MCD Announces Menu Upgrades, Store Revamp To Drive Growth — But Stock Ends Lower

• CEO Chris Kempczinski said the company aims to become customers’ first choice by combining value, convenience, speed, and food quality.
• The company is reportedly testing new chicken offerings, including hand-breaded wings and filets.
• Restaurant upgrades are expected to play a big role in MCD’s long-term growth strategy.

McDonald’s (MCD) on Monday announced a new corporate strategy to revamp its operations and bring more customers back to its restaurants.

Called “McDonald’s > NEXT,” the plan emphasizes greater use of automation, higher service standards, more targeted digital and social media marketing and improvements to core menu offerings such as burgers and fries.

Despite the announcements, MCD stock closed Monday down 1.11% and slipped slightly further in after-hours trading, down 0.01% at the time of writing.

MCD Plans Menu Revamp, Tests New Chicken Items

McDonald’s CEO Chris Kempczinski told Bloomberg News that a key focus of the company’s upcoming “Next” strategy is upgrading its food offerings, including testing new chicken items to better compete with chains like Raising Cane’s. The company is exploring additions such as hand-breaded wings and chicken filets as part of a broader push that also includes improved food quality, stronger social media engagement, and restaurant upgrades aimed at sustaining growth, reported Bloomberg.

McDonald’s said detailed financial targets and additional plans will be shared at an investor event in September, according to Reuters.

MCD Reportedly Eyes New Restaurant Layout Changes

McDonald’s is preparing another round of restaurant redesigns as it looks to refresh the customer experience, according to Bloomberg. Over the past decade, the company has shifted toward sleeker, more modern interiors. But in the process, it has largely phased out bright colors and mascots, drawing criticism that many locations now feel “gray and generic,” Bloomberg reported. The company is now aiming to “inject some of the playfulness” back into its stores, while also making layouts more open and airy.

MCD Says Customers Now Expect ‘The Total Of Everything’

CEO Kempczinski said McDonald’s has strengthened its system through a large loyalty program, stronger brand relevance, and new capabilities. He said competition is rising as rivals improve menus and specialty chains lift expectations on taste and quality.

He added that inflation is keeping value in focus and McDonald’s must “earn, and re-earn, each and every visit,” as customers now expect “the total of everything” without trade-offs between speed, quality, value, and convenience.

MCD Stock: What Stocktwits Retail Sentiment Says

Retail sentiment on Stocktwits for MCD was “bearish” on Monday, unchanged over the past 24 hours. Message volume over the past seven days has surged 525%.

The MCD stock has fallen around 11% in the past 12 months. 

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