Yesterday, McDonald's executives revealed that the company is making some significant changes to its breakfast menu to try to win back customers who have been defecting to other fast-food chains.
And what are the changes announced by McDonald's? Triple Breakfast Stacks, which will be offered at U.S. restaurants beginning on November 1.
A Triple Breakfast Stack is a supersized breakfast sandwich with triple meat -- two sausage patties with bacon, two slices of cheese (American, of course), and an egg. There will be three different options when it comes to the bread part of the sandwich: biscuit, McGriddle, or McMuffin.
It's no secret that McDonald's business has been trending downward over the past several years. While revenue was $25.4 billion in 2015 -- a drop of 7.32 percent from the previous year -- this figure slid to $24.6 billion in 2016 and then dropped to $22.8 billion in 2017. While a significant portion of this decline is a result of refranchising thousands of its restaurants, company executives are surely anxious to turn around this downward trend.
On yesterday's analyst call, McDonald's CEO Steve Easterbrook remarked, "We haven't had much new food news at breakfast for a little while." The last major news in the breakfast department was the McDonald's announcement in 2016 that it was going to offer certain all-day breakfast options and the addition of barista-type espresso machines to restaurants to up the ante on its coffee drink menu.
The secret's out. We were inspired by your love for menu hacks and our "Secret Menu," so we created a NEW breakfast item: Triple Breakfast Stacks. Big mornings are going to be stacked in your favor starting 11/1 pic.twitter.com/6Gj9fwgysf-- McDonald's (@McDonalds) October 24, 2018
Things have gotten tougher out there for McDonald's when it comes to breakfast, with competitors such as Starbucks, Taco Bell, Chick-fil-A, Dunkin' Donuts, and others all offering breakfast food options. According to Easterbrook, "It's very competitive out there at breakfast. We're still losing a little share ... it continues to be a battleground. We want to do better at breakfast."
If the company wants to reverse its downward revenue trend, I suspect that McDonald's needs to do better at lunch and dinner, too.