McDonald’s has reported its biggest drop in U.S. sales in nearly five years, mainly due to an E. coli outbreak and reduced consumer spending. In the fourth quarter, U.S. sales fell by 1.4%, marking the steepest decline since the COVID-19 pandemic.
The E. coli outbreak led to the temporary suspension of Quarter Pounder sales in about 20% of McDonald’s locations across the U.S. This impacted revenue as customers turned to other options or avoided eating out altogether.
Although McDonald’s global sales increased by 0.4%, the company is facing challenges in the U.S. market. A major concern is its increasing reliance on discounts, which now account for nearly a third of total sales. While promotions help attract budget-conscious customers, they also reduce overall profits.
Experts believe McDonald’s needs to rethink its pricing and marketing strategies to balance affordability with profitability. The company is also focusing on food safety and quality improvements to regain customer trust after the E. coli outbreak.
