For nearly 70 years, McDonald’s has measured itself against a simple promise.
As CEO Chris Kempczinski reminded employees and franchisees in a recent systemwide message, founder Ray Kroc built the company around “great tasting food, served with a smile, at a good value.” The formula helped transform McDonald’s into the world’s largest restaurant brand. Now, leadership is asking a new question.
What comes next?
The answer is a companywide initiative called McDonald’s > NEXT, a long-term framework designed to guide the brand’s next phase of growth, productivity, and customer relevance. It replaces the previous Accelerating the Arches strategy, which pushed for innovation around digital, delivery, drive-thru, and development.
At its core, the goal is for McDonald’s to be customers’ first choice every time.
“We’re going to earn it the way we always have: by rededicating ourselves to Ray’s promise, built for the way customers and crew live today,” Kempczinski said in a system message.
This clear objective comes amid a fierce battle for traffic and market share. Traditional quick-service competitors are investing in menu innovation, and emerging specialists are raising customer expectations around categories such as chicken, beverages, and burgers, including chains like Swig, 7 Brew, and Dave’s Hot Chicken.
McDonald’s > NEXT illustrates how the company intends to respond through four strategic pillars.
The first focuses on the menu. McDonald’s believes product quality—and diversity—is becoming a greater differentiator in the QSR space. For instance, within the past year, the chain has launched chicken strips, brought back the Snack Wrap, released the Big Arch burger, and rolled out a customized beverage lineup full of refreshers and dirty drinks. McDonald’s is also testing bone-in fried chicken wings in certain Chicago markets, according to multiple media reports.
The second pillar focuses on the consumer, with a goal of co-creating with fans. In recent years, McDonald’s has leaned into customer engagement through loyalty, social media, limited-time offers, celebrity collaborations, and culturally relevant marketing. Some recent examples include partnerships with “A Minecraft Movie,” “KPop Demon Hunters,” and the Grinch, and music artists like BTS, Travis Scott, J Balvin, and Saweetie. The strategy suggests the company wants customers to play a larger role in shaping future innovation.
A third pillar addresses the restaurant experience, where McDonald’s aims to unlock better guest experiences and productivity. This will involve further investment in digital ordering, restaurant technology, operational simplification, and efficiency improvements that can help drive unit-level economics.
CNBC reported McDonald’s is plotting a new restaurant prototype that will feature the chain’s classic look but make things easier for employees in the back of house.
Below are pictures of the potential new design.
Additionally, the brand is testing AI ordering at five U.S. restaurants, under a system called ARCHY.
The fourth pillar is based around people and an objective to redefine hospitality. While technology continues to automate portions of the customer journey, McDonald’s leadership appears determined to ensure service remains a competitive advantage.
“Time and again, we’ve looked at a changing world, taken what made us great, and brought it to the next level. When we’re aligned as a System, we are unstoppable. That’s how we’ve always earned our customers. NEXT starts now,” Kempczinski said.
The plan arrives from a position of strength. Over the past several years, McDonald’s has built one of the largest loyalty programs in the world and developed an infrastructure few restaurant companies can match.
The chain’s same-store sales rose 3.9 percent in Q1, which outperformed most of its closest competitors. McDonald’s has widened the gap through entry-level pricing and bundled value, like its under $3 menu, $5 Meal Deal, and Extra Value Meals that make combos more affordable.
The brand is also growing at a faster clip. Last year, McDonald’s opened a net of 147 restaurants, the most it’s done since the early 2000s.
