Fast-food giants deepen market reach in 2024

Meanwhile, McDonald's China opened 917 new stores in 2024, bringing its total store count to 6,820. It means at least two new stores on average every day in the past year.

McDonald's China accounted for about 70 percent of all new store openings in the company's international licensed markets, up 3 percentage points from the previous year. More than half of McDonald's global new stores were opened in China last year.

In the fourth quarter, McDonald's International Developmental Licensed Markets segment, which includes China, recorded a 4.1 percent increase in comparable sales, while the United States market saw a 1.4 percent decline. For the full year, the international operated markets segment decreased 0.2 percent, while the US market increased by the same percentage.

Looking ahead, CFO of McDonald's, Ian Borden, said at its fourth-quarter earnings call: "We expect to open more than 1,600 restaurants in our IDL segment, including about 1,000 in China."

"Globally, we plan to open about 2,200 restaurants this year," he added.

The company expects a net addition of nearly 1,800 stores globally, contributing to an overall unit growth of 4 percent.

McDonald's is also making a strategic push into China's coffee market.

Starting Feb 5, about 7,000 McDonald's restaurants nationwide will upgrade their brewed coffee offerings to freshly extracted coffee, accompanied by a one-week free beverage giveaway campaign. The upgraded coffee will use 100 percent Arabica beans, said the company.

The initiative represents a major upgrade to McDonald's coffee business and a competitive move in China's evolving coffee market, said industry experts.

By leveraging its extensive store network and strong brand influence, the company aims to expand its presence in China's coffee sector.

Consumer demand for coffee in breakfast consumption continues to rise. According to research from consumer insights firm GenBridge Capital, the penetration rate of coffee in breakfast beverages has increased significantly in China's urban markets.

In new first-tier cities, coffee's share of breakfast beverages rose from 9 percent three years ago to 15 percent in 2024.

"As more Chinese consumers develop a taste for coffee, their expectations are shifting toward higher quality," said analyst Zhu Danpeng.

"McDonald's is making a smart move by upgrading its coffee to meet this rising demand. It's not just about better coffee — it's about strengthening customer loyalty and standing out in an increasingly competitive market. This step will be key to McDonald's positioning in China's fast-growing coffee scene."