McDonald’s plans expansion in more lower-tier cities in China

By Ding Yining | January 27, 2016, Wednesday |

Online Edition

MCDONALD’S China says it eyes to open 250 new stores in the country this year and it will focus its expansion in lower tier cities and consumers’ digital experience as the fast food chain recovers from the OSI China supplier issue in 2014.

Phyllis Cheung, chief executive officer of McDonald’s China said that more new openings will be located in third and fourth tier cities and a total of 150 existing stores in Beijing, Shanghai, Guangzhou and Shenzhen will be equipped with self-service ordering machines for customized burger menu by the end of this year.

“Within two to three years, we hope mobile ordering and other digital capabilities would cover all of our restaurants in China and we will also launch our proprietary smartphone application for ordering by the end of this year,” Cheung told a media interview today.

China’s comparable sales in the fourth quarter last year added 4 percent, compared with 5 percent growth at the global level, McDonald's President and chief executive officer Steve Easterbrook told a earnings conference call earlier this week.

Currently the fast food chain store has more than 2,200 stores in China.

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McDonald’s plans expansion in more lower-tier cities in China

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