McDonald's Corp (NYSE:MCD) plans to open another 10,000 new stores worldwide and ramp up its loyalty program membership by 2027.
Announcing its new growth targets in support of its “Accelerating the Arches” initiative on Wednesday, the fast food giant said it is targeting 50,000 restaurants by 2027, up from about 40,000 currently.
It also wants to expand its loyalty program from 150 million to 250 million 90-day active users by 2027 to deliver $45 billion in sales per year.
McDonald’s said it expects 30% of its delivery orders will originate in its mobile app by 2027.
For 2024, McDonald’s issued preliminary guidance of sales growth of 2%, an operating margin in the mid-to-high 40% range, and new restaurant growth of 4%.
"We have a clear trajectory for future growth as we continue to build on the brand strength, global footprint and digital ecosystem that have resulted in unparalleled competitive advantages and cemented McDonald's as one of the world's leading consumer-facing brands,” McDonald’s CEO Chris Kempczinski commented.
The company also announced a new strategic partnership with Google Cloud to leverage cloud and generative artificial intelligence (AI) solutions across its restaurants.
“We're focused on making AI more helpful for everyone, with the potential to unlock many new opportunities for innovation," Google CEO Sundar Pichai said.
"The restaurant industry is already benefiting from these advances, and we're excited to see how McDonald's will use our generative AI, cloud, and edge computing tools to improve their iconic dining experience for their employees and their customers all over the world."
McDonald's shares traded down 0.4% at US$285.52 shortly before noon on Wednesday.
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