Is McDonald's doomed? US franchisees claim restaurant is 'facing its final days'

McDonald's franchisees from the US have spoken out about the company

MCDONALD'S restaurant owners in the US are worried the chain is in a 'deep depression' and it could mark the end of the business, it's been claimed.

 

It's been revealed franchisees of McDonald's restaurants in the US are worried about the brand's performance after 21 months of poor sales.

The results of a survey - published in the Business Insider UK - have reportedly prompted restaurant owners to question the new initiatives recently implemented. 

 

Nomura analyst Mark Kalinowski conducted the survey of 29 US franchisees who between them own 226 McDonald's restaurants across the country. There are 14,339 McDonald's restaurants in the US. 

The Business Insider UK has reported franchisees are worried the brand is in a 'deep depression'. It comes just weeks after a the Fast Food Menu Price produed a picture claiming to show what's in a Big Mac burger.

 

These girls don't seem too fazed about the alleged issues the company is suffering

It reports one franchisee said:  "We are in the throes of a deep depression, and nothing is changing. Probably 30 per cent of operators are insolvent."

Another added: "The CEO is sowing the seeds of our demise. We are a quick-serve fast-food restaurant, not a fast casual like Five Guys or Chipotle. The system may be facing its final days."

Five Guys and Chipotle are classed as fast food restaurants, but the meals are made-to-order - thus taking more time to make than McDonald's. 

While one disgruntled owner made their feelings quite clear, saying: "I have been in this business since the early 1970s but have not seen us this leaderless in all my time." 

One of the main criticism to come from the survey was about the all-day breakfast, and the new 'Create Your Taste' program.

 

It's thought the new menu is causing time delays, thus affecting some shops' takings

 

Several US franchisees have mentioned problems with the All Day Breakfast menu

A US representative for McDonald's told NewsNewsBlog.blogspot.com: "We’re hearing from customers and the overwhelming majority of our 3,100 franchisees that All Day Breakfast is a hit.

"In fact, since the launch, McDonald’s has reached its highest brand score in two years according to YouGov BrandIndex."

When questions about the financial viability of UK franchises and whether the UK can prevent US-style changes to the menu, a representative for McDonald's UK said there are "no plans for either [menu to come to the UK] at this time".

They explained, in the UK, McDonald's has been celebrating year-on-year growth for over a decade and the comments from Kalinowski's survey bear no relevance on the UK market. 

The general public are catching onto the debate on Twitter. One user said: "You know McDonald's is in trouble when the have to start serving breakfast all day to make money."

Another added: "McDonald’s in real trouble with global lack of growth - serious for economy this if Mac's in trobl."