McDonald's in 2010

Tomorrow I have my annual advertising preview with the ad agencies that handle them. I will ask them if this is true:

McDonald's lays plans to take dollar menu to breakfast nationwide

By Mike Hughlett

Tribune staff reporter

McDonald's Corp. appears to be planning to mate its popular dollar menu with its equally popular breakfast menu in a nationwide promotion -- not just in Chicago and a few other markets where it currently exists, according to documents obtained by the Tribune.

This would appear to be the first time McDonald's has brought the dollar menu to a breakfast promotion in a nationwide fashion. McDonald's said "it does not comment on information obtained from unauthorized sources," or on rumors or speculation.

The Oak Brook-based fast-food giant in August brought the dollar menu to breakfast in Chicago, with six items at that price point, including the sausage McMuffin, a sausage biscuit and two hotcakes. The company has stores in a "few other markets" that have also brought the dollar menu to breakfast, McDonald's Chief Executive Jim Skinner told stock analysts in a conference call two weeks ago, though he didn't elaborate on which markets.

It's not clear whether the breakfast dollar menu nationally would mirror Chicago's. But national advertising for the breakfast dollar menu is likely to begin in January and run through the first six months of 2010, according to documents obtained by the Tribune. A group of McDonald's franchisees and executives that set national ad priorities has recommended such a course. McDonald's franchisee groups that determine local advertising still need to vote on the idea, but they usually go along with the national body.

McDonald's launched its breakfast menu 30 years ago, and the company remains the heavyweight player in the quick-serve breakfast business, despite increasing competition. The notion of a national push for the breakfast dollar menu comes at a time when even fast-food chains, including to a lesser extent McDonald's, have struggled with slowing sales.

Some companies -- notably Burger King with its dollar double cheeseburger -- have taken to discounting more premium sandwiches. Meanwhile, many companies are playing up their value offerings, including McDonald's in a recently launched ad campaign featuring a guy roaming around trying to find what he can buy for a dollar, and coming up with basically zilch -- except at the Golden Arches.

McDonald's also plans in January to nationally roll out its Big Mac snack wrap, according to documents obtained by the Tribune. McDonald's began testing the item late last year in 400 U.S. restaurants and later -- at least temporarily -- across Canada. Milwaukee and Houston both served as U.S. test markets.

The new wrap is cross between McDonald's chicken wraps and the company's popular Big Mac burger. The snack wrap features Big Mac fixings -- sliced burger patty, special sauce, lettuce, cheese, pickles and onions – but no sesame seed bun.

mhughlett@tribune.com

Copyright © 2009, Chicago Tribune

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