McDonald's Unveils Merchandise as a Part of "I'm Lovin It 24" - Analyst Blog
McDonald’s Corporation MCD reportedly launched a lifestyle collection of merchandise on Tuesday at the “McWalk” fashion show in Stockholm, Sweden. The collection is part of the I’m Lovin It 24 campaign and will include everything from thermals, a homeware line that includes bed sheets, wallpaper and a dog coat, all embossed with Big Macs on white pattern. Also, wellies and a raincoat would soon be included in the list.
The thermals cost 495 Swedish kronor, or approximately $58. The limited edition collection that will only be available online reportedly follows the success of Big Mac thermal underwear, which was made as part of the sponsorship of the Swedish Alpine and Cross Country Ski Team by McDonald's Sweden.
The “I’m Lovin It 24” campaign features 24 McDonald's-themed stunts in 24 cities over 24 hours. Some of these stunts include a giant ball pit in Sydney, a giant Big Mac jigsaw puzzle in Madrid, Spain, a Joy Maze in Bucharest, Romania; a McOrchestra in Vienna, the fashion show in Sweden and a free Ne-Yo concert in Los Angeles.
McDonald’s is facing a tough time over the past few quarters at most of its key operating regions. The burger chain is making such moves in a bid to post a turnaround in 2015. The company seems to have decided to leave no stone unturned to regain its erstwhile position. Just after the appointment of Steve Easterbrook as its new chief executive, it was revealed that the company is planning to discontinue the use of chicken raised with antibiotics that are important to human medicine within the next two years. (Read: Will Antibiotic-Free Chicken Revive McDonald's Fortunes?).
Also, the company is reportedly planning to add kale to its menu offerings this year, keeping in mind the health consciousness of its consumers. (Read: McDonald's Going Healthy by Adding Kale to Menu?). In addition to the shift to healthier menu options, the company has taken other initiatives to reinvigorate sales. From trimming complicated menus, speeding up service, testing customized burgers and sandwiches to competing with other popular restaurants, the company is trying everything to gain consumers’ confidence in all its key operating regions and counter competition. However, it remains to be seen as to when these initiatives turn around the fortunes of this Zacks Rank #4 (Sell) company.
Some better-ranked stocks in the same industry include Cracker Barrel Old Country Store, Inc. CBRL, Darden Restaurants, Inc. DRI and BJ's Restaurants, Inc. BJRI. All these stocks sport a Zacks Rank #1 (Strong Buy).
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