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Mcdonald’S Warns Of Sales Drop In April

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http://www.nytimes.com/aponline/2013/04/19/business/ap-us-earns-mcdonalds.html?ref=business&_r=0

McDonald's managed to eke out a higher profit for its first quarter even as the world's biggest hamburger chain failed to lift sales with its Dollar Menu.

The company said Friday that an important sales measurement fell 1 percent during the period and warned that it's expected to dip again in April.

That marked the first quarterly decline in a decade in sales at restaurants open at least 13 months and underscored the troubles the company has been facing.

As Burger King and Wendy's have stepped up their marketing over the past year or so, McDonald's has responded by aggressively touting its Dollar Menu and other value deals to hold onto customers in an industry where imitation is rampant.

The strategy has caused concern among analysts who worry that it could eat into profit margins. It's also rankled some McDonald's franchisees, who operate the vast majority of its restaurants in the U.S.

The burgerless recovery.

MacDonalds peaked?

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It's natural as the UK declines. he bottom end used to be Mcdonalds but it has now become a small luxury. Just as LIDL is the new Tesco.

MUCH cheaper local fast food joints have sprung up everywhere around here.

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It's natural as the UK declines. he bottom end used to be Mcdonalds but it has now become a small luxury. Just as LIDL is the new Tesco.

MUCH cheaper local fast food joints have sprung up everywhere around here.

For the price of a "Big Mac Meal", you can go to a Wetherspoons, and get a meal on a plate with a pint! :huh:

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They could make the process simpler with pre-frying everything centrally before reaching the restaurant. Can people really tell if everything is microwaved? I sure can't tell the difference between Microchips and freshly fried fries, or one of those Rustler burgers.

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quite.never seemed that cheap to me.and pretty sickly and unfilling to boot.

..... like the sickly smell you sometimes get when walking into their stores. ;)

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For the price of a "Big Mac Meal", you can go to a Wetherspoons, and get a meal on a plate with a pint! :huh:

Tis true.

KFC are even more expensive though.

In my Surrey town, KFC meal is £4, or £3 for same thing from local chain.

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For the price of a "Big Mac Meal", you can go to a Wetherspoons, and get a meal on a plate with a pint! :huh:

Exactly. A couple of years ago i could get a burger, chips and drinks at the BK for about £2.00. Last time i went in it was £6-7.

A beer+chips and a burger in wetherspoons is only £3.99 IIRC. and theyre proper bulky chips, not the cardboard shreds you get in BK/MaccyDs.

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They could make the process simpler with pre-frying everything centrally before reaching the restaurant. Can people really tell if everything is microwaved? I sure can't tell the difference between Microchips and freshly fried fries, or one of those Rustler burgers.

Your taste buds are dead if you can't tell the difference between soggy, dry microwave chips and freshly fried. And it's not as if frying is expensive or difficult!

Mcdonald's is too expensive. As said spoons or other pub chains like sizzling will do a meal for the same price or less that is much more filling. In London £1 chicken fillet/burger and chips places are everywhere. Then there's noodle bars that do massive plates for £4. It surprises me mcdonalds have as many people they do in the UK. They are the most expensive fast food chain in the states too. Wendy's and BK are cheaper and I think taco are too.

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McD's are probably well enough off to weather any storm in the short term but it is the damage it will do to its share price and confidence in the firm going forward it will be acutely aware off.

Time are certainly changing now. These firms rely on a healthy discretionary spend being available in people's pockets and many simply don't have that leeway anymore. Tesco is a prime example while Lidl and Aldi are booming.

Much of our High Street economy went over to coffee shops and fancy sandwich outlets to please the masses. Many of these will not have the capital resources to weather the storm like McD and KFC have.

There will be blood on the High St pavements.

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Exactly. A couple of years ago i could get a burger, chips and drinks at the BK for about £2.00. Last time i went in it was £6-7.

A couple of years ago? I doubt that. There were burger-for-a-quid deals at BK just like McDonalds, but then you would pay £1 for and £1+ for a drink. The drinks and fried are where they make the money.

Still, prices have gone up a lot.

I think the thing that may have hurt McDonalds in the UK was the beef/horse debacle, that may have put people of "cheap beef" for a while.

The fries and drinks are where the profit is made... the burgers have a comparatively high cost due to the man-effort involved along with wastage.

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They could make the process simpler with pre-frying everything centrally before reaching the restaurant. Can people really tell if everything is microwaved? I sure can't tell the difference between Microchips and freshly fried fries, or one of those Rustler burgers.

Taco Bell thought their customers were thick and tried this - and it was a disaster

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For the price of a "Big Mac Meal", you can go to a Wetherspoons, and get a meal on a plate with a pint! :huh:

Too true. Missus has an addiction to KFC so occasionally sends me out to get one. Prices are frankly ridiculous for what you get - especially for a so-called meal. You would be better off buying a whole roast chicken from a supermarket counter and either a loaf of bread or a portion of chips from your local chippie to with it. That way, 2-4 people could have a decent fill rather than barely one.

They've traded on branding for too long.

Local cafes seem to go in one of two directions: OK cheap food or ridiculous prices just to have a sprig of parsley on a sandwich. One place we rejected yesterday (in favour of Wetherspoons) was charging £7.50 for a sandwich. Even in London it's near impossible to pay those prices.

Edited by StainlessSteelCat

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Actually went to Mcdonalds yesterday - it was fine BUT.....

99p for a Sugar ring doughnut. Now, I didn't want it or need it but it immediately made me think they were at it. I have said before that this kind of pricing put me off Tesco because I didn't feel I could trust them.

Am I so much in the minority? IE a couple of items clearly overcharged makes me think 'wait a minute, they are taking the piss' and I tend not to go back. I like a shop I can trust not to rip me off even if they have the chance.

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Actually went to Mcdonalds yesterday - it was fine BUT.....

99p for a Sugar ring doughnut. Now, I didn't want it or need it but it immediately made me think they were at it. I have said before that this kind of pricing put me off Tesco because I didn't feel I could trust them.

Am I so much in the minority? IE a couple of items clearly overcharged makes me think 'wait a minute, they are taking the piss' and I tend not to go back. I like a shop I can trust not to rip me off even if they have the chance.

You're not alone. A bakery charged me a £1 a gingerbread man the other week. No matter how competitively priced the rest of their range is - I won't be back to find out. Plus I'm likely to tell all my local friends what a rip off they are.

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Anyone know the property status of these big chains? Clearly town centre operations will be leased particularly where there are several floors in the building but perhaps they own a lot of the out of town stand alone's?

I wonder how many of them borrowed to expand on the back of their ever increasing property portfolio's.

Morrisons went after Safeway some years ago for purely this reason. Safeway owned most of the stores outright.

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Not all doom and gloom in the sector......

Perhaps people are becoming tired of McD and BK and are preferring newer healthier models?

http://www.bbc.co.uk/news/business-22244860

Sandwich chain Pret A Manger has said it plans to create at least 500 new jobs in the UK this year, as part of a plan to add 1,000 new staff worldwide.

Its announcement came as it reported a 17% rise in profits to £61.1m in 2012, with sales also up by 17% to £443m.

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Not all doom and gloom in the sector......

Perhaps people are becoming tired of McD and BK and are preferring newer healthier models?

http://www.bbc.co.uk/news/business-22244860

These seem to be the only jobs being created at the moment. Pret, KFC, Subway.....

All minimum wage jobs with many part-timers (and most not British). Vive la recovereh! :rolleyes:

Edited by Eddie_George

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Am I so much in the minority? IE a couple of items clearly overcharged makes me think 'wait a minute, they are taking the piss' and I tend not to go back. I like a shop I can trust not to rip me off even if they have the chance.
You're not alone. A bakery charged me a £1 a gingerbread man the other week. No matter how competitively priced the rest of their range is - I won't be back to find out. Plus I'm likely to tell all my local friends what a rip off they are.

They aren't a f*cking charity. It's how retail works, you bring customers in with special offers and then make profit on the extra stuff the buy. If they don't make a profit they got bust, then you wont have a bakery to shop at.

Running a hot food shop is expensive. Once you've paid rent and rates, you get a whacking great insurance bill followed by whacking great energy bills. Add in the cost of the staff and think how much profit they have to make per hour (sales less ingredients) in order to cover their costs.

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Once you've paid rent and rates, you get a whacking great insurance bill followed by whacking great energy bills.

And whacking great pest removal bills.

And whacking great spoilage bills.

And if a franchise, whacking great skim to parent company.

And whacking great losses by theft. Selling food, and especially if in a pub, loses you a lot of money because you simply cannot trust people. I have friends in the business and I've seen what it can do when you have family or friends working...and pilfering...even small things.

Edited by cashinmattress

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I was reading a financial article this morning where someone wrote that they decided to go on an economy drive so decided to give up his daily Starbucks coffee costing, IIRC, $1.93 in the US.

Instead, he went to MacDs where he said the coffee cost over 2 bucks... and they did not give him any milk or sugar apparently because he did not ask for it at the time he ordered...

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Actually went to Mcdonalds yesterday - it was fine BUT.....

99p for a Sugar ring doughnut. Now, I didn't want it or need it but it immediately made me think they were at it. I have said before that this kind of pricing put me off Tesco because I didn't feel I could trust them.

Am I so much in the minority? IE a couple of items clearly overcharged makes me think 'wait a minute, they are taking the piss' and I tend not to go back. I like a shop I can trust not to rip me off even if they have the chance.

:lol::lol::lol:

You're not supposed to buy the sugar donut!!! You get it free when you win on the McDonalds monopoly promotion (peel the stickers on the burger/chips box). The circa £1 price tag is just intended to make people think they are getting £1 worth of goods extra.

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Anyone got Mayfair? I have Parklane - if anyone wants to buy it for £25,000. (We split the top prize in half ultimately).

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Ha what a scam. There are people selling Monopoly stickers, as a gamble.

E.g.

http://www.ebay.co.uk/itm/McDonalds-Monopoly-Fortunes-Is-it-MAYFAIR-or-PARK-LANE-Take-A-Gamble-/300893985953?pt=UK_Tickets_Trave_Vouchers_Coupons_LE&hash=item460eaddca1

There is only ONE EIGHT Mayfair stickers and billions of Park Lane stickers. Who ever gets Mayfair, can easily get Park Lane and claim the top prize.

Edited by Notanewmember2

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  • 238 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



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