Posted on 07/29/2024 1:32:25 PM PDT by dennisw
McDonald's reported a surprise fall in sales in the April to June quarter - as customers cut down on trips to the fast food giant.
Americans placed fewer orders than a year ago - meaning sales were down by nearly one per cent. Globally, sales fell by a similar amount.
McDonald's saw fewer customers, but it said those who came spent more because of price increases.
It was the first sales decline since 2020 when the pandemic shuttered stores and millions stayed home. Profits also slumped by 12 percent.
Big price rises - including fan favorites like a Big Mac meal hitting $17.59 - are blamed for customers staying away.
'The biggest hit for McDonald's is the low-income consumer has really cut back on visits and that is more than offsetting the typical trade down [the chain] normally sees in tougher economic times,' said Edward Jones analyst Brian Yarbrough.
McDonald's results dovetail with comments last week from Coca-Cola CEO James Quincey, who said sales were slow in restaurants - an indication of fewer people eating out.
McDonald's also reported lower store traffic in China, France and the Middle East, where people have been boycotting McDonald´s because of a perception that it supports Israel in the war in Gaza.
(Excerpt) Read more at dailymail.co.uk ...
And never in my (long) life have I been served a Big Mac that looks like that one.
Probably just need more self-serv kiosks?
I can still get an enchilada platter at my local texmex family joint for 8.54 with chips and salsa and a large iced tea.
They are doing well.
Eastern central Texas.
Fast food is pricing themselves right out of business.
People flocked to McDonalds for 15c hamburgers not a $20.00 meal.
I can get a REAL cooked dinner at Chili’s for about that. A real waitress to serve me, in a pleasant atmosphere. I can even get a beer if I want to.
They treat me like a customer. No “wutch you want bro.”
Cut the prices in half and restore the dollar menu.
Also I like Egg McMuffins. You can only get them up to 10.00 am (10:30 some days). Why not till NOON? I know this is possible. They used to have all day breakfasts.
AND THEIR F-ING SHAKE MACHINES ARE ALWAYS BROKEN!
this article was clearly written by AI, with multiple syntactical errors as well as being a jumble of nearly random paragraphs and sentences ...
additionally, the headline of a SINGLE fan favorite being the problem doesn’t jibe with this key sentences: “Big price rises - including fan favorites like a Big Mac meal hitting $17.59 - are blamed for customers staying away.”
in other words, their lower sales has nothing to do with a single “fan favorite” and everything to do with bidenomics inflation ...
The only time I use Kerrygold is when we're serving company. It's higher fat content really shines on rolls or corn cobs, etc.
“KFC in Canada is adding islam to it’s chicken”
i think i saw an ad to that effect recently: “KFC, now with MORE Islam!”
Koran Fried Chicken
“...just about every ticket was about $12 to $14”
If you had been there in the mid 60’s when I worked there while going to high school they didn’t even have a breakfast product.
Hamberger - 15 cents
Cheesburger - 19 cents.
Big Mac - 35 cents
Filet of Fish - 29 cents
Fries - 10 cents
Shakes - 20 cents and were chocolate, vanilla or strawberry
Soft drinks and coffee - 10 Cents
Milk - 12 cents
And that was it. But being exempt from certain laws in the food industry, they only paid their underline employees $1.25 an hour and gave them less than $2 worth of food for a shift if they qualified for a certain amount of hours. (8) They were the epitomey of volumn and cheap labor. But they sold.
And Ray Kroc knew how to get the most out of advertising. his hamburgers were whole beef, his cheeseburgers were tempting, his shakes were triple thick, his fries were golden, his soft drinks were thirst quenching and delightful, his coffee was steaming, and his milk was refreshing. Who could possibly be kept away from this type of menu with such fabulous things. And they sold some more everytine a new product with it’s own designation was brought on menu. The art of misdirection.
wy69
I got tired of paying for someone’s spit.
They use a fresh egg on their Egg McMuffin.
Yep - the only way to fix this is with the McRib. I expect it to be back in the lineup soon.
Yep. Over medium, not sunny side up.
Soon they’ll be offering the McCricket.
I order heuvos rancheros meals at Filibertos. For $9.99 I get two eggs fried to order, a side of excellent restaurant-quality frijoles, a side of rice, and a large authentic tortilla. I eat the eggs and a bite of the sides, then wrap the rice and beans in the tortilla. I end up with a large burrito for lunch.
This morning I paid $5.99 with a coupon. Not bad for two meals.
I remember when McDonalds had the best shakes and the best fries. It’s been a while.
I never understood the appeal.
I don’t think people appreciate how monumentous it is that sales are down. They aren’t saying unit sales are down; they’re talking dollars. So if they double the price of hamburgers, and sales are still down, that means that the number of hamburgers they are selling is down by MORE than HALF.
“OK,” you say, “but costs are down, too, if unit sales are down; profits could even go UP.” Well, yeah, but once customers are lost, they are much harder to get them back. Empty restaurants aren’t a good look, and McDonald’s is basically a real-estate company; they make their money on franchise fees. So the franchises may get by OK, but fewer franchises are necessary. Is McDonald’s going to raise franchise fees? They’ll need to walk a tightrope between convenience vs fees extracted.
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