When analyzing fast food spending habits of Americans, McDonald's has always been the quintessential company for study
When analyzing fast food spending habits of Americans, McDonald's has always been the quintessential company for study. But, MCD just doesn't hold the same sway it once did. A push towards healthy alternatives, and the rise of coffee, have really put traditional fast food restaurants on the back burner. (I can't remember the last time I went to a McDonald's, even for a simple cup of coffee.) Instead, you can get a lot better idea of Americans' consumption behavior by looking at Starbucks. The vast majority of people would rather spend $5 for a latte than a happy meal these days. SBUX is somewhat recession proof (you can't keep SBUX addicts away from their triple-foam, extra hot, caramel macchiato with extra caramel). Still, quarterly spending at Starbucks stores gives a reasonable idea of consumer spending habits. This past quarter, SBUX same stores sales increased 5% on a 1% increase in traffic. That's good news, although below expectations. Judging by the lines at local Starbucks, I'm not worried about their prospects just yet. (VIEW LINK)
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