Your Privacy

This site uses cookies to enhance your browsing experience and deliver personalized content. By continuing to use this site, you consent to our use of cookies.
COOKIE POLICY

Will mobile ordering change McDonald’s model?

Will mobile ordering change McDonald’s model?
Back to insights

I watched ‘The Founder’ this weekend about Ray Kroc and the McDonald brothers. It’s a great story about the intersection of perfection and ambition. If you like business, Michael Keaton, and good storytelling then it’s a must watch. The McDonald brothers revolutionized the process of having food ready when customers ordered. Their proprietary process minimized wait time, changed the customer’s perception and created the Fast Food category.

As fantastic as not waiting for food is, the fast food revolution did little for customization. Burger King tried to expose this with their ‘Have It Your Way’ advertising slogan that started in the 70’s. That slogan and a variation of that slogan exists today. Burger King tried to expose McDonald’s inability to customize their offering.   Anyone that has tried to customize a menu item at a McDonald’s register has felt the pain of this process as it isn’t natural to their core service. Sort of like ordering an ERP system.

McDonald’s is implementing their mobile ordering solution as part of their digital offering this year with a select number of restaurants and a limited menu.  The jump to mobile feels natural for any fast food or fast casual restaurant. The expectation of on-demand ordering and pick-up or delivery is becoming a standard for customers.  Those who don’t have their own infrastructure can use other services like UberEats to enable their their mobile offering and delivery. Giving customers the ability to order ahead and pick up in the drive-thru or restaurant or have it delivered is paramount for convenience and relevance with other leaders like Chipotle, Starbucks, and Panera.

The real question for McDonald’s is: does a digital offering like mobile allow them to adjust their current business model to provide more customization with higher quality products?  

McDonald’s knows that people are making more educated choices for fresher, high quality food products. The market has shifted and they are not only competing with other fast food choices but fast casual. By naturally resetting the expectation of how quickly food can be prepared through a mobile offering, does this allow them to introduce fresher, higher quality products with more customized options at a higher price point? Can they start to steal market share back from the fast casual world?  Starbucks and Panera always allow 5 to 10 minutes to prepare your order. If you are ordering from your kid’s soccer match or before you leave work, do you really care if your hamburger isn’t ready the minute you ordered? When’s the last time you heard someone complain about Starbucks or Panera being slow? Crowded yes but not slow.

As McDonald’s continues to evolve into the digital age, how will their business change? Does having a digital offering like mobile, allow them to reset expectations with customers for the better? Or do they continue to offer the same product with a new technology?

How are you evaluating the changes digital will bring to your business? If you are not considering it, you need to be. There are plenty of industries that haven’t begun to invest in the digital and mobile space. If you don’t, someone else will and they will change the rules on how your business operates.

About Andy Frank

Andy Frank is our Founder and CEO. Since founding UDig, he has had the opportunity to build a business fueled by finding clients the right technology solutions to solve their business challenges.

Digging In

  • Digital Products

    Energy 2025 – Expansion of Fossil Fuels or Carbon Reduction?

    Now that the election is behind us, we have an opportunity to anticipate the possible effects on the energy industry under this new administration. What strategies will be impacted? What will remain the same? What opportunities can we take advantage of in 2025? This blog is meant to dig into these questions and provide some […]

  • Digital Products

    The Growing Importance of Digital Accessibility

    Embracing Digital Accessibility: A Moral and Business Imperative In today’s digital landscape, accessibility has become crucial for businesses and organizations. With increasing awareness and legal requirements, ensuring that digital products are accessible to all users, including those with disabilities, is not just a compliance issue but a moral imperative. At UDig, we champion ADA compliance […]

  • Digital Products

    Unlocking Business Potential: The Power of Custom Application Development

    Like any savvy business leader, you’re likely always on the lookout for tools to give your company a competitive edge. And in doing so, you’ve undoubtedly considered investing in custom application development. But the question is, how do you ensure that such a major investment in a custom web application development provides a strong return on […]

  • Digital Products

    Mastering Legacy Application Modernization: Strategies for Success

    The ironic truth of the business world is that change is the only constant. But this means that failing to keep pace with the competition and its technologies will only end with you falling behind. That’s where legacy application modernization enters the fold. When you modernize legacy applications, your team gains access to new features […]

  • Digital Products

    CTO Confessions Podcast

    In this episode of CTO Confessions, Rob Phillips, the Vice President of Software Engineering at UDig, digs into his journey from a passionate technologist in his youth to a seasoned leader in the tech industry. He shares valuable lessons on transitioning to senior leadership, the importance of understanding and articulating company problems, and the art of empowering teams for high performance.

  • Digital Products

    Navigating the Challenges of On Premise to Cloud Migration

    In today’s rapidly evolving technological landscape, the shift from on premise solutions to cloud-based infrastructure has become a pivotal transformation for organizations seeking to modernize their IT operations. This transition holds the promise of increased agility, cost savings, and enhanced scalability. However, it is not without its set of formidable challenges that organizations must navigate. […]