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Times may be Tough, but they aren't Standing Still
07 January 2009
by Peter Martin
Despite the economic climate business is not on hold
News that McDonalds is opening a new high-tech, state-of-the-art restaurant in Las Vegas simply underlines the fact that market leaders will continue to develop and innovate.
The 184-seat 'Viva McDonalds' flagship store on the Vegas "Strip"incorporates advanced cooking and holding systems alongside a wall of digital screens to engage consumers. Employees will also have access to the 'McDonald's Connect' digital education and training system. It will be the biggest Golden Arches in Nevada and open 24-hours
It is a reminder that despite the economic climate business is not on hold. If anything the downturn offers more of an incentive to grab customers' attention, improve their experience and drive efficiencies into the bargain.
It also flags up the influence that technological change is going to have on the eating and drinking-out market globally over the next few years. It is not just about harnessing the internet, both to understand and to communicate with consumers, but to be open to how technology can drive in-store change.
Also this week, that other fast-food giant KFC announced that it will introduce its long-tested grilled chicken range into the United States in the second quarter of 2009.
Kentucky Grilled Chicken has been heralded as a "major transformational product" for the chain by its parent Yum! Brands. It will be introduced alongside a new value menu, underlining the fact that while the recession requires operators to focus on better value for consumers, issues such as offering healthier eating are not going to go away, in this case people turning away from fried food.
Yum! has spent $30m to help KFC franchisees pay for the new ovens needed for to produce product, which is actually roasted in an automated, high-temperature convection oven, using a patented non-stick "grill plate" to stripe the chicken with grill markings.
There is a temptation when cash is tight is to avoid any investment. But the market will not be standing still in 2009, if anything it is likely to change even faster. The challenge is to keep up.
First published for ~M&C Report Online, 21/12/08
