McDonald's, a major fast food chain, has revealed its intention to establish 10,000 new locations globally by 2027, as announced on Wednesday.
In what is set to be McDonald's most rapid expansion phase in its history, the company aims to increase its total number of restaurants to 50,000 by the end of 2027, up from 40,275, as reported by The Associated Press.
McDonald's to Open 10K Stores: Major Expansion in US, UK, and Beyond
McDonald's has unveiled plans to open 900 new locations in the United States and approximately 1,900 in Canada, Germany, the United Kingdom, and Australia. Furthermore, an international expansion of 7,000 stores is underway, with nearly half of these in China, as reported by the AP.
McDonald's President and CEO Chris Kempczinski expressed confidence in the brand's growth trajectory, citing the successful implementation of the 'Accelerating the Arches' strategy.
He highlighted the company's robust growth pillars, brand strength, global presence, and digital ecosystem as crucial factors in McDonald's status as a leading global consumer brand.
Additionally, the company aims to expand its loyalty program to 250 million users by 2027, a significant increase from its current user base, as reported by Reuters.
This growth is part of a broader strategy to achieve over $45 billion in annual sales, a substantial rise from the current $20 billion in system-wide sales.
Meanwhile, McDonald's is known for Big Macs, fries, and chicken, and the company has no plans to change that.
The press release said, "Core menu items, such as the Big Mac, Quarter Pounder, Chicken McNuggets, and World-Famous Fries, are truly the core of this business, representing about 65% of Systemwide sales and driving profitable growth." It also said that these items would be given more attention in the future.
In other countries, McDonald's meals have more choices, but because the company is so prominent in the U.S. market, it's hard for them to add new items.
For example, when it came out with a blueberry drink years ago, the chain bought up almost a third of the blueberries in the U.S. in one night.
Also Read: McDonald's New Happy Meal Toy Sales to Benefit Harlem Arts Alliance
Technological Advancement
McDonald's said it wants to use AI tools to help stores talk to each other better.
The chain will use generative AI to reduce business interruptions and "accelerate automation innovation."
No one knows how the new technology will be used, but the business said it will help customers get "fresher, hotter food."
Moreover, McDonald's is enhancing its operations by integrating advanced technology and AI through a strategic partnership with Google Cloud. This collaboration will introduce cloud technology and AI solutions across McDonald's global restaurants to improve automation, reduce business disruptions, and ensure hotter, fresher food for customers.
Sundar Pichai, CEO of Google and Alphabet, emphasized the potential of AI and cloud computing in revolutionizing the dining experience at McDonald's worldwide.
Beginning in 2024, McDonald's will deploy new, universal software across all its digital platforms, streamlining innovation and offering customers a more consistent experience across various ordering methods.
This technology shift, leveraging a vast pool of global data, will accelerate the development of AI solutions tailored to enhance restaurant operations and customer experience at McDonald's.
Related Article: Curiosity Peaks as McDonald's New Secret Restaurant Concept, 'CosMc's,' Emerges in Illinois
