McDonald's said its U.S. sales growth was weaker than expected in its latest quarterly results, as the company’s effort to highlight value offers did not deliver as planned. Management pointed to problems in how those deals were promoted, suggesting the campaign did not reach customers as effectively as intended.
CEO Chris Kempczinski said the softer performance was tied in part to weaker execution around value messaging. He also said a reduction in digital offers contributed to fewer visits from the chain’s most loyal customers, an important group for repeat traffic.
The update indicates that pricing and promotions remain a major factor for restaurant demand, especially as consumers pay closer attention to value. McDonald’s had been leaning on affordable meal deals to help drive visits, but the company now says that strategy was hurt by missteps in how the offers were rolled out.
The company disclosed the slowdown when it reported second-quarter earnings on Tuesday. The results suggest McDonald’s is still working to balance value-focused promotions, digital engagement and customer frequency in a more challenging U.S. sales environment.
