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McDonald's Is Fighting An Uphill Battle With Breakfast

Mar 18, 2014, 01:22 IST

By avlxyz on Flickr

McDonald's recently hinted that it might start extending breakfast hours.

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The move is supposed to bring cash-strapped consumers back to restaurants. Breakfast has been surging in popularity across the industry, mostly because it is the cheapest meal you can order.

But selling Egg McMuffins during lunchtime might not help reverse declining sales, writes columnist John-Erik Koslosky at The Motley Fool.

Koslosky notes that competition in the space is stiff.

"If McDonald's could be one-upped on speed and selection by Dunkin' Donuts, one-upped on quality by Starbucks, and one-upped on cleverness by Taco Bell, it may be fighting an uphill battle on the breakfast front," Koslosky writes.

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Customers already go to Dunkin' Donuts and Starbucks for all-day breakfast, with both chains adding new items all the time.

Meanwhile, competitor Taco Bell will launch breakfast later this month with creative selections like the bacon waffle taco.

McDonald's has ambitiously added new coffee and breakfast items, but the new selections are blamed for slowing down service.

The fast food chain will have to keep innovating its daytime menu in order to stay relevant.

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