McDonald's probably worse than it appears

McDonald's will stop reporting monthly same-store sales.

While other QSR restaurants do not report monthly, MCD is kind of a special case due to their large size. This has all the signs of a management that sees problems ahead. Or here.

McDonald's has a similar problem to say GM in 1978. Dominant but being attacked in so many places they cannot defend themselves. Their most famous products are yesterday's products but still with loyal followings. Margins are getting squeezed on all sides, and the market right above them has been staked out.

For 20+ years now, one attempt after another to move upmarket has failed. I feel they will keep failing. Reason is if I go to McDonald's I go for a Big Mac or sausage biscuit. If I want something better, I go somewhere else. I don't go in for "healthy" foods. I do not think I am alone in thinking this way.

Their remodeled stores do not feel "right." I would never use one as a field office as I do a SBUX or local coffee place. Too many memories of chairs made just a tad uncomfortable so you leave soon. Eating cheapo food in a nice place is still cheapo food.

What would you do to fix the place if you were CEO? Discuss

Quote: AZDuffman

What would you do to fix the place if you were CEO? Discuss

Sell it for half it's worth, buy 1,000 acres in Wyoming, never be heard from again.

All fixed. Easy game =p

Quote: AZDuffman

What would you do to fix the place if you were CEO? Discuss

Me, I don't know, but I wouldn't hire someone who knows how run a successful multimillion corporation, that's for sure!

Quote: rxwine

I'd hire one who has experience rescuing a similar size companies and turning them around. If that didn't work, I'd bail, similar to Face

Well, if you were CEO that person is you.

I've been in a M'cD's 5 times in the last
40 years. Gone to the drive thru for my
wife many times. Sell something popular
at cost for awhile, that always brings
people in.

Quote: AZDuffman

Well, if you were CEO that person is you.

product quality, customer service, price point are the basics.

I mean, other than selling off, and laying off.

Then you can do weird shit like BK.

https://www.youtube.com/watch?v=4mJZbaz2YQI

After that the Japanese solution.

https://www.youtube.com/watch?v=s5I14qkywyQ

I rarely eat at McDonald's if there is a choice. I prefer the burgers at BK or Carl's Jr., and they have onion rings, too.

Still, I like the chicken wraps now and then, and the coffee is pretty good for the price.

Quote: AZDuffman

What would you do to fix the place if you were CEO? Discuss

QSR magazine says there are only 7 USA chains that bring in over $2 million a year on average per location. As most people know, only Subway has more locations than McDonlads, but each location brings in a relative paltry $40K per month on average

Chick-fil-A $2,846.5
Krispy Kreme $2,565.0
McDonald's $2,500.0
Panera Bread $2,465.0
Jason's Deli $2,399.8
Chipotle Mexican Grill $2,169.0
Whataburger $2,096.0

While I know that McDonald's had some bad downturns recently, they are a long way from being a mess.

Entrench.
Dig in and cease efforts to claw at the ceiling.
Cease efforts to do anything innovative. Just be McDonalds.
Take it or leave it.
Incremental improvements in stores thru training.
Employee retention rather than constant re-training.

Quote: Pacomartin

QSR magazine says there are only 7 USA chains that bring in over $2 million a year on average per location. As most people know, only Subway has more locations than McDonlads, but each location brings in a relative paltry $40K per month on average

Chick-fil-A $2,846.5
Krispy Kreme $2,565.0
McDonald's $2,500.0
Panera Bread $2,465.0
Jason's Deli $2,399.8
Chipotle Mexican Grill $2,169.0
Whataburger $2,096.0

3 of these I've never even heard of,
and Chick I never heard of till they
were in trouble last year. Still have
yet to see one. Whataburger?
You made that up, what a stupid name
for a restaurant.