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CosMc’s: Why McDonald’s wants its own coffee chain | CNN

CosMc’s: Why McDonald’s wants its own coffee chain | CNN

McDonald’s has taken an unexpected step by launching a new cafe concept called CosMc’s, primarily focusing on indulgent and customizable caffeinated beverages with some food options. The first CosMc’s location is in Illinois, with plans for nine more in Texas. This move might seem surprising for a burger-centric chain like McDonald’s, leading many to wonder why they didn’t just add coffee options to their existing menu. However, there are strategic reasons behind this decision.

Specialty coffee is a booming market, with a significant rise in sales at quick-service restaurants. Beverages, particularly customizable ones, offer high-profit margins for restaurants, making them lucrative. McDonald’s aims to tap into this market and compete with Starbucks by offering a wide range of handcrafted coffee drinks. However, these complex beverages would slow down regular McDonald’s kitchens, leading them to create a separate brand, CosMc’s, to experiment without disrupting their core business.

The question arises: Why did McDonald’s choose CosMc’s, drawing inspiration from an obscure 1980s McDonald’s character? While the name might not carry the same recognition as other iconic characters, it allows McDonald’s to start fresh and create a neutral customer response. This venture allows McDonald’s to take risks and experiment without affecting its main brand. While the initial test is limited to only ten stores, it provides valuable insights and the potential for future expansion or innovations………full-loaf-600x400-1-e1700879832480 CosMc’s: Why McDonald’s wants its own coffee chain | CNN[read more]

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Rising-Dough-e1700879911412 CosMc’s: Why McDonald’s wants its own coffee chain | CNNWhy do beverage options often have higher profit margins for restaurants than food items, and how can this impact their overall business strategy, particularly in a competitive market like the fast-food industry?

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10 Comments
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f46aeb5b995ee522efb9e0049943c2b5?s=64&d=mm&r=g CosMc’s: Why McDonald’s wants its own coffee chain | CNN
Guest
Alex N
2 months ago

Beverage options have higher profit margins than food items because of the demand. Customers will most likely visit a McDonalds in the morning to buy a coffee instead of food items because some people don’t eat breakfast. This heavily impacts their business strategy because now they will be more inclined to sell more beverages than food.

2a102943de8f29107fcce2bdc160db20?s=64&d=mm&r=g CosMc’s: Why McDonald’s wants its own coffee chain | CNN
Guest
Andrew Arntzen
2 months ago

Beverage options often have higher profit margins for restaurants than food items because of the higher cost that they will sell for when compared to how much it takes to make them. This can impact their overall business strategy in the fast-food industry because demand for the new products will rise and food companies are always looking for the new flavors and products that will have consumers go to them.

5d4d8a108215d60d983b42d7fd48205f?s=64&d=mm&r=g CosMc’s: Why McDonald’s wants its own coffee chain | CNN
Guest
Ashley
2 months ago

Drinks are always in demand and developing something new is helping McDonald’s create a new audience. This new chain is new and currently only has one restaurant which is going to make people more intrigued. Now-a-days many just get a drink and go because of the thirst or no time to eat.

31ff78fff31d62f867386748ea3bd048?s=64&d=mm&r=g CosMc’s: Why McDonald’s wants its own coffee chain | CNN
Guest
Liliana
2 months ago

I think that drinks are always in demand and developing something new is helping McDonald’s create a new audience. This new chain is new and currently only has one restaurant which is going to make people more intrigued. Now-a-days many just get a drink and go because of the thirst or no time to eat.

4374cdbd5477782bc86ef5988691ea79?s=64&d=mm&r=g CosMc’s: Why McDonald’s wants its own coffee chain | CNN
Guest
hernandez
2 months ago

Beverages often have a higher profit margins for restaurants because it’s easy to separate coffee drinkers and food lovers to make a faster business. This impact is good because coffee drinkers can get their stuff faster instead of having to wait for a whole resturant.

474ae0e1e09d9b045623df75f7c1f7a6?s=64&d=mm&r=g CosMc’s: Why McDonald’s wants its own coffee chain | CNN
Guest
Franco C.
2 months ago

Drinks can usually have a higher profit margin because of free refills if the business allows it, because of this they have to make their drinks a bit more expensive as to not lose money.

d35a3b5b7c10f29756b6b1434ad5ab3f?s=64&d=mm&r=g CosMc’s: Why McDonald’s wants its own coffee chain | CNN
Guest
Alyssa
2 months ago

They have a higher profit because of the demand for drinks so McDonald’s making a place just for drinks will cause McDonald’s to make a lot of profit off of it

a3b1c5a63076d97af8b819f5a28e55e6?s=64&d=mm&r=g CosMc’s: Why McDonald’s wants its own coffee chain | CNN
Guest
Katherine L
2 months ago

I think that beverage options have a higher profit margin because they are always in demand. Many people will mainly stop by a cafe for example Starbucks or a fast food place like McDonald’s and order ice coffee or hot coffee to start their mornings rather than to order food. This impacts businesses because now they strategize to sell more drinks than food to gain more profit.

d8c17f3c6732790a17d12fdbcb965201?s=64&d=mm&r=g CosMc’s: Why McDonald’s wants its own coffee chain | CNN
Guest
Lashawna
2 months ago

Beverage options often have higher profit margins for restaurants because the more they sell the more profit they get. This can impact their overall business strategy in the fast food industry because they can compete by having a variety of flavors that’ll make the consumers be interested.

86757fa1cad7d37dbe0aebce5c722abd?s=64&d=mm&r=g CosMc’s: Why McDonald’s wants its own coffee chain | CNN
Guest
imari
2 months ago

I think this is a good idea because many beverages on menus cost a lot so having a restaurant that serves beverages can increased McDonald’s pay even more also by having a new restaurant out many people would like to try it, which will also increase McDonald’s pay

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stonestreetcoffee.com ☕️ **Discover Stone Street Coffee Company - Your Coffee Haven!** Today's Dough readers, if you're on the hunt for exceptional coffee and cold brew, look no further than Stone Street Coffee Company. We at Today's Dough are smitten with their rich coffee blends and refreshing Cold Brew. Stone Street's commitment to quality shines through in every sip. Now, exclusively for our readers, click the banner above to snag a $5 off coupon on your next order. Experience the finest, ethically sourced beans roasted to perfection. Join the Stone Street community, savor top-notch coffee, and elevate your daily brew. ☕️🌟

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Notify of
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10 Comments
Oldest
Newest Most Voted
Inline Feedbacks
View all comments
Alex N
Guest
Alex N
2 months ago

Beverage options have higher profit margins than food items because of the demand. Customers will most likely visit a McDonalds in the morning to buy a coffee instead of food items because some people don’t eat breakfast. This heavily impacts their business strategy because now they will be more inclined to sell more beverages than food.

Andrew Arntzen
Guest
Andrew Arntzen
2 months ago

Beverage options often have higher profit margins for restaurants than food items because of the higher cost that they will sell for when compared to how much it takes to make them. This can impact their overall business strategy in the fast-food industry because demand for the new products will rise and food companies are always looking for the new flavors and products that will have consumers go to them.

Ashley
Guest
Ashley
2 months ago

Drinks are always in demand and developing something new is helping McDonald’s create a new audience. This new chain is new and currently only has one restaurant which is going to make people more intrigued. Now-a-days many just get a drink and go because of the thirst or no time to eat.

Liliana
Guest
Liliana
2 months ago

I think that drinks are always in demand and developing something new is helping McDonald’s create a new audience. This new chain is new and currently only has one restaurant which is going to make people more intrigued. Now-a-days many just get a drink and go because of the thirst or no time to eat.

hernandez
Guest
hernandez
2 months ago

Beverages often have a higher profit margins for restaurants because it’s easy to separate coffee drinkers and food lovers to make a faster business. This impact is good because coffee drinkers can get their stuff faster instead of having to wait for a whole resturant.

Franco C.
Guest
Franco C.
2 months ago

Drinks can usually have a higher profit margin because of free refills if the business allows it, because of this they have to make their drinks a bit more expensive as to not lose money.

Alyssa
Guest
Alyssa
2 months ago

They have a higher profit because of the demand for drinks so McDonald’s making a place just for drinks will cause McDonald’s to make a lot of profit off of it

Katherine L
Guest
Katherine L
2 months ago

I think that beverage options have a higher profit margin because they are always in demand. Many people will mainly stop by a cafe for example Starbucks or a fast food place like McDonald’s and order ice coffee or hot coffee to start their mornings rather than to order food. This impacts businesses because now they strategize to sell more drinks than food to gain more profit.

Lashawna
Guest
Lashawna
2 months ago

Beverage options often have higher profit margins for restaurants because the more they sell the more profit they get. This can impact their overall business strategy in the fast food industry because they can compete by having a variety of flavors that’ll make the consumers be interested.

imari
Guest
imari
2 months ago

I think this is a good idea because many beverages on menus cost a lot so having a restaurant that serves beverages can increased McDonald’s pay even more also by having a new restaurant out many people would like to try it, which will also increase McDonald’s pay

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