McDonald’s enhancing global franchising standards to focus on value

Core Insights - McDonald's is enhancing its global franchising standards to maintain its leadership position on value, effective January 1, 2026 [2] - The company aims to reinforce accountability among franchisees, with potential penalties for noncompliance [3] - McDonald's has faced challenges in retaining lower-income consumers, prompting a renewed focus on value offerings [5][6] Franchising Standards - New global franchising standards will ensure consistent value delivery across all restaurants [2] - The company will monitor pricing and recommend consultants to assist franchisees [3] - Accountability measures will be implemented, with consequences for noncompliance [3] Value Leadership - McDonald's has been focused on re-establishing its value leadership, especially after losing customers in 2023 and early 2024 [4][6] - The company launched a $5 Meal Deal in response to social media rumors about price increases, which was a strategic move to regain customer trust [5][6] - Competitors have also introduced value offerings, prompting McDonald's to double down on its value positioning [6] Recent Initiatives - The introduction of the McValue platform includes the $5 Meal Deal and exclusive in-app offers [6] - Extra Value Meals were reintroduced, priced about 15% lower than individual item purchases, leading to sales and traffic improvements [7]