McDonald's Updates and Issues

This living topic covers the latest updates, trends, and controversies surrounding McDonald's. It highlights the company's new menu items, such as the Chicken Big Mac and Honey Pepper Pimento Chicken Sandwich at Chick-fil-A, and emphasizes their efforts to stay competitive in the fast-food industry. Additionally, it discusses significant issues such as foodborne illness outbreaks linked to E. coli and Cyclospora, rising menu prices, and supply chain challenges. The topic also explores McDonald's strategies for maintaining market share, including the introduction of value meals and specialty beverages, and the company's response to customer feedback and legal challenges related to food safety and marketing practices.

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Free Squishmallows begin Dec. 26 at McDonald's

One of the most popular toys of the year is coming to McDonald’s, believe it or not.

On their way to selling 30 million units in this last quarter of 2023, Squishmallows are the Cabbage Patch Kids of this generation of youngsters and they will be available as a "free" toy inside McDonald's Happy Meals, beginning December 26, and while supplies last.

“Iconic Squishmallow characters — like Cam and Fifi — will be a part of the lineup, as well as everyone’s favorite McDonaldland character and purple bestie — Grimace!” according to the fast food chain.

“And that’s not all — there’s a surprise mystery character that select fans may uncover when they open their Happy Meal toy.”

Parents should bring along their earplugs because each character comes with a unique playlist based on its personality. All families have to do to access each Squishmallow’s playlist is scan the QR code on the Happy Meal box.

Menu choices

Parents will have three choices of Happy Meals to choose from, all priced somewhere between $4.29 and $4.98, but could be cheaper if ordered on McD’s app.

  • Hamburger Happy Meal: a basic hamburger with a side of fries, apple slices, and a choice of drink

  • 4-Piece McNugget Happy Meal: 4-piece nuggets plus fries, apple slices, and a choice of drink

  • 6-Piece McNugget Happy Meal: 6-piece nuggets plus sides of fries, apple slices, and choice of drink

Parents should also be prepared to drive to different McDonald’s locations in neighboring towns if Squishmania gets out of hand. That’s because there are 24 iconic Squishmallows plush toys altogether, but only 10-12 designs per each participating market. So, if your kid has their heart on collecting them all, keep your car gassed up because you might be going on a Squish hunt.

One of the most popular toys of the year is coming to McDonald’s, believe it or not.On their way to selling 30 million units in this last quarter of 20...

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McDonald’s finally closes the doors on its McCafe Bakery

Remember when the food industry’s crystal ball was seeing little but chicken, burgers, and coffee in McDonald’s future?

The original fast food potentate has made another move in that direction, sending blueberry muffins, apple fritters, and cinnamon rolls – the three remaining McCafe Bakery items – to menu heaven.

“We’re always listening to our fans and adjusting our menu based on what they crave,” McDonald’s said in a statement to the press. “We know goodbyes are never easy – but fans can still satisfy their sweet tooth with our iconic chocolate chip cookies, baked apple pie and frozen desserts at restaurants nationwide.”

As you can imagine, sweet tooth consumers aren’t taking this news very well.

“McDonald's has gone way too far on discontinuing the cinnamon roll. This is McDonald's worse decision in years,” ClimiStormWX tweeted their McSadness “McDonald's, keep the Cinnamon Roll on the menu, if you get rid of it, there will be chaos.”

McKreme’y?

What does this mean for those who swarmed Mcdonald's after the company started selling Krispy Kreme donuts a few months ago? No official word yet, but there’s speculation that Krispy Kreme may stay on the menu.

RestaurantDive’s Aneurin Canham-Clyne thinks that the discontinued McCafé bakery items could be replaced with a broader offering of Krispy Kreme pastries – one that could be an all-day plus for McDonald’s menu, not to mention a bonus for Krispy Kreme.

In a recent earnings call, the donut company’s global president and COO Josh Charlesworth said his chain has yet to see any adverse impact on existing sales at its doughnut shops. Krispy Kreme CEO Michael Tattersfield told analysts that “We really like the partnership with McDonald’s as it stands today.” 

Remember when the food industry’s crystal ball was seeing little but chicken, burgers, and coffee in McDonald’s future?The original fast food potentate...

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McDonalds bids farewell to its recipes for the Big Mac and other burgers

You’re not supposed to mess with success, but McDonald’s thinks it’s got a better way of making its burgers.

There’ll still be “two all beef patties, special sauce, lettuce, cheese, pickles, onions on a sesame seed bun” on its Big Mac, but the company is shaking that formula up a bit for a reset of that sandwich -- in fact, its entire classic four-burger lineup.

The company said in announcing the change that its chefs have been quietly tweaking the sandwiches to make them “tastier” – at least in its mind. The improvements to the Big Mac sandwich, McDouble burger and McD’s classic Cheeseburger, Double Cheeseburger and Hamburger are, in the company’s own words…

  • “Softer, pillowy buns that are freshly toasted to a golden brown 

  • Perfectly melted cheese that will make you want to savor every last bit off the wrapper  

  • Juicier, caramelized flavor from adding white onions to the patties while they’re still on the grill  

  • Even more of everyone’s favorite Big Mac sauce, bringing more tangy sweetness in every Big Mac bite”

“I’ll always remember my first burger from McDonald’s. And now my culinary team and I have the best job in the world: thinking about ways to bring even more of that iconic McDonald’s taste to fans,” said chef Chad Schafer, senior director of Culinary Innovation, McDonald’s USA. 

“We found that small changes, like tweaking our process to get hotter, meltier cheese and adjusting our grill settings for a better sear, added up to a big difference in making our burgers more flavorful than ever.”

McDonald’s has modified things over the years like changing out the oils it uses and taking antibiotics out of its chicken, but this is the first time it’s made a major change to its burgers since 2018 when it moved from frozen to fresh beef.

The West Coast gets to try them first

The fast food chain did all of its burger experimenting out of the U.S., perhaps to save face in case fans on its home turf didn’t take a liking to the changes. The company said it tested the new recipes in Australia, Canada, and Belgium and got “rave reviews.” 

Americans will be introduced to the new recipes in waves. McDonald’s has already started rolling them out in several cities on the West Coast – Los Angeles, Seattle, Portland, San Francisco, Sacramento, Phoenix, Las Vegas, Salt Lake City, Denver, Boise, Tucson, and surrounding cities – and by the time 2024 gets here, everyone in the U.S. will have had a chance to try the new versions of the burgers out.    

You’re not supposed to mess with success, but McDonald’s thinks it’s got a better way of making its burgers.There’ll still be “two all beef patties, sp...

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McDonald’s goes “crispy” crazy

Don’t say we didn’t tell you. McDonald’s is making good on its promise to get serious about chicken.

The company just announced that it’s bringing out the “McCrispy” chicken sandwich. Serious enough that it’s trademarked the name, too.

“This crispy, juicy, tender sandwich is a special kind of delicious—with our crispy chicken filet made with all-white meat, crinkle-cut pickles and buttered potato roll—did we mention it comes in Deluxe and Spicy too?” is the company’s pitch. 

When ConsumerAffairs searched for its availability, we found that it’s already available in some U.S. markets with plans to go nationwide on March 13. 

The regular version is priced at $4.59 with the spicy version a dime more at $4.69. The deluxe version with lettuce, Roma tomatoes, and mayo is $4.99.

If you want to make your McCrispy a meal, those prices go up to $8.38, $8.48 and $8.88, respectively. The only caveat we found on the McDonald’s app is that the sandwiches are not available after midnight.

“Crispy’ish” things may well be around for a while for McDonald’s fans. ConsumerAffairs also noticed a feature upgrade for McD’s crispy products on its app.

It was pushing Crispy Chicken McMuffins, Crispy Chicken McGriddles, and Crispy Chicken Biscuits, as well, and NRN reports that a Bacon Ranch McCrispy is on the schedule too, but will only be available for a limited time.

The Colonel's attempting to raise the roof on his hen house, too

As things go in the fast food industry, there’s a lot of copycatting. If chicken is your thing, who knows how far this one-upmanship will go, but McDonald’s chicken competition isn’t taking this skirmish sitting down.

After a decade, KFC recently announced the return of its KFC Double Down Sandwich – but it’s a get it before it’s gone thing, only lasting until the first week of April.

Another limited engagement at KFC is the “premium” Bacon & Cheese Chicken Sandwich – a double-breaded, extra crispy, 100% white meat filet, a slice of cheese, two pieces of hickory-smoked bacon, mayo and pickles at participating restaurants for a limited time.

Popeye’s is focusing on Lent right now, and giving its all to new seafood items. But once Easter is over, it’s possible it may reenter the game with a new chicken sandwich to compete with the others.

Don’t say we didn’t tell you. McDonald’s is making good on its promise to get serious about chicken.The company just announced that it’s bringing out t...

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KFC makes a bold move to try and block McDonald’s chicken push

McDonald’s had no sooner put a bun on its plot to overthrow its chicken-driven competition than Kentucky Fried Chicken (KFC) responded. The Colonel’s counter offensive is a one-two punch of wraps available immediately nationwide – one directed at younger diners who can bolster some demographic growth for the chain. 

And the younger crowd is important to the company. In an interview, KFC Chief Marketing Officer Nick Chavez noted that the new wraps are an integral piece of the company’s wide-ranging strategy to expand its customer base. Just a year ago, it partnered with young American rapper Jack Harlow to kickstart its foray into that segment. 

While McDonald’s latest chicken push doesn’t include a wrap, it’s not like its fans didn’t try. During covid, some McDonald’s chicken wrap fans took to Change.org to try and coax the company to bring back the item which has been mothballed since 2016. However, the effort probably didn’t move the needle enough to get company brass to sit up and take notice – only 16,955 signed the petition in two years. 

Get it while it’s hot – and cheap!

To celebrate their release, those looking for a meal on the go or a deal can enjoy two KFC wraps for just $5. The company’s announcement didn’t say how long the new items will be available, other than to say for a “limited time.”

Trying to find a twist that gives it some uniqueness over McDonald’s, Popeye’s, and Chick-fil-A, but doesn’t put it crossways against its Yum! Brands sister Taco Bell, KFC’s new wraps come with two options.

One is a Classic Chicken Wrap – a hand-breaded Extra Crispy Tender, crunchy pickles and creamy mayo, wrapped up in a warm tortilla – and the other is a Spicy Slaw Chicken Wrap which embodies an Extra Crispy Tender in a flavorful mix of KFC coleslaw, spicy sauce and crispy pickles.

McDonald’s had no sooner put a bun on its plot to overthrow its chicken-driven competition than Kentucky Fried Chicken (KFC) responded. The Colonel’s count...

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Who’s got the meats and who’s got the sweets? Fast food chains roll out new menu items.

Would you believe there’s a new “golden age” of fast food? Among the Top 10 chains, more than 1,000 units have popped up in the last year or so, all reflecting the double-digit sales consumers are ringing up.

Trying to please all those fast food lovers showing up in the drive-thru lanes, chains are adding everything shy of glazed donut salads and pork rind sundaes to their menus to make consumers lick their chops in anticipation.

They’ve got the meats!

Here’s a quick review of what’s in store the next time you venture out for a quick bite to eat:

Chipotle: Chipotle said it is trying out a new chicken option, Chicken Al Pastor, at 94 restaurants in Denver and Indianapolis. The chain is also adding new menu bowls and tacos based on the ‘88 Club -- a Dallas Cowboys championship team. For example, the "Michael Irvin Bowl" has chicken, brown rice, black beans, fresh tomato salsa, cheese, lettuce, and some guacamole and queso blanco.

Sonic: Sonic is going north of the border for some inspiration with a cheeseburger inspired by Montréal steak.

McDonald’s: After it sold out of its new Chicken Big Mac in 10 days in the U.K., McD's has brought it to the States. It’s currently being tested in Miami, but if all goes well, it could start showing up in the franchisees’ other “hen houses” around the country.

Del Taco: Tortas – Spanish for sandwich – are regular menu items at sit-down Mexican restaurants, but Del Taco thinks fast food eaters would like them too. Soon, all 600-plus Del Taco locations will have three varieties of the new fully-stuffed 7-inch Epic Tortas – Chicken BLT, Crispy Chicken Guac, and Carne Asada & Queso. 

Popeyes: The New Orleans-flavored chain is thinking a little outside the box with Surf & Turf, a shrimp and chicken combo sandwich, and returning the 8-piece Hushpuppy Shrimp to the menu. 

Breakfast anyone?

Chick-fil-A: To try and please its breakfast bunch, Chick-fil-A is giving baked egg bites a whirl.

Hardee’s and Carl’s Junior: The pair aren’t copying each other, but since they're sister chains serving different parts of the country, both Carl’s Jr and Hardee’s are testing similar sandwiches served on King’s Hawaiian Bread. Both have breakfast and chicken sandwiches on King’s bread, but Carl’s is also giving a King Hawaiian double cheeseburger a shot as well.

McDonald’s: Ronald has decided that Americans would love a cheese Danish – resplendent with sweet cream cheese and vanilla sauce – so we’re getting one starting September 14 on the chain’s McCafé Bakery menu.

Wendy’s: If Wendy’s is part of your rise-and-shine, heads up, now on the chain’s breakfast menu are French toast sticks.

Seasonal delights

Who’s got the sweets? Plenty of seasonal pumpkin’y options to be found on menus, too. 

Chicken Salad Chick: The chain is offering a new pumpkin cheesecake for the season.

Freddy’s: Its Pumpkin Pie Concrete is set to return to the menu for a limited time, as well.

Starbucks: The caffeine queen has brought back its Pumpkin Spice Latte for the 19th year, and with it, the first recurrence of the Apple Crisp Macchiato, now made with oat milk. 

Smoothie King: It is Fall, after all, so the smoothie chain is trying to do the same thing as Starbucks, but on the chilly end of the spectrum, by rolling out pumpkin drinks for the fall, plus two new (and permanent) coffee options – espresso and cold brew coffee.

Popeyes: If you want some dessert to go with your chicken sandwich order, Popeye’s is introducing Banana Cream Cake and bringing back those Chocolate Beignets that proved to be a big hit a couple of years ago. 

Non-meat alternatives are getting some new action, too.

Baja Fresh: After a successful trial, Baja Fresh is giving its Impossible Taco Combo, Fuego Impossible Burrito, and Impossible Bowl all permanent spots on the menu.

Burger King: Burger King is also testing a meatless chicken substitute at its Cincinnati-area stores.

Taco Bell: Not to be outdone, Taco Bell fans in Birmingham, Ala. are getting another reason to be cheesin’ for the season. For a limited time, they can buy the meat-free Crispy Melt Taco, resplendent with shredded cheddar, mozzarella, and Monterey pepper jack cheeses, plus warm nacho cheese sauce.

Would you believe there’s a new “golden age” of fast food? Among the Top 10 chains, more than 1,000 units have popped up in the last year or so, all reflec...

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Some McDonald's franchisees drop Dollar Drinks from menus due to inflation

If it’s any indication of how far companies will go to fight inflation, McDonald’s franchisees in 16 U.S. markets have ditched the fast-food king’s long-standing Dollar Drinks offer. The Wall Street Journal reports that some store owners are raising beverage prices to neutralize the impact of continuing food inflation, although most locations still offer dollar beverages.

The company gave its franchisees the OK to nix the $1 drinks promotion back in January, according to The Journal. As an alternative, some of the operators who took advantage of that permission have shifted their marketing attention to the value menu. 

While a dollar here and there doesn’t sound like a franchisee back-breaker, it is a weighty concern. Anxiety over the Dollar Drink offer began late last year when McDonald's brass informed franchisees that food and beverage costs could climb as much as 12% per year – about $124,000 – for each restaurant. But drink prices aren’t the only thing McDonald’s franchisees have on their mind. With a recent shift in wages, they’ve also had to concern themselves with rising labor costs.

“Customers can always count on McDonald’s for great value, which remains an important part of our marketing strategy. Franchisees set prices and have the flexibility to create promotions that will drive demand locally,” McDonald’s said in a statement emailed to various news outlets.

Customers aren’t happy about the change

Even though the Dollar Drink dump hasn’t hit every market, McDonald’s customers are already voicing their frustrations.

“The only reason I have EVER gone to McDonald's was because of their 1 dollar drinks. Y’all just lost a lot of the people that only go for your drinks,” was a typical sentiment that unhappy customers voiced on social media.

"Corporate greed finally caught up to @McDonalds dollar drinks," another person ranted. "First the dollar tree now @McDonalds large drinks... what has the world come to?" another tweeted

McDonald’s isn’t alone

In all fairness, McDonald’s isn’t the only company toying with price changes. Fortune reports that Chipotle hiked its prices roughly 10% in 2021 and another 4% in the first quarter of this year.

Others on the price hike list include Wendy’s, which raised prices by 5%, and Domino’s, which increased the price of its $5.99 mix-and-match offer to $6.99. Officials say they don't have much of a choice when it comes to increasing prices.

“Look, inflation continued to move in a big way. We saw it wasn't going away, so we had to take the pricing action that we did," Chipotle CEO Brian Niccol said on the recent first-quarter conference call. "And hopefully, that won't continue to be the case. But if it has to be the case, we have, I think, the organization, the people, and the pricing power to do it, but it really is the last thing I'd like to do.”

If it’s any indication of how far companies will go to fight inflation, McDonald’s franchisees in 16 U.S. markets have ditched the fast-food king’s long-st...

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McDonald’s to offer free ‘Thank You’ meals to educators this week

McDonald’s thinks educators have really stepped up over the course of the pandemic and wants to say thanks. The chain kicked off the week by offering free breakfast 'Thank You Meals' to teachers and school staff.  

“Together with our Owner/Operators, we're proud to serve the people who make our communities a better place, and this is an important time to say thank you to some of our everyday heroes,” said Joe Erlinger, President, McDonald’s USA. 

“We were honored to give away 12 million free Thank You Meals to first responders and healthcare workers last year and now, with educators going above and beyond, we're excited to recognize them in a way only McDonald's can.”

Free breakfast meals with valid ID cards

The company said all educators -- meaning teachers, administrators, and school staff -- can pop over to any local participating McDonald’s during breakfast hours (5-11 a.m.) from Oct. 11-15, show a valid work ID, and enjoy a free breakfast. 

The Thank You Meals will be served in a classic Happy Meal box filled with an entrée breakfast sandwich, Hash Browns, and a beverage. Sandwich choices include an Egg McMuffin, a Bacon, Egg and Cheese Biscuit, or a Sausage Biscuit. For beverage options, educators get their choice of a medium McCafé hot or iced coffee or a medium soft drink.

McDonald’s doesn’t want its teacher appreciation to just end with a biscuit. It thinks some teachers probably deserve more and wants to offer a way for people whose lives have been changed by an educator to express their gratitude by sharing their stories on social media.

“To make sure educators feel recognized and appreciated by all of us, we’re inviting everyone to honor a special educator in their life,” the company said. “Whether it’s your kid's favorite teacher, or an educator making a difference in your community or who has impacted your life, share how they inspire you by using #ThankYouMeal on Twitter, TikTok or Instagram, now through Oct. 15.”

“If personal messages are more your style, people can also download a free Thank You e-card and send it directly to a special educator in their life,” the company added.

McDonald’s thinks educators have really stepped up over the course of the pandemic and wants to say thanks. The chain kicked off the week by offering free...

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McDonald’s pledges to reduce plastic in Happy Meal toys

McDonald’s is under growing pressure to change its Happy Meals — not just the food, but the toy that goes with it. The chain has now pledged to reduce the amount of plastic used to make the toys.

In Tuesday’s announcement, McDonald’s said Happy Meal toys will contain significantly less plastic by 2025. The company said it has already cut plastic in the toys by 30% since 2018. Once it achieves the latest goal, McDonald’s says Happy Meal toys will contain 90% less plastic than before it began to phase it out.

The toys that come with the meal have almost always been primarily plastic in their composition. In recent years, the toys have included figures and products that promote popular movies.

Previously, McDonald’s critics were focused on the meals themselves. Since 2018, McDonald’s says it has provided food choices that contain fewer calories, sodium, sugar, and saturated fat.

Sustainability issues

The company said it has recently heard from parents who voiced concern about the sustainability of the toys provided with the meal. According to CNBC, British schoolchildren started a petition in 2019 that asked both McDonald’s and Burger King to get rid of plastic toys altogether.

McDonald’s executives have been getting creative of late, designing some toys using plant-derived or recycled material. Action figures will also undergo a dramatic change as well.

The characters from popular movies won’t be made of plastic. Rather, they will be 3-D representations made with paper or cardboard.

The company said it is also looking into getting rid of the plastic packaging surrounding the toys. Among the suggestions under consideration are plant-based and certified fiber packaging.

Changes are rolling out overseas

U.S. customers have yet to see the changes, but consumers in some other countries have. McDonald’s has already rolled out plastic-reduced Happy Meal toys in France and is in the process of doing so in Ireland and the U.K.

According to Jenny McColloch, McDonald’s chief sustainability officer, the transition is aimed at appealing to the next generation of consumers who "care deeply about protecting the planet and what we can do to help make our business more sustainable." 

"We've had innovation in our toys for quite some time," McColloch said at a press briefing. "That said, we're always listening to our customers and our families, and understanding where we can do better." 

McDonald’s is under growing pressure to change its Happy Meals — not just the food, but the toy that goes with it. The chain has now pledged to reduce the...

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McDonald’s to reportedly offer child care and tuition aid for employees

Restaurants in general, and fast-food restaurants in particular, have struggled to staff up as the economy reopens from the pandemic shutdown. McDonald’s is reportedly opening its wallet to lure workers back.

According to the Wall Street Journal, McDonald’s franchisees, who own 95% of McDonald’s restaurants, are beefing up compensation packages after surveying current employees about what they want. After looking at the results, the restaurants are not only offering higher pay, but paying for emergency child care, helping with college tuition, and providing more workplace flexibility.

McDonald’s Corporation appears to be fully behind the initiative and is reportedly pledging millions of dollars to help its franchise owners cover the cost of the expanded benefits.

The Journal cites a survey by an industry consulting group that explored the reasons former restaurant employees had not returned to work. The number one reason was the generous unemployment benefits provided under the CARES Act and other pandemic relief measures.

But nearly as many former employees said they no longer wanted to work in the industry. Others said they didn’t feel safe working in a job where they had to deal face-to-face with hundreds of consumers each day.

Fundamental changes to the job

After being pressured over the last decade to raise wages, McDonald’s appears to be doing that and more, seeing it as a necessary step to retain and grow business. According to an internal presentation prepared for the franchise owners, the aim of the initiative is to “fundamentally change what it means to work at a McDonald’s restaurant.”

That kind of effort may become standard in the industry. Labor economists say that not only are restaurant workers who were laid off during the pandemic now looking for new careers, but those who managed to work during the pandemic are quitting.

Rebecca Givan, an associate professor of labor studies and employment relations at Rutgers, told CNN that when employees start to quit "there's a feedback loop."

"These jobs are very difficult. And if restaurants are short-staffed the jobs are worse, and they're harder," she said. "And so that can perpetuate the high quit rates."

Restaurants in general, and fast-food restaurants in particular, have struggled to staff up as the economy reopens from the pandemic shutdown. McDonald’s i...

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McDonald’s to give away free fries on July 13

McDonald’s has announced that members of its new MyMcDonald’s Rewards program will get free fries on Tuesday July 13. One member will also win free fries for life (a prize valued at $19,685), and another 66 customers will be rewarded with 1 million McDonald’s rewards points. 

“After 66 years of unrivaled fandom, you could say our customers’ loyalty has become just as famous as our World Famous Fries, and they deserve to be rewarded,” McDonald’s said in a press release. “So, we’re going to do just that by serving up rewards big and small.”

The fast food chain has dubbed July 13 “World Famous Fan Day'' and is giving customers across the U.S. a free medium order of fries. Customers will need to download the McDonald’s app and sign up for the MyMcDonald’s Rewards loyalty program. 

After that, members can add the deal to their cart, place their mobile order, and redeem their fries at a participating McDonald’s. 

Entering to win top prizes

Customers who want a shot at winning free fries for life or 1 million MyMcDonald’s Rewards points can head to Twitter and tweet at McDonald’s (@McDonalds) between July 13 and July 20. The company said it will judge entries based on the following criteria

  • Expressed love and affinity for McDonald's. The post should have a description of the customer’s “on-going, unwavering love and support of the McDonald's brand”

  • Creativity and originality. Judges will look at how well the contestant expresses/articulates their fandom in a unique and creative way that is different from standard/expected responses and/or other contestants' responses;

  • Artistic expression. Posts will also be evaluated on the technical/artistic/writerly skill demonstrated in how the contestant executed their creative vision.

Posts should also include hashtags reading #MyMcDonaldsFanContest and include the home state of the contestant (like #CA or #TX). 

"We’re eager to repay years of fandom by giving them what they love most about McDonald’s — our delicious food — for years to come,” said Alycia Mason, McDonald's USA vice president of digital customer experience.

McDonald’s has announced that members of its new MyMcDonald’s Rewards program will get free fries on Tuesday July 13. One member will also win free fries f...

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McDonald’s will offer the BTS Meal starting next month

McDonald’s is rolling out yet another meal associated with popular music stars. This time, it’s the South Korean boy band BTS.

Billed as a menu tour, the new meal debuts May 26 in the U.S. at participating restaurants. Based on the band’s “signature order,” the meal features a 10-piece Chicken McNuggets, medium fries, medium Coke, and sweet chili and Cajun dipping sauces like the ones served at McDonald’s in South Korea.

Previously, the fast-food chain designed meals in collaboration with music stars Travis Scott and J. Balvin.  BIGHIT MUSIC, BTS’s label, says the members of the group are all in with the promotion.

“The band has great memories with McDonald’s,” the company said in a statement. “We’re excited about this collaboration and can’t wait to share the BTS Meal with the world.” 

Expanding international influence

The move appears to be part of McDonald’s campaign to expand its international influence. BTS has topped pop music charts since 2013, and because of the group’s worldwide appeal, the BTS signature meal will be offered at participating restaurants in at least 50 countries.

“BTS truly lights up the world stage, uniting people across the globe through their music,” said Morgan Flatley, chief marketing officer at McDonald’s USA. “We’re excited to bring customers even closer to their beloved band in a way only McDonald’s can – through our delicious food – when we introduce the BTS signature order on our menu next month."

The celebrity co-marketing trend got a boost from the pandemic last year as fast-food became a comforting outlet, especially for young consumers. The campaigns by McDonald’s and its rivals have featured celebrities with a lot of youth appeal.

Industry analysts say these types of collaborations can be win-win deals, giving artists increased exposure and restaurant chains a certain hipness. The deals have been especially helpful in reaching Gen Z consumers who are accessible through social media.

McDonald’s is rolling out yet another meal associated with popular music stars. This time, it’s the South Korean boy band BTS.Billed as a menu tour, th...

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McDonald’s to require anti-harassment training for all workers starting next year

McDonald’s announced Wednesday that it will mandate anti-harassment training for all of its employees worldwide starting in 2022. 

Over the past five years, accusations of sexual harassment at McDonald’s restaurants have poured in. Former CEO Steve Easterbrook was fired for sexual misconduct with an employee, and at least 50 workers have filed charges against McDonald’s alleging physical and verbal harassment. Some workers claimed they were retaliated against when they complained. 

Now, the company’s President and CEO Chris Kempczinski says McDonald’s will be taking steps to ensure ethical compliance across its stores. 

In an interview with the Associated Press, Kempczinski said the details of the training are still being hammered out. However, the training will be focused on values and expectations. Kempczinski expects employees to be given training when they start working for McDonald’s, and employees may be required to receive training on an annual basis. 

“It’s really important that we be very clear: A safe and respectful workplace where people feel like they’re going to be protected is critically important for our business,” Kempczinski told the AP. “It’s just what society is expecting.”

He said continuing to talk with employees about values and expectations is particularly important at places like McDonald’s because staff turnover can be high. 

“If you’re not constantly talking about values and keeping them in the fore, if you get complacent, then perhaps they’re not as obvious to people or they’re not as inspiring as they could be,” he said.

McDonald’s announced Wednesday that it will mandate anti-harassment training for all of its employees worldwide starting in 2022. Over the past five ye...

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Black franchise owner charges McDonald’s with racial discrimination

A long-time McDonald’s franchise owner who is African American has filed a lawsuit against the company, charging that it systematically kept him and other minority franchisees out of the more lucrative markets they sought.

Herb Washington, a former Major League Baseball player for the Oakland A’s, claimed in his lawsuit that McDonald’s discriminated against him and other minority owners based on race.

“In his four decades in the McDonald’s system, Mr. Washington has suffered deplorable treatment as compared with White franchisees,” the complaint alleges. “As but one example discussed below, McDonald’s purposefully steered Mr. Washington into stores in distressed, predominantly Black neighborhoods, which—as McDonald’s well knew—yield considerably less profit than stores in more affluent communities.”

Washington heads the largest black-owned franchise group in the U.S. At one time he owned 27 McDonald’s restaurants in New York, Ohio, and Pennsylvania. The suit claims that, beginning in 2017, the company began a campaign to force him to sell.

The catalyst, Washington alleges, was his public grievances about McDonald’s policies, which he claimed was retaliation for speaking about the “predatory, racially-biased steering practices” against black franchisees. 

Washington now owns 14 McDonald’s restaurants and said he was forced to sell seven stores over the last three years.

McDonald’s responds

For its part, McDonald’s accused Washington of being a poor businessman and said most of his setbacks were his own doing.

“This situation is the result of years of mismanagement by Mr. Washington, whose organization has failed to meet many of our standards on people, operations, guest satisfaction and reinvestment,” McDonald’s said in a statement. “His restaurants have a public record of these issues, including past health and sanitation concerns and some of the highest volumes of customer complaints in the country.”

Washington’s suit also blames former McDonald’s CEO Steve Easterbrook and current CEO Chris Kempczinski for allegedly fostering a hostile attitude toward black franchisees. He said the attitude spread throughout the organization.

The suit asks the court to “declare that Defendants’ acts and conduct violate federal law” and to enter a judgment in Washington’s favor, but it did not specify a number when seeking damages.

A long-time McDonald’s franchise owner who is African American has filed a lawsuit against the company, charging it systematically kept him and other minor...

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McDonald’s to introduce three new chicken sandwiches

Since the beginning of the pandemic, restaurants have generally streamlined their menus to increase efficiency during challenging times. McDonald’s is bucking that trend to start 2021 by adding three new chicken sandwiches to its lineup.

Since Popeye’s created a social media sensation in 2019 with its chicken sandwich, chicken increasingly appears to be what draws customers to fast-food restaurants. Though the pandemic is still raging, McDonald’s appears to be preparing for its end while offering up more “comfort food” to help customers get through it.

Linda VanGosen, McDonald’s vice president of menu innovation, said the new menu items are a response to customer feedback.

“We’re confident all chicken fans – from traditionalists to spice enthusiasts – will discover a new menu favorite they’ll come back for time and time again,” she said.

While it’s basically one chicken sandwich, McDonald’s says it will be available in three versions at participating locations starting Feb. 24. The three sandwiches are:

  • Crispy chicken sandwich

  • Spicy chicken sandwich, with spicy pepper sauce

  • Deluxe chicken sandwich, with lettuce, tomato, and mayo

Better chicken sandwich part of the strategy

McDonald’s has actually regained some lost ground during the pandemic, thanks to its existing drive-thru operation and quick pivot to delivery. In 2019, the company told shareholders that it needed a better chicken sandwich to win back customers.

Indeed, the entire industry appears to be in hot pursuit of chicken leader Chick-Fil-A and 2019’s sensation Popeye’s. In October, Wendy’s got a head start on McDonald’s with the rollout of its Classic Chicken Sandwich, with what it said was an improved chicken fillet.

In fact, Wendy’s announced that chicken upgrade would go into its complete line of chicken menu items. Meanwhile, KFC is said to be test marketing a new, premium chicken sandwich.

Since the beginning of the pandemic, restaurants have generally streamlined their menus to increase efficiency during challenging times. McDonald’s is buck...

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McDonald’s to roll out 10 days of free food for the holidays

McDonald’s is giving away food for the holidays. Every day from Monday, December 14, through December 24, the fast food icon is offering daily deals on menu items that feature favorite holiday characters from TV and film.

“After a year like 2020, I think we could all use some extra cheer this season,” said McDonald’s U.S. Chief Marketing Officer Morgan Flatley. 

Before you schedule a family trip to McDonald’s in hopes of taking advantage of the free feeding frenzy, you should know that each daily-promoted menu item requires a $1 minimum purchase -- and the purchases have to be made through the “deals” section of the McDonald’s app.

However, in a nod to Santa, a 2-pack/3-pack of chocolate chip cookies will be available completely free on Christmas Eve, no minimum purchase required.

The daily deals

As you’ll see, McDonald’s daily deals all have some sort of a connection to a character in a classic holiday movie or TV episode. Here’s the list: 

Dec. 14: The Griswolds, free Double Cheeseburger. Note: The company did not list any exceptions for Cousin Eddie or his “tenement on wheels,” nor did they say if Clark Griswold might be dropping by with free eggnog refills.

Dec. 15: The Abominable Snowmonster, free Big Mac

Dec. 16: Grinch, free Egg McMuffin

Dec. 17: John McClane, free McDouble. This tie-in is a bit of a stretch, but John McClane was the role Bruce Willis played in ‘Die Hard,’ which opened up with Willis traveling to Los Angeles to attend a Christmas Eve party.

Dec. 18: Rudolph, free medium Fry

Dec. 19: Gizmo, free 6-piece McNuggets. By the way, Gizmo is that furry little pet Billy’s dad gave him for Christmas in the ‘Gremlins’ movie.

Dec. 20: Buddy the Elf, free Hotcakes

Dec. 21: Scrooge, free any-size Hot or Iced Coffee

Dec. 22: Frosty the Snowman, free any size McFlurry

Dec. 23: On this day, McDonald’s is paying homage to ‘Seinfeld’s’ Frank Costanza and his idea for creating a “festivus for the rest-of-us” when he couldn’t get the doll George wanted for Christmas. As the daily freebie, customers can get a bakery item -- Apple Fritter, Cinnamon Roll, or Blueberry Muffin -- of their choice.

Dec. 24: Santa, free 2-pack or 3-pack Chocolate Chip Cookies (No minimum purchase required)

McDonald’s is giving away food for the holidays. Every day from Monday, December 14, through December 24, the fast food icon is offering daily deals on men...

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McDonald’s Happy Meals could cost more in 2021

The price of McDonald’s Happy Meals could rise in 2021 as a result of the end of a deal between the fast food giant and its franchisees. Previously, the deal subsidized the price of the toys that come with Happy Meals. 

About 95 percent of U.S. McDonald’s locations are owned and operated by independent franchisees, which are in charge of setting prices for menu items. For years, McDonald's has been giving each franchise around $300 per month to keep the cost of Happy Meals down. Without the contribution, many franchisees say they will be forced to raise the price of the popular menu item. 

The company told franchisees that it’s doing away with the subsidy because it’s "no longer fueling growth in the way it once was.” As a result, franchises have been cleared to increase the price of a Happy Meal by 20 cents starting next year if they so choose. 

The National Owners Association, a group of McDonald's franchisees, said in a team message that it "does not support, nor did we endorse" the elimination of the financial support, according to CNN Business.

"We believe the Happy Meal rebates represent a token of partnership and acknowledgment by the company that each owner [and] operator invests to drive affordable family business to our restaurants," the group said in the letter.

The price of McDonald’s Happy Meals could rise in 2021 as a result of the end of a deal between the fast food giant and its franchisees. Previously, the de...

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McDonald’s to roll out two new menu items to bolster sales

In an effort to offset the drop in sales due to the coronavirus pandemic, McDonald’s will soon introduce two new menu items. The fast-food chain has announced that it will add Spicy McNuggets and a Chips Ahoy McFlurry to its menu for a limited time starting September 16. 

“This is the first time we’ve introduced a new flavor of our classic Chicken McNuggets in the U.S. since they came to menus in 1983,” said Vice President of Menu Innovation, Linda VanGosen in a statement. “As our customers have been asking for Spicy McNuggets for some time now, we couldn’t think of a better time to bring them to our menus. We can’t wait for McNuggets fans to get a taste of these new spicy options.”

McDonald’s said the new Spicy McNuggets will be made with a tempura coating that includes cayenne and chili peppers. The nuggets will be complemented by a new “Mighty Hot Sauce,” which McDonald’s says will boast a “powerful blend of crushed red peppers and spicy chilis.”

The Chips Ahoy McFlurry, meanwhile, will include crushed cookies and caramel swirls. 

“This delicious treat features vanilla soft-serve, caramel topping and Chips Ahoy! cookie pieces blended throughout,” the company said in a statement. “The Chips Ahoy! McFlurry will be available in Snack and Regular sizes for a limited time at participating U.S. restaurants nationwide beginning September 16.” 

COVID-19 safety measures

To help customers feel safe, McDonald’s is highlighting its new COVID-19 related safety measures. The fast-food giant says it has worked with the Mayo Clinic to ensure proper sanitation protocols are followed in restaurants and at the drive-thru. 

McDonald’s is also requiring staff and all customers who enter U.S. restaurants to wear a face covering.

“While nearly 82% of our restaurants are in states or localities that require facial coverings for both crew and customers today, it’s important we protect the safety of all employees and customers,” the company said. “We cannot emphasize enough the importance of continuing to follow PPE procedures including proper mask use by crew.” 

In an effort to offset the drop in sales due to the coronavirus pandemic, McDonald’s will soon introduce two new menu items. The fast-food chain has announ...

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McDonald’s workers file class action lawsuit over coronavirus-related safety issues

McDonald's workers in Chicago filed a coronavirus-related class action lawsuit against the fast-food chain on Tuesday. The plaintiffs blame the company for forsaking its duty to adopt government safety guidelines and, as an extent of that, putting the lives of both employees and their families at risk.

The suit alleges that McDonald's failed to supply a reasonable amount of hand sanitizer, gloves, and masks to employees. Furthermore, according to Reuters, management failed to alert its staff when an employee became infected with the coronavirus.

Monetary compensation doesn't seem to be part of the lawsuit. Rather, workers are angling for a court injunction -- one that forces McDonald's not to require workers to reuse masks, to inform employees if a coworker is tested positive, and make it imperative that customers wear face coverings.

Meanwhile, in California…

In separate instances, McDonald's workers in Los Angeles, Monterey Park, and San Jose also filed reports against the company for unsafe working conditions related to the pandemic. 

The California report has a slightly different wrinkle than the Chicago one. The California workers say that CAL/OSHA failed to act on their behalf after employees filed a grievance that McDonald's mishandled safety concerns and put workers in "imminent danger."

The filing with the California Labor & Workforce Development Agency and CAL/OSHA, and served on McDonald's, gave the chain 33 days to rectify the situation. If the company fails to comply, both the state of California and the workers could sue McDonald's for each violation perpetrated against each employee.

McDonald's side of the story

Interestingly enough, McDonald's corporate office published a post called "Our Goal: Safety First on the same day the Chicago lawsuit was filed.

"We're doing our part while keeping employees and customers safe," the chain says. "Since the start of the pandemic, we have made nearly 50 process changes in our restaurants in accordance with guidance from the CDC and state and local health experts."

Contrary to what workers in both situations claim, the company-mandated changes include “providing wellness and temperature checks, masks and gloves, social distancing guidelines, increased cleanings and installing protective barriers."

"In addition, as reopening begins in states across the country, we are implementing a 59-page "playbook" that outlines the precautions we are requiring before restaurants reopen dining rooms. And we are confident that employees impacted by the virus are receiving sick pay to tend to their healthcare needs,” the company said.

McDonald's workers in Chicago filed a coronavirus-related class action lawsuit against the fast-food chain on Tuesday. The plaintiffs blame the company for...

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McDonald’s experiments with social distance dining in the Netherlands

Fast food dining rooms in most states remain closed because of the coronavirus (COVID-19) pandemic, but McDonald’s plans for the reopening may be on display in the Netherlands.

McDonald’s restaurants in that country are experimenting with designated waiting areas for customers, hand sanitizer dispensers at each entrance, and trolleys to deliver meals to diners. The company says it is looking for a way to reopen its dining areas while keeping everyone safe.

“We have tried to figure out how to keep our customers and employees safe, while maintaining a restaurant atmosphere,” McDonald’s Netherlands spokeswoman Eunice Koekkoek said in an interview with Reuters. “These are drastic changes, but we hope to make them in a way that customers don’t notice them too much.”

Restaurants and bars in the Netherlands remain under many of the restrictions found in the U.S. McDonald’s mitigation steps, if they prove successful, might be tried elsewhere, including the U.S.

McDonald’s is looking at ways it can return to some semblance of normal while making customers and associates feel safe. One thing the company is considering is a system of automated trolleys that would deliver food to tables. It’s an idea that was gaining traction well before the pandemic, as a labor-saving device.

The company said it is also considering hand-washing stations at the entrance and an employee stationed behind a plastic screen who would direct customers to their place in line.

A challenging time for restaurants

Restaurants face more challenges than most businesses in adapting to the post-pandemic world if people must be kept apart. Some restaurants have been able to keep their heads above water with their takeout and delivery business, but many are worried that prolonged social distancing will put them out of business.

McDonald’s is betting that it’s new system will make the difference, and it is prepared to implement the changes at 180 of its 252 stores in The Netherlands.

“On average this will allow us to serve around 66 percent of our normal number of customers,” Koekkoek said.

Even with the changes, Koekkeok says McDonald’s doesn’t expect to reopen its dining rooms before June. And she admits that making the changes at 180 restaurants will be a challenge. But if the changes prove effective, it’s very possible that consumers could see these adaptations in other countries in the future, including the U.S.

Fast food dining rooms in most states remain closed because of the coronavirus (COVID-19) pandemic, but McDonald’s plans for the reopening may be on displa...

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McDonald’s to give first responders and health care workers a free meal

In the midst of the coronavirus pandemic, McDonald’s is giving first responders and health care workers a free “Thank You meal.” 

To get a free meal, all workers need to do is show their work badge or be in uniform. The chain said its free meals for health industry workers are limited to one per person per day. Workers will be able to get a free meal from McDonald’s through May 5. 

"In appreciation for the healthcare workers, police officers, firefighters and paramedics who are committed to our health and safety, McDonald's will offer free Thank You Meals, between Wednesday, April 22 and Tuesday, May 5, as a token of appreciation for their selfless service," McDonald's said in a statement.

Meal options

Breakfast options are an Egg McMuffin, Chicken McGriddle, or a bacon, egg, and cheese biscuit. Each comes with a side of hash browns and a soft drink, tea, or hot coffee. 

Lunch and dinner options are a double cheeseburger, 6-piece McNuggets, or a Filet-O-Fish. Each comes with a side of small fries and a soft drink, tea, or hot coffee.

McDonald’s said the meals will be served in Happy Meal boxes “in the hopes of bringing a smile along with delicious food.” Instead of a toy, each meal will come with a “dedicated thank you note to first responders and healthcare workers, as a way to show our appreciation for everything they are doing to keep our communities safe during the COVID-19 pandemic.” 

In the midst of the coronavirus pandemic, McDonald’s is giving first responders and health care workers a free “Thank You meal.” To get a free meal, al...

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McDonald’s adds chicken sandwiches to its breakfast menu

McDonald’s doesn’t care if the chicken came before the egg or not, evidently. The fast food king has announced that it’s adding chicken sandwiches to its breakfast menu at all of its 16,000+ U.S. outlets. 

The company has been feeling the heat from Chick-Fil-A and Popeyes in regards to chicken, and Wendy’s and Dunkin’ are also both trying to elbow in on its breakfast business. 

“We’re giving our customers more of what they crave: mouthwatering chicken and breakfast options,” the company’s vice president of menu innovation, Linda VanGosen, said in a statement.

The latest breakfast additions to McDonald’s menu are Chicken McGriddles and McChicken Biscuit sandwiches. Since its foray into the breakfast market courtesy of the Egg McMuffin back in 1971, McDonald’s has done its best to fend off competitors like Taco Bell with its breakfast burritos by trying to stay ahead of the field with innovations like McGriddles and the introduction of All Day Breakfast.

Time is of the essence

In announcing the new breakfast items, McDonald’s also crowed about its improved drive-thru wait times -- a 20-second improvement in 2019. While 20 seconds may not seem like a lot, VanGossen said that the chain showed its fastest drive-thru time in two years in 2019. 

McDonald’s is lagging way behind its peers and is doing all it can to make every minute count. Dunkin’ owns the speed category and is a good minute-plus faster than McDonald’s. 

“Customers spent an average of 255 seconds from speaker to order window in 2019, about 20 seconds longer than in 2018,” noted QSR’s Rachel Pittman. “And with menus becoming more complex and lanes possibly getting more crowded with not only drive-thru customers but also those picking up mobile orders, it's going to be difficult for brands to shave off seconds moving forward.”

McDonald’s doesn’t care if the chicken came before the egg or not, evidently. The fast food king has announced that it’s adding chicken sandwiches to its b...

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McDonald’s to automate its drive-thru lanes under new tech partnership

As part of an effort to modernize its restaurants, McDonald’s will be adding artificial intelligence features to its drive-thru lanes. 

The restaurant chain announced on Tuesday that it’s acquiring tech startup Apprente, which has for the past two years been working on building a “voice-based conversational system that delivers a human-level customer service experience.” 

Applied to McDonald’s drive-thrus, Apprente’s technology -- which understands different accents and multiple languages -- could help speed up service. The fast-food chain says ramping up its digital capabilities is “fundamental” to its tech-focused growth plan, which was put in place as a way to meet “rising expectations from our customers” and to streamline the ordering process.

“Apprente’s gifted team, and the technology they have developed, will form McD Tech Labs, a new group integrated in our Global Technology team that will take our culture of innovation one step further,” McDonald’s president and CEO Steve Easterbrook in a statement. 

A more tech-focused experience 

Last year, McDonald’s unveiled its plan to incorporate more technology into its locations. The company said it planned to invest $6 billion into a modernization effort that would involve the addition of self-serve kiosks, digital menu boards, and modernized dining rooms with new furniture.

In March, McDonald’s announced that it would be purchasing a technology company called Dynamic Yield. The fast food giant said Dynamic Yield would be helping it personalize its drive-thru experience through the addition of technology. The firm’s machine learning technology gives McDonald’s menu displays the ability to change based on different factors, such as current weather or customers’ previous menu selections. 

“With this acquisition, we’re expanding both our ability to increase the role technology and data will play in our future and the speed with which we’ll be able to implement our vision of creating more personalized experiences for our customers,” Easterbrook said of the acquisition back in March.

The technology was added to more than 8,000 of the chain’s drive-thrus after the deal was struck. McDonald’s is aiming to have the technology in place at almost all of its U.S. and Australian drive-thrus by the end of 2019.

As part of an effort to modernize its restaurants, McDonald’s will be adding artificial intelligence features to its drive-thru lanes. The restaurant c...

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McDonald’s adding international menu items at U.S. restaurants

When you walk into your local McDonald’s this summer, you might be able to sample the flavors of Europe and Asia.

McDonald’s, after all, is a global company with stores in dozens of countries. And those international outlets usually serve at least one menu item unique to that country.

Starting June 5, participating U.S. McDonald’s will offer some of these international favorites, along with Big Macs and Egg McMuffins.

“We know our U.S. customers are curious about McDonald’s international menu items,” said Linda VanGosen, McDonald’s vice president of Menu Innovation. “Because we are always innovating our menu, we are thrilled to leverage our global scale and offer popular flavors from around the world next month.”  

Analysts say the initiative is a fairly easy way for the fast-food chain to capitalize on consumers’ growing interest in international foods. Even though McDonald’s has been working to streamline its menu, most of the international additions won’t require expanding the inventory of ingredients.

Dutch treat

Among the new menu items is the Stroopwafel McFlurry, which is served in McDonald’s restaurants in the Netherlands. It’s made with vanilla soft serve, a caramel swirl, and is topped off with chopped Dutch Daelmans Stroopwafel caramel waffle cookie pieces.

U.S. consumers will also be able to sample the Grand McExtreme Bacon Burger, a staple of the company’s restaurants in Spain. It’s basically a Quarter Pounder with applewood smoked bacon, a proprietary sauce, Gouda cheese, and slivered onions served on a toasted sesame seed bun.

Many U.S. McDonald’s will also serve the Tomato Mozzarella Chicken Sandwich, which comes from Canada. It’s similar to the chicken sandwich currently on U.S. menus but adds tomato & herb sauce, mozzarella cheese, onions, lettuce, and sliced Roma tomatoes served on a toasted artisan roll.

Test run in Chicago

The limited time international promotion had a test run last year when some stores imported McDonald’s Cheesy Bacon Fries from Australia.

“After such a positive customer reaction to Australia’s Cheesy Bacon Fries in the U.S., they’re taking a victory lap,” McDonald’s said in a press release.

The side is made with regular McDonald’s fries and is topped with cheddar cheese sauce and sprinkled with chopped up bacon.

McDonald’s has tried the international menu items at some stores in the Chicago market, but the company says this is the first time it’s rolled out these menu items nationwide.

When you walk into your local McDonald’s this summer, you might be able to sample the flavors of Europe and Asia.McDonald’s, after all, is a global com...

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McDonald’s to acquire tech company to personalize drive thru menu displays

As part of a larger effort to modernize its stores and better compete in the fast-food industry, McDonald’s has announced that it plans to purchase a technology company called Dynamic Yield.

The deal is valued at $300 million, people familiar with the matter told the Wall Street Journal, making it the chain’s biggest acquisition since buying Boston Market in 1999 for $173.5 million.

Dynamic Yield will help the fast-food giant personalize its drive-thru experience through the addition of technology that will enable the menu displays to change based on different factors, such as current weather. On a very hot day, for instance, the display could suggest an ice cream cone.

The technology can also display additional menu items based on customers’ selections.

“Technology is a critical element of our Velocity Growth Plan, enhancing the experience for our customers by providing greater convenience on their terms,” McDonald’s President and CEO Steve Easterbrook said in a statement.

McDonald’s said its purchase of Dynamic Yield will help promote “the continued advancement and elevation of the McDonald’s customer experience with technology and innovation.”

“With this acquisition, we’re expanding both our ability to increase the role technology and data will play in our future and the speed with which we’ll be able to implement our vision of creating more personalized experiences for our customers,” Easterbrook said.

Incorporating technology

The restaurant chain said it tested the technology in several U.S. locations last year and “will begin to roll this technology out in the Drive Thru at restaurants in the United States in 2019,” with plans to expand its use to other top international markets later.

Last August, the company detailed its plan to incorporate more technology into its locations. To increase customer convenience and boost revenue, McDonald’s said it planned to add self-serve kiosks, digital menu boards, and modernize dining rooms with new furniture.

The company has also partnered with Uber Eats to add “McDelivery” at thousands of locations. McDonald’s CFO Kevin Ozan said earlier this year that the restaurant chain wants to focus on promoting its delivery service in 2019 as he Easterbrook both view delivery as a clear growth opportunity.

As part of a larger effort to modernize its stores and better compete in the fast-food industry, McDonald’s has announced that it plans to purchase a techn...

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McDonald’s announces plan to cut antibiotic use

McDonald’s has unveiled its plans to reduce the use of antibiotics in its beef. The fast food chain said Tuesday that it will take two years to decide how much of the antibiotics that are important to human health it can cut from its beef supply.

Ultimately, McDonald’s is aiming to address concerns about the overuse of antibiotics. The World Health Organization (WHO), the FDA, and the Centers for Disease Control and Prevention (CDC) have all stated that they consider antibiotic resistance a threat to public health.

In October, a study revealed that most burger chains in the U.S. earn scores of “F” when it comes to their antibiotic policies.

Public health threat

McDonald’s now says it will take steps to “measure and understand” the use of antibiotics in 10 of its largest markets and strive to reduce their use by the end of 2020. The chain says it will begin reporting progress in achieving its goal to curb antibiotic use in 2022.

“McDonald’s iconic position and the fact that they’re the largest single global purchaser of beef make it hugely important,” said David Wallinga, a senior health adviser for the environmental group Natural Resources Defense Council.

Overuse of antibiotics in both humans and animals has been fueling antibiotic resistance and contributing to growing problems with drug-resistant "superbugs" that can't be easily treated, according to the World Health Organization.

In August, the FDA pledged to “launch some new programs” to combat the overuse of antibiotics in the meat industry.

“For all of these reasons, it’s critical that we implement good antimicrobial stewardship practices in human healthcare and veterinary settings,” the FDA’s Scott Gottlieb said. “We must continue to take new steps to slow the development of resistance and extend the usefulness of these lifesaving drugs.”

McDonald’s has unveiled its plans to reduce the use of antibiotics in its beef. The fast food chain said Tuesday that it will take two years to decide how...

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McDonald's removes artificial preservatives from its burgers

McDonald's says hamburgers served in its U.S. restaurants will not use any artificial preservatives, artificial flavors, or colors. The only exception is the pickle, which customers can skip if they prefer.

The fast food chain says it's part of its "food journey" and affects all 14,000 U.S. locations. The change affects the McDonald's hamburger, cheeseburger, double cheeseburger, McDouble, Quarter Pounder with Cheese, Double Quarter Pounder with Cheese, and Big Mac.

“From switching to 100% fresh beef in our quarter-pound burgers, cooked right when ordered, to removing artificial preservatives in our Chicken McNuggets, and committing to cage-free eggs by 2025, we have made significant strides in evolving the quality of our food,” said Chris Kempczinski, McDonald’s USA President.

“We know quality choices are important to our customers, and this latest positive change to our classic burgers demonstrates our committed journey to leading with the customer and building a better McDonald’s," Kempczinski added.

It's part of a trend driven by younger consumers, who are often more particular than their older peers about what they eat. Competitors like Panera and Chipotle Mexican Grill, even though they cost more, are valued, in part, for their natural ingredients.

So far, about two-thirds of McDonald's burgers and sandwiches are free of artificial additives, with the exception of the artificially-preserved pickle. The company said it has removed artificial preservatives from its cheese, Big Mac special sauce, and the hamburger, Quarter Pounder, and Big Mac buns.

Feeling good about food

“We understand that now more than ever, people care about their food – where it comes from, what goes into it and how it is prepared – and we are committed to make changes to our menu our guests feel good about,” said Linda VanGosen, McDonald’s vice president of Menu Innovation.

The move comes as the fast food chain has undergone something of a makeover. It has begun to renovate restaurants and install ordering kiosks that customers may use to avoid standing in line.

Once ordering, the customer can pay at the kiosk, take a number and have a seat. When it's ready, the food is brought to the table. In most fast food restaurants, the customers stand near the counter waiting for their order to be prepared.

In August, McDonald's announced it would spend $6 billion to upgrade most of its U.S. restaurants to include the ordering kiosks and take on a more modern look, in keeping with its McCafe branding.

McDonald's says hamburgers served in its U.S. restaurants will not use any artificial preservatives, artificial flavors, or colors. The only exception is t...

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McDonald’s shuts down New York restaurant following food poisoning outbreak

McDonald’s has shut down one of its locations in Jamestown, New York after 22 individuals reported becoming ill with common symptoms of food poisoning.

The customers who became ill said they had eaten various breakfast sandwiches from the establishment between August 4 and August 21, the New York Department of Health said on Thursday. Symptoms reported included nausea, vomiting, and diarrhea.

"McDonald's is fully cooperating with this investigation and is readily following all recommendations of the State and County Health Departments while this investigation continues," the agency said in a statement.

Closed for cleaning and sanitation

The owner of the franchise has temporarily closed the Jamestown, New York location to clean the food preparation area, review the food preparation process, and obtain a fresh supply of ingredients. Breakfast sandwiches from the restaurant, as well as patient samples, are en route to New York State's Public Health Laboratory in Albany for testing.

Before the location reopens, there will be a follow-up meeting with the Chautauqua County Health Department "to ensure all recommendations [are] appropriately met."

The fast food chain was recently hit with another major food poisoning outbreak linked to its salads. Consumers in 15 states reported becoming ill after eating salads from McDonald’s; at least 16 people have been hospitalized for their symptoms.

In response to the incident, McDonald’s pulled salads from the 3,000 locations. The company has since found a new lettuce-blend supplier for those restaurants.

McDonald’s has shut down one of its locations in Jamestown, New York after 22 individuals reported becoming ill with common symptoms of food poisoning....

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McDonald’s investing $6 billion on modernization of its restaurants

McDonald's and its franchisees are investing $6 billion on transforming most of its restaurants across the United States to reflect a more modern look, both inside and outside. The changes will include:

  • Remodeled counters to allow for new table service

  • Modernized dining rooms with new furniture and refreshed exterior designs

  • Digital self-order kiosks

  • New designated parking spots for curbside pickup for those who order on mobile

  • Digital menu boards inside and at the drive-thru

  • Expanded McCafé counters and larger display cases

  • Partnering with Uber Eats for "McDelivery" at 5,000 locations

Hundreds of McDonald's restaurants in every state will see these changes implemented, if they haven’t already. California will see the most restaurants upgraded with an estimated $390 million being invested in that state.

Staying relevant

McDonald's says it serves 25 million customers worldwide every day. However, while many of its classic menu items are still popular, consumers in the U.S. are increasingly seeking out healthier fare.

As a result, the company is struggling to stay relevant. To meet changing consumer preferences, McDonald’s has added kale to its salad and fresh beef has replaced frozen beef patties in Quarter Pounders.

Some stores have also introduced digital and on-demand conveniences, such as ordering kiosks, food delivery, and barista-style cafes. Although the modernization effort includes the roll-out of self-order kiosks, the changes will not result in job losses, the company said.

“There will be no loss of employment and potentially an increase” in jobs, said Clay Paschen III, a franchisee who owns 16 McDonald’s restaurants in Ventura County, Calif. and employs nearly 1,000 people.

Paschen told the Los Angeles Times that there will be some shifts in duties because “we’re bringing the employees from behind the counter out front to engage, in a more personal way, with our customers.”

McDonald's and its franchisees are investing $6 billion on transforming most of its restaurants across the United States to reflect a more modern look, bot...

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McDonald's new McGold Card contest offers winners free food for life

McDonald’s is hosting a new contest that will reward lucky winners with the McGold Card. The card is valued at $52,350 and entitles the winner to two free meals per week for 50 years. The contest starts today (August 10th) and runs through August 24th.

To enter the contest, consumers must use McDonald’s mobile ordering system. According to the contest website, users place their order on the McDonald’s app, pay using any major credit card, and once the meal has been picked up at McDonald’s, customers are automatically entered into the drawing.

Those who want to bypass the app can send an email entry to entry@amoeentry.com with the subject as the date the email is sent, and the entrant’s first and last name in the body of the email. The limit is one entry per day -- regardless of method of entry.

“One potential winner will be selected from among all eligible Entries received for the entire Entry period, in a random prize drawing on or about August 29, 2018, conducted by an independent organization selected by Sponsor. The odds of winning a prize will be determined by the number of eligible Entries received,” the contest’s official rules read.

The winner not only wins the McGold card but will also receive a custom gold-plated phone case.

Public response

Despite the contest’s intention to bring more traffic to McDonald’s mobile app, there are some that think it will end up being nothing more than a failed marketing tactic for the fast food chain.

“This is going to cost them less than one corporate Christmas party,” said Rob Frankel, a Los Angeles-based branding strategy expert. “I don’t think it’s going to do anything to encourage the app usage. You have a much better chance of winning a state lottery than picking something like this up.”

Frankel also thinks that choosing only one winner makes McDonald’s look “incredibly cheap and chintzy.”

Similar deals

Despite that criticism, McDonald’s appears to be following in the footsteps of similar contests run by both Starbucks and Taco Bell.

Starbucks recently ran a contest -- Starbucks for Life -- that ended in January. Five winners in the United States won the grand prize, which was worth $56,675 each. The winners were entitled to one free beverage or food item of their choice every day for 30 years.

Back in 2014, Taco Bell ran the Eleven Everlasting Dollars challenge, which gave customers a 1 in 2.4 billion chance of ever winning. However, 11 winners won the prize that was worth roughly $11,000 each.

McDonald’s is hosting a new contest that will reward lucky winners with the McGold Card. The card is valued at $52,350 and entitles the winner to two free...

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McDonald’s to test paper straws at some U.S. restaurants this year

After moving to paper straws instead of plastic in its locations in the UK and Ireland, McDonald's says it plans to test the use of paper straws at select U.S. locations later this year.

In March, the global fast food chain announced the phase-out of plastic straws in Europe in an effort to reduce its contribution to plastic pollution. Last month, McDonald's restaurants in the UK and Ireland began replacing plastic straws with ones made from recycled paper. It now says 100 percent of restaurants there will be using paper straws by sometime next year.

In addition to U.S. restaurants, some McDonald's locations in France, Sweden, Norway, and Australia will begin testing the use of paper straws later this year.

“McDonald’s is committed to using our scale for good and working to find sustainable solutions for plastic straws globally,” said Francesca DeBiase Executive Vice President, Global Supply Chain and Sustainability. “In addition to the exciting news from the UK today, we are testing straw alternatives in other countries to provide the best experience for our customers. We hope this work will support industry wide change and bring sustainable solutions to scale.”

Single-use plastic common at fast food restaurants

Fast food restaurants, in general, are huge users of single-use plastic. In addition to straws, a meal at a fast food restaurant might be served on a plastic plate, with a plastic top, with plastic utensils, wrapped in plastic.

It's bad enough that plastic tossed into landfills never degrades, but billions of tons of plastic have ended up in the world's oceans over the years. Straws are but a small part of plastic pollution, but they have garnered most of the attention in recent months.

Malibu, Calif., and a few other cities, have already banned the use of plastic straws at restaurants. The New York City Council is currently considering a similar proposal.

For its part, McDonald's say it is committed to tackling the issue, beginning with straws.

Straws only by request

"In addition to testing alternative materials, in several markets including Malaysia, we will begin tests to offer straws upon request only," the company said in a release. "We are eager to learn from these tests around the world to develop solutions that are scalable across the globe."

The company has set a goal of sourcing 100 percent of its food packaging from renewable or recycled sources in all of its locations by 2025.

After moving to paper straws instead of plastic in its locations in the UK and Ireland, McDonald's says it plans to test the use of paper straws at select...

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McDonald’s increases its investment in employee education

McDonald’s has announced that it will invest an additional $150 million into its tuition assistance program for employees over the next five years.

The fast food giant’s Archways to Opportunity program was started in 2015 and has since provided college tuition assistance to over 16,400 employees.

In addition to investing more in the program, the company is lowering eligibility requirements from nine months to 90 days of employment and weekly shift minimums from 20 hours to 15 hours.

Accelerated by tax law changes

The new eligibility requirements -- which go into effect on May 1 -- will give up to 40,000 more restaurant employees access to the tuition assistance program. Eligible restaurant employees will have access to $2,500 a year and managers will have access to $3,000 a year.

The company says its decision to bolster its educational program was based on the Tax Cuts and Jobs Act of 2017, which lowered the corporate tax rate from 35 percent to 21 percent.

“Our commitment to education reinforces our ongoing support of the people who play a crucial role in our journey to build a better McDonald’s,” said Steve Easterbrook, McDonald’s President and CEO, in a statement.

“By offering restaurant employees more opportunities to further their education and pursue their career aspirations, we are helping them find their full potential, whether that’s at McDonald’s or elsewhere.”

Employees can apply their tuition assistance to either a trade school, community college, or a traditional four-year college.

McDonald’s has announced that it will invest an additional $150 million into its tuition assistance program for employees over the next five years.The...

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McDonald’s flips its golden arches to celebrate women

In celebration of International Women’s Day (Mar. 8), McDonald’s decided to flip its trademark golden arches upside down. The fast food chain changed its logo from a golden “M” into a golden “W” at one of its California locations “in celebration of women everywhere.”

Additionally, McDonalds will flip its logo upside on all of its social media channels, and 100 McDonald's locations across the country will have special “packaging, crew shirts and hats and bag stuffers.”

"For the first time in our brand history, we flipped our iconic arches," McDonald's Chief Diversity Officer Wendy Lewis said in a statement. "From restaurant crew and management to our C-suite of senior leadership, women play invaluable roles at all levels and together with our independent franchise owners we're committed to their success."

Social media backlash

Although the move was intended to honor “the extraordinary accomplishments of women everywhere,” some consumers took to social media to point out the implications of flipping the “M.”

“Now that it was inverted to make a ‘W’ for women, reversing it will make it an ‘M’ for men. Forever,” said one Twitter user.

Others said McDonald’s should prove that it honors and celebrates women by paying its staff more.

“You could also provide livable wages, better benefits, equal pay, legitimate career paths for the future, paid maternity leave…Or you can flip a logo upside down that works too,” another user quipped.

In celebration of International Women’s Day (Mar. 8), McDonald’s decided to flip its trademark golden arches upside down. The fast food chain changed its l...

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McDonald's rolls out fresh beef in select burgers

In another sign that the burger war is heating up, McDonald's is launching the use of fresh ground beef in its Quarter Pounders and other signature sandwiches. Fresh beef is already being used in about 3,500 U.S. restaurants. The chain plans to extend that to 14,000 locations within the next two months.

Competing hamburger chain Wendy's has advertised the fact that its ground beef is "fresh and never frozen," comparing itself to an unnamed hamburger chain that uses frozen patties.

McDonald's USA CEO Chris Kempczinski says the move to fresh ground beef is part of what he calls a "food journey," noting the fast food chain has made a number of important changes in recent years -- committing to only sourcing cage-free eggs by 2025 in the U.S. and serving chicken not treated with antibiotics important to human medicine.

“The switch to fresh beef quarter-pound burgers is the most significant change to our system and restaurant operations since All Day Breakfast,” Kempczinski said. “Over the past two years, we have been listening to our customers and evolving our business to build a better McDonald’s. We are proud to bring our customers a hotter and juicier quarter-pound burger at the speed and convenience they expect from us.”

A year in the making

McDonald's announced the transition a year ago and began test marketing the concept in a number of markets. It said customer response was particularly strong in Dallas and Tulsa. The company expects the national rollout, which excludes Alaska and Hawaii, to give it an advantage in reaching consumers who want quality as well as value.

The decision coincides with other major changes at the fast food chain, which has remodeled restaurants using a sleek, modern design, installed ordering kiosks, and implemented limited table service, along the lines of more upscale chains like Panera Bread.

According to CNBC, the transition to fresh beef could help McDonald's speed up its service. It notes that a fresh patty can cook up to 40 seconds faster than a frozen one, helping to move cars through the drive-thru line a little faster.

With the move to fresh beef, McDonald's is also introducing a new menu item -- the Galic White Cheddar sandwich, made with either fresh beef or chicken.

In another sign that the burger war is heating up, McDonald's is launching the use of fresh ground beef in its Quarter Pounders and other signature sandwic...

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Researchers: chemical used to make McDonald's french fries may cure baldness

Scientists in Japan say a chemical used to make McDonald's french fries might be effective at reversing baldness.

The researchers tried using the chemical, called dimethylpolysiloxane, in experiments on mice and found that it helped regrow hair. They say they are hopeful that it will also work on humans.

Hair loss affects tens of millions of people around the world, and not just men. It most often occurs with aging, but some men begin losing their hair at an early age.

In recent years clinicians have developed therapies to regenerate hair follicles, which are necessary for the growth and maintenance of hair. One difficulty is preparing hair follicle germs on a large scale.

Writing in the journal Biomaterials, researchers at Yokohama National University report they have successfully prepared up to 5,000 hair follicle germs (HFGs) simultaneously. They say they were able to grow new hair after transplanting them into mice.

Successful experiment

"The key for the mass production of HFGs was a choice of substrate materials for culture vessel," said corresponding author Junji Fukuda, a professor at Yokohama National University. "We used oxygen-permeable dimethylpolysiloxane (PDMS) at the bottom of the culture vessel, and it worked very well."

Admittedly, dimethylpolysiloxane is not exactly a household name. It was the British newspaper Evening Standard that made the connection to McDonald's fries.

The newspaper notes that dimethylpolysiloxane is found in silicone and that silicone is usually added to the oil McDonald's uses to make its fries golden brown without the oil bubbling over.

You can't eat your way to a full head of hair

However, it should be noted there is nothing in the research to suggest that eating french fries will help you retain a full head of hair. The chemical must be directly applied to the follicle in a specific therapy.

Still, Fukuda is hopeful that his research team has found an answer that has eluded the bald population for centuries. He calls the method simple but promising and is eager to begin human trials.

Scientists in Japan say a chemical used to make McDonald's french fries might be effective at reversing baldness.The researchers tried using the chemic...

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McDonald's to use fresh beef over frozen patties by mid-2018

McDonald’s has been attempting to go back to the basics to rework its fast food image. Earlier this month, the company announced that it would be catering to existing customers by focusing on hamburger sales, instead of selling wraps and other healthier products to draw in new customers.

Now the chain is doubling down on its burger approach. In an announcement made Thursday, the company said that it would be transitioning from using frozen patties to fresh beef in the majority of its restaurants by mid-2018. The change will augment other modernization efforts, such as using ordering kiosks and providing mobile payment options.

“Today’s announcement is part of a continuing food journey for McDonald’s,” said McDonald’s U.S. President Chris Kempczinski.

Fresh beef

This isn’t the first time that McDonald’s has talked about using fresh beef to make its burgers. About a year ago, the company started testing the idea in 14 restaurants in the Dallas area, saying that if consumers liked it then they would consider rolling it out nationally.

That program eventually expanded to hundreds of restaurants in the Dallas area, and consumers were happy to see that the change did not overly affect prices, according to the New York Times. While McDonald’s spokeswoman Becca Hary pointed out that prices will ultimately be set by franchise owners, she stated that the company did not expect consumers to feel much burden.

“We do not anticipate there will be any significant impact on price when this sandwich rolls out nationally,” she said.

Catering to customers

While they may be responsible for setting future prices, some franchise owners have expressed concerns about switching from frozen patties. They point out that freezing their product is a good way of killing pathogens like E. coli, and that using fresh beef increases the risk of possible contamination.

Despite that risk, McDonald’s seems to be running with its new identity of giving the customers what they want. Hary said that if the fresh beef change goes well, then changes to other items could be just around the corner.

“[McDonald’s will] continue to look at the rest of the menu based on what the customers are asking for,” she said. 

McDonald’s has been attempting to go back to the basics to rework its fast food image. Earlier this month, the company announced that it would be catering...

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McDonald's to drop beverage prices starting in April

McDonald’s has tried out several initiatives in the past year or so in the hopes of drawing in more customers.

The company has experimented with opening its breakfast menu all day, using fresh ground beef for its burgers in select markets, creating a breakfast happy meal, and installing smart menu boards and other modern conveniences. Despite all that, though, the Golden Arches and the rest of the fast food industry continues to show anemic growth.

However, not to be deterred, McDonald’s is now offering a new deal to once again attract consumers. Bloomberg reports that the chain will be offering discounts on beverage options nationwide. Starting in April, customers will be able to buy a soda of any size for $1 and any McCafe specialty drink for $2.

Declining demand

Adam Salgado, McDonald’s Vice President of U.S. marketing, says the deal will add “another layer of great value for customers with more choices,” and will appeal to those who are looking for a good deal.

“We know that there are budget-conscious consumers out there. Value will always be a part of our strategy,” he said.

Analysts have pointed out that maximizing revenue on drinks could be a smart move to help the bottom line, since drinks generally have higher profit margins than food items. However, customers in some markets will be able to take advantage of some noticeable price changes resulting from the decision. For example, Bloomberg points out that customers in Chicago may save over a dollar on certain McCafe frappes.

Though the move is meant to attract more customers, analysts point out that demand for fast food has been pretty weak lately. McDonald’s led the industry last year and increased its revenue by 2.4%, but experts expect that number to decline to 1.5% this year.

McDonald’s has tried out several initiatives in the past year or so in the hopes of drawing in more customers.The company has experimented with opening...

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McDonald's outlines plans to modernize

McDonald's executives have outlined sweeping changes planned for the fast food franchise, designed to reduce staffing needs while streamlining and modernizing the operation.

At press briefings in New York and Los Angeles, McDonald's said it is adding ordering kiosks to restaurants, installing “smart” menu boards, implementing mobile payments capabilities to its app, and will begin offering custom sandwiches and table service.

The moves are designed to update McDonald's business model, along the lines of Panera Bread and Chick-Fil-A, both of which now bring food to customers' tables after they order.

Reuters reports that about 500 of McDonald's 14,000 restaurants in the U.S. have already made some of the changes – notably stores in New York, Florida, and California. The company stopped short of giving a time frame for the changes to be implemented, but said outlets in Chicago, Boston, Seattle, and San Francisco are next on the list.

Mobile roll-out in 2017

Mobile ordering will be a pilot project in the first half of next year in select markets, with a full national roll-out anticipated in the second half of 2017.

The ordering kiosks, which are estimated to cost franchisees as much as $60,000, will likely reduce the number of employees a McDonald's restaurant will need to operate. The company has borne the brunt of labor pressure to increase the hourly wage of fast-food workers.

As we reported earlier this year, McDonald's franchises have been experimenting with changes that the company may or may not have been considering for incorporation into its system. A Missouri franchise owner built a 6,500 square foot store and outfitted it with upholstered furniture. Interestingly, he also experimented with all-you-can-eat French fries. At the time, it suggested the 61-year old company is open to new ideas.

Not a new idea

As for ordering kiosks, this is hardly a new idea for the golden arches. In early 2015, McDonald's told financial analysts that ordering kiosks were on the way. Other quick serve restaurants have successfully used these kiosks, and McDonald's may be looking at them as a way to deal with the pressure to increase employee wages.

Part of the pressure to raise wages likely stems from recent structural changes in the economy. Many fast food restaurants created jobs designed to be filled by teenagers living at home.

But because so many jobs have recently disappeared from the economy, that's not always who's standing behind the counter these days.

McDonald's executives have outlined sweeping changes planned for the fast food franchise, designed to reduce staffing needs while streamlining and moderniz...

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McDonald's gets rare praise from Consumers Union

It's not often that Consumers Union praises a fast food company, but the policy and advocacy division of Consumer Reports says McDonald's deserves a pat on the back for meeting its pledge to stop selling chicken that had been given medically important antibiotics.

In fact, the group says the fast food company met its commitment sooner than it had promised.

In praising McDonald's, Consumers Union called on Yum Brands to take the same step, demanding that meat and poultry suppliers limit or discontinue antibiotics use. It says the Centers for Disease Control and Prevention (CDC) has warned that too much use of antibiotics makes the drugs less effective against bacteria.

'Reckless overuse'

“The reckless overuse of these critical medications on healthy livestock is contributing to our antibiotics resistance crisis,” said Jean Halloran, Director of Food Policy Initiatives for Consumers Union.

She said McDonald’s has proven that it’s possible to eliminate antibiotic use on a large scale without affecting supply.

“We urge Kentucky Fried Chicken and other fast food restaurants to follow McDonald’s lead and make the same commitment to public health,” she said.

McDonald’s is several months ahead of schedule. When it announced it would phase out antibiotics in its chicken, it promised to do so by March 2017. Chik-fil-A, which sells more chicken than any fast food chain, says it will stop sales of poultry raised on antibiotics by 2019.

Animals given 80% of U.S. antibiotics

Consumers Union says about 80% of all the antibiotics used in the U.S. are not consumed by humans but by animals. The drugs are used to make the animals grow faster, and also to help keep them free of disease. When humans consume the meat, they're getting some of the antibiotics.

The CDC is leading efforts to reduce the use of antibiotics, both by prescription and in livestock. The health agency says at least two million people a year in the U.S. become infected with bacteria that are resistant to antibiotics. Of those, it says at some 23,000 people die.

It's not often that Consumers Union praises a fast food company, but the policy and advocacy division of Consumer Reports says McDonald's deserves a pat on...

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McDonald's decides to phase out wraps

There are a couple of strategies that most fast food places use in order to stay relevant and in the consumer eye. One, obviously, is to offer rock bottom prices that attract consumers who are looking for a deal. Another is to create a new menu item or offer that appeals to a certain consumer group that the company is looking to tap into.

Unfortunately, it seems that the second strategy didn’t exactly pay off for McDonald’s. According to a Bloomberg report, the company is choosing to take wraps off its menu, an item that was meant to attract younger, healthier eaters.

Wraps come up short

Millennials are becoming a big part of the consumer base, so it only makes sense that companies would want to try and tailor their business models to draw them in. For McDonald’s, this meant the introduction of its Premium McWraps in 2013; the new items had few calories than the franchise’s iconic burgers and were viewed as a healthier alternative.

Unfortunately, the wraps ended up being something of a flop, according to Jack Russo, an analyst for Edward Jones. Putting them together proved to be time consuming for McDonald’s employees, and consumers never really seemed to latch onto them, perhaps just because the items were just not what they were looking for.

“A lot of people who eat at restaurants aren’t interested in health and wellness. . . You’ve got to give the people what they want,” said Russo.

Looking forward

So, as a result, McDonald’s has begun phasing out wraps from the vast majority of its 14,000 U.S. locations, including both the large and snack-sized options. Some establishments may be holding on to certain varieties of wraps, such as the chicken ranch snack wrap, but consumers will find it increasingly difficult to find.

Don’t fret too much about McDonald’s well-being, though. The company’s latest promotion of offering all-day breakfast has proven to be a hit with consumers and has been a chief reason for stopping the franchise’s seven-quarter U.S. sales slump. Still, executives at the company may still be looking for a new menu item that will propel them into the future.

“We need something that’s really got some juice to it – something that really can bring some excitement again,” said Russo.

There are a couple of strategies that most fast food places use in order to stay relevant and in the consumer eye. One, obviously, is to offer rock bottom ...

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Consumers and franchise owners have opposite views of McDonald's

Two surveys conducted independently reveal starkly different feelings about McDonald's. One sampled consumer sentiment – the other the feelings of McDonald's franchise operators.

If you guessed that consumers have the negative view and operators the bullish outlook, you would be wrong.

According to the YouGov BrandIndex, McDonald's all-day breakfast, which debuted October 6, is a hit with consumers. The fast food chain has seen the biggest improvement in customer satisfaction among frequent breakfast diners over the past 90 days. McDonald's raised its satisfaction scores approximately seven percentage points from 15 to 22, on a scale from -100 to 100, with zero being neutral.

The survey found 42% of consumers who frequently eat breakfast at fast food restaurants would consider eating at McDonald's the next time they eat breakfast out. That's second behind Subway's 48% and well ahead of Taco Bell, which has made a major breakfast marketing push lately.

Stock soars

Wall Street is also pleased with what new CEO Steve Easterbrook has been doing lately. McDonald's stock is over $103, the highest level in years.

But the second survey may show the company faces some challenges. In fact, it prompted a headline writer for the Daily Mail to write “Is this the beginning of the end for McDonald's?”

The survey is the work of Wall Street analyst Mark Kalinowski, who questioned 29 franchise owners who operate 226 McDonald's restaurants. Admittedly, it's a small sample of the 14,000 McDonald's locations.

But Kalinowski found the overwhelming majority of the owners he surveyed had a negative view – not just of all-day breakfast, which one called “a disaster” – but of the company's future.

Klinowski says one pessimistic operator suggested McDonald's was in its “final days” and that the brand as a whole was in a “deep depression.”

“Seeds of our demise”

Another unhappy franchise owner estimated that 30% of franchise operators are insolvent. Another accused Easterbrook of sowing the “seeds of our demise. We are a quick-serve fast-food restaurant, not a fast casual like Five Guys or Chipotle. The system may be facing its final days,” the operator wrote.

Another franchise owner said “the lack of leadership is frightening.” Some said the company has not addressed the issue of food quality and customer service, and instead has burdened franchises with all-day breakfast while not acting on promises to streamline the menu.

Klinowski quotes one franchisee as saying “we continue to jump from one failed initiative to another.”

The analyst says several franchise owners said the all-day breakfast has slowed down service while causing chaos in the kitchens.

In short, they're not lovin' it.

Two surveys conducted independently reveal starkly different feelings about McDonald's. One sampled consumer sentiment – the other the feelings of McDonald...

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McDonald’s switching to cage-free eggs

There is little question that younger consumers have strong feelings about the food they eat. They tend to be as concerned with how it's produced as how it tastes.

Some manufacturers and restaurant chains have been able to profit from this trend by adapting to Millennials' value and preferences. McDonald’s, because of its vast scale, has had more difficulty.

But the fast food giant is signaling that it “gets it,” announcing that it will fully transition to cage-free eggs for its nearly 16,000 restaurants in the U.S. and Canada over the next 10 years.

Where food comes from

“Our customers are increasingly interested in knowing more about their food and where it comes from,” said McDonald’s USA President Mike Andres. “Our decision to source only cage-free eggs reinforces the focus we place on food quality and our menu to meet and exceed our customers’ expectations.”

Small chains and independent restaurants have won youthful followings in recent years by stressing “fresh” and “locally sourced” food. McDonald’s, with thousands of restaurants around the world and a vast supply chain, has sometimes found implementing those concepts challenging.

Additionally, McDonald’s built its empire at a time when different food values prevailed. Much of McDonald’s success was because it was convenient, affordable and predictable. Also, kids loved going there.

But in the age of childhood obesity, McDonald’s has been forced to dial back its appeal to children. Sales slumped and its stock price suffered.

New direction

In March, McDonald's took a step in a different direction when it announced that it would stop using chickens treated with antibiotics that are also used to treat humans. Some activist groups reflexively critical of the company expressed skepticism, but The New York Times noted that McDonald's is one of the largest buyers of chicken in the U.S., and the decision would likely have a major impact on how poultry is raised.

This time, there may be fewer skeptics.

“This is a watershed moment in a decades-long effort to eliminate the cruelest confinement from our food supply,” said Humane Society of the United States (HSUS) president and CEO Wayne Pacelle, in a statement emailed to ConsumerAffairs. “McDonald’s admirable move makes clear that egg productions’ future is cage-free.”

That's because McDonald's scale is huge. On an annual basis, U.S. stores use approximately two billion eggs and McDonald’s Canada purchases 120 million eggs to serve on its breakfast menus.

McDonald's also took pains to point out that it already sources some of its eggs from cage-free suppliers, pointing out for good measure that one supplier – Herbruck’s Poultry Ranch in Michigan – is “family owned,” another trait prized by Millennial consumers.

Marion Gross, senior vice president and Chief Supply Chain Officer of McDonald’s North America, says the company has been working toward going 100% cage-free for some time, calling the latest announcement a big milestone “building on our work with industry experts and suppliers to improve the treatment of animals.”

There is little question that younger consumers have strong feelings about the food they eat. They tend to be as concerned with how it's produced as how it...

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America has a growing appetite for burgers

Despite recent trends toward healthier foods, U.S. consumers still love hamburgers. A large beef patty piled high with garnish and condiments has never fallen out of favor. In fact, its popularity may be growing.

That fact was underscored this week when Shake Shack, a small chain featuring gourmet burgers and thick, creamy milk shakes, surprised Wall Street with blowout earnings.

The New York based firm, which enjoys a “health halo” among foodies who value its antibiotic-free beef but overlook the massive calories, reported sales jumped nearly 13% in the second quarter. Analysts were looking for an 8.6% rise.

Shake Shack vs. McDonald's

Shake Shack is immensely popular with hip, urban consumers whereas McDonald's, the long-time fast food burger champion, is not. McDonald's has struggled in recent years as it has tried to add healthier fare to its menu and removed some of the lower-priced “value” items that many of its customers like.

But there is evidence that McDonald's is ready to up its game in the burger wars. This week, Wall Street trader Tim Seymour, a regular on the CNBC program Fast Money, filed this video report from a Manhattan McDonald's location that is experimenting with a customizable gourmet burger.

Using a touchscreen kiosk, Seymour was able to create a burger to his liking, including being able to select the type of bun and gourmet condiments he wanted. The kiosks are being added to select McDonald's locations in the roll out of what the company calls the“Create Your Taste” burger.

Game changer

By the time Seymour had created his burger, his custom toppings had pushed the price up to $10, but he seemed to be satisfied. He called the “Create Your Taste” a “game-changer” for the iconic burger franchise.

Technomic's latest Burger Consumer Trend Report says 57% of consumers eat a burger at least once a week. It notes that all burger restaurants, not just those offering high-end, gourmet burgers, are prospering in spite of health concerns and rising beef prices.

"Utilizing value beef cuts and incorporating non-beef proteins can help lower costs and broaden the range of needs burgers can satisfy," said Sara Monnette, Technomic vice president. "Specialty ingredients like pretzel buns can enhance the value perception, and unique toppings and sauces, stuffed patties, and premium sides can add to craveability and brand differentiation."

The report, based on interviews with more than 1,500 consumers and restaurant operators, suggests McDonald's might be on the right track with its “Create Your Taste” feature. It found 61% of consumers think it is important to be able to customize the toppings and condiments, with 43% prioritizing build-your-own burgers.

On a weekly basis, 39% of consumers get their burgers from fast-food restaurants and 39% make them at home.

Despite recent trends toward healthier foods, U.S. consumers still love hamburgers. A large beef patty piled high with garnish and condiments has never fal...

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Everyone loves to hate this embarrassing McDonald's ad campaign

McDonald's wants you to know that, despite preliminary reports suggesting the hamburger chain would supplement its decade-old ad slogan “I'm lovin' it” with the complementary slogan “Lovin' beats hatin',” the company is not – repeat, not – actually planning to adopt “Lovin' beats hatin'” as its new slogan.

Instead, the new slogan is to be “Lovin' is greater than hatin',” also spelled out mathematically as “Lovin' > Hatin'.”

The Wall Street Journal blog first reported the incorrect “Lovin' beats hatin'” rumor last week, but only yesterday did BurgerBusiness.com discover that the actual intended catchphrase is slightly different: last week, McDonald's filed U.S. federal trademark registrations for “Lovin' is greater than hatin'” and “Lovin' > hatin'.”

Overwhelmingly negative

In other news, American students continue to score below the worldwide average on mathematics proficiency tests. So maybe McDonald's could promote its new campaign as an attempt to increase kids' familiarity with mathy concepts, but at what cost to proper writing skills?

Of course, it might not actually matter. Given the overwhelmingly negative response to both reported ad campaigns, and given also that the theoretical purpose of advertising is supposed to be “Make people like your company enough to spend money there,” McDonald's might eventually decide to abandon the campaign after all. Advertising professionals must surely know it doesn't bode well for any promotional campaign, when a search for the slogan on Twitter brings up typical remarks like this:

.@McDonalds's new "Lovin' > Hatin'" slogan to reach Millennials might as well be "I'm a cool mom, right?!

McDonald's wants you to know that, despite preliminary reports suggesting the hamburger chain would supplement its decade-old ad slogan “I'm lovin' it” wit...

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Study suggests fast food ads hide healthy food choices

It isn't enough for fast food restaurants to offer healthier fare for children. They have to present the healthier food in ways that kids can recognize it.

So says a new study by researchers at the Dartmouth Hitchcock Norris Cotton Cancer Center. The study gathered a group of kids, age 3 to 7, and showed them screen grabs from a number of fast food TV commercials.

The commercials for McDonald's and Burger King promoted kids' meals that included healthier contents -- things like milk and apple slices.

Not sure what they're seeing

But the researchers discovered that was completely lost on many of the children viewing the advertising images. Some were unable to recognize the milk in the McDonald's ad.

Others consistently misidentified the apple slices in the Burger King ad as French Fries, as graphically illustrated in the video below.

The reason for the children's confusion is understood when you look closely at the apple slices container. While it bears the picture of an apple, it is nearly identical to the container traditionally used for fries. The point is driven home by the last child in the video, who identifies it as “French fries in an apple bag.”

Trying to be helpful?

But maybe the fast food companies consciously designed the apple slices to look like fries to make them more palatable to children. After all, kids like fries – maybe they'll like apple slices if they look like fries.

The study's authors aren't buying it.

"Burger King's depiction of apple slices as ‘Fresh Apple Fries' was misleading to children in the target age range," said Norris Cotton's James Sargent, MD, the principal investigator for the study. "The advertisement would be deceptive by industry standards, yet their self-regulation bodies took no action to address the misleading depiction."

Push for healthier food

Both McDonald's and Burger King have offered healthier food choices in kids meals since 2010 amid pressure to take steps to help reduce child obesity. The researchers began studying the television ads for those products that same year.

They say that of four four healthy foods depicted in the ads, only McDonald's apple slices were recognized as an apple product by a large majority of the target audience. The other three depictions, they say, were poorly communicated.

Fast food companies might react to this criticism with an air of exasperation. After all, they've altered their menus to offer children a healthier choice and promised to de-emphasize toy giveaways, long a staple of marketing to children.

But Sargent and his colleague say children need to be aware of the choices, and pictures of apple slices that are confused with French fries don't help.

"The fast food industry spends somewhere between $100 to 200 million dollars a year on advertising to children, ads that aim to develop brand awareness and preferences in children who can't even read or write, much less think critically about what is being presented," Sargent said.

Self regulation

A 2013 study funded by the Robert Wood Johnson Foundation, which also funded this most recent research, was sharply critical of the industry's voluntary approach to advertising regulation. The Children's Food and Beverage Advertising Initiative (CFBAI), formed in 2006, is a voluntary program run by the Better Business Bureau.

CFBAI includes 17 food and beverage companies that have promised to devote all of their child-directed advertising to healthier foods and lifestyles.

The study, however, found that fast-food restaurants tended to emphasize toy giveaways and movie promotions when marketing to kids on TV, a move counter to the industry's promise.

It isn't enough for fast food restaurants to offer healthier fare for children. They have to present the healthier food in ways that kids can recognize it....

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Big changes under the Golden Arches

Change is coming to McDonaldland. Last month, when we mentioned McDonald’s then-new plan to pass out self-published pro-nutrition kids’ books with its Happy Meals, we were rather skeptical of the idea that the program would prove successful.

But successful or not, it didn’t last long. Now, barely more than a month later, McDonald’s is unrolling another new Happy Meal promotion: NFL-themed toys to tie in with the children’s Rush Zone show on Nickelodeon, in addition to McDonald’s status as the NFL’s “official restaurant sponsor.”

The company is also investing an additional $3 billion (that’s “billion” with a “B”) to remodel its famous Golden Arches – or, rather, to remodel the restaurants which bear them. 

The scheduled enhancements are to include extra drive-thru windows (a “Fast Forward Drive-Thru,” where customers can go if their order isn’t ready by the time they reach the regular pickup window).

McDonald’s is also branching out into the grocery-store-coffee business; AdAge reported the company’s intention to start selling its McCafe coffee in grocery stores next year.

AdAge quoted a McDonald’s executive who noted that 70 percent of American coffee consumption is at home, yet the chief purpose of the grocery store sales is supposed to be the creation of “greater awareness and [to] sell more coffee in our restaurants.” To that end, the company has also admitted that its customer service record needs improvement, especially when handling lunchtime crowds.

So, to recap the week in McDonald’s improvisations: more coffee sales, hopefully faster coffee sales, football-themed kids’ toys and a third drive-thru window called “Fast Forward” where customers go to wait when the first two drive-thru windows haven’t finished filling their orders yet. We’re assuming they still sell burgers and fries, too.

Change is coming to McDonaldland. Last month, when we mentioned McDonald’s then-new plan to pass out self-published pro-nutrition kids’ books w...

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McDonald's to give away kids' books with Happy Meals

Since our name is Consumer Affairs rather than Corporate Affairs, we generally focus on offering [hopefully] useful advice to consumers, and let the marketing departments of wealthy multinational corporations fend for themselves.

But today we’ll make an exception just long enough to advise McDonald’s: “Your attempts to sell yourselves as the go-to place for health-enhancing, educational kidstuff are getting embarrassing.”

Get this: a couple weeks ago, McDonald’s announced that it would stop advertising soda as the default drink option for children’s Happy Meals. Instead, it would try pushing milk, water or juice alongside a new marketing campaign to include “packaging innovations and designs to generate excitement for fruit, vegetable, low/reduced-fat dairy, or water options for kids.”

That, presumably, has something to do with this week’s announcement that McDonald’s will start handing out children’s books along with its Happy Meals.

This won’t be the first time McDonald’s has used books as Happy Meal promotions. In the early 1980s they gave out Little Golden Books, fun titles like Tom and Jerry’s Party and The Monster at the End of this Book. We actually had some of these books as children, and remember them being extremely funny by childish preschool standards—though we’ll admit that, for parents, the books probably lose their allure around the 357th or 358th time your kid demands you read them.

Fortunately, that shouldn’t be a problem with the latest round of Happy Meal book offerings. Rather than already-popular children’s stories, this time McDonald’s will offer self-published books emphasizing the importance of good nutrition.

Here’s what Ad Age had to say about them:

One book, "The Goat Who Ate Everything," is about a goat who has a big appetite and struggles to eat well but eventually learns to eat smart. Another, "Deana's Big Dreams," shows how Deana, the world's smallest dinosaur, grew tall by eating well.

Consumers rate McDonalds
Sigh. Healthy eating is genuinely important—you’ll never catch us speaking against a diet rich in healthful fruits and vegetables—but we still believe “Eating healthy doesn’t mean everything you eat has to be Healthy with a capital H,” just being well-educated doesn’t mean everything you read has to be Educational with a capital E.

Maybe McDonald’s would be better off reprising its early-1970s “You deserve a break today” campaign and aiming it at kids, who already have their parents, teachers, school cafeteria billboards and First Lady Michelle Obama constantly reminding them to eat right and worry about getting fat. Sometimes kids deserve a break, too.

Since our name is Consumer Affairs rather than Corporate Affairs, we generally focus on offering [hopefully] useful advice to consumers, and let the market...

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McDonald's strips sodas from Happy Meals

Pre-emptive disclaimer: It’s very very important to eat a healthy, balanced diet containing all necessary vitamins, minerals, simple and complex proteins, sufficient levels of dietary fiber, and other nutritional stuff. Our own personal kitchen is chock-full of healthy ingredients used to cook healthy meals eaten in accordance with a healthy lifestyle. There’s also a big bag of jellybeans, and we’re eating some even as we type this.

Flavored sugar is all they are, with nary a vitamin or mineral to be found in them, and if we tried subsisting on an all-jellybean diet we’d surely develop horrible health problems before too long. But we’re not going to do that; we eat a generally healthy diet, and know that “eating healthy” doesn’t mean “everything you eat has to be Healthy with a capital H.”  So in general, we eat balanced, nutritious meals consisting of capital-H Healthy stuff — and sometimes we indulge on jellybeans, ice cream or greasy, salty fast food.

Meanwhile, McDonald’s is trying to add more capital-H foods to its menu while reducing the number of indulgence products it offers. That’s why it publicly announced its new intention to stop listing soda as a beverage offering on its Happy Meal menu.

Instead, store menus will offer water, milk and juice, and Happy Meals and other foods will feature “packaging innovations and designs to generate excitement for fruit, vegetable, low/reduced-fat dairy, or water options for kids.”

Humans in general — and children in particular — evolved to crave fat and sugar when we were still hunter-gatherers roaming the prehistoric African savannas. Fatty, sugary foods are extremely rare in the wild, and craving these rare, high-energy, high-calorie foodstuffs (along with our ability to turn excess calories into body fat), helped our ancient ancestors survive the epochs when food shortages were a constant threat.

Blame industrial farming

Only in the modern era of industrial-scale farming and food production has the average person needed to worry that their diet might contain too much fat or sugar, or too many calories; for most of our time on Earth, humanity’s main dietary problem was getting too littleof these things.

So, anyway, if McDonald’s thinks a marketing campaign can undo five billion years of evolutionary development and make kids crave water and vegetables in lieu of fatty, sugary yum-yums when they’re in the mood for a treat, we wish McDonald’s the very best of luck.

When AdAge wrote about the new McDonald’s soda-downplaying initiative, it quoted a spokeswoman from the Center for Science in the Public Interest who said “Getting soda out of Happy Meals is historic progress that should immediately be adopted by Burger King, Wendy's, and other chains. Soda and other sugar drinks are leading promoters of obesity and diabetes and one day it will seem crazy that restaurants ever made this junk the default beverage for kids.”

Perhaps. Or perhaps one day it will seem crazy that a grown adult makes no distinction between “drinking soda” and “drinking nothing but soda.” It’s just like jellybeans: neither is a capital-H Healthy food, but both can certainly exist in a healthy diet.

Of course, the CSPI has been opposed to McDonald’s and other fast-food outlets for a long time. In 2010, it tried (unsuccessfully) to sue the company and force it to stop handing out toys along with its Happy Meals.  CSPI spokesman Michael Berman insisted that putting toys in a Happy Meal (or doing anything else which might convince a child to eat something that isn’t Healthy with a capital H), is “as inappropriate and anachronistic as lead paint, child labor and asbestos.”

See? If it’s not Healthy with a capital H, it may as well be outright poison, and thus according to the CSPI, the next time your kid asks you for a Happy Meal so she can have the cool toy inside, it is not inappropriate to feed her lead paint instead. They’re practically the same thing.

Pre-emptive disclaimer: It is very very important to eat a healthy, balanced diet containing all necessary vitamins, minerals, simple and complex prot...

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McDonald's testing box o'burgers

KFC has had a long and profitable relationship with its bucket of fried chicken. And the McDonald's Happy Meal -- basically a burger in a box -- has been a big seller with kids. 

So why not a box of burgers -- a family-sized meal package?

McDonald's is testing the idea in Kansas City and calling it the Blitz Box. It contains two Quarter Pounders with cheese, two medium french fries, and 20 Chicken McNuggets, according to Burger Business.

All of this would set you back $14.99.

For now, McDonald's says there are no plans to expand beyond Kansas City, Mo., where the burger box is part of a promotion tied to the Kansas City Chiefs and the opening of the NFL season. It goes without saying, though, that if it's a blockbuster in KCMO, you can expect to see it elsewhere.

Consumers rate McDonalds

The box has been around in various guises since at least March 2010, when the "Dinner Box" was introduced in Australia. In 2011, the chain added a Mates Meal, which substituted chicken for burgers, Burger Business reported. In Malaysia, you can get a "Family Breakfast" and in the Czech Republic, it's a "McBox."

But Burger Business editor Scott Hume writes that while a box of chicken is a natural, it doesn't necessilary work that well for burgers. 

"Cold chicken is fine, but cold burgers are not," he writes. "But now the tight marketplace has convinced McDonald's to try it." 

McDonald's has had to cut back on its Dollar Menu as the price of beef has risen, he noted.

KFC has had a long and profitable relationship with its bucket of fried chicken. And the McDonald's Happy Meal -- basically a burger in a box -- has been a...

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Measuring inflation by the Big Mac

If you follow the monthly reports from the Labor Department, you know that inflation has all but disappeared from the U.S. economy. Despite the Federal Reserve pumping money into the economy for years, prices have hardly risen.

In fact, the government's inflation report for March 2013 showed that the Consumer Price Index (CPI) actually went down 0.2%. Over the last 12 months the inflation rate has been a feeble 1.5%.

A big reason for this is the absence of demand in the economy. Since the Great Recession, businesses and consumers have reduced their spending. If there isn't increased demand for goods and services, it's hard to raise prices. But as any consumer will tell you, the cost of many things still seems to be going up.

For consumers who want a more accurate reading on prices, they need look no further than their neighborhood McDonald's. Just keep an eye on the price of a Big Mac.

The Big Mac Index

In 1986 The Economist devised what it called The Big Mac Index as a way to track relative currency values. By monitoring what a Big Mac cost in yen, Swiss francs or dollars, you could see how currencies were fluctuating in relation to each other. 

But investment broker Peter Schiff, author of The Real Crash, says you can also use The Big Mac Index to measure real inflation in the U.S. He says over the last decade the Big Mac, McDonald's iconic burger, has gone up in price almost three times as fast as the official rate of inflation. 

Schiff and others claim that the government's official inflation statistics mask the true nature of inflation. Consumers suggest the same thing from time to time. William, of Conroe, Tex., complained recently about the new packaging of Nabisco crackers.

Smaller boxes

“Quite frankly, you are now selling 10 oz. boxes instead of 16 oz. boxes for the same price,” William wrote in a ConsumerAffairs post. “I will go to another brand if you don't bring back the multi-grain wheat crackers with sea salt. Are you looking to go away like Hostess did?”

It can also show up in more subtle ways. You book a flight on an airline, choosing what appears to be a competitive fare. But when you actually take the flight you pay fees for luggage, food and desirable seats and enjoy less and less service.

Both the airline and the cracker company are faced with the same problem. Their costs are rising but they don't want to raise the cost of their product for fear they will lose business to their competitors. So the cracker company sells fewer crackers for the same price and the airline adds fees and reduces service to keep its fares low.

Common trend

A 2011 report by Consumer Reports found the downsizing of products was a trend that spread across a number of industries.

“Higher commodity and fuel costs are expected to spike in food prices by as much as three percent,” Todd Marks, senior editor and resident shopping expert at CR said at the time of the report. “But if manufacturers are skimping when costs go up, why aren’t they more generous when costs hold steady or fall?”

Companies sometimes go to great lengths to disguise their price hikes. They indent the bottom of containers, make plastic wraps thinner or whip air into ice cream, just to name a few tricks.

For consumers who want to stay focused on the true cost of things, however, watching the price of McDonald's double-deck hamburger may provide the best clue.

To form its index The Economist averages the price of a Big Mac in New York, Chicago, Atlanta and San Francisco. In 1986 the cost of a U.S. Big Mac was $1.60. In 2011 it was $3.80. Between 2001 and 2011, when inflation barely rose, the price of a Big Mac increased $1.28.

That works our to 33%, or 3.3% per year.

If you follow the monthly reports from the Labor Department, you know that inflation has all but disappeared from the U.S. economy. Despite the Federal Res...

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Are hamburgers dying a slow death?

Most likely, it won’t sway beef lovers to make a switch but the traditional hamburger has some pretty stiff competition these days, especially with more and more veggie and turkey burgers showing up on menus.

And although chicken sandwiches have been next to hamburgers on fast-food menus for quite some time, even they’re getting some newfound love and rivaling burgers in both sales and consumer interest.

In some places, chicken sandwiches are even doing more than just rivaling burgers, as data has been gathered by the research firm Mintel and released by the site BurgerBusiness.com that shows chicken sandwiches are replacing beef hamburgers as the best sellers in a lot of fast-food places.

Researchers point to the sandwich shift taking place around 2010, when lean boneless beef costs were up by 32%, which of course pushed stores to buy other products besides traditional burgers.

And the survey shows other reasons for the change.

A couple of years back, McDonald’s released its Zesty BBQ Cruncher and gave consumers the option to make it a beef or chicken burger, which was a telling sign of just how popular fried and grilled chicken sandwiches were becoming and how confident restaurants were that they could move them.

And if you’ll notice, there seems to be a new chicken sandwich being released every week, either in some newly-shaped bun or in a wrap, and according to Mintel, chicken sandwiches and other chicken selections, like those strange-looking McDonald’s Chicken McBites, are on more menus in fast-food places than burgers these days, so it seems the tides have officially changed.

Turkey burgers

And turkey burgers are being reintroduced through fast-food restaurants too, namely Burger King, since the chain released a version of its turkey burger last month, which pretty much means two things:

First, the global fast-food franchise recognizes a yearning among consumers for beef burger alternatives and second, it allows Burger King to appear a bit more health-conscious and willing to bend itself to customer wants, which is a very important reputation for companies to develop.

Burger King’s turkey burger will cost a little over $4 in most places and according to Erich Hirschhorn, who is the director of the chain’s global innovation department, turkey burgers are ending up on many fast-food menus these days and the trend will most likely continue.

“Turkey burgers as a category is growing pretty rapidly in the restaurant space,” he said.

Veggie burgers

Veggie burgers seem to be making another splash among consumers and fast-food places as well, and what was once something only the strictest of vegans would order, is now being consumed by veteran meat eaters, who will occasionally turn to veggie burgers, even giving them to their children as a healthier alternative.

Along with the turkey burger, Burger King has reintroduced a veggie burger selection as well, which isn’t the first time the restaurant tried to get the healthier sandwich to be a menu mainstay.

However this time, the chain has partnered with well-known veggie burger makers Morning Star, which could make the sandwich seem less foreign to meat-eaters and those vegetarians who would rather eat a soy-based burger from a renowned company.

And Burger King certainly isn’t the only chain that’s selling veggie burgers these days, as Bennigan’s offers a version, along with the throwback themed diner Johnny Rockets and so does Five Guys, although its burger is a bun with all of the menu’s vegetables inside rather than a garden patty.

During the course of the year, we'll see just how well Burger King’s turkey and veggie burgers will be received by consumers, but some customers would probably say the company needs to improve on its existing menu items.

Just ask Karen of Franklin, Ky., who ordered a couple of chicken sandwiches from the burger chain, and had a less than pleasing experience.

“We got two original chicken sandwiches -- one with cheese, two onion rings crispy and two drinks,” she wrote in a ConsumerAffairs posting.

“We sat down to eat, opened our sandwiches. There was no cheese. Bread was burnt, one dot of mayo, maybe three shreds of lettuce and onion rings were old and soggy. I took the food back up to the manager, told her it was supposed to be hot and fresh. She said it is because of the baseball team.”

Karen says there were up to 25 members of an Indiana baseball team in line before her, which was the cashier’s reason the chicken sandwiches were rushed and turned out bad. At least that’s what I think her reasoning was.

From there, things went further south.

“She grabbed it out of my hands, gave me a dirty look,” wrote Karen. “So I stood there, waiting for my food. She handed it to me. I went back to sit down, opened up my sandwich and it was the same one, only difference was they took a piece of cheese and halved it, laid it on my chicken, not even melted.”

Whether Burger King’s new sandwich offerings will hit big obviously remains to be determined, but it’s clear that consumers are expecting to see other items on fast-food menus these days, but that doesn’t mean they want to see beef hamburgers disappear completely or become a second priority for chains.

That would be a true crime to many.

Most likely, it won’t sway beef lovers to make a switch, which probably isn’t the goal of some fast-food restaurants, but the traditional hambu...

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McDonald's unwraps its "Subway Buster," the McWrap

First it was Starbucks that loomed in McDonald's radar. It create McCafe line of coffee drinks to deal with that. And now McDonald's is turning its attention to Subway, unveiling a new line of McWrap sandwiches that it hopes will win over consumers hungry for a healthful lunch.  

The McWrap totals between 360 and 600 calories, depending on whether the chicken is grilled or deep fried. It also comes in Chicken & Bacon, Sweet Chili Chicken and Chicken & Ranch.

And if that's not heresy enough for you, there's also an egg white Egg McMuffin about to make its appearance.

Consumers rate McDonalds

So far McDonald's isn't saying much publicly about the new additions, but it's clearly hoping the McWrap, which includes romaine lettuce and  cucumbers as well as the choice of three sauces, will appeal to younger people who seem to award wraps more cool points than burgers smashed between buns.

Subway has been sort of eating McDonald's lunch the last several years and is by most measures the largest sandwich chain in the U.S.

First it was Starbucks that loomed in McDonald's radar. It create McCafe line of coffee drinks to deal with that. And now McDonald's is turning its attenti...

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Fast-Food places roll out new menu items

When it comes to fast-food places, it’s a pretty big deal when a restaurant makes changes, because it seems that year after year consumers are stuck with the same old menu items, décor and level of food quality -- and the only thing that ever changes is the price.

So when restaurants finally get around to actually making a change, many consumers get a little excited and head to the nearest fast-food joint to see how good or bad the new menu item really is, and this year there are a few new items that a lot of folks will be eager to check out.

Take Pizza Hut, for example, that just announced its new “Pizza Sliders” right after the Super Bowl.

The rounded miniature slices appear to be about bagel size and purchasing a box gives all who are sharing the pizza the chance to have their pie personalized.

So instead of ordering a large pizza and having different toppings on either side to appease more than one person, each person can order their own and get the exact toppings they want.

Consumers can either choose from a $10 box containing nine sliders or from a box of 3 that costs $5.

Smaller and healthier

It seems like the pizza chain is responding to the new trend of making foods smaller with fewer calories, which is a complete turnaround from the traditional fast-food approach of giving customers a lot of food for a few bucks.

With many people trying to eat healthier but still unwilling to give up fast-food completely, many chains have decreased the size of some of their menu items and are choosing to offer lower calorie options.

Panera Bread is one of these places, as the sandwich chain announced its new “Hidden Menu,” which it tested in one of its New York locations towards the end of last year.

The hidden menu items, which won’t be on the overhead menu board, consists of healthier food choices like the Power Breakfast Egg White Bowl with Roasted Turkey, the Power Breakfast Egg Bowl with Steak, the Power Mediterranean Chicken Salad, the Power Mediterranean Roasted Turkey, the Power Chicken Hummas Bowl and the Power Steak Lettuce Wraps.

The company says customers will need to notify a restaurant associate if they’re interested in ordering from the Hidden Menu, and even though Panera is considered healthier than say McDonald’s or Wendy’s, it seems the chain wants to offer even healthier items that don't include bread.

Chicken nuggets

Another franchise offering a new menu item is Burger King, which seems to always be just a little bit behind McDonald’s when it comes to generating consumer excitement about its new foods, and with its new chicken nuggets  being released, Burger King hopes that people who love McDonald's McNuggets will give Burger King's a try. 

This isn’t the first time the Florida based chain attempted to rival McDonald’s chicken McNuggets, as Burger King ‘s first version of the miniature chicken bites were closer to chicken strips, and were called chicken tenders.

However, Burger King is now offering nuggets that closely resemble McDonald’s, so instead of the company trying to offer different menu items from Mickey D’s, its trying to beat the golden arches at their own game.

“As we move into 2013, we are focused on continuing to deliver best-in-class products to our guests,” said Flavia Faugeres, global chief marketing officer for Burger King. “Our new limited-time menu options give even more delicious reasons to visit Burger King restaurants in the New Year.”

But will Burger King’s nuggets be enough to get dissatisfied customers back in to its restaurants? A good portion of our readers have been pretty displeased with the chain, after all.

“I had ordered a Double Whopper and asked that it be made as it appears on the picture on the menu board,” wrote Kelly of Washington State in a ConsumerAffair posting. “I noticed on my receipt that I was charged an extra charge for lettuce, onion and tomato of $.50.”

“To me, this is clearly misrepresentation of what you claim your product is for the price you charge.”

“I think that the combination of the hot box burger patties which are all but cold and the less than acceptable garnishments, I am just about to the point of not going back again.”

Taco Doritos

Taco Bell is also offering a new menu item, but strangely the menu item won’t be in restaurants, it will be offered in other places like in 7-Elevens, delis and corner stores.

The snack food company Frito Lay will soon roll out its Taco Bell flavored Doritos, which the company hopes will catch on like Taco Bell’s Doritos Locos Tacos, which was released almost a year ago.

According to the Wall Street Journal, Taco Bell has sold over 300 million of its Doritos Locos Tacos since its release, and Frito Lay which typically doesn’t release snack foods with fast-food chains on its packaging, hopes consumers will flock to the nacho flavored tortilla chips in the same way they flocked to the tacos.

Now whether these new food items will catch on remains to be seen, but it’s safe to say that curious consumers will be heading to some of these chains to see what all of the hub-bub is about.

Whether they'll like the new menu items is another story entirely. I guess we'll see.

When it comes to fast-food places, it’s a pretty big deal when a restaurant makes changes, because it seems that year after year consumers are stuck ...

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McDonald's Sales Slump; It Rolls Out Yet Another Sandwich

Believe it or not, McDonald’s isn’t doing so well.

Don’t get me wrong, it’s not like the global franchise chain is in danger of closing up shop, or permanently shutting off its fryers--it’s just that McDonald’s hasn’t seen the type of growth lately that it's seen in the recent past, and executives are starting to fret.

McDonald’s just announced it recorded its lowest sales growth in nine years in  the third quarter, and many feel it’s just not the automatic go-to restaurant that it used to be when one wants cheap eats.

There was a time when McDonald’s was pretty untouchable when it came to owning a bulk of the fast-food market, and besides having just a few other chains like Burger King nipping at its heels, the golden arches pretty much stood out front as the first or second option when consumers thought of getting a fast and cheap meal they didn’t have to think about.

McDonald’s has also been a last resort when you can’t figure out what to eat for lunch. It’s been a restaurant of default when you’ve exhausted all of your lunch timepossibilities, and you just can’t think of anything else to eat that’s fast and nearby.

Fast casual

But several factors have made it hard for the burger chain to maintain its dominance. Fast casual restaurants have taken away a portion of business for McDonald's when consumers want an inexpensive meal, but want a healthier menu and a nicer place to dine.

And other fast-food restaurants have taken some of McDonald’s ideas, like adding a dollar menu, frequently changing food items and using celebrity endorsements--which have made Mickey D less dominant in the mind of consumers.

Many believe there are so many other fast-food options that provide more or less the same type of meal and service--and sometimes a lot better--why should they go to McDonald’s?

Cheddar Bacon Onion

For some reason McDonald’s is banking on the release of its new Cheddar Bacon Onion sandwich, which comes in both chicken and beef to help grow sales in the fourth quarter.

The new sandwich is a part of the restaurant’s growing “premium menu,” which is supposed to offset cheaper food options like the dollar menu, which some experts believe hurt McDonald’s, because more and more people are sticking with the lower-priced selections which turn over very little profit.

“We’re balancing our value messaging with premium menu news, including this month’s introduction of the Cheddar Bacon Onion Sandwich, (CBO) which is made with hickory-smoked bacon, white cheddar cheese, caramelized grilled onions and creamy mustard sauce on top of a grilled or crispy chicken patty, or our Angus beef patty,” said Don Thompson, McDonald’s CEO in a published statement.

“The CBO as we like to call it was inspired by a similar entry in Europe. This is the first time we’ve offered one sandwich with a choice of chicken or beef in the U.S. and we’ve seen that both have a high rate of extra value mill conversion and average check increase in our test markets. And in December, we’ll bring back the popular mackerel sandwich nationally. Local markets also continue to focus on beverages in an effort to generate additional consumer excitement,” he said, speaking Marketese, an odd variant of English found mainly in marketing departments. 

Cheap cream cheese

If you haven’t seen the CBO yet, it doesn’t appear to be anything special, and besides the white cheddar cheese that looks more like a cheap cream cheese you would put on a bagel, it pretty much mirrors any other sandwich the restaurant offers.

But that’s kind of what McDonald’s does. Instead of creating a completely new sandwich with different flavors, bread and seasonings--it just adds a couple of new toppings to the sandwich, rolls out a huge ad campaign and hopes consumers will get excited. 

In many ways, McDonald's is an advertising company that cranks out food as an after-thought.

One could easily say this age-old approach is what stunted McDonald’s growth in the first place. And if the restaurant doesn’t take huge steps to change some of its food options, its growth will continue to stall experts say.

Also, because the franchise chain has counted so much on its dollar menu to drive in consumer traffic, it has ignored the bigger portion of consumers who are willing to spend a little more for better quality and a wider menu variety.

A McDonald’s restaurant owner explained why his location is suffering low sales growth.

“Commodity increases along with construction project upgrades are draining whatever cash flow we might bring in,” he said in a published  interview with a news publication. 

“The Dollar Menu has limited our ability to cover these costs by raising the rest of menu prices,” he added. “This has created a huge gap between high and low-end, driving more consumers down to supposed Extra Value Menu items which have no useful upside profit potential.”

“Next year projected service cost increases are going to be a backbreaker. Just increasing transaction counts is not going to work if they are unprofitable ones. We have created a scenario of working harder for less. There needs to be a window of time to just make profits without giving them all back."

It’s doubtful the CBO will help McDonald’s that much with sales growth or trick consumers into believing that the company is really making huge efforts to change and provide better menu options.

Better service

Consumers rate McDonalds

Maybe what the restaurant should be doing is improving its customer service and doing a better job of making sure its staff and managers provide a high level of treatment and service.

Just ask Shirley of Washington State, who recently got both lousy food and service from a local McDonald's.

“I ordered a Southwestern Chicken Sandwich at McDonald’s, Belfair Wash.,” she wrote in a ConsumerAffairs posting. “I paid $4.12 for a bun, a piece of chicken and two thin slices of pickle. When a sandwich is advertised with all the condiments, and fresh and yummy, you should expect that. I complained and was offered to purchase some condiments.”

“That same morning, going through the drive-thru, I got two sandwiches that were so hard from sitting under the warmer that I fed them to my dog. And what about that pink slime? How long have we been eating pink slime without our knowledge?” she asked.

So it seems before McDonald’s can reclaim some if its past glory, it should start out small by providing better menu items and a consistent level of good customer service. That’s the trick to better sales. Not slathering new fixings on the same old sandwich. 

Believe it or not, McDonald’s isn’t doing so well.Don’t get me wrong, it’s not like the global franchise chain is in danger of cl...

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McDonald's to Post Calories on Menu Boards

To help consumers make better choices about the food they eat, McDonald's will post calories for all items on its menu boards in the U.S., both inside stores and in drive-thru lanes.

The new menu boards will go up next week, the company said.

"At McDonald's, we recognize customers want to know more about the nutrition content of the food and beverages they order," said Jan Fields, President of McDonald's USA. "As a company that has provided nutrition information for more than 30 years, we are pleased to add to the ways we make nutrition information available to our customers and employees."

Improved nutritional choices

According to Fields, the move is part of the company's "Commitments to Offer Improved Nutrition Choices," announced last year. The plan aims to help customers and employees make informed nutrition choices whether visiting McDonald's or eating elsewhere.

Caloric intake is increasingly recognized as a key element in controlling weight and preventing obesity. McDonald's cited research by the International Food Information Council Foundation showing only 15 percent of Americans accurately estimate the number of calories they need to maintain their weight.

McDonald's has long been a target of health and nutrition advocates who say fast-food marketing has helped promote the obesity epidemic in America. The city of San Francisco went so far as to ban Happy Meals, claiming they lured children into bad eating habits with the promise of a toy.

Revamped Happy Meals

Partly to counter that, McDonald's recently revamped Happy Meal menus to include apple slices and fat-free milk. This past summer, McDonald's introduced a "Favorites Under 400" menu that highlights the calorie information for some of customers' favorite foods and beverages to help put calorie counts in better context.

The restaurant chain also announced plans to test foods that would increase the number of wholesome choices on its menu. The menu items being explored for 2013 include more recommended food groups.

Among the additions being tested for for inclusion are more season fruit and vegetables options, such as blueberries and cucumbers, during peak seasons. McDonald's says it will also offer additional produce side options and grilled chicken choices for Happy Meals.

McDonald's may be getting out in front of what it expects to be the wave of the future. The Food and Drug Administration (FDA) is still reviewing an Obama administration proposal to require the posting of calorie data on many restaurant menus.

To help consumers make better choices about the food they eat, McDonald's said it will post calories for all items on its menu boards in the U.S., both ins...

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McDonald's Opening Vegetarian Restaurants in India

Can a franchise that is synonymous with the hamburger find success serving an all vegetarian fare? McDonald's is banking on it.

The U.S. fast food chain is opening two vegetarian stores in northern India, which draws many Hindu and Sikh pilgrims. The company already edits the menu of its Indian stores to account for religious sensitivities.

For example, it shuns beef and pork items that are a mainstay of its menu back home but might be offensive to Hindus and Muslims.

Instead of a Big Mac or a McRib, the new Indian restaurants will feature the McAloo Tikki burger, which really isn't a burger but a sandwich patty made from mashed potatoes. The Pizza McPuff is another new menu item, consisting of a vegetable and cheese pastry.

McDonald's operates more than 270 stores in India and most are similar to its others around the world, except that they don't serve beef or pork products. But you can get McDonald's staples like Chicken McNuggets or a fish sandwich.

While McDonald's is as American as apple pie to most U.S. consumers, the chain has increasingly become a global business in recent years. It now operates in 119 countries and serves 68 million people a day.

The new Indian vegetarian restaurants will be located in the cities of Katra and Amritsar.  

Can a franchise that is synonymous with the hamburger find success serving an all vegetarian fare? McDonald's is banking on it.The U.S. fast food chain i...

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McDonald's Skirts Happy Meal Toy Ban -- Maybe

Today's the day that, by decree of the San Francisco City and County Board of Supervisors, restaurants can no longer give away toys with meals that don't meet nutrition guidelines spelled out in the law.

So does that mean no more Happy Meals?  Not the way McDonald's sees it. Beginning today, the toy that used to be free with a Happy Meal now costs ten cents, with the proceeds going to the city's Ronald McDonald House.  Burger King is doing something similar.

Can this be legal?  USA Today seems to think so.  "McD, Burger King outwit San Francisco's Happy Meal rules," the paper says. McDonald's "outwits City Hall," squeaked the San Francisco Chronicle.

Maybe, but there are quite a few attorneys out there who think the McDonald's strategy is just a little too cute and that newspapers ought to do that thing they talk about all the time -- you know, that objectivity, get-both-sides thing.

One is Michele Simon, who writes for Grist, a "green news" Website.  Simon says fast food outlets routinely manipulate the "default options" on the menu to ensure maximum sales.  Order a combo meal, for example, and it's likely to automatically come with a soda, not juice or milk.

So if McDonald's is just automatically adding ten cents to the price of a Happy Meal and assuming the parent wants the toy included, it may not pass muster in court, Simon suggests.  What's called "legislative intent" carries a lot of weight in court, after all.

Fully comply

For its part, McDonald's is arguing that it is simply protecting the God-given right of parents to fatten up their children however they choose.

"While we will fully comply with this law, we also have a responsibility to give our customers what they want," Danya Proud, a spokeswoman for McDonald's, said in a statement, "Parents have told us they'd still like the option of purchasing a toy separately for their child when they buy them a Happy Meal."

Other critics said this was just the latest in a long line of cynical ploys by McDonald's to skirt any attempt to improve the healthfulness of its food aimed at children.

"As McDonald's long has, it is again using a charity that helps children get well to defend a practice that contributes to a range of diet-related conditions like diabetes," said Corporate Accountability International. "Currently McDonald's uses its contributions to the charity to defend the hundreds of millions it spends marketing its junk food brand to kids each year."

Relatively reasonable

Supervisor Mar

The San Francisco ordinance isn't as draconian as it's being made out to be.  It sets a few relatively reasonable nutrition guidelines -- a maximum of 600 calories and limits on fat and salt, for example -- that meals must meet if they include a free toy.

San Francisco Supervisor Eric Mar, who initiated the ordinance,  dismissed the 10-cent strategy as a marketing ploy. Mar, who represents the Richmond District, is a public interest attorney who has also served on the San Francisco Board of Education.

The measure passed last year with a supermajority of the board despite heavy lobbying by McDonald's. 

“This is a tremendous victory for our children’s health. Our children are sick. Rates of obesity in San Francisco are disturbingly high, especially among children of color,” Mar said last November. “This is 
a challenge to the restaurant industry to think about children’s health first and join the wide range of local restaurants that have already made this commitment.”

Mar said at the legislation is aimed at promoting healthy eating habits and to address issues related to childhood obesity. The legislation encourages restaurants to provide healthier meal options. To provide an incentive item -- like the toys in Happy Medals -- meals must contain fruits and vegetables, not exceed 600 calories, and must not have beverages that have excessive fat or sugar.

Today's the day that, by decree of the San Francisco City and County Board of Supervisors, restaurants can no longer give away toys with meals that don't m...

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McDonald's Makes Happy Meals Healthier

McDonald's is retooling its Happy Meal, reducing the number of calories it contains and adding nutritional value.

The menu item, popular with children since 1979, has become a target in recent years of health advocates worried about the rise of childhood obesity. The meal has traditionally included a small hamburger or chicken nuggets, French fries, and a toy, usually based on a popular movie.

Earlier this year, San Francisco banned meals that include toys unless they meet certain nutritional benchmarks. New York City is said to be considering a similar measure. The new Happy Meal will still contain a toy but will have fewer fries and a serving of fruit.

“McDonald’s will always try to do the right thing, and we know we can help make a difference in our communities,” said Jan Fields, president, McDonald’s USA. “The commitments we’re announcing today will guide the future evolution of our menu and marketing.” 

Calorie reduction

By March 2012, McDonald's said it will provide apples in every Happy Meal. The result, the company says, will be an estimated 20 percent reduction in calories of the most popular Happy Meals, also reducing fat in those meals.

“We are also exploring alternatives to the automatic apples, such as other produce or low-fat dairy items,” the company said in a statement. “In 2012, McDonald’s will also raise nutrition awareness among children and parents through national marketing initiatives. The company will promote nutrition and/or active lifestyle messages in 100 percent of its national kids’ communications, including merchandising, advertising, digital and the Happy Meal packaging. McDonald’s will also provide funding for grass roots community nutrition awareness programs.”

By 2020, McDonald’s said it will reduce added sugars, saturated fat and calories through varied portion sizes, reformulations and innovations. Also, by 2015, McDonald’s will reduce sodium an average of 15 percent overall across its national menu of food choices.

Rollout begins in September

McDonald’s will begin rolling out the new Happy Meal in September 2011, with the goal of having them available in all 14,000 restaurants during the first quarter of 2012. 

The new Happy Meal will automatically include both produce (apple slices, a quarter cup or half serving) and a new smaller size French fries (1.1 ounces) along with the choice of a Hamburger, Cheeseburger or Chicken McNuggets, and choice of beverage, including new fat-free chocolate milk and 1% low fat white milk. For those customers who prefer a side choice of apples only, two bags of apple slices will be available, upon request.

By adding fruit in every Happy Meal, McDonald’s said it hopes to address a challenge children face in meeting the recommended daily consumption of produce. McDonald’s has offered apples as a requested choice in Happy Meals since 2004. And, while recent research found that on average, 88 percent of McDonald’s customers are aware of the option, apples are chosen in only 11 percent of Happy Meal purchases.

Under pressure from health advocates, McDonald's is making changes to its Happy Meal...

Brazilian McDonald's Manager Wins Obesity Lawsuit

McDonald's has lost a high-profile obesity lawsuit, with a Brazilian court ordering the fast food giant to pay $17,500 to a former manager who says he gained 65 pounds while working at a franchise.

The employee, whose identity was not made public, said he went from around 155 to 231 pounds during his time with the company. The plaintiff said that the random presence of "mystery clients" -- who are tasked with visiting franchises and evaluating their food quality, cleanliness and customer service -- made him feel obliged to sample the food every day.

He also scolded McDonald's for offering free lunches to its employees, charging that those meals -- which consisted mostly of hamburgers, French fries and ice cream -- increased his daily caloric intake.

Follows CPSI suit

The suit is further evidence that obesity-related litigation is still going strong, despite criticism that such suits absolve consumers of the responsibility of making healthy choices. In June, the Center for Science in the Public Interest (CSPI) served McDonald's with noticethat it would file suit against the company unless it stopped selling its famed Happy Meals, which CSPI called "unhealthy junk food."

CSPI said that McDonald's "make[s] parents' job nearly impossible by giving away toys and bombarding kids with slick advertising," and compared it to a "stranger in the playground handing out candy to children."

In a sharply-worded response written in July, McDonald's CEO Jim Skinner said that "the public does not support [the] lawsuit," adding that "parents, in particular, strongly believe they have the right and responsibility to decide what's best for their children, not CSPI. It really is that simple."

True to its word, CPSI announced last month that it was proceeding with the suit.

Previous class actions

In 2005, McDonald's agreed to pay $7 million to the American Heart Association as part of a settlement concerning its use of trans fats in its food. It also agreed to pay $1.5 million for a public advertising campaign telling the public of the dangers posed by those fats.

And in 2008, a judge allowed a class action by consumers who alleged that McDonald's food made them obese to proceed, overturning a lower court's dismissal of the case. That action, Pelman v. McDonald's, alleged that "certain [McDonald's] foods [are] substantially less healthy than represented."

The lead plaintiffs in that case, Ashley Pelman and Jazlyn Bradley, both minors, brought suit on behalf of all consumers who bought and ate McDonald's food from franchises in New York. Their suit alleged that the food increased consumers' chances of developing "obesity, diabetes, coronary heart disease, high blood pressure, elevated cholesterol intake, and/or other detrimental and adverse health effects and/or diseases."

McDonald's is considering whether to appeal the Brazilian ruling, which was issued by Judge Joao Ghisleni Filho in Porto Alegre, in southern Brazil. In a statement, the company stressed that it "offers a large variety of options and balanced menus to cater [to] the daily dietary needs of its employees."

Perhaps the plaintiff should have spent more time taste-testing the salads.

Brazilian McDonald's Manager Wins Obesity LawsuitEmployee said that food sampling, free lunches made him pack on 65 pounds...

McDonald's At the Bottom of Consumer Reports Burger Ratings

McDonald's may have served billions of burgers, but according to a recent survey of 28,000 Consumer Reports'subscribers, they fall at the bottom of the list among fast-food restaurants. Among the standouts were In-N-Out Burger and Five Guys Burgers and Fries.

"In this case, the bigger-name burger wasn't better" said Tod Marks, Senior Project Editor for CR. "The Five Guys patty was more flavorful, juicy and meaty tasting."

The magazine recently polled 28,000 online subscribers and asked them to rate the burgers they had eaten on their last visit on a scale of 1 to 10 -- from least delicious burger ever eaten to most. Eighteen fast-food restaurants across the country were rated.

Although other popular fast-food chains such as Wendy's and Burger King fared better than McDonald's, they scored far worse than the highest-rated chains. Other fast-food frontrunners noted for their delicious burgers included Fuddruckers, Burgerville and Back Yard Burgers.

On-scene ratings

In addition to conducting the survey, Consumer Reports sent a reporter to make an informal comparison of the fare at Five Guys and McDonald's (he couldn't get his hands on an In-N-Out Burger).

Five Guys basic burger of two 3.3-ounce griddled patties on a lightly browned sesame seed bun was bigger and beefier came with a $5 price tag and offered 15 free toppings choices. McDonald's $1-burger -- a 3.5 ounce patty with pickle slices, bits of raw onion, and a dab of ketchup and mustard on a lightly browned bun -- tasted mild and more greasy than beefy with the major flavor coming from the toppings, in the opinion of the CR reporter.

Attitude

It isn't just the quality of the food that can have an effect on the consumer. Corrine of Spring Hill, FL, tells ConsumerAffairs.com of an interesting incident involving a local McDonald's.

"I waited in line in their lobby for about a minute and a-half and was very impressed with their speed of service. I placed my order and got it all in about thirty seconds. The crewmember was very polite and I didn't have any complaints what-so-ever. I was shocked, I thought I would offer some compliments, and I asked the crewmember if I could speak to a manager." Then, she says, things started to go downhill.

"The manager comes up to me and says, 'What?' -- but with the tone as if I were a piece of scum. I told her that her employee was polite and that I was very impressed with the store and the manager said, 'Yep and I suppose you want something for free, don't you?' "

The result, says Corrine, "I bypass this McDonald's now because several times after this happened, I will come in and hear the manager say, 'Here comes that *****' or she'll say something snide."

McDonald's At the Bottom of Consumer Reports Burger Ratings...

Food Fight: McDonald's Takes On Critics


Under increasing attack for the caloric content of its products, McDonald's is dishing it back at its critics. In a speech to shareholders, company CEO Jim Skinner said the recent books and movies about the company's food are "fiction."

"These days, big equals bad to some people," Skinner said.

The 2001 book "Fast Food Nation" issued a scathing review of the health benefits of McDonald's food.

That was followed a few years later by the movie "Supersize Me," in which an independent filmmaker documented the effects of eating nothing but McDonald's food for 30 days. Now critics are publishing a children's book about fast food and Fast Food Nation is being made into a movie.

Skinner says it's unfair, piling on.

"Fictitious information irresponsibly published and reported in the media has people questioning the quality and safety of fast food in general," he said.

Skinner maintains that his company has led the way in food safety and has worked over the years to improve the product.

If that weren't enough, he says McDonald's has been a leader in employment opportunity, charitable giving, and has even gone out of its way to promote animal welfare and the environment.

McDonald's has come under fire, along with other fast food chains, as America's obesity problem has mushroomed.

While critics blame the high fat content of burgers, chicken and fries, McDonald's counters that it offers plenty of healthy food too. Skinner repeated his vow to do a better job in telling what he sees as the company's positive story.



Food Fight: McDonald's Takes On Critics...

Disney Dumps McDonald's


Mickey Mouse and Ronald McDonald are going their separate ways. After a ten year joint marketing agreement, Walt Disney Company said it will not renew its arrangement with McDonald's to provide promotional figurines for the restaurant chain's Happy Meals.

The last Disney Happy Meal promotion will be this summer, with the release of "Cars and Pirates of the Caribbean: Dead Man's Chest."

Disney isn't giving a specific reason for the breakup, but the Los Angeles Times quotes a number of high-ranking company sources as saying Disney would like to put some distance between itself and McDonald's menu offerings, increasingly being blamed for obesity.

The Times also quotes a source at rival studio DreamWorks as saying studio executives are having second thoughts about a deal with McDonald's to promote "Shrek 3," set for release next year. Shrek is, after all, a little on the hefty side.

McDonald's, feeling the heat from nutrition advocates, recently launched a campaign to educate its customers about healthy food choices.

Eric Schlosser, author of "Fast Food Nation," told the Times that McDonald's has it within its power to reduce the flak it's receiving. "The obesity issue would be irrelevant if the food in the Happy Meals was healthy," he said.



Disney Dumps McDonald's...

McDonald's Prepares to Fire Back at Critics

Get ready for a public relations war as intense as any ever waged by competing spinmeisters in the political arena. McDonald's is girding up to do battle with its critics, hoping to deflect mounting criticism of the healthfulness of its food.

Over at Wendy's, the chairman-CEO has stepped down after 18 months of sales declines and unrest among franchisees.

McDonald's took a pounding in popular culture with the release of the movie "Supersize Me," in which an independent film maker lived only on McDonalds food for a month and nearly wrecked his health. Next month could bring another blast, as Eric Schlosser, author of "Fast Food Nation," releases a new book targeted at teens, "Chew On This: Everything You Don't Want To Know About Fast Food." A movie based on Schlosser's first book is set for release by the end of the year.

"We need to do a better job telling our story," said McDonald's CEO Jim Skinner.

Skinner has announced a global effort to promote what he sees as the positive aspects of the chain. He says McDonald's has become a target in recent years simply because of its size and dominance in the industry.

The company is also trying to prepare its franchisees for the coming storm. It says the upcoming book and movie will provide pressure at a time when many are trying to make the fast food industry responsible for the rise in obesity among the U.S. population, especially among children.

McDonald's says it provides plenty of healthy choices on its menu, but it's up to consumers to exercise the right choices. The company said its promotional campaign will attempt to educate consumers about nutrition and encourage them to make the right choices.

Still, that's unlikely to mollify McDonald's critics. A recent study published in the New England Journal of Medicine claimed the company sells healthier french fries and chicken strips in Europe than in the U.S.

Wendy's Wobbling

McDonald's problem is basically that it's too successful, whereas Wendy's is suffering from sinking sales and a potential uprising among its franchisees, leading John "Jack" Schuessler, 55, to turn off the grill and head for the beach after 30 years with the burger chain.

"I am proud to have been part of Wendy's for three decades... I believe it is the appropriate time to pass the leadership of the brand to the next generation of leaders," Schuessler said. His resignation came just 10 days before the annual shareholders meeting.

"With the company focusing on new strategies and opportunities Jack and the board decided that it was time for new leadership," a Wendy's spokesman said.

There's been a schism among the franchisees, a number of whom have seceded and formed an independent association representing 13 percent of the chain's stores.

Besides slow burger sales, Wendy's has been having problems with its Tim Horton's doughnut chain and the Baja Fresh chain.



McDonald's Prepares to Fire Back at Critics...