diff --git a/data/infra/php.Dockerfile b/data/infra/php.Dockerfile
index c2348cc2..28d9d6f3 100644
--- a/data/infra/php.Dockerfile
+++ b/data/infra/php.Dockerfile
@@ -35,6 +35,18 @@ RUN docker-php-ext-configure redis\
 # cleanup
 RUN rm /tmp/phpredis.tar.gz
 
+# Install memcached extension
+RUN apk add --no-cache --virtual cyrus-sasl-dev
+RUN apk add --no-cache --virtual libmemcached-dev
+ADD https://github.com/php-memcached-dev/php-memcached/archive/php7.tar.gz /tmp/memcached.tar.gz
+RUN mkdir -p /usr/src/php/ext/memcached\
+  && tar xf /tmp/memcached.tar.gz -C /usr/src/php/ext/memcached --strip-components=1
+# configure and install
+RUN docker-php-ext-configure memcached\
+  && docker-php-ext-install memcached
+# cleanup
+RUN rm /tmp/memcached.tar.gz
+
 # Install APCu extension
 ADD https://pecl.php.net/get/apcu-5.1.3.tgz /tmp/apcu.tar.gz
 RUN mkdir -p /usr/src/php/ext/apcu\
diff --git a/module/CLI/src/Command/Install/InstallCommand.php b/module/CLI/src/Command/Install/InstallCommand.php
index 1271e2ea..cdee0cb0 100644
--- a/module/CLI/src/Command/Install/InstallCommand.php
+++ b/module/CLI/src/Command/Install/InstallCommand.php
@@ -272,6 +272,12 @@ class InstallCommand extends Command
             $config['entity_manager']['connection']['user'] = $params['DATABASE']['USER'];
             $config['entity_manager']['connection']['password'] = $params['DATABASE']['PASSWORD'];
             $config['entity_manager']['connection']['dbname'] = $params['DATABASE']['NAME'];
+
+            if ($params['DATABASE']['DRIVER'] === 'pdo_mysql') {
+                $config['entity_manager']['connection']['driverOptions'] = [
+                    \PDO::MYSQL_ATTR_INIT_COMMAND => 'SET NAMES utf8',
+                ];
+            }
         }
 
         return $config;
diff --git a/module/CLI/test/Command/Install/InstallCommandTest.php b/module/CLI/test/Command/Install/InstallCommandTest.php
index 846a083b..ebe1874f 100644
--- a/module/CLI/test/Command/Install/InstallCommandTest.php
+++ b/module/CLI/test/Command/Install/InstallCommandTest.php
@@ -47,8 +47,8 @@ class InstallCommandTest extends TestCase
 
     protected function createInputStream()
     {
-        $stream = fopen('php://memory', 'r+', false);
-        fputs($stream, <<<CLI_INPUT
+        $stream = fopen('php://memory', 'rb+', false);
+        fwrite($stream, <<<CLI_INPUT
 
 shlink_db
 alejandro
@@ -69,7 +69,7 @@ CLI_INPUT
     /**
      * @test
      */
-    public function testInputIsProperlyParsed()
+    public function inputIsProperlyParsed()
     {
         $this->configWriter->toFile(Argument::any(), [
             'app_options' => [
@@ -81,6 +81,9 @@ CLI_INPUT
                     'dbname' => 'shlink_db',
                     'user' => 'alejandro',
                     'password' => '1234',
+                    'driverOptions' =>  [
+                        \PDO::MYSQL_ATTR_INIT_COMMAND => 'SET NAMES utf8',
+                    ]
                 ],
             ],
             'translator' => [