McDonald’s (MCD) may recently have struggled to lure customers, but it still does far more business at each location than rival burger chains.
The average McDonald’s restaurant in the United States drew $2.6 million in revenue last year.
Average sales for No. 2 chain Burger King (BKW): $1.2 million, according to data from its largest franchisee, Carrols Restaurant Group (TAST).
What accounts for this more-than-a-million gap? “Everything from marketing and site selection to product initiatives and franchisee selection have been historical factors,” said Nick Setyan, vice president in charge of equity research at Wedbush Securities, in an e-mail.
This Businessweek article mentions the following factors:
- McDonald’s gets more customers during off-peak hours.
- The power of the Happy Meal.
- McDonald’s has an edge on efficiency.
- More marketing dollars.
For a more detailed description of each of those point, please read the original article by following the link below.
