McDonald’s responds to sales decline

By Michelle Perrett

- Last updated on GMT

McDonald’s responds to sales decline

Related tags: Influenza, Chief executive officer, Executive officer

McDonald’s has launched a turnaround plan to fight falling sales across the business. 

In the US, comparable sales decreased 2.2% in May reflecting a declining number of customers and ongoing competitive activity.

The fast-food giant saw like-for-like global sales decline overall by 0.3% but the European business traded well with like-for-like sales up 2.3%. Strong results in the U.K. and slightly positive performance in Germany and France were partly offset by slightly negative results in Russia, McDonald’s revealed.

In Asia Pacific Middle East and Australia, comparable sales declined 3.2% in May as a strong performance in Australia was offset by continued challenges in Japan and a negative performance in China.

McDonald’s USA is introducing value options as well as running a variety of trials including extended breakfast hours and customised burgers.

Steve Easterbrook, president and chief executive officer said: “Our talented franchisees, suppliers and employees are placing renewed emphasis on the basics of great-tasting, high-quality food, compelling value and outstanding service.

“Our goal is to be a modern, progressive burger company that is responsive to consumers’ evolving preferences, provides a contemporary experience for our customers and drives long-term value for our system and our shareholders.”

McDonald’s is also facing another threat to sales in the US as reports claims the bird flu virus affecting egg laying chickens in the country could see a lack of availability of the McMuffin.

According to US website Fox News poultry producers that supply McDonald’s with eggs are warning the effects of the flu outbreak are affecting egg production.

Related topics: Meat

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