McDonald's is hoping to tempt customers back with a new, larger burger dubbed the "Big Arch".
This behemoth features two beef patties, a generous layer of melted cheese, "crispy" toppings, and a dollop of McDonald's tangy sauce, as revealed by CEO Chris Kempczinski during an earnings call on Monday.
"The Big Arch is a quintessential McDonald's burger with a twist on our iconic, familiar flavours," he explained.
The Chicago-based chain is currently piloting the Big Arch in three international markets until the end of the year. This test phase aims to gather valuable data to inform a potential global launch.
Canada appears to be one of the chosen test markets. In late June, McDonald's Canada announced that locations in Ontario and Alberta would be offering the "satiating burger" until early August. Meanwhile, Portugal is also piloting the Big Arch, boasting it as "Mac's biggest star" in its marketing materials.
McDonald's executives have not yet confirmed whether the Big Arch will make its way to the US. The chain has been hinting for months that it will try to win back customers with larger burgers, more chicken options, and an improved coffee experience.
CEO Kempczinski highlighted the "massive opportunity for growth in chicken" â a category that has surpassed beef in global sales for McDonald's. This category encompasses popular items like McNuggets and newer offerings such as the McCrispy Chicken sandwich.
"The McCrispy Chicken Sandwich is now offered in more than 55 of our markets around the globe, and through our plans to further expand our McCrispy equity, we will continue to capture chicken market share," Kempczinski stated.
The hope for success with the Big Arch comes as McDonald's reported weaker-than-expected second-quarter earnings. The company revealed that customer numbers lagged both in the US and internationally, impacting sales despite the introduction of a $5 meal deal and other promotions for US customers.
McDonald's earnings fell short of analysts' expectations. The company attributed this shortfall to economic pressures, particularly on lower-income households earning between £35,000 and £58,000. McDonald's anticipates these pressures to continue in the coming quarters.
Despite the challenging economic climate, executives expressed confidence in the success of the $5 meal deal.
"We've seen a lot of enthusiasm and the number of $5 meal deals sold are above expectations," said Joe Erlinger, McDonald's US President. "Trial rates of the deal are highest amongst lower income consumers and sentiment towards the brand around value and affordability has begun to shift positively."