The Average Burger King Outlet Earns Half As Much As A McDonald’s. Why?

Competitors McDonald’s and Burger King sell similar food to similar customers, and both use a franchise business model. Yet, on average, a McDonald’s restaurant takes in about twice as much as the average Burger King restaurant. Why is that? Well, for starters, that creepy king mascot of theirs was driving women and children away.

The average McDonald’s earns $2.6 million every year, while the average Burger King takes in $1.2 million. Why is that? What are the other reasons for the disparity?

Off-peak business. Lunch is the peak time for fast food in general, but restaurants are open for most of the day. McDonald’s does more to get business at times that aren’t lunch or even dinner. People love Egg McMuffins, but what’s your favorite Burger King breakfast item? They have a nice breakfast menu, but you probably can’t name any iconic products from it.

There’s a reason why Taco Bell wants to enter the breakfast market, and it’s not because of a profound love of waffles.

Happy Meals. Other fast food outlets offer kids’ meals with toys, but none of them will ever match the marketing power of the Happy Meal.

Yes, the King has been dethroned as Burger King mascot, and a company executive admits that the company’s marketing might have hurt their popularity with… well, Bloomberg Businessweek says that women and children didn’t care for the mascot, but we would argue that the giant puppet character was unpopular with humans.

Efficiency. McDonald’s simply can get more food out the door and serve more customers faster – their recent third drive-thru window innovation helps them herd cars through the line even faster.

Advertising. Nationwide, McDonald’s spends almost ten times as much on advertising. It’s a smaller chain, yes, but all that relentless advertising puts the brand in customers’ minds.

How the Average McDonald’s Makes Twice as Much as Burger King [Businessweek]

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