Reimagining the Future of McDonald’s: Investor Update 2023
December 06, 2023
What does the future of McDonald’s look like? To understand that, you have to know where we’ve been. Earlier today, McDonald’s senior leadership team hosted our 2023 Investor Update at McDonald’s Headquarters in Chicago, sharing our journey of progress under our Accelerating the Arches growth strategy and offering a roadmap for game-changing new opportunities.
Throughout the day, one thing became abundantly clear: Our growing footprint, next-level digital ecosystem and unmistakable brand power have cemented McDonald’s as one of the world’s leading consumer-facing brands. Here’s a look at what happened at McDonald’s 2023 Investor Update — and everything you need to know about the road ahead.
By the Numbers: Targets for Future Growth
50K
Number of McDonald’s restaurants around the globe by the end of 2027
250M
Number of active Loyalty program members by the end of 2027
30%
Percentage of delivery orders that will originate in the McDonald’s mobile app by the end of 2027
1,000s
Connecting thousands of restaurants worldwide with Google Cloud technology to improve operations and crew & customer experience, beginning in 2024
2
Bringing both McCrispy and Best Burger to nearly all markets by 2025 and 2026, respectively
5 Things You Need to Know: McDonald’s Investor Update
1. Our Accelerating the Arches playbook is working.
Three years ago, we first announced our strategy, Accelerating the Arches, which is powered by our “M-C-D” growth pillars and underpinned by our company values as well as our purpose to feed and foster communities. Our business has grown more than 30% since 2019, and that’s a direct result of outstanding execution of our playbook. We’ve got the right leaders in the right structure, and McDonald’s is faster, more innovative and more efficient than ever before. There’s never been a better time to be part of the McDonald’s brand, and there’s so much room for growth.
With the power and relevancy of our marketing strength of our core menu equities and the reach of our digital, delivery and Drive Thru, we have without a doubt built the foundation for one of the largest consumer platforms globally.”
– CHRIS KEMPCZINSKI
President and Chief Executive Officer
2. We’re betting big on physical and digital development.
Today, McDonald’s has over 40,000 restaurants — and by the end of 2027, we plan to expand to 50,000 restaurants around the world. To put that into perspective, this period of restaurant expansion will be the fastest unit growth in the history of McDonald’s. But it’s not just our physical footprint that’s on the move: We’re also building a presence in our customers’ digital lives with 150 million 90-day active loyalty users around the world who spent over $20 billion with us over the past year. We plan to increase this active loyalty userbase to 250 million, delivering $45 billion in annual loyalty sales by 2027. As we look toward the future and consider how we can engage those customers in compelling new ways to grow our business, the possibilities are endless.
Moving forward, we’ll use our size and scale for the greatest impact. That’s the power of the McDonald’s system – and it’s critical to driving future growth.”
– MANU STEIJAERT
Global Chief Customer Officer
3. Our core continues to deliver.
The heart of McDonald’s global appeal lies in our core menu, including our World-Famous Fries and franchisee-led innovations, like the Big Mac and our Egg McMuffin. These beloved menu items make up a whopping $75 billion in annual food sales across the globe. The demand for these fan-favorite eats isn’t slowing down, either — especially when it comes to our beef and chicken. That’s why we’re focused on bringing our Best Burger and McCrispy to nearly all our markets in the coming years.
McDonald’s menu features 17 billion-dollar brands rivaling the world’s largest consumer companies.”
– JO SEMPELS
President, International Developmental Licensed Markets
4. We never stop innovating.
McDonald’s is operating from a position of strength, which gives us permission to experiment and test our reach in exciting new ways. One example of this is CosMc’s, a 10-store test launching in the U.S. that’s inspired by nostalgia and powered by specialty beverages and coffee. Think of it as an out-of-this-world solution for the 3 p.m. slump. Our success has always depended on our ability to stay ahead of our customers’ changing needs while reimagining what a restaurant can be. This sense of relentless innovation has always been, and will continue to be, a defining trait of McDonald's.
To think…a little over a year ago, this was just an idea. This week, we’re opening the first test site. We’re innovating, testing, and learning with speed.”
– CHRIS KEMPCZINSKI
President and Chief Executive Officer
5. We’re leveling up our digital experiences.
McDonald’s is building a digital ecosystem that empowers us to create more personalized experiences and connect with our customers throughout their McDonald’s journey like never before. Earlier today, we announced a partnership with Google Cloud that will connect the latest cloud technology and apply generative AI solutions across our restaurants worldwide, allowing us to implement innovation faster and create an even better experience for our customers, restaurant teams and employees. Beginning in 2024, McDonald’s will also deploy a new, bespoke operating system on which all McDonald’s customer and restaurant digital platforms will run, from the mobile app to Loyalty and kiosks in store. And while the use of AI at McDonald’s is not new, these advancements create more opportunities to accelerate customized solutions through McDonald’s GenAI models, ultimately unlocking greater speed and efficiencies.
Connecting our restaurants worldwide to millions of datapoints across our digital ecosystem means tools get sharper, models get smarter, restaurants become easier to operate, and most importantly, the overall experience for our customers and crew gets even better.”
– BRIAN RICE
Global Chief Information Officer
As I’ve said before, there has never been a better time to be part of Brand McDonald’s. The McDonald’s System has demonstrated exceptional execution of our Accelerating the Arches strategy and is delivering tremendous results across our key growth pillars. We have a clear trajectory for future growth as we continue to build on the brand strength, global footprint and digital ecosystem that have resulted in unparalleled competitive advantages and cemented McDonald’s as one of the world’s leading consumer-facing brands.”
– CHRIS KEMPCZINSKI
President and Chief Executive Officer
Looking for more?
Check out our Investor Update press release or email press@us.mcd.com for photo assets.