McDonald’s and Greggs help boost orders by 40%

Just Eat delivery person on bike
Just Eat delivery person on bike

Takeaway delivery company Just Eat says its orders have grown 43% in the UK after it added 800 McDonald’s restaurants and 300 Greggs outlets to its network.

The company also credited the impact of lockdown after it delivered 46 million UK orders between July and September.

It said more diners were working from home and avoiding outside contact.

The firm, which merged with Dutch rival Takeaway.com in February, expects to see more growth this autumn and winter.

The group also saw demand rise in markets like Germany, Canada and Australia, booking 151.4 million orders worldwide in the third quarter – a rise of 46%.

“Further lockdown restrictions across the continent and the UK should keep demand on the up,” said Neil Wilson, chief market analyst for Markets.com.

McDonalds
Just Eat added 800 McDonald’s restaurants and 300 Greggs locations to its network.

Just Eat’s shareholders approved the $7.3bn (£5.75bn) takeover of US rival Grubhub earlier this month. The deal should be completed early next year.

It made the purchase after plans for a merger between Grubhub and Uber collapsed amid competition scrutiny.

In August, Just Eat’s boss Jitse Groen told the BBC he intended to end gig working at his company across Europe.

He said he would rather run his company with staff who get benefits and more workplace protection.

It is the model he has used at the Takeaway.com part of the business he founded 20 years ago.

Gig workers have flexible hours but normally not benefits like holiday pay.

On Wednesday, shares in Just Eat Takeway.com rose 5.8% in London to £93.52 each.

Source Article

McDonald’s Just Announced Some Great News, and It Has These 3 Things to Thank



a close up of a sign: McDonald's Just Announced Some Great News, and It Has These 3 Things to Thank


© Getty Images
McDonald’s Just Announced Some Great News, and It Has These 3 Things to Thank

In the middle of a pandemic, it reported good news. Here’s why.

Loading...

Load Error

This is a story about the three things McDonald’s has done recently that enabled it to report big revenue growth last month, in the midst of a pandemic and economic recession.

The three things? They’re about promotions, predictions, and process — our own new version of the 3 P’s, if you will (as opposed to people process and product). And as you read and learn what McDonald’s has done, you just might find some brilliant inspiration for your business.

First, the big story. McDonald’s said this week that its sales in the United States have bounced back since the start of the pandemic, increasing 4.6 percent over the last three months, against the comparable time period in 2019.

That’s after falling 8.7 percent during April, May and June.

“Our unique strengths,” CEO Chris Kempczinski said as part of a press release, “including our unrivaled drive-thru presence around the world, advanced delivery and digital capabilities, and marketing scale have become even more important during the pandemic.”

I know that sounds like corporatespeak, and in fairness, we won’t know for sure if profits match its revenue growth for that time for another month.

But, I think it’s also easy to break this all down and find some strong takeaways.

First, let’s talk about promotions. In September, the third month of the three month period, McDonald’s teamed up with rapper and producer Travis Scott on a meal deal.

This was reportedly McDonald’s first celebrity meal promotion since the early 1990s, when it teamed up with Michael Jordan. It

McDonald’s will jump 12% as some consumers are ‘tired of their own cooking,’ BofA says

  • Bank of America raised its McDonald’s price target to $250 per share from $225 per share, citing consumers who are “tired of their own cooking” and flocking to fast food drive-thrus. 
  • In a note on Monday a team of BofA analysts also raised their McDonald’s earnings estimates for next year.
  • The analysts added that the fast food giant’s partnership with Travis Scott demonstrated its ability to launch well thought-out, minimally complex strategies.

Bank of America reiterated its “buy” rating for McDonald’s and raised its price objective to $250 per share from $225 on Monday. BofA also raised its 2021E earnings-per-share estimate for McDonald’s up to $8.30 from $8.20 on “better sales expectations.” 

“The quick service segment as a whole has seen greater demand during COVID-19 than pre-pandemic as consumers [grew] tired of their own cooking and leaned into drive-thru and off-premise for engagement with restaurants,” a team of BofA analysts said on Monday. 

The analysts pointed out that the fast food giant’s sales underperformed some of its domestic peers’ because of pressure in its international franchises — many restaurants overseas lack drive-thrus, and foot-traffic during the pandemic was low. However, they added: “A sharp recovery for MCD int’l in July encouraged us that the company can largely offset challenges in certain int’l markets with solid current U.S. performance.” 

Read more: Danton Goei has put more than $1 million into his own international fund, which is beating 97% of its peers year-to-date. The trilingual portfolio manager shares where he is seeing buying opportunities as US-China tensions heat up.

Bank of America also noted that the restauarnt’s recent partnership with rapper Travis Scott demonstrated that its strategies are “well thought out to build-long term traction with minimal complexity.” The Travis Scott Meal attracted younger consumers and used an existing product, the Quarter