Why McDonald’s added healthy menu options
Must-know: An overview of McDonald's (Part 8 of 15)
McDonald’s adds healthy menu options
McDonalds’ (MCD) food has been recognizing that junk food and unhealthy eating habits lead to obesity. The movie “Super Size Me” revolved around this theme. What makes McDonalds’ food unhealthy? Fast food usually contains excess calories, sodium, empty carbs, and unhealthy fats. According to Corporate Accountability International, the negative effects of eating fast food includes cardiovascular disease, type two diabetes, asthma, liver disease, and cancer. A study conducted by the University of California, Berkley, linked the risk of obesity to be 5.2% greater if a person lived near a fast food restaurant. Besides McDonald’s, Burger King (BKW), Yum! Brands (YUM), and Wendy’s (WEN) are also popular fast food restaurants. The restaurant industry can be accessed by investors through the PowerShares Dynamic Leisure and Entertainment ETF (PEJ) and the PowerShares Dynamic Leisure and Entertainment ETF (PBJ).
Part A of the previous chart shows total calories amounting to 1,670 in a regular McDonald’s menu meal, which includes a burger, large fries, coke, and a dessert. According to the U.S. Department of Agriculture (or USDA) dietary guidelines, it’s recommended that a female between ages 14–18 with a sedentary lifestyle requires a daily minimum of calories 1,800 and a female with an active lifestyle requires a minimum of 2,400 calories daily. Similarly, the USDA also recommends that a male between the ages of 14–18 with a sedentary lifestyle requires a minimum of 2,000-2,400 calories and a male with an active lifestyle requires a minimum of between 2,800–3,200 calories daily. Just one McDonald’s meal provides 92% of calorie requirement to a female between ages 14–18 with a sedentary lifestyle.
Due to increasing pressure, McDonald’s has been focusing on introducing healthier versions to its menu such as salads and wraps. It also has dedicated a page to menu items with less than 400 calories. The healthy options consisting of a salad, medium fries, diet coke, and a dessert add up to 860 calories.
McDonald’s hasn’t been successful at attracting customers with these healthier items. There was a 0.2% same store sales growth at the end of 2013. The issue is that McDonalds’ image is synonymous with junk food. This has overshadowed its strategy to become a healthy food provider.
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