Image Courtesy of McDonald’s
McDonald’s Shutters Three CosMc Cafe Locations, Opens Two Others
January 15, 2025
McDonald’s continues to struggle with the CosMc Cafe concept, closing three locations for underperformance.
Restaurant Dive reported that the well-known fast-food chain will close three more prominent sites converted into CosMc’s, and has changed its development plan for the beverage-focused concept. The business plans to open two smaller CosMc restaurants in Texas this year. Although the CosMc website mentions a new store coming to Allen, Texas, McDonald’s did not specify which locations would close — or where the new sites would be.
According to McDonald’s, CosMc’s thrives at smaller establishments that prioritize drive-thru and digital experiences. At first, the corporation intended to operate nine facilities in Texas.
Long drive-thru lines have plagued consumers due to CosMc’s popularity. By concentrating more on off-premise customers rather than trying to accommodate both in-store and drive-thru orders, smaller sites without dining rooms could assist increase drive-thru times.
Following the December 2023 opening of CosMc’s, McDonald’s opened six locations in Texas, and one in Illinois.
McDonald’s CEO Wants to Take a Cautious Approach
Back in December 2023, when the CosMc concept was first launched, Chris Kempczinski, the CEO, advocated for caution. He suggested that prior diversification efforts, such investments in Boston Market, Donatos Pizza, and Chipotle Mexican Grill, turned into diversion and resulted in divestitures within 10 years. Therefore, the lessons learned from its test phase will determine CosMc’s future expansion; yet, “if the test works out, CosMc’s could open across the globe.”
“Let me emphasize again, we’re talking about 10 stores,” he said at the time. “The big story isn’t about CosMc’s, per se. The big story is what it says about McDonald’s and our potential. To think, a little over a year ago, this was an idea, and this week we’re opening the first test site. It’s not worth our time to develop an idea that will only work in one market.”
CosMc, a McDonaldland character that dominated the advertising campaigns in the late 1980s and early 1990s, served as the inspiration for the name of this innovative company. The alien figure CosMc is well-known for his fondness for McDonald’s cuisine. The company is focusing on its mascot marketing because of the popularity of the Grimace Birthday Meal earlier this year.
Recent News
