McDonalds plans to enter the coffee market

McDonald’s is planning a major assault on Starbucks as it launches into the coffee market. The plan was announced to analysts in the US late last week.

The fast food chain will offer a larger range of coffees, such as lattes and mochas, and choice of flavourings and milk, which are also expected to cost less than the established coffee shop chains. It hoped the new strategy will make McDonald’s a destination for coffee and drinks as well as food.

Don Thompson, president of McDonald’s USA, said: “We want to move from beverages as an accompaniment to being a beverage destination. He added that the speed, covenience and value that it offers could make it a “formidable player” in the coffee market.

The range will builds on a range of premium teas and premium coffees that were introduced in McDonald’s in the US 18 months ago. The strategy is being launch first in the US but it is expected to be rolled out across Europe if it proves successful.