McDonald's has unveiled plans for a new retro-style restaurant concept, CosMc's, which will compete in the coffee market alongside Starbucks. The pilot store, specialising in hot and cold specialty drinks, is set to open this week in Bolingbrook, Illinois, near the company's headquarters. McDonald's aims to have ten CosMc's locations by the end of 2024, with additional sites in Texas.
The menu targets those with a sweet tooth, offering items such as Churro Frappe and S'Mores Cold Brew, as well as customisable drinks with popping boba and flavoured syrups. A small selection of McDonald's staples, like Egg McMuffins, will also be available. The name is derived from a McDonaldland mascot from the late 1980s and early 1990s.
Analysts have questioned the need for a separate brand rather than expanding McDonald's existing menu. Sara Senatore of Bank of America noted that while a new brand might attract new customers, establishing it could be challenging. McDonald's already operates McCafe, which has had success abroad but struggled in the US.
In addition to the CosMc's trial, McDonald's announced plans to open about 10,000 new McDonald's restaurants globally by 2027, bringing the total to approximately 50,000. More than half of the 7,000 additions in its international licensed markets will be in China, the company's second-largest market. Chief executive Chris Kempczinski said China could eventually become McDonald's largest market.
