8:32 p.m.
Clash of the Titans? McDonald’s Eyes Ballooning Coffee Market
“After the success of its upgraded drip coffee — which even managed to snag a thumbs-up from testers at Consumer Reports earlier this year — the fast food chain known for super-size meals is gearing up for a massive expansion into the world of lattes . . . Restaurants will offer lattes, mochas, cappuccinos and espressos with a choice of different flavorings and milk. Industry watchers say the drinks cost about 50 cents less than at Starbucks.”
Many are the times I’ve been on a road trip, driving round and round in a vain search for a Starbucks in order to quench my caffeine jones while passing by numerous McDonald’s stores in the process. I’m not too much of a snob to run into a fast-food joint if it offers a decent latte, and since McDonald’s is already frickin’ everywhere, it certainly would up the convenience ante by a major quotient.
The article goes on to quote Starbucks Chairman Howard Schultz engaging in some hot-air about how he’s not worried about the competition, but if were him, I’d be shaking in my shoes. We’re not talking Tully’s here — McDonald’s doesn’t have to go out and build a bunch of coffee shops to compete against Starbucks because McDonald’s already has more locations across the country, and the world, than Starbucks can ever possibly hope to match . . . and they serve real food, too! Not just a bunch of scones, muffins and cold sandwiches.
Yeah, McDonald’s isn’t the first place I think of when I consider going to a coffee shop and lounging with a book and a latte, but give ‘em some time. Profit margins from coffee drinks are even higher than hamburgers and fries, and now that they offer WiFi in their restaurants, I could easily be persuaded to say, like, “Starbucks who?”
Cuz, really, when all is said and done, it’s not about green awnings or golden arches, it’s about feeding the latte monster. McDonald’s might possibly do that just as easily, and even as well, as Starbucks.
