Yahoo Finance McDonald's is now delivering $4 billion in Big Macs and fries globally
Damn that’s a lot of Big Macs and large fries being delivered straight to those Netflix and chillin’ customers on the weekend.
Lost in the market’s hysteria Tuesday on a rare earnings miss from McDonald’s, is the company’s surprise disclosure on the expected growth rate this year of its emerging delivery business. McDonald’s said its global delivery business — cutely known as McDelivery — will drive $4 billion in sales in 2019. At that mark, it would represent about 4% of McDonald’s global system wide sales.
“Delivery remains a big frontier for our business and we still have a long way to go even with our existing customers to encourage awareness and trial,” McDonald’s CEO Steve Easterbrook told analysts on a conference call.
Three years ago McDonald’s delivery business hauled in $1 billion in sales. And before that, McDonald’s was barely a player as its mobile app wasn’t up to snuff and delivery services such as GrubHub and Uber Eats were still emerging. Hence, the fast food pizza players such as Domino’s Pizza and Papa John’s continued to dominate the delivery game.
But McDonalds has since inked delivery deals with Uber Eats, Doordash and Grubhub in the U.S. while utilizing other outside parties abroad.
McDonald’s said its delivery service is now available at 23,000 restaurants in over 80 countries.
Not too shabby for the Golden Arches.
Brian Sozzi is an editor-at-large and co-anchor of The First Trade at Yahoo Finance. Follow him on Twitter @BrianSozzi
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