Insight Flash: McDonald’s Customers Pivot to Safer Dining Options Amid E. Coli Concerns
An e-coli outbreak linked to ingredients in the iconic quarter pounder with cheese caused customers to flock to other chains for their quick service fix. While cases were reported in multiple states, the largest impact was in Colorado. Leveraging CE data, we assess the impact to McDonald’s and competitors in that state following the 10/22 CDC report.
CE credit and debit card data shows that McDonald’s sales in Colorado for the Wednesday and Thursday following the CDC announcement were just 78% and 70% of the 2024 daily average for those days of the week. The key beneficiary appears to be Wendy’s, with 12% and 22% higher sales on those days, although the company could also be benefiting from its Spongebob Squarepants LTO. Burger King also saw a boost, with 7% and 1% higher sales. Chick-Fil-A only saw a benefit on Thursday with 10% higher sales, as customers could be turning to chicken to avoid tainted hamburgers.
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About the Authors
Greg Potter is a Financial Analyst for the CEIC. Explore more insights and follow him on LinkedIn.
