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McDonald's All-Day Breakfast is Succeeding

A new study finds that one-third of customers who bought breakfast during lunchtime had not visited the chain prior to the initiative.

By Nick Powills1851 Franchise Publisher
SPONSORED 4:16PM 12/09/15

It’s only been two months since McDonald’s all-day breakfast first hit menus throughout the country, and so far, the decision appears to be paying off.

 
According to a new study by market researcher NPD Group, a third of McDonald’s customers who bought breakfast beyond the previously established hours had not patronized the chain in the month prior to the initiative’s October start.
 
NPD used receipts from over 27,000 survey participants in the month before and after the launch to determine its results. Using this method, they were able to conclude that those surveyed participants who ordered breakfast did so during lunch hours. The study also found that the new initiative tended to boost the overall cost of the meal, as 61 percent of those customers also ordered lunch items.
 
“This is an example of us listening to our customers, as this was the number one request from them, and they’re rewarding us for it,” said a McDonald’s spokesperson in the Wall Street Journal. “Customers are enjoying the expanded hours, particularly at lunchtime.”
 
The move to serve all-day breakfast comes as the chain’s sales have been down in recent years due to poor perception of its food quality and service and consumers’ inclination for healthier options. This venture is one of many attempts to turn the company around.
 
When the much-anticipated menu changed launched on Oct. 6 in 14,200 locations across the country, it was initially met with mixed reviews. Many franchisees reported that the all-day breakfast roll-out slowed down service, lowered average bills and triggered unwanted chaos in the kitchen.
 
But as early signs point to a slow turnaround for McDonald’s, others believe that the initiative is worth the extra headache in the end.
 
“We are excited about this change happening at McDonald’s, and we are working to better serve our customers,” said the McDonald’s spokesperson.
 
Sales numbers that include all-day breakfast figures will be available in January when the company reports its fourth-quarter results.

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