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New McD's Menu Muscles In on Starbucks

Posted Jan 7, 08 11:15 AM CST in Business 

(Newser) – You’ll be able to get cappuccinos, lattes, and frappes from a certified barista beneath the Golden Arches this fall, reports the Wall Street Journal, as McDonald's takes on Starbucks. It’s the fast-food behemoth's biggest menu addition in 30 years, and the company expects it to bring in $1 billion annually. It’s also a huge risk, because McDonald's traditionally appeals to customers who want simple, cheap food.

In Kansas City, where the menu’s being tested, ads jab at Starbucks by boasting that you won’t get a “condescending look” if you mispronounce the drink name. Competition between such unlikely rivals shows just how convergent the market has become: Convenience is such a dominant factor that Starbucks has also adopted McDonald’s-esque quick food and drive-thrus.
Source: Wall Street Journal

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Long gone are the days when Starbucks dismissed McDonald's brew as "hot, brown liquid masquerading as coffee," as one Starbucks exec described it.   (Getty Images)
Signs advertising McDonald's specialty coffee drinks are seen at a McDonald's restaurant in Kansas City, Mo., Nov. 16, 2007. Since it launched its so-called premium coffee about 18 months ago, followed...   (Associated Press)
A sign advertising an Iced Mocha beverage is seen at a McDonald's restaurant in Kansas City, Mo., Friday, Nov. 16, 2007. Since it launched its so-called premium coffee about 18 months ago, followed by...   (Associated Press)
An employee hands a drive-thru order to a McDonald's customer at the Rock & Roll McDonalds in Chicago, Oct. 15, 2007. Long gone are the days when Starbucks dismissed McDonald's brew as "hot, brown liquid...   (Associated Press)
Pedestrians and a dog walk past a Starbucks Corp. store in downtown Seattle, Tuesday, Nov. 13, 2007. With its affluent customer base and uncanny knack for drawing crowds, Starbucks has long seemed immune...   (Associated Press)
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Starbucks • coffee • McDonald's • fast food • gourmet coffee • barista • cappuccino • lattes • menu


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