New McD's Menu Muscles In on Starbucks

Fast-food giant adds baristas, fancy coffee, $1B in sales
By Kevin Spak,  Newser Staff
Posted Jan 7, 2008 11:15 AM CST

(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.

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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. (Read more McDonald's stories.)

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