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On Wednesday, McDonald’s CEO briefed investors on a series of strategies to reinvigorate company’s growth. One of those strategies that caught our attention was the plan to deliver “hot, tasty food” by changing the company’s toast and grilling techniques.
McDonald’s Corp global chief executive Steve Easterbrook told shareholders that sandwich buns would be toasted longer, while a new searing technique of the hamburgers would make them tastier.
He acknowledged that the changes were “little things” but he expressed his hopes that small changes would make a big difference for the restaurant chain’s sales.
“We’re recommitting to tastier food across the menu,”
he added.
The newly appointed CEO announced in March that his company had a turnaround plan to revive profits. The plan included savings, management revival and closing more franchise deals worldwide. He also said he was committed to turning McDonald’s into a progressive company by challenging conventional thinking.
McDonald’s currently struggles with a sharp decline in sales as customers became more concerned about their health and less likely to spend their cash on processed foods. In the U.S., the company reported losses for six consecutive quarters.
On Wednesday, Easterbrook also announced that Golden Arches would no longer provide monthly activity reports in an attempt to shield shareholders from weak short-term results.
He also said that reviving the restaurant chain’s sales in the U.S. was a “burning priority.” Among the strategies to achieve that, he mentioned focusing on convenience and quality and trimming down drive-thru menus to about a half. Drive-thru sales currently represent 70 percent of total sales in the company’s home market.
Easterbrook also admitted that his company lost its leading position in customer service industry. He told investors that new players such as Uber and Amazon currently held that position. So, the company plans to “keep evolving its proposition” to its customers.
Besides revamped customer service, McDonald’s launched new menu items to revive sales. On May 11, it launched new burgers that are made of 100 percent sirloin in an attempt to provide consumers with “real, fresh and authentic” food. In late April, it also rolled out the artisan chicken sandwich, which drew a series of remarks about it not being entirely “artisan.”
On Wednesday, Easterbrook promised that the company would roll out more items that are of high-quality and low price since McDonald’s customers usually live from paycheck to paycheck and not only in the U.S. He said that he hoped this strategy would finally “hit the sweet spot.”
Image Source: First We Feast
