McDonald's Goes 12 Months Without U.S. Sales Growth; Execs Promise Customization and 'Convenient' Payments
McDonald's sales slump has continued into October. On the bright side, the month wasn't as terrible as expected.
McDonald's global comparable sales fell 0.5 percent in October, a lesser drop than the 2.2 percent analysts were predicting.
Sales in Asia/Pacific, Middle East and Africa (APMEA) suffered the most, falling 4.2 percent. China and Japan are still struggling following the chicken supplier scandal in China this summer. However, Australia had a strong quarter, with McDonald's launching a higher-price customization menu that allowed customers to do add toppings like guacamole and pineapple to their burgers.
Related: McDonald's Tries to Tell Haters That 'Lovin' Beats Hatin''
In the U.S., sales dropped 1 percent, marking the 12th straight month without domestic sales growth. In an attempt to reverse the negative trend, McDonald's is revamping marketing and organizational structures, as well as simplifying the menu.
"Today's consumers increasingly prefer customizable food options, dining in a contemporary, inviting atmosphere and using more convenient ways to order and pay for their meals," said McDonald's CEO Don Thompson. "At McDonald's, we are diligently working to bring these elements of the customer experience to life through McDonald's Experience of the Future."
In October, McDonald's reported a global comparable sales decline of 3.3 percent. In addition to bad press and distrustful customers following the chicken scandal in China, franchisees blamed the poor quarter on overcomplicated menus, "idiotic" corporate marketing plans and a lack of corporate leadership.
Related: Burger King Posts Strong U.S. Sales Growth as McDonald's Flounders
Entrepreneur Editors' Picks
-
How Millionaires Prepare for a Recession, According to a Former Wall Street Trader
-
5 Self-Care Habits of Every Successful Entrepreneur
-
Listen Closely to What People Ask You. That's Where to Find Your Hidden Power.
-
Gen Z Customers Want More. This 3-Step Strategy Will Help Your Company Give It to Them.
-
This Founder Was Madly Pulling a Pandemic Pivot When...the FBI Showed Up at Her Door With Guns, Seized Her Money and Told Her Husband He Was the Target of a Criminal Investigation
-
Take Customer Service to the Next Level With These Service-Based Franchises
-
Define Your Short-Term Goals With These 3 Components for Long-Term Success