OAK BROOK, Ill. -- McDonald's Corp. is boosting its beverage offerings around the world as it seeks to build on three years of monthly same-store sales growth. The Oak Brook, Ill.-based fast feeder may soon be a place to find smoothies and iced coffee drinks, said Crain's Chicago Business.
McDonald's is testing sweet iced tea in 3,000 restaurants in the South and iced coffee in the Northeast. And energy drinks may start springing up in other parts of the country, the report said. The company is also considering placing drink coolers in restaurant lobbies [image-nocss] to provide grab-and-go options and adding flavor shots to its soda fountains. In Asia, McDonalds's is adding tea, and in Latin America, it is offering flavored water, such as coconut water.
We are looking very closely at our overall beverage strategy, McDonald's CEO James Skinner said during a media briefing after the company's annual meeting on Thursday, according to Crain's.
Adding more drink choices is part of a new trend in the restaurant industry and an easy way to grow profits, said the report. Where the consumer sees a thirst-quenching choice, the restaurant operator sees margins, Dennis Lombardi, executive vice president of foodservice strategies at WD Partners, an Ohio-based restaurant development firm, told the publication.
McDonald's profit grew 14.2% to $2.6 billion last year on $20.5 billion in sales.
As energy drinks and flavored waters and tea have popped up in supermarkets and convenience stores, it is only natural that they spill into fast food chains, Lombardi said. He said Dunkin Donuts has led the way, with its increased offerings of hot and cold coffee drinks. The donut chain began selling fruit and yogurt smoothies in some markets last month.
McAlister's Deli, a small chain in the South and Midwest, has become known for its sweet iced tea, the report said. Bigger fast-casual chains have also started expanding their drink menus. Cosi, for example, recently began offering drinks made with kefir, the yogurt drink produced by Morton Grove, Ill.-based Lifeway Foods Inc.
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