Franchisees protest McDonald's attempted turnaround | RetailDetail

Franchisees protest McDonald's attempted turnaround

Franchisees protest McDonald's attempted turnaround

Fast food chain McDonald's has been struggling for quite a while, especially in the United States: American like-for-like turnover dropped for the seventh straight quarter and the company now plans to get back on track by shaking things up.

Franchisees are not happy

McDonald's has launched several new items in the United States already, and the chain also wants to give its customers increased options via the "Create your taste" program which gives customers the chance to change or add toppings to their hamburger. After an initial pilot, the service is now expanded to thousands of its American restaurants. Starting next month, items on its breakfast menu will be available throughout the day, instead of being taken off the menu at 10h30.

 

However, franchisees are not happy with the many changes: the Create your Taste service requires booths that cost between 100,000 and 140,000 euro, while these booths are only available to customers entering the restaurant, excluding the 70 % of its turnover that is generated in the drive-through. The "all-day breakfast" is also causing problems and means the franchisees will have to invest more money into the business. They also fear that they will not be able to continue a speedy service if all these new items are added to the menu.

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