McDonald’s Is Trying To Be Like Starbucks And Franchisees Are NOT Happy About It

be like starbucks

In an attempt to keep competitive with some of their breakfast rivals, McDonald’s recently unleashed a wave of new McCafe espresso drinks. Franchisees, however, claim that the golden-arched giant is trying too much to be like Starbucks and that their stores are hurting as a result.

A post shared by McDonald’s (@mcdonalds) on

Mark Kalinowski, an analyst at financial holdings firm Nomura, surveyed a couple dozen franchisers regarding the new drinks, and found that only two saw better than expected sales for the coffee items. In contrast, seven were underselling and nearly all listed complaints about how the beverages impacted their service quality. Many found the McCafe lineup to be too time-consuming to make without matching the quality of competitors like Starbucks that McDonald’s is hoping to stand up against. One even went as far as to say that “time-consuming products like this do not belong on McDonald’s menu.”

That’s not the only problem franchisers are having, however. Kalinowski also found that the increased costs of remodeling locations to incorporate all of McDonald’s announced new changes are lowering profits to the point where some operators are going out of business. These changes include accommodating for the new self-ordering kiosks, curbside pickup, and delivery options that McDonald’s wants implemented over the next few years.

Overall, all of this is putting a strain on franchise operators because they have to struggle with the cost of new equipment and remodeling, slowed service time on their drink stations that doesn’t always translate to better sales, and an attempt to be like Starbucks that isn’t delivering on quality. McDonald’s will need to find a way to resolve these issues to keep its franchisees happy and in business.

More content

Eating OutProducts
McDonald’s Quietly Left Meat Out Of This New Menu Item
Vegetarians have so much to choose from at McDonald’s! There are fries, salads, drinks… apple pies? Okay, maybe it isn’t the greatest veggie-friendly fast food…
,
Eating Out
Chick-fil-A’s Spicy Chick-n-Strips Are Back—But Only In Two Locations
Chick-fil-A isn’t done with Spicy Chick-n-Strips just yet. The chain has quietly brought the limited-time item back for another test, this time at its Sandy…
,
Eating Out
Shake Shack’s West Coast Menu Brings New Burgers, Chicken, And Loaded Fries
Fresh off the release of its new West Coast Burger, Shake Shack is expanding the launch with a full limited-time menu inspired by the West…
,
Burger
We Deliver!

Enter your email address below and we'll deliver our top stories straight to your inbox