Xynage has reduced menu update cycle for McDonald’s from 4 weeks to less than10 minutes

McDonald's

The poster child of India's QSR Market

McDonald’s, launched its operations in India in 1996. Though, its launch was a news in itself, the fact that it was also the company’s first restaurant not to serve beef and pork based products, made a huge impact. Since then, the company has vigorously expanded its operations banking on India’s penchant for spices. According to a news report quoting Euromonitor “McDonald's tweaked about 70 percent of its menu for the Indian market.” Despite the fact that 70 percent of India's population is non-vegetarian, McDonald has also opened some 100% vegetarian restaurants.

The competitive landscape

Nonetheless, McDonald's early advantage is now closely contested by newer players. The market has accommodated Burger King, KFC, Wendy's, Carl's Jr., Fatburger, Johnny Rockets and Dunkin' Donuts with their Burger-heavy menus. Even Domino’s Pizza offers burger in India.

One would like to think that the competition is only from the global multinationals; but even local vendors are now following the same tactics as used by their global QSR counterparts; instant delivery, takeaways, online ordering - you name it, they have it. Further they have something which the multinational giants don’t - better understanding and freedom to localize. Burger Singh, a Delhi based QSR burger chain is one such example. The company has grown very rapidly in recent years with its quirky options like Patiala Shahi Burger, Bihari Gosht Burger, Achari Matan Burger, White Guy Chicken Burger, Jat Putt Chicken Burger, United States of Punjab Chicken Burger and more.

Despite these challenges, McDonald’s is upbeat about its prospects in the Indian QSR market which is likely to grow at a CAGR of 25%, touching Rs. 25,000 Cr by 2020.

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India's QSR market growing at a CAGR of 25% to touch Rs 25,000 crore by 2020 - ET

Market expansion & tech upgrades

Amit Jatia's Hardcastle Restaurants Pvt. Ltd, which is one of the two franchisees of McDonald’s in India is on its way to double the number of stores and reach the 500 mark by 2022. Apart from its brand recognition, the company’s expansion strategy draws its strength from an established supply chain network; the insiders feel that there’s hardly anything which can go wrong.

However, Amit Jatia is not taking any chances. While the new stores are expected to change the company’s fortune, McDonald’s is also investing heavily in upgrading its current stores. This is significant as in the coming days, it will test newer menu options and meal offers to gauge consumer response. Talking with Bloomberg Quint, Amit Jatia hinted an entirely new Breakfast Menu coming up very soon for customers. To make these initiatives successful with a right pricing strategy, McDonald’s would need higher agility. Surprisingly, a majority of McDonald’s stores have been using backlit menu displays in its stores, which create limitations for stores to rapidly implement new campaigns and discount offers.

While the company could manage recurring costs, the logistics and associated costs with preparing, shipping and replacing the physical menu boards used to take 3-4 weeks in the past. This was becoming a bottleneck. With a digital menu boards, these changes could be done in few minutes. Hence, all the physical menu boards are now being replaced with Xynage - a digital signage solution by Credencys.

Xynage

Xyange device

Xynage is an Android based Digital Signage Solution, which offers a host of features including an intuitive content management system (CMS), central management support and scheduling. The system is highly cost effective as it converts any flat panel TV (with HDMI support) into a Signage Solution.

Xynage is simple plug and play solution with very few dependencies:

  • desktop

    No Windows server/desktop

  • licenses

    No Operating system licenses

  • clients

    No thin clients
    required

  • unit

    No server dependency for any display unit

mcdonalds

Xynage Powers Menu Boards for McDonalds India

200

Stores

1200

Screens

18hrs

Per Day

0.02%

Downtime

Xynage powers 1200 menu boards in 200 McD India stores (South & West) which run for an average 18 hours on daily basis. Since Jul 2016, Xynage has encountered a downtown of less than 0.02%.

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How is Xynage benefiting McDonalds

  • Displaying changes in broader menu options is easier.
  • Zero printing and distribution costs.
  • Dynamic visuals help in catching more eyeballs.
  • Surge in average customer spends with up-sell and cross-sell.
  • Zero maintenance.
  • Impressive uplift in customer footfall.

How Xynage Works

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Our Clients

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