McD’s aims to become drinks destination

Crain's Chicago Business · #1 (**permalink**) May 27th, 2009

May 27th, 2009 09:51 AM - (Crain’s) — McDonald’s Corp. executives said Wednesday their bottled beverage strategy will focus on water and sports drinks, rather than energy drinks or carbonated beverages.

The strategy, discussed at McDonald’s annual meeting, is part of the Oak Brook-based fast-food giant’s goal ...

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Richard Adams · #2 (**permalink**) May 27th, 2009

MCD bottled beverage strategy is likely doomed to failure since franchisees have ZERO motivation to sell these drinks vs. a very profitable fountain drink. If a drink sells for $2.00 MCD Corp still gets their 12% to 20% in rents and royalties. The franchisee's profit on that $2.00 might be minimal or at best a fraction of the profit on a fountain drink. Smart franchisees will not promote these drinks and keep very few in inventory.

#3 (**permalink**) June 3rd, 2009

I enjoy reading your blog, especially the comments about McDonald's. :-)

Franchise Equity Group

Eric

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McD’s aims to become drinks destination

McD’s aims to become drinks destination

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