Following McDonald’s first revenue miss in two years this week, analysts stated they anticipate the company about to launch a version of its chicken offerings within the coming year, MarketWatch reported.
The analysts stated they consider McDonald’s is testing variants of its chicken sandwich for launch in 2020 that will thoroughly compete on quality and ideally gain on speed, worth, and convenience, based on the report. Eric Gonzalez wrote that McDonald’s “noticed increased competitive pressure in chicken, significantly in mid-August.”
Popeye’s sandwich was made the big hit, and about 5 % of its clients over the last two weeks of August have been new to the chain, based on analytics firm Second Measure. And although Popeyes temporarily ran out of the sandwiches, its sales have been still higher than average.
Popeyes is preparing for bringing the hit sandwich back in November, and 150-location franchisee Sun Holdings stated it is planning to hire 400 more employees to take care of the crowds, the news reported.
Meanwhile, McDonald’s had walked back its chicken offerings throughout late-night hours since April. The chain’s simplified night menu consists of staples like Big Macs and Quarter Pounders; however, its only chicken product is McNuggets. Other chicken dishes like salads, sandwiches, and wraps are unavailable overnight.
McDonald’s reported this week that its profits fell 4 % compared to a year ago, to $1.6 billion. However, revenue was up 1 % to $5.43 billion.
Breakfast and burgers have been bright spots for McDonald’s business for the quarter. However, the KeyBanc analysts expect McDonald’s may even face more competitors for breakfast, as Wendy’s is also preparing to roll out an 18-item breakfast menu next year.