McDonald’s Japan rebounds
McDonald’s Japan has recorded its first increase in customer numbers in nearly three years.
Preliminary figures released internally by the company show footfall at stores which remained open for more than one year rose by more than 10 per cent Japan-wide. Better yet, same-store sales rose by as much as 30 per cent, according to a report by Reuters.
McDonald’s Holdings Co (Japan) has projected a net profit of about 1 billion yen (US$8.47 million) for the year to December 2016 – which would mark its first time out of the red in three years since a food safety scandal relating to expired chicken hit the brand in 2014. In January last year sales plunged 38.6 per cent, customer ranks depleted by 28.5 per cent.
In April last year the company unveiled a plan to cull its restaurant network and revamp remaining stores after a US$319 million loss.
It also revised its menu, adding salads which has clearly drawn customers back to restaurants.
Analysts say that despite the apparent recovery, the work is not complete with a long road ahead to restore profits to pre-2014 levels.