Passing the buck to franchisees
When customers said they wanted specialty coffee, McDonald’s listened. But the global powerhouse known more for its burgers and fries also listened to a more familiar voice: that of its franchisees, who own 85 percent of the restaurants.
In December, McDonald’s announced it would pay up to 40 percent of the cost of renovating a restaurant for the rollout, which could be as much as $75,000. Equipment to make mochas, lattes and other drinks would cost an additional $25,000
McDonald’s is willing to provide the funds because it views specialty coffee as a business growth opportunity, said Danya Proud, spokeswoman for Oak Brook, Ill.-based McDonald’s USA.
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