Latest news with #McDonald'sSystem
Hindustan Times
5 days ago
- Business
- Hindustan Times
McDonald's pulls the plug on CosMc's spinoff and app in two states after just 18 months
McDonald's is making some big changes. The company has announced it will be closing a specific type of diner and shutting down its app in the next few weeks. This is part of a new plan shared by CEO Chris Kempczinski to update the company's strategy. Also Read: Memorial Day 2025: 20 wishes and quotes you can send on WhatsApp to honor veterans McDonald's opened its spinoff restaurant, CosMc's; however, just after 18 months, the food chain announced that it would close all five locations in June. CosMc's, inspired by its 1980s alien mascot and focused on quirky beverages like S'mores Cold Brew and Churro Frappé, is closing all five of its locations next month. Along with the closures, the CosMc's app will also be discontinued, ending this unique part of McDonald's business, as reported by The US Sun. Earlier in January, the fast food chain closed down three of its CosMc's stores but was adamant that it was still growing, and with a possibility of opening even more stores. The spin-off restaurant was introduced as a rival to dominating beverage outlets such as Dutch Bros, Scooters, and Swig. However, on Friday, McDonald's announced that it will be closing down the rest of its locations and moving into a new phase. The chain said, 'The main goal of the CosMc's test was to create a launchpad for learning for the McDonald's System– and the insights we've gathered have given us a whole new way to get closer to our fans.' They continued, 'We've learned so much, so quickly from the CosMc's test.' The company added, 'As part of this next testing phase, starting in late June, we will be closing all stand-alone pilot CosMc's locations on a rolling basis and discontinuing the CosMc's app." Out of the closing locations, four are located in Texas and the rest in Illinois. Also Read: Fleet Week 2025: Check out list of remaining events The closures come shortly after McDonald's CEO Chris Kempczinski announced a shift in the company's strategy during a recent earnings call, signaling a new direction for the fast-food giant. He revealed, 'We have discovered some interesting learnings through our CosMc's test, which has better informed our understanding of consumers' customization preferences and interest in new, emerging beverage categories.' The CEO explained that instead of expanding the CosMc's spinoff, McDonald's will bring its popular beverages to traditional locations. The new flavors, developed through the CosMc's 'learning lab,' will be tested at hundreds of restaurants sometime this year.
UPI
6 days ago
- Business
- UPI
McDonald's to shut all 5 test locations for CosMc beverage concept
McDonald's will close all five of its CosMc's beverage-focused concept test locations this summer, including one in Texas as pictured. Photo by McDonald's May 24 (UPI) -- McDonald's will close all five of its CosMc's test locations this summer, 18 months after introducing the beverage-focused concept at four restaurants in Texas and one in a Chicago suburb. The Chicago-based company plans to add the specialty beverages to its 13,637 regular restaurants this summer. Starting in late June, McDonald's will close all stand-alone pilot CosMc's locations on a rolling basis and discontinue the CosMc's app, the company said in a news release Friday. The program was launched on Dec. 7, 2023, with the first restaurant in Bolingbrook, near Chicago. The test stores also included food but not McDonald's signature Quarter Pounder and Big Mac. The fast-food company said the plan was to test the new drink options. "The main goal of the CosMc's test was to create a launchpad for learning for the McDonald's System -- and the insights we've gathered have given us a whole new way to get closer to our fans," the company said. "Building on the insights gained from the pilot standalone locations, CosMc's-inspired flavors will be landing at McDonald's as part of the upcoming U.S. beverage test, seamlessly blending out-of-this-world tastes into the McDonald's experience." The company added "we know we can bring more delicious and innovative drinks to more fans. " The concept was designed to compete with the drive-thru beverage category dominated by Dutch Bros, Scooters and Swig, as well as Starbucks. Taco Bell is accelerating its in-restaurant drink initiative, Live Mas Caf3. CosMc's drinks included shaken expressos, Frappes, cold brew, slushies and lattes, as well as more traditional options like lemonade and blackberry mint green tea. Soft-serve ice cream also was available. Food choices at the test market included hash brown and pretzel bites, McPops of apple cinnamon and cookie butter, as well as an egg on brioche sandwich, spicy queso sandwich and creamy avocado tomatillo sandwich. The smaller stores were designed to "test new, bold flavors and different technologies and processes -- without impacting the existing McDonald's experience for customers and crew." "We've learned so much, so quickly from the CosMc's test," the company said about its Learning Lab. The name CosMc originated as a McDonaldland character, appearing in McDonald's advertisements from 1986 to 1992. CosMc is an extraterrestrial who "craves McDonald's food." In another move to drive business, McDonald's is extending its operating hours at of most of its restaurants until midnight or later. Some restaurants already are open 24 hours a day. Exact hours and menu options are determined by franchises. "Our fans know there's no better way to end an unforgettable night than by feasting on your favorite McDonald's order," the company wrote in a statement shared with USA Today on Wednesday. "That's why, as the summer season kicks off, we're excited to offer up more ways for customers to satisfy their late-night cravings with more choices and expanded hours at more restaurants." The company plans to hire 375,000 new employees this summer. McDonald's, which has been in business for 70 years, reported first-quarter 2025 U.S. sales decreased 3.6% but included a leap-year day last year. Consolidated operating income dropped 3%. The company said the decrease was "primarily driven by negative comparable guest counts" in a filing on May 1. Overall, its first-quarter revenue globally was $5.956 billion with net income $1.868 billion.
Yahoo
23-05-2025
- Business
- Yahoo
McDonald's Corporation (MCD) to Close CosMc's Locations, Bring Drink Flavors to Core Menu
McDonald's Corporation (NYSE:MCD) announced on Friday that it will be closing its CosMc's chain, a beverage-focused offshoot launched just two years ago. McDonald's Corporation (NYSE:MCD) stated that shutdowns of the standalone CosMc's pilot locations will begin in June, along with the discontinuation of the CosMc's mobile app. The company made the following statement: "The main goal of the CosMc's test was to create a launchpad for learning for the McDonald's System– and the insights we've gathered have given us a whole new way to get closer to our fans. We've learned so much, so quickly from the CosMc's test. As part of this next testing phase, starting in late June, we will be closing all stand-alone pilot CosMc's locations on a rolling basis and discontinuing the CosMc's app." The first CosMc's store opened in Illinois in December 2023, aiming to rival Starbucks and Dunkin' by offering customizable drinks that traditional McDonald's outlets typically don't serve. While McDonald's Corporation (NYSE:MCD) didn't specify which ones, it said some of CosMc's beverage offerings would be added to the main menu at its core restaurants. CosMc's marked McDonald's first new US restaurant concept in over 60 years, designed to attract younger customers with vibrant, sweet drinks like frappés, lattes, and slushes. Back in March, McDonald's Corporation (NYSE:MCD) indicated it was shifting more focus toward beverages within a newly created division, with one of CosMc's leaders transitioning to help lead the effort. Earlier this month, the company noted it had initially worried the drinks might be too complex for standard McDonald's kitchens, but customer demand for customizations was lower than expected. It also found it could potentially boost food sales by offering the drinks in its regular restaurants instead of keeping them limited to CosMc's. MCD has surged by over 7.5% in 2025 so far. While we acknowledge the potential of MCD to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than MCD and that has 100x upside potential, check out our report about this cheapest AI stock. READ MORE: and Disclosure. None.
New York Post
23-05-2025
- Business
- New York Post
McDonald's to shutter CosMc's locations after short-lived test, will add drinks to menu
McDonald's is closing all five of its CosMc's pilot locations this summer, just 18 months after launching the beverage-focused concept to much fanfare and long drive-thru lines outside its first store in suburban Chicago. The fast-food giant insisted the pilot program paved the way for a major new push into the competitive specialty drink market — this time from inside its core restaurants. 'The main goal of the CosMc's test was to create a launchpad for learning for the McDonald's System — and the insights we've gathered have given us a whole new way to get closer to our fans,' the company said Friday. Advertisement 3 McDonald's is closing all five of its CosMc's pilot locations this summer, just 18 months after launching the beverage-focused concept. Joseph Hendrickson – Launched in late 2023, CosMc's was designed to explore the booming drive-thru beverage category dominated by chains like Dutch Bros, Scooters and Swig. McDonald's opened additional outposts in Texas and briefly considered expanding with smaller-format stores after shuttering three larger ones in January. Advertisement CEO Chris Kempczinski revealed the company was planning a change in strategy during an earnings call earlier this month. 'We have discovered some interesting learnings through our CosMc's test, which has better informed our understanding of consumers' customization preferences and interest in new, emerging beverage categories,' Kempczinski told analysts. Rather than build out a second brand, McDonald's will add the CosMc's beverages to menus at its existing US restaurants. The new flavors will be part of an in-store test launching later this year. 3 McDonald's said it will incorporate CosMc's beverages into its existing restaurants. TNS Advertisement 'Building on the insights gained from the pilot standalone locations, CosMc's-inspired flavors will be landing at McDonald's… seamlessly blending out of this world tastes into the McDonald's experience,' the company said. A new dedicated beverage category team is now tasked with scaling the effort across the US. McDonald's emphasized that CosMc's served as a 'learning lab' to test new technologies, bold flavors, and fast menu iteration in real-world, customer-facing environments. The company said it made quick adjustments based on feedback and will apply those insights moving forward. Advertisement 3 Rather than build out a second brand, McDonald's will CosMc's beverages into its existing US restaurants. Getty Images The standalone CosMc's app will also be discontinued as the five remaining stores — four in Texas and one in Illinois — are phased out beginning in late June. Meanwhile, the beverage race is heating up. Taco Bell is accelerating its own in-restaurant drink initiative, Live Mas Café, adding pressure on McDonald's to act quickly in a rapidly evolving category.
