Case Study of McDonalds on AWS
McDonald’s Corporation is an American fast food company, founded in 1940 as a restaurant operated by Richard and Maurice McDonald, in San Bernardino, California, United States. They rechristened their business as a hamburger stand, and later turned the company into a franchise, with the Golden Arches logo being introduced in 1953 at a location in Phoenix, Arizona. In 1955, Ray Kroc, a businessman, joined the company as a franchise agent and proceeded to purchase the chain from the McDonald brothers.
Before starting the case study of McDonald’s, let’s understand the meaning of AWS
What is AWS?
Amazon Web Services (AWS) is a subsidiary of Amazon providing on-demand cloud computing platforms and APIs to individuals, companies, and governments, on a metered pay-as-you-go basis. AWS is the world’s most comprehensive and broadly adopted cloud platform, offering over 175 services such as compute, databases, and storage.
Why McDonald’s choose AWS?
McDonald’s Corporation, an American hamburger and fast food restaurant chain is the world’s largest restaurant company with 37,000 locations serving 69 million customers per day.
In 2016, McDonald’s India had a vision to make their mobile app the preferred medium for ordering. The vision was to bring the emotions of joy and delight from in-store to the new McDelivery app experience.
In 2016, McDonald’s Corporation CTO Tom Gergets joined Andy Jassy on stage at re:Invent to talk about becoming a modern, progressive burger company — providing customers with more personalized, convenient experiences. He also talked about choosing AWS and AWS Professional Services to help McDonald’s build a scalable, secure digital platform.
What happens after adopting AWS?
Using Amazon Web Services (AWS), McDonalds built Home Delivery — a platform that integrates local restaurants with delivery partners such as UberEats.
McDonald’s built and launched the Home Delivery platform in less than four months using a microservices architecture running on Amazon Elastic Container Service, Amazon Elastic Container Registry, Application Load Balancer, Amazon Elasticache, Amazon SQS, Amazon RDS, and Amazon S3.
The cloud-native microservices architecture allows the platform to scale to 20,000 orders per second with less than 100-millisecond latency, and open APIs allow McDonald’s to easily integrate with multiple global delivery partners. Using AWS also means the system provides McDonald’s with a return on its investment, even for its average $2–5 order value.
Since then, McDonald’s has scaled its digital capabilities across the globe through Kiosks, Digital Menu Boards, Mobile Order and Pay, and Delivery. In 2019, McDonald’s acquired Dynamic Yield and is using state-of-the-art decision-engine capabilities, including machine learning and predictive algorithms, to help personalize the customer experience in their Drive-Thrus. The company is also building out its Global Data Platform on AWS, using Amazon Redshift, Amazon Athena, and Amazon EMR, and has started a pilot with Amazon Elastic Kubernetes Service (Amazon EKS).
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