User Panel
User Panel
User Panel
|
Posted: 7/16/2015 11:53:08 AM EDT
McDonald's franchisees have never been this depressed
Just when you thought it couldn't get much worse for McDonald's, it did.
The six-month outlook for franchisees is at an all-time low, according to a small survey by Mark Kalinowski, a long-time restaurant industry analyst. Some 29 franchisees, who collectively own and operate 208 McDonald's restaurants in the United States, were asked to give their six-month forecast from 1 (poor) to 5 (excellent). The average response was 1.69, the lowest in the survey's history. Previously, the lowest rating was 1.81, which was recorded three months ago. US consumers have not been “lovin’ it” at McDonald’s for some time, but this year will be the first in its 60-year history that the fast-food chain will close more stores in its home market than it will open. 
Franchisees in the survey cited a range of issues, including weak marketing, poor customer perceptions and corporate ignorance. "My numbers are not good due to new competitors," one franchisee said. "Overall, sales are still in a slump and I don't see much to get excited about in 2015." Another respondent said, "At least half of the operators in my region are on [the] verge of collapse. With minimum wage for fast food workers potentially increasing to incredibly high levels, we are facing a crisis situation." Says another franchisee: "The only thing saving many operators with the high rents that they have now would be the low interest rates. All the re-investments over the last five years with MRPs [major remodel projects], rebuilds and kitchen and lobby remodels--not to mention the McCafé and blended ice machine remodels--have absolutely killed the operator's equity in their business."
Echoed another operator, "We need some relief in rents/service fees, yet McDonald's continues to push new systems like Create Your Taste ($150,000 per store), breakfast all day, new drink systems ($600 per month) and still pushing MRPs that don't come close to the numbers they promised." http://www.cnbc.com/2015/07/16/mcdonalds-franchisees-have-never-been-this-depressed.html |
|
|
|
Posted: 7/16/2015 11:54:55 AM EDT
[#1]
Keep my $1 coffees coming.
|
|
|
|
Posted: 7/16/2015 11:55:30 AM EDT
[#2]
LOL. They've fucked the operators, but the operators have fucked themselves too.
If you've eaten at a McD's in the last 5 year, and especially if you've gone inside to do so, you know why. Only thing worse than the service is the food. |
|
|
|
Posted: 7/16/2015 11:56:42 AM EDT
[#3]
The analysts say the big issue now is that their is an entire generation of young kids who never ate at McDonald's because their parents never took them there and that is affecting their bottom line as they age.
|
|
|
|
Posted: 7/16/2015 11:56:50 AM EDT
[#4]
"outlook for franchisees"
McDonald's corporation is not it's franchisees. McDonalds is a real estate holding company. McDonald's Corp owns billions (possibly trillions) in land assets. They are fine. These stories are just designed to make people go, "God damn, McDonald's is in the shitter?!?!" But the company is not. Some franchisees are just going tits up. |
|
|
|
Posted: 7/16/2015 11:57:35 AM EDT
[#5]
I avoid McD's....hate their food. Maybe $15/hr as a minimum wage can help them hire better staff as well.
|
|
|
|
Posted: 7/16/2015 11:57:52 AM EDT
[#6]
Supply and demand is a bitch!
|
|
|
|
Posted: 7/16/2015 11:58:28 AM EDT
[#7]
Food sucks.
Service sucks Restaurants filthy Gee....if only they could figure out the problem. 
|
|
|
|
Posted: 7/16/2015 11:58:51 AM EDT
[#8]
Fight for Fifteen!
|
|
|
|
Posted: 7/16/2015 11:59:10 AM EDT
[#9]
Quote HistoryQuoted:
I avoid McD's....hate their food. Maybe $15/hr as a minimum wage can help them hire better staff as well. It's the only way to save the company..... |
|
|
|
Posted: 7/16/2015 11:59:22 AM EDT
[#10]
It's simple: They're too expensive to eat at. *shrug* |
|
|
|
Posted: 7/16/2015 11:59:39 AM EDT
[#11]
They need to do more advertising to gays at 2% of the population and Blacks at 13% of the population and ignore the rest of us. Because that is smart marketing.
|
|
|
|
Posted: 7/16/2015 11:59:55 AM EDT
[#12]
 |
|
|
|
Posted: 7/16/2015 12:00:25 PM EDT
[#13]
|
|
|
|
Posted: 7/16/2015 12:00:33 PM EDT
[#14]
McDonalds is meant to be eaten when drunk at 3am or hungover at 10am. I don't know why someone would eat there at any other time.
|
|
|
|
Posted: 7/16/2015 12:00:38 PM EDT
[#15]
When they targeted a certain demographic, they alienated everyone else.
|
|
|
|
Posted: 7/16/2015 12:01:36 PM EDT
[#16]
Quote HistoryQuoted:
McDonalds is meant to be eaten when drunk at 3am or hungover at 10am. I don't know why someone would eat there at any other time. I only stop if I'm on the road for a quick bite otherwise I never go there. |
|
|
|
Posted: 7/16/2015 12:01:54 PM EDT
[#17]
Food and service are both the worst out of the major crap food vendors (BK, Wendy's, McD's, Taco Bell, KFC). McD's also has seen its breakfast customers stolen away by Taco Bell. McD's also has retards running its marketing campaigns.
Wow, who would've known if you run a business as hard as you can into the ground it actually will go into the ground? Fucking theoretical physics level stuff here. |
|
|
|
Posted: 7/16/2015 12:01:57 PM EDT
[#18]
McDonalds started catering to a different clientele years ago, food quality went down, as did the service.
Pox be upon them. |
|
|
|
Posted: 7/16/2015 12:02:19 PM EDT
[#19]
Quote HistoryQuoted:
Food sucks. Service sucks Restaurants filthy Yep. |
|
|
|
Posted: 7/16/2015 12:03:03 PM EDT
[#20]
Their drive-thrus suck ass around here.
Also their prices suck. If I am paying McDs prices to sit in the drive thru for 20 minutes I will go to a restaurant and get table service. |
|
|
|
Posted: 7/16/2015 12:03:04 PM EDT
[#21]
Quote HistoryQuoted:
Yep. Quote HistoryQuoted:
Quoted:
Food sucks. Service sucks Restaurants filthy Yep. +1. 
|
|
|
|
Posted: 7/16/2015 12:03:42 PM EDT
[#22]
Too big to fail. Obama must issue more EBT cards
|
|
|
|
Posted: 7/16/2015 12:04:49 PM EDT
[#23]
Quote HistoryQuoted:
When they targeted a certain demographic, they alienated everyone else. Yep. |
|
|
|
Posted: 7/16/2015 12:04:54 PM EDT
[#24]
Having a McDonald's and having a Humanities/Sociology degree both based on false/unreal/high expectations.
|
|
|
|
Posted: 7/16/2015 12:06:23 PM EDT
[#25]
I can't even remember the last time I ate there.
|
|
|
|
Posted: 7/16/2015 12:06:24 PM EDT
[#26]
they have really been pushing the renovations in my area. Three locations that I can think of have been completely demolished and then rebuilt from scratch in the past three years. The stores look really nice now from the road... and my family still will not eat there under any circumstances since we know what is inside.
Times are a changing, and fast food is being squeezed from several directions. |
|
|
|
Posted: 7/16/2015 12:06:48 PM EDT
[#27]
The McDonards near my house is fairly new and they just built this huge two lane drive up window thing. Every time I drive by it it is packed to the gills.
If they are hurting you'd never know from that one. Then again as I understand it the staff at that location is, shall we say, actually good. |
|
|
|
Posted: 7/16/2015 12:06:54 PM EDT
[#28]
Quote HistoryQuoted:
"outlook for franchisees" McDonald's corporation is not it's franchisees. McDonalds is a real estate holding company. McDonald's Corp owns billions (possibly trillions) in land assets. They are fine. These stories are just designed to make people go, "God damn, McDonald's is in the shitter?!?!" But the company is not. Some franchisees are just going tits up. Quote HistoryQuoted:
"outlook for franchisees" McDonald's corporation is not it's franchisees. McDonalds is a real estate holding company. McDonald's Corp owns billions (possibly trillions) in land assets. They are fine. These stories are just designed to make people go, "God damn, McDonald's is in the shitter?!?!" But the company is not. Some franchisees are just going tits up. Bro, do you even do financials, bro? Just how bad is it at McDonald's? First-quarter profits tumbled by nearly $400 million, or roughly a third. That's a steeper pace of profit declines than all of last year. Global sales at McDonald’s dropped 2.3 percent year over year during the first quarter of 2015, which the company attributes to “negative guest traffic in all major segments.” Revenues dipped 11 percent from the first quarter of 2014, and net income plummeted 33 percent to $811.5 million – its lowest quarterly reading since 2007. |
|
|
|
Posted: 7/16/2015 12:07:32 PM EDT
[#29]
Cater to the wrong demographic and alienate the one that will make you money, and this is what happens.
|
|
|
|
Posted: 7/16/2015 12:07:42 PM EDT
[#30]
The only time i go to McD's is when the triple cheeseburger is on sale.
Chic fil a, Burger King, Taco Bell, and Bojangles when I do hit fast food. |
|
|
|
Posted: 7/16/2015 12:08:18 PM EDT
[#31]
Quote HistoryQuoted:
It's simple: They're too expensive to eat at for the quality of food you receive. *shrug* FTFY. Around here it would cost roughly $18 for two adult combo meals and two kids meals from McDonald's. For $2-$3 more I can take my family to Culver's, In-N-Out or CFA and receive food that is a much higher quality and much fresher tasting than McDonald's. Or for the same money we can hit up Popeye's for a couple of kids meals and $5 combo box specials they're always running. |
|
|
|
Posted: 7/16/2015 12:08:24 PM EDT
[#32]
If McDonalds would simply start making stuff like they did in the 70s/early 90s, they would do fine.
Tallow to fry the fries for starters. Cinnamon Sugar coated fired apple pies for another. |
|
|
|
Posted: 7/16/2015 12:09:28 PM EDT
[#33]
Quote HistoryQuoted: The analysts say the big issue now is that their is an entire generation of young kids who never ate at McDonald's because their parents never took them there and that is affecting their bottom line as they age. I could see that for sure. I think gen x and gen y who aren't FSA probably sees how fucked giving McDonald's to kids is. It sets horrible eating habits for life , IMHO. |
|
|
|
Posted: 7/16/2015 12:09:39 PM EDT
[#34]
Quote HistoryQuoted:
I can't even remember the last time I ate there. I do! March 2008. Ate a breakfast burrito. Started a new job that month and missed half the first day due to food poisoning. How I drove back home is a mystery. |
|
|
|
Posted: 7/16/2015 12:09:42 PM EDT
[#35]
Quote HistoryQuoted: The only time i go to McD's is when the triple cheeseburger is on sale. Chic fil a, Burger King, Taco Bell, and Bojangles when I do hit fast food. But McDs is pretty much hood-rat fine dining these days, rarely see many whities in there anymore. |
|
|
|
Posted: 7/16/2015 12:09:55 PM EDT
[#36]
Quote HistoryQuoted:
They need to do more advertising to gays at 2% of the population and Blacks at 13% of the population and ignore the rest of us. Because that is smart marketing. Meanwhile In-N-Out rolls merrily along.with a fraction of the marketing/advertising expense. |
|
|
|
Posted: 7/16/2015 12:11:37 PM EDT
[#37]
I haven't been there in a couplea years, but last time I was a regular ol' hamburger... like a "big mac" cost near $5... fucking $5 for a dried out McDonalds burger??
you can't be serious
|
|
|
|
Posted: 7/16/2015 12:11:40 PM EDT
[#38]
Grumpycatgood.jpg
|
|
|
|
Posted: 7/16/2015 12:11:47 PM EDT
[#39]
The only time I'll see the inside of a McDonalds is if I have to pee on a long road trip.
maybe if I need a coffee too |
|
|
|
Posted: 7/16/2015 12:12:26 PM EDT
[#40]
The other night I wanted food and McDonalds was the only place open. A meal ended up being like 8 bucks. Why would someone go there when they can get better food for the same price?
|
|
|
|
Posted: 7/16/2015 12:13:29 PM EDT
[#41]
Stopped in one to use their restroom, and it was extremely nice. I seldom choose fast food, but my perception of their product and company is pretty good. Hell, that sirloin burger they were pimping really was impressive to my surprise when I tried it about two months ago. Can't wait to see more of them ax the people up front for the machines that permit you to generate your own order.
But,yeah,when you're literally on every street corner.... |
|
|
|
Posted: 7/16/2015 12:13:31 PM EDT
[#42]
They have competition now, and not just in the form of burgers. And the competition is better in every way.
|
|
|
|
Posted: 7/16/2015 12:14:14 PM EDT
[#43]
Quote HistoryQuoted:
When they targeted a certain demographic, they alienated everyone else. They did indeed. Black 360 turned me off of McDonald's years ago. They don't want my money. |
|
|
|
Posted: 7/16/2015 12:14:27 PM EDT
[#44]
They've had their run. Crappy food that's expensive.
|
|
|
|
Posted: 7/16/2015 12:14:44 PM EDT
[#45]
These days I find Wendy's worse that McD's. Their fries went from first to worst and they got rid of their burgers with bacon except for that horrid baconator.
|
|
|
|
Posted: 7/16/2015 12:14:59 PM EDT
[#46]
Quote HistoryQuoted:
Too big to fail. Obama must issue more EBT cards Go ahead, laugh.....guarantee it's only a matter of time before EBT is allowed at fast food places. |
|
|
|
Posted: 7/16/2015 12:15:02 PM EDT
[#47]
I'm sure these kinds of customer experiences have no impact on them. None whatsoever.
 |
|
|
|
Posted: 7/16/2015 12:15:55 PM EDT
[#48]
i only go there for the dollar coffee and sausage muffin these days. used to go there when i was young and the kids were young. i just don't eat as much burgers as i did in the past
|
|
|
|
Posted: 7/16/2015 12:16:42 PM EDT
[#49]
food sucks now,derp....
|
|
|
|
Posted: 7/16/2015 12:16:51 PM EDT
[#50]
Quote HistoryQuoted:
I'm sure these kinds of customer experiences have no impact on them. None whatsoever.  http://www.youtube.com/watch?v=_gzSQX8GkMoThat's exactly who they want in their restaurants. |
|
|
Win a FREE Membership!
Sign up for the ARFCOM weekly newsletter and be entered to win a free ARFCOM membership. One new winner* is announced every week!
You will receive an email every Friday morning featuring the latest chatter from the hottest topics, breaking news surrounding legislation, as well as exclusive deals only available to ARFCOM email subscribers.
AR15.COM is the world's largest firearm community and is a gathering place for firearm enthusiasts of all types.
From hunters and military members, to competition shooters and general firearm enthusiasts, we welcome anyone who values and respects the way of the firearm.
Subscribe to our monthly Newsletter to receive firearm news, product discounts from your favorite Industry Partners, and more.
Copyright © 1996-2024 AR15.COM LLC. All Rights Reserved.
Any use of this content without express written consent is prohibited.
AR15.Com reserves the right to overwrite or replace any affiliate, commercial, or monetizable links, posted by users, with our own.
