Market share

McDonald’s China creates “green experiences” to engage fans and increase market share

McDonald’s China wants to “integrate green experiences throughout the consumer journey” as the fast-food giant seeks to engage with young, environmentally conscious Chinese customers.

McDonald’s China targets young eco-conscious consumers with green marketing

The fast-food giant rolled out a series of marketing activities to promote the opening of its first zero-carbon restaurant in Beijing.

The green restaurant, which is powered by more than 2,000 square meters of on-site solar panels, is part of McDonald’s China’s commitment to open 1,800 green restaurants across the country by the end of the year so that it strives to achieve zero carbon emissions by 2050. .

Marketing aims to provide consumers with green experiences to promote the benefits of a low-carbon lifestyle. Activities include free food for consumers who use a navigation app and visit restaurants by bike or on foot and discounts on sustainable menu items, such as Filet-O-Fish, which uses 100% certified cod. by the Marine Stewardship Council.

Phyllis Cheung, CEO of McDonald’s China, said, “As we expand our business, we are determined to take on more social responsibilities to nurture and foster our communities.

“We will continue to drive rapid and sustainable growth, creating a future where people and planet thrive. We will focus on opening more green restaurants and embedding a green experience throughout the consumer journey. »

McDonald’s green campaign in China aligns with overall brand mission adopt greener and more sustainable practices and achieve zero carbon emissions by 2050.

It also represents an important strategic step for the Chinese business, which is number two in the market behind market leader KFC, which held 11.6% market share, compared to 5.6% for McDonald’s in 2020.

KFC continues to dominate the industry thanks to a combination of a first-mover advantage – it was the first American fast-food chain to open in China – and a localized menu that caters to Chinese tastes – it serves congee, egg tarts and pork.

McDonald’s is a solid second but has failed to capture the brand love that KFC is attracting in China. The decision to promote its green credentials and appeal to younger consumers with a greater focus on environmental issues is a solid strategy to increase its popularity.

This comes as the brand expands its McCafe concept across the country in a bid to further engage young, affluent Chinese consumers. McDonald’s plans to launch the cafe concept in 1,000 new locations by the end of 2023 in a bid to compete with Starbucks and local coffee giant Luckin Coffee.