McDonald’s Unveils New Corporate Strategy

On Monday, McDonald’s unveiled a fresh corporate strategy designed to simplify operations for its franchisees.

This initiative, dubbed McDonald’s > NEXT, emphasizes enhancing automation, boosting hospitality standards, utilizing social media for marketing, and improving food quality.

The strategy emerges as fast-food chains work to attract lower-income customers who have reduced their dining out due to rising prices over the years.

CEO Chris Kempczinski shared details of the new plan in a communication to the McDonald’s System, describing it as a way to “unlock the next phase of growth and productivity by bringing in more customers more often and improving unit economics.”

“NEXT represents what we do. It serves as our shared goal, shaped by our unique paths based on our markets, customers, and team,” Kempczinski elaborated.

Jill McDonald, the head of restaurant experience, mentioned that this strategy aims to make McDonald’s locations “easier to operate and more enjoyable to visit.”

The previous corporate strategy review, conducted in 2020, was called “Arch Acceleration,” and focused on strengthening digital sales and marketing efforts.

A recent study from UBS Evidence Labs, shared with Reuters, revealed that the percentage of U.S. customers perceiving McDonald’s as providing good value dropped from 55% in 2020 to about 40% in 2024, though it’s leveled off since.

Kempczinski pointed out that as automation increases, the opportunities for personal interaction between customers and staff are diminishing at McDonald’s locations. “With fewer interactions, the expectations for hospitality to ensure customers feel appreciated only rise,” he noted.

He added, “Customers depend on us for attractive and consistent value, particularly during these times of high inflation. While recognition of our value is improving in most areas, we must focus on making and earning money with every visit.”