The famous food provider service of USA, McDonald’s, on Tuesday announced that is planning to shut down 184 of its outlets across the United States.
The burger behemoth, in the recent months, has had to experience same-store sales drop in the country. The brand is known to offer burgers, salads, yogurt parfaits, and fancy chicken wraps. And it hasn’t worked. In fact, that’s putting it mildly. But the recent survey indicates the down-trodden path that this brand is walking upon now.
In the past 40 years, such a scale-back hasn’t taken place. The last time the company contracted was in 1970. Reports released by McDonald’s reveal that same- store sales have either fallen or remained flat for 13 consecutive months.
Earlier in 2015, the brand had announced that it will close around 700 locations around the world, roughly half of which are in the United States, China, and Japan. The company had also planned on downsizing the head count at its U.S. headquarters in Illinois.
Shutting down of the US restaurants is termed as “minimal” by the brand. After all, the fast food giant runs almost 14,000 outlets across the globe.
Other reasons put aside, this condition of the brand can be linked to the rising competition it is facing in the United States. Chipotle Mexican Grill, which has become a staple for many Americans, is one instance of it. This brand claims to offer better quality vegetables and more fresh than the other brands.
As of now, the brand intends to win back its customers by re-introducing itself. McDonald’s has begun making burgers to order, and offering a range of fancier ingredients, like jalapenos, guacamole, and brioche buns. The burger giant is calling off its all-day breakfast scheme as requested by its patrons.
With a position established since a long time, McDonald’s will have to face hardships in order to make their customers believe that the burgers and wraps they are selling are made of more veggies than earlier and are absolutely fresh. Good luck McDonald’s!