McDonald’s (MCD) has a problem. While the recent introduction of all-day breakfast has made for a quick turnaround in same-store sales — a whopping 5.7% growth in Q4 of last year — it also made one of the fast-food giant’s problems worse: expanding its already gigantic list of menu items.
In 2014, McDonald’s had 121 menu items. Imagine someone who doesn’t frequent McDonald’s walking in and staring at that list. It’s overwhelming. The company starting paring down that list in 2015 but adding all-day breakfast put it back in the spotlight.
In fact, franchisees called it a “logistical nightmare” for their employees, too:
“In small stores, the problems are vast with people falling over each other and equipment jammed in everywhere,” one franchisee wrote in response to a Nomura survey.
Trademarking simplicity
In response to the issue, McDonald’s filed a trademark application in early March for the phrase, “The Simpler the Better.” The company won’t respond to requests as to how the trademark will be used but it would surprise me if its menu wasn’t part of that process.
Another theory is that the trademark will be focused more on the ingredients the company uses going forward. For example, McDonald’s is currently testing a “Simple Delights” menu of low-calorie items. That could be expanded to include a more “clean” menu. The brand has already committed to start using cage-free eggs and chicken that isn’t treated with human antibiotics.
In reality, it doesn’t really matter which of these it goes with as long as it’s one of them. Despite the recent upturn in same-store sales thanks to the all-day breakfast initiative, McDonald’s won’t be able to sustain that growth if it doesn’t address these other real problems that have plagued it for so long.
