
The other day I took the kids to McDonald’s. The one near my house has the most amazing jungle gym so it’s a great place to study now and again while the kids go nuts. As I walked to the counter, I noticed that there were approximately 50 employees from other McDonald’s restaurants in the area who were being trained on the new Mc Cafe which has since arrived. They were breaking down what was in each drink and how the employees could prepare them. Throughout the presentation, the “evil” Starbucks was mentioned as their greatest competition. It was interesting how the management and owners went out of their way to “sell” McCafe to their own employees. Here are a few things I picked up:
1. Coffee is a mult-billion dollar industry that is pretty much untapped by the fast food chains.
2. McDonald’s has the advantage over Starbucks because they have more restaurants nationwide and every one of those restaurants has a drive up window.
3. Though McDonald’s cannot make the variety of drinks that Starbucks can, they have “copied” Starbucks biggest selling drinks and made them now available at a better price.
4. An independent taste panel said that McDonald’s drinks actually tasted better than Starbucks. McDonald’s attributes this to better coffee.
5. McDonald’s was to release a huge advertising blitz at the same time around the world to lure customers away from Starbucks. They figured as times got tougher, people would look to get their “same” drinks at around a dollar cheaper.
I’m not much of a coffee drinker so you all will have to weigh in and tell me if McDonald’s really is as good as Starbucks. Will people make the switch? Is there something about holding a Starbucks cup rather than a McDonald’s? Is Starbucks a naturally better meeting place than McDonald’s? Will the “advantage” of having more restaurants and drive up windows actually help McDonald’s?
I was most impressed with the managements ability to sell itself to its own employees. As a leader, it was a good reminder that your people must be bought into whatever you are doing as much as you are. Just because they are paid does not mean they will necessarily “buy into” your ideas. The leaders started from scratch and walked their own people through every step to catch them up to the point of why they were there: To learn how to make drinks.
Which reminds me: People want to be a part of something bigger than themselves; even if it is a rivalry with a new competitor.