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Big Food is in limbo, but America seems to be lovin’ McDonald’s more than ever. That may have something to do with its association with “value” — a word the chain mentioned at least 90 times during its most recent earnings call.
Even in the world of fast food, which finds itself in a bit of a shake-up with diners grumbling over soaring prices at big-name chains, consumers can’t seem to resist their McDonald’s fix.
The burger giant continues to reign supreme, according to the QSR 50 yearly ranking report of fast food chains across the U.S. The magazine collected sales data directly from restaurants between March and May of this year.
Ranking high on the list is no tall order for a company like Starbucks, which claimed the second spot on this year’s list. McDonald’s, however, is setting a sizzling bar that is far higher when it comes to revenue.
To put it in perspective, McDonald’s U.S. sales topped $53 billion last year. That’s almost double the $28.7 billion in U.S. sales Starbucks reported during that timeframe. Though the two businesses aren’t exactly in the same lane — burgers and scones are as comparable as apples and oranges — McDonald’s is working on serving better coffee.
McDonald’s number-one spot seems closely linked to its emphasis on “value.” A big chunk of its customers are from lower-income households, such as those making between $45,000 and $75,000, according to the chain’s CEO Chris Kempczinski.
To get those customers to come and spend at a McDonald’s, the chain recently said it planned to extend the life of its $5 meal deal, which it formally launched in late June.
And even though McDonald’s leads the pack in revenue, Chik-fil-A is a feathered heavyweight champ – at least in the chicken world, that is. The College Park, Georgia-based company nabbed the third spot on the rankings list.