Burger King gets 'whopping' success while McDonald's struggles: What is happening in burger market as Americans move away from junk food

Burger King's US sales increased significantly last quarter, marking five consecutive periods of growth. This surge followed investments in advertising, remodels, and menu upgrades, including a revamped Whopper. Limited-time offers, such as a Star...

Agencies

The decades-old rivalry between Burger King and McDonald's is heating up as changing eating habits reshape America's fast-food market.

Burger King's US turnaround is gaining momentum, with the chain posting stronger-than-expected sales growth as menu revamps and aggressive marketing draw more customers.

Burger King's comparable sales in the US rose 8.5% in the quarter ended June 30, beating analysts' expectations, according to data compiled by Bloomberg. The performance marked the fifth consecutive quarter of growth for the fast-food chain, owned by Restaurant Brands International Inc.

The company has been working to revive the brand since 2022 through higher advertising spending, restaurant remodels, menu improvements and additional employee training after an earlier sales slowdown.


As part of its turnaround strategy, Burger King recently revamped its signature Whopper for the first time in nearly a decade, introducing a glazed bun, creamier mayonnaise and new packaging. The chain also rolled out attention-grabbing marketing campaigns, including sharing the phone number of its US president, Tom Curtis, and inviting customers to suggest improvements. A video of Curtis promoting the updated Whopper had garnered 7.1 million views as of August 5.

Limited-time promotions have also helped attract customers, with collaborations such as Star Wars: The Mandalorian and Grogu and the launch of crown-shaped chicken nuggets.

The strong performance stands in contrast to rival McDonald's, which recently replaced its US chief after reporting its slowest domestic sales growth since the beginning of 2025. McDonald's Chief Executive Officer Chris Kempczinski said the company's value meals and marketing campaigns fell short of expectations during the quarter.
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What happened to McDonald's?

For years, Americans have complained about the rising cost of groceries. However, the bigger price shock may have come from fast-food restaurants. Gregory Francfort of Guggenheim Securities told The Economist that fast-food chains have raised prices by a cumulative 15-20 percentage points more than grocery stores over the past decade. As a result, many low-income Americans—the core customers of most fast-food chains—have shifted to eating at home. Supermarkets and convenience stores have also expanded their ready-to-eat meal offerings, increasing competition for restaurant chains. The growing availability of weight-loss drugs at lower prices could further pressure the industry.

McDonald's also faced operational challenges in the second quarter, with an overload of product launches slowing service and reducing customer satisfaction. Marketing campaigns, including promotions tied to the FIFA World Cup, failed to deliver the expected results. The company also struggled to generate awareness for its revamped value offerings, with fewer than 65% of its US restaurants selling a lineup of items priced under $3 at the recommended prices.

"We don’t have a strategy problem," Chief Executive Officer Chris Kempczinski said Tuesday on a call with analysts. "We simply didn’t execute at the level we needed to in the second quarter."

McDonald's is now looking to improve its performance in its biggest market.
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"We want to raise the bar in the US and accelerate performance in our largest market," Kempczinski said in a statement.

The results indicate that McDonald's may have to work harder to sustain growth as higher fuel and food prices, partly driven by the Iran war, continue to squeeze consumers' budgets. In response, the company has intensified efforts to promote lower-priced meals while leveraging pop culture and limited-time offerings to attract customers.
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In the US, McDonald's expanded its value menu with a $4 breakfast meal and additional items priced below $3. In France, it introduced a €5 combo meal. Globally, the company promoted new beverages and limited-time meals tied to the hit film KPop Demon Hunters and the FIFA World Cup.
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