[Interview Article] INTERVIEWMcDonald's Korea to expand locally sourced ingredients to introduce mor…
McDonald's
Korea to expand locally sourced ingredients to introduce more hit products
Company CEO vows to upgrade services for seniors,
people with disabilities
By Ko Dong-hwan, The Korea Times - McDonald's Korea
will increase the number of its stores to over 500 by 2030 from the current 400
and expand local sourcing to introduce a wider range of new hit products,
according to the company's CEO. In a recent interview with The Korea Times, CEO Kim
Ki-won said that the Korean unit of the multinational fast food franchise will
continue to focus on not only offering tasty burgers but also raising its
public image by supporting local farms and agricultural communities. "Our main goal this year is to get aggressive with
opening new stores," Kim said. "To leverage that goal, I care for
building public trust in our brand, improving customer experiences and offering
savory burgers." In 2023, the company opened eight new stores and
renovated nine old ones. It also saw continuous business growth for 22 quarters
in a row. When it opened a new drive-thru chain in Jeju Oedo last November, Kim
promoted the restaurant by offering free burgers to children at local
children's center nearby. She said the company will keep donating "Happy
Burger" to neighbors in need this year. "It is one of our signature campaigns to offer
hearty meals to those in local communities around our new chains who are in
need," Kim said. The company last year pushed forward several policies
that proved to be sustainable and effective for its business. She means to keep
them this year to maintain the brand's steadfast popularity in the country,
which was built throughout 35 years of history here, and to eventually reach
the market expansion goal. One of the policies is Taste of Korea, the brand's
seasonal burgers that use local natural produce from local farms as a signature
ingredient. The annual business, according to Kim, not only created hit burgers
but also supported local farms by purchasing their produce. She called it a
good example of "loconomy," a compound of "local" and
"economy." Last year, Jindo Green Onion Cream Croquette Burger
with green onions cultivated from Jindo, South Jeolla Province, hit the
jackpot, selling over 2.8 million during its limited-offer period. "We have to pick the produce carefully as each
pick gets supplied to our restaurants that altogether see 400,000 visitors each
day," Kim said about the project started by the company in 2021. "And
of course, its quality must be guaranteed, with its savor matching with the
brand's taste. A successful Taste of Korea project thus accomplishes both taste
and mutual economic growth with local communities at the same time." The company has been buzzing about its range of charity
activities for years, allowing itself to build up a positive public image.
Inside and outside its stores, the company has been looking for local
communities in need of donations for years. Kim said that she will run the
business as usual this year. The "Prosperity Burger" event is one example
the company launches every year-end. From every order of a certain burger, 100
won ($0.07) goes to a charity pool. Last year, the company sold 1.7 million
orders of two kinds of prosperity burgers (both with long buns, a pork patty
and garlic sauce) last January alone and raised a total of 240 million won, a
record amount since the campaign was launched in 2013. The company sends part of the charity donation to the
brand's global program called Ronald McDonald House Charities (RMHC), which
seeks to build lodgings near hospitals where family members of hospitalized
patients can stay for free. Korea now has one Ronald McDonald House at Pusan
National University Yangsan Hospital in Busan. The company donated over 560 million won to the program
in 2023 by raising money from sales of prosperity burgers and commemoration
books that celebrated the company's 35-year-long history in Korea and revenue
from offline charity events. "This year marks the 50th anniversary of our
brand's introduction of RMHC," Kim said. "So one of our
community-building campaigns this year is to provide support for opening the
country's second Ronald McDonald House. It will be in the capital region." Inside the restaurants, Kim is working to capture the
hearts of not just visiting customers but also employees, another cornerstone
for solidifying the brand's public image and preparing it for local market
expansion. One of the strategies is the company's unique employee hiring
process that sets no preference in education, age, gender, work experience,
disability or nationality. And the window is always open, counting 18,000
workers nationwide so far. Anyone selected via "open hiring" is also
open for promotion to a chain's manager position after four months. Later, that
person can aim for a regular desk job at the company's headquarters in Seoul. "We have older employees who treat and give advice
to their colleagues in their 20s as their grandchildren. We also have female
workers in their 60s whose great cooking skills are irreplaceable when it comes
to burger-making," Kim said. "People with various backgrounds wear our uniforms
without discrimination. It's our philosophy with its focal point on people.
That's why we would like to be called not a burger company but a company of
people who make burgers." For patrons with difficulties ordering through digital
kiosks inside restaurants, most often seniors and people with visual
impairments, Kim introduced kiosks with an audio navigation system. It is a
feature she introduced for the second time in the brand's global franchise
network. "Resolving what may seem like a trivial
inconvenience is important for improving our customers' satisfaction and
bespeaks our company's dedication to corporate social responsibility," Kim
said. "Personally, the audio navigation feature meant a lot to me." Source: https://www.koreatimes.co.kr/www/tech/2024/01/419_367782.html
2024.02.02
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