NEW YORK (AP) — McDonald’s is offering free coffee to its
customers for a limited time as competition for the breakfast crowd
intensifies.
The world’s biggest hamburger chain announced Friday
that participating U.S. locations will offer small cups of McCafe coffee
at no charge during breakfast hours from March 31 through April 13.
McDonald’s
said that this is the first time it’s ever had a free coffee event
nationwide. Its McCafe product line, which also includes iced coffees
and other drinks, debuted in the U.S. in 2009.
The Oak Brook,
Ill., company is hoping that the coffee giveaway will bring in new
customers. It’s also a way to get existing customers to come in more
frequently. And it’s likely that those stopping by for a free coffee
will be tempted to pick up a breakfast sandwich or other items while
there.
Breakfast is an important component of McDonald’s business, comprising about 20 percent of its U.S.
sales.
The
announcement comes as Taco Bell rolls out ads to promote its new
breakfast menu, which includes a waffle taco. The ads star everyday men
that happen to be named Ronald McDonald, the same name as McDonald’s
mascot.
Chains like McDonald’s Corp., Taco Bell and Starbucks
Corp. — which recently revamped its sandwiches — are all fighting for a
piece of the breakfast market because people are increasingly buying
breakfast on the go.
McDonald’s coffee giveaway comes shortly
after it reported that an important sales figure declined 1.4 percent at
established U.S. locations in February. The chain blamed bad winter
weather but also said that "challenging industry dynamics" played a
role. The company has worked on adapting by making menu changes such as
giving an option for egg whites in breakfast sandwiches and adding
chicken McWraps to help appeal to those looking for fresher, healthier
food.
For a long time McDonald’s, which started offering breakfast
nationally in 1975 with the roll out of the Egg McMuffin, has dominated
the morning category. Rival Burger King came out with their breakfast
menu in 1979 and others have followed. The latest is Taco Bell, which
launched its new breakfast menu on Thursday.
But McDonald’s is
still a force – it’s 31 percent of the category makes it the No. 1
player in breakfast, according to market researcher Technomic.
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