“Prices have indeed gone up, but they haven’t gone up as quickly as the rest of the fast-service chains in the US.” Prices at McDonald’s have increased by 4.8% since 2009, well below the “quick service” sector average (up 19.4%), while the cost of “fast casual” eating, a category that includes the much-hyped Chipotle, is up 16.9% according to Technomic’s menu monitor. The “expensive” tag was unjustified, said Mary Chapman at Technomic. Ever since it introduced $2 items on its dollar menu, it has gained a reputation for being more expensive than its rivals, while many consumers complain that service is slower. Yet, just as McDonald’s has been losing the customers who will pay a bit more for food perceived as fresher and healthier, it has also lost its edge in fast food essentials: speedy service at low prices. McDonald’s chief executive Don Thompson acknowledged the company had a job to do in “adjusting misperceptions about the freshness, quality and integrity of our ingredients”. Others wanted to know whether it uses real eggs, or whether the McRib is made with the same plastic contained in yoga mats. “Does McDonald’s beef contain worms?” asked another person. The meat product, banned in Europe since the BSE crisis, was dropped by McDonald’s in 2012 after being exposed by chef Jamie Oliver.īut pink slime has left doubts in US consumers’ minds. “Have you ever used pink slime in your burgers?” was one question on the Our Food Your Questions website – referring to the controversial beef filler (gristle and fat) used for dog food that is sprayed down with ammonia to make it “fit” for human consumption. The depth of consumer mistrust of McDonald’s was exposed by a consumer outreach exercise the company launched in the US earlier this month. McDonald’s is also widely perceived as less healthy than most of its rivals, especially Chipotle, which trumpets its antibiotic-free meat and “locally sourced, seasonal produce” – although local for Chipotle can mean 350 miles away. To add to the company’s woes, McDonald’s hamburgers were recently named the worst in America in a poll of more than 32,000 American diners, who said they would rather eat a burger at Five Guys, Smashburger or Fuddruckers.įast-growing US-only chain Chick-fil-A was deemed to be best for chicken. The number of 19-to-21-year-olds visiting McDonald’s once a month has fallen by 13% since 2011, according to food analysts Technomic, while the number of 22-to-37-year-olds visiting has not grown. Younger diners are deserting the restaurant in droves to eat out at rivals such as Chipotle Mexican Grill – which, just the day before McDonald’s revealed its horrible sales figures, announced 20% growth in revenues. McDonald’s has chalked up 12 straight months of declining sales in its massive home market, with sales down 4.1% in the latest quarter. The first McDonald’s franchise, which opened on April 15, 1955, and is now a museum in Des Plaines, Illinois.
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