- McDonald's has been very successful, including the development of new products for both U.S. and international markets. However, McDonald's has had its share of failures. Identify one successful product and one failed product McDonald's has introduced. Explain what made each product a success or a failure. Think about the area you grew up in and your own experience with McDonald's. What product development recommendations would you propose to McDonald's for improving the failed product you discussed or another one of their its products?
- Not all new products are high technology, and not all new products are successful. For example, review information about the Cheetos Duster on the Cheetos website and in the video, "Now You Can Make Anything Taste Like Cheetos With the Cheeto Duster," located in Topic 4 Resources. Using the Cheetos Duster as an example, discuss how new products are developed and progress through the product life cycle. Is this product still available today and would you purchase it if you could? Why or why not?
McDonald's has been very successful, including the development of new products for both U.S. and international markets.
Full Answer Section
Failure: McDLT (1984)
- Reasons for Failure:
- Complexity: Two separate containers (one hot, one cold) for the burger and toppings were inconvenient and cumbersome.
- Cost: The packaging increased production and operational costs.
- Unnecessary Innovation: Consumers didn't perceive a significant benefit from the separated compartments.
Product Development Recommendations:
For the McDLT, a potential solution could have been:
- Single Compartment with Insulated Packaging: Maintain temperature separation within a single container, reducing complexity while addressing the core issue of keeping hot and cold components separate.
Alternatively, for a different product:
- Healthy and Sustainable Salads: Offer customizable salad options with fresh, high-quality ingredients to cater to the growing demand for healthier fast-food choices.
- Plant-Based Alternatives: Develop plant-based burgers or other menu items to appeal to vegetarians, vegans, and flexitarians.
The Cheetos Duster: A New Product Life Cycle Example
Product Development Process (based on Cheetos Duster):
- Idea Generation: Identifying a consumer need or desire for a product that enhances the enjoyment of Cheetos.
- Concept Development: Designing the Duster, considering functionality, target audience, and brand alignment.
- Prototyping: Creating physical prototypes for testing and refinement.
- Testing and Market Research: Gauging consumer response and gathering feedback on the Duster.
- Product Launch: Introducing the Duster to the market with marketing and promotional campaigns.
- Growth: Increasing sales and distribution if the product is successful.
- Maturity: Maintaining market share and potentially introducing variations of the Duster.
- Decline: Sales eventually slow down due to competition or changing consumer preferences.
- Product Removal: The Duster might be discontinued if sales decline significantly.
Cheetos Duster Life Cycle and Availability:
The Cheetos Duster is no longer readily available, suggesting it might be in the decline or removal stage of its life cycle. The initial novelty might have worn off, or there could be limitations in its functionality or appeal.
Personal Purchase Decision:
I wouldn't likely purchase the Cheetos Duster myself. While it might be fun for occasional use, the practicality and reusability compared to simply using your fingers for dusting could be drawbacks. Additionally, the potential mess and limited application beyond Cheetos might hinder its long-term appeal.
Conclusion:
Product development involves a series of steps to bring a new idea to market. The Cheetos Duster exemplifies the product life cycle, showcasing the potential rise and fall of a product based on consumer preferences and market dynamics. Understanding these concepts allows companies like McDonald's to make informed decisions about product development and improvement strategies.
Sample Answer
McDonald's Product Success and Failure:
Success: Chicken McNuggets (1983)
- Reasons for Success:
- Targeted Marketing: Aimed at busy parents and appealing to children's preferences for bite-sized, finger food.
- Variety & Customization: Offered dipping sauces for personalization and kept the menu exciting with limited-time dipping sauce promotions.
- Convenience: Perfect for on-the-go meals or snacks.
- Taste and Portion Size: Pleasant flavor and satisfying portion size for the price point.