​McDonald's Focus Shifts: Size Over Premium

McDonald's has determined that its customers prefer larger, more fulfilling burgers over premium options. CFO Ian Borden revealed at the UBS Global Consumer and Retail Conference that this approach did not resonate with their clientele despite previous efforts to entice customers with premium burgers. "We thought the opportunity was about premium burger, which was wrong," Borden admitted, highlighting a pivot towards offering "a large, more satiating-type burger" across its major markets.

The fast-food giant began distancing itself from its Signature Crafted burger line in 2019 and further streamlined its menu during the pandemic to emphasize core offerings, sidelining items like salads in the U.S. Borden mentioned that McDonald's is currently testing several larger burger options, aiming to implement a successful formula worldwide - a departure from its previous strategy of market-specific products.

McDonald's has yet to detail whether these larger burgers will feature bigger patties and buns or additional patties. The double quarter pounder currently stands as the largest and most calorific burger in its U.S. core menu.

This shift is part of McDonald's "Accelerating the Arches" strategy, focusing on burgers, chicken, and coffee - elements contributing to about two-thirds of its global sales. Following the introduction of the "Best Burger," which involved ingredient and preparation improvements, McDonald's aims to enhance its core menu further. This initiative has already reached around 70 markets globally.

We invite you to share your thoughts on McDonald's strategic shift towards larger burgers. Do you think this will satisfy customers' appetites more effectively than premium options? Leave your comment below.