McDonald’s Corp (NYSE:MCD) is not getting in on the plant-based-burger bandwagon just yet. Although we’ve seen some restaurant chains like A&W be big supporters of Beyond Meat (NASDAQ:BYND) products,
McDonald’s has remained hesitant to do so. Although it does offer a plant-based burger in Germany, the company does not look to be planning that for North America, at least for the time being.
McDonald’s says it is still evaluating the situation as it is assessing the demand and whether it makes sense for it to offer a product like that on a broader scale. It’s a bit of an odd assessment given how popular Beyond Meat has been already at A&W stores.
The danger for McDonald’s is that while it’s assessing the situation, its competitors are benefiting from the popularity of the plant-based products.
While it doesn’t mean that we won’t see the meatless patties at McDonald’s, but from a branding standpoint, it could be a mistake for the company to not try offer healthier options when they become available, especially when their rivals are wasting no time in doing so.
Given that McDonald’s failed to generate sales growth in its last quarter and revenues being down for five straight years, jumping on a brand new and exciting product could be an easy way to jumpstart the company’s top line.
We’ve seen the company make odd experiments in the past with burgers that weren’t around for long periods of time, and so the hesitation in this case likely has investors and consumers scratching their heads.
