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McDonald's Corp hopes "i'm lovin' it," the simple expression heard often in everyday life, will soon make its way into the vocabularies of millions of its daily Chinese customers.

To achieve that goal, the company, often referred to as the "Golden Arches," launched last Thursday the "i'm lovin' it" China brand campaign.

"The 'i'm lovin' it' campaign is unprecedented in McDonald's history. More than 100 countries united behind a single brand message," said Tim Lai, McDonald's China Development Co's North China managing director.

"It's much more than a new tagline, or commercial. It is a new way of thinking about, and expressing, our worldwide brand appeal to the consumers."

"i'm lovin' it" is the centrepiece of a new marketing strategy designed to bring McDonald's closer to its customers.

Key to the campaign are five new television commercials that reflect the lifestyles and attitudes of today's customers - and culture. The commercials are shot in 12 languages and in a variety of locations - including the Czech Republic, Brazil, South Africa and Malaysia. The Chinese language portion of the ads will feature vocals by Lee Hom Wang, a Taiwanese pop star and heart throb. The TV spots began airing last Thursday throughout China.

"This particular brand theme focuses mostly on people aged 15 to 29. We'd like to have a hip, energetic brand image," said Shantel Wong, senior director of marketing for McDonald's China Development Co.

The theme and attitude of the campaign is being integrated into every aspect of McDonald's business - from crew training and the overall restaurant experience to national sponsorships, promotions and marketing.

McDonald's, which opened its first restaurant in China in 1990, is going head-to-head with KFC in the fast-food industry for customers.

McDonald's has about 560 restaurants in China, trailing KFC's nearly 850 outlets.

McDonald's Corp last Wednesday announced a 70-per-cent increase in its annual dividend, from 23.5 US cents per share to 40 US cents per share, or a payout of approximately US$500 million.

Some investors were disappointed, however, as several analysts had forecasted a doubling of the dividend.

The company's business has turned around of late, with five consecutive months of positive, same-store sales following 13 consecutive months of declines.

(Business Weekly 09/30/2003 page1)