it takes a 360 approach. It will be interesting to see what McDonalds will do!

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  2. Tu Thanh Nguyen

    Although it is not impossible for McDonald to change its brand identity, there are a few concerns that McDonald has to address to make its rebranding successful. Firstly, while all of Chipotle restaurants are corporate-owned, most McDonald restaurant are franchised restaurant. It is not easy for McDonald to control the food and service quality in its franchised restaurants. McDonald can buy back those restaurants, but this move is costly and might affect its business model. Secondly, Chipotle uses expensive premium ingredients for its food while McDonald utilizes average quality ingredients to maintain its profit margin. If McDonald starts to use high quality ingredients, it will negatively affect the company’s bottom line. And there is a chance that customers do not recognize the premium ingredient because of McDonald’s brand image of fast and unhealthy food. McDonald can focus its marketing on the premium ingredients and change customers perceptions. It will be an extremely difficult mission for the company. Since 2005, McDonald has added to its menu healthy items such as McWrap and salads, but they haven’t been able to change customers’ perception about the brand. It will be interesting to see how McDonald will do to accomplish this rebranding mission, especially in the short duration of one year and a half.

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