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CNBC: McDonald's to Add Self-Order Kiosks to 1,000 Stores Each Quarter


By    |   Monday, 04 June 2018 02:25 PM

McDonald's Corp. reportedly plans to upgrade 1,000 stores with kiosk and mobile order technology every quarter for the next eight to nine quarters.

International markets like Canada, Australia and the U.K. are already fully integrated with kiosk service and mobile ordering, CNBC reported.

The world's biggest fast food chain by revenue (MCD) has also been exploring delivery in the U.S. in an attempt to meet customer demand and changes in how consumers want to get their food as the fast-food giant works to build a better McDonald's.

"What we're finding is when people dwell more, they select more," CEO Steve Easterbrook told CNBC. "There's a little bit of an average check boost," he said

"If you think about only two years ago, if you were a customer there were two ways you can get served at McDonald's," Easterbrook said. "You walked to the front counter and line up and take your drink and find a table or you go through the drive through. We're introducing many options. They can order through mobile, they can come curbside and we'll run it out as well as the existing traditional ways. You can pay in different ways and customize your food in different ways. I think we're trying to add more choice and variety."

McDonald’s said in late April it blew past analysts’ forecasts for profit and revenue on Monday, helped by higher sales in overseas markets and as U.S. customers spent more at its outlets.

The results underscore the success of Chief Executive Officer Steve Easterbrook’s multi-year turnaround plan launched in 2015 to refresh McDonald’s menus, add more technology to stores and make outlets more welcoming for customers, Reuters explained.

New changes also included adding more high-margin “gourmet” burgers, which use fresher and more expensive ingredients and cost $6 or $7, and new $1 to $3 value options.

Same-restaurant sales in its most profitable market, the United States, rose 2.9 percent and topped analysts’ expectations on higher average check tallies that was propelled by consumers opting for $1-$3 value menu items, while also adding more expensive burgers.

“The value price menu does bring people in, but people tend to spend more ... people still want a number of key McDonald’s items like the Quarter Pounder and the Big Mac,” Tigress Financial Partners analyst Ivan Feinseth said.

McDonald’s and other fast food chains have been concentrating on drawing customers with cheap options as they battle for a bigger share of a pie that is not growing.

(Newsmax wire services contributed to this report).

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McDonald's Corp. reportedly plans to upgrade 1,000 stores with kiosk and mobile order technology every quarter for the next eight to nine quarters.
cnbc, mcdonalds, self, order, kiosk, fast, food
Monday, 04 June 2018 02:25 PM
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