I'm having a few problems. These fast-food places used to be where poor people ate. But prices have risen far above inflation in recent years. The business model from back then—99-cent burgers and $1.99 meals—is gone. You can't just walk in and get something quickly anymore...
As far as I can tell, McDonald’s itself has also raised its licensing fees for the restaurants… I’m not directly worried about McDonald’s just yet, but the core business in the restaurants—the whole shift to AI and ordering kiosks—hasn’t really paid off…
McDonald’s shareholders have always relied on the fact that poor Americans can at least afford McDonald’s… that model no longer exists… and that makes me cautious.
As far as I can tell, McDonald’s itself has also raised its licensing fees for the restaurants… I’m not directly worried about McDonald’s just yet, but the core business in the restaurants—the whole shift to AI and ordering kiosks—hasn’t really paid off…
McDonald’s shareholders have always relied on the fact that poor Americans can at least afford McDonald’s… that model no longer exists… and that makes me cautious.
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@Musikerie McDonald's has never been "food for poor people." That description is completely misleading. It was and is food for the general public. McDonald's makes a lot more money today than it used to.
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@Musikerie I have to agree with @KryX_DE. McDonald’s used to be known more for being fast. Drive there really fast, wait a little while for a few burgers, then get back to whatever you were doing… lunch break, road trip, etc… At McDonald’s, it’s all about maximum speed and convenience at every turn for everyone… and to this day, no one else comes close. That’s quite a huge moat, isn’t it?
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•@KryX_DE ... But it was definitely poor people who were eating that way. Americans got so fat because fast food is cheaper than grocery store food—you're misinformed on that point. In Europe, it’s never been that extreme, but in America it certainly is... Here in Germany, there’s the added factor that food at the supermarket is almost nowhere as cheap as it is here, so maybe that’s why you don’t see it that way in Germany. At the very least, when you go to a McDonald’s, you’ll see that the middle class is actually in the minority there… it’s mostly working-class food here, too, even though you’re sure to encounter people from all social classes there. It’s not just about income, but also about education.
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•@PoorDad McDonald's has been losing its edge for a while now... Back in the day, the cheeseburgers were always stocked and ready to go... These days, you have to go through the drive-thru if you want to get out of there reasonably quickly; waiting inside the restaurant now takes longer than at any kebab place.
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•@Musikerie With that many customers coming in, who can do it faster? Loser? Who’s the winner here? I have to say: Considering the number of customers, it actually always goes extremely fast. People are greedy and expect more and more because they’ve already gotten used to “fast,” right?
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•@PoorDad Let me put it this way: as a teenager, I’d already scan the display as soon as I walked into the restaurant to see if my Royal TS was ready—or if I should just get two cheeseburgers instead so I wouldn’t have to wait those extra two minutes… Unthinkable today. The last few times I’ve been there, I’ve spent over a quarter of an hour inside, and while waiting for my order, I’ve had plenty of time to watch how the place runs. Most customers sit at their tables with their trays and wait for their food to be brought to them… and I just think, WTF happened here? You see more people waiting than eating. The staff strolls leisurely through the restaurant with their tablets. Back in the day, you waited for your turn to order; today, you wait for your food.
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@Musikerie As far as price goes, that’s actually true. When I was in the U.S. for the first time in the late 2000s, an MC meal cost less than a bowl of fruit at the supermarket. I remember it clearly because I was so shocked that fast food was cheaper than fruit. You could see the effects of that right away just by looking at the people.
Since then, McDonald’s has become significantly more expensive.
Since then, McDonald’s has become significantly more expensive.
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•@SteelAnacott I'm also from the days when I paid €1 for a cheeseburger, or even €1 for a milkshake or a Coke, etc. But let's not pretend that it's only McDonald's that's been hit with these high prices... it's the whole system.
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•@PoorDad I didn't say that. The problem with McDonald's, however, is that while their prices have risen significantly, waiting times—based on my personal observation—have also increased at many franchises (I suspect this has to do with the introduction of order terminals, which also led to staff cuts, but that's just a guess), but the quality hasn’t improved to the same extent. And if you’re no longer fast and affordable, you lose your competitive edge against companies like $TXRH, which, although more expensive from the customers’ perspective, apparently offer a significantly better value for money.
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@Musikerie The speed at the restaurant... well, okay...
Price-wise, if you look at it in perspective, I don't get much more for a meal I have to cook myself at the supermarket for the same amount of money... And compared to other places, the price difference basically remains the same...
It’s never been just for poor people... “Rich” people don’t necessarily pass up the fries at the city market, for example...
And McDonald’s is just convenient: by the highway, at the train station, across from the church, on outings, with kids, on vacation, in the evening, at lunchtime, from the village to the nearest branch, etc.
Please don’t forget: McDonald’s is also a real estate business...
Price-wise, if you look at it in perspective, I don't get much more for a meal I have to cook myself at the supermarket for the same amount of money... And compared to other places, the price difference basically remains the same...
It’s never been just for poor people... “Rich” people don’t necessarily pass up the fries at the city market, for example...
And McDonald’s is just convenient: by the highway, at the train station, across from the church, on outings, with kids, on vacation, in the evening, at lunchtime, from the village to the nearest branch, etc.
Please don’t forget: McDonald’s is also a real estate business...
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