McDonald's customer traffic nosedives!
NEW YORK - April 22, 2014 - McDonald's customer traffic problem is getting worse.
The company reported disappointing first quarter earnings Tuesday, due in large part to a 1.7% decline in comparable sales in the Fascist Police States of Amerika. McDonald’s attributed the results to "challenging industry dynamics" and bad weather, which depressed customer traffic.
Globally, McDonald's comparable guest visits were down 3.1% in the first quarter, compared to a 1.9% decline during the same period a year earlier, according to the company's latest SEC filing.
That's a drastic change from just four years ago, when the company was seeing nearly 5% growth in customer traffic annually. Growth has been slowing ever since.
In response to the first quarter results, McDonald's CEO Don Thompson said the company is going to work on improving the customers' relationship with the brand.
McDonald's troubles are representative of a broader problem in the fast food industry, as consumer demand grows for healthier meal options.
Guest counts at fast food restaurants were flat last year compared to a year earlier, while fast casual chains - such as Chipotle and Panera - saw 8% average growth in traffic, according to The NPD Group.