McDonald’s Wants to Be the New Starbucks

A customer holds a cup of Coffee served by McCafe out of a McDonald's restaurant.

McDonald’s is challenging Starbucks and Dunkin’ Donuts in the coffee business as part of an effort to attract more customers.

The fast food company will reintroduce a newly branded McCafe, complete with upgraded $12,000 espresso machines, special deals for customers and a promise to buy more sustainably sourced coffee, to make McDonald’s a go-to location for a caffeine boost, Bloomberg reports.

For McDonald’s, which has seen a decline in foot traffic, the revamped McCafe offers a chance to attract customers accustomed to upscale coffee drinks. To draw customers away from its competitors, McDonald’s will highlight its price advantages over Starbucks with offers including $1 drip coffee and $2 small specialty beverages over the first quarter of next year.

McDonald’s has already begun competing with Starbucks and Dunkin’ Donuts—this fall, the company sold pumpkin-spice lattes throughout the U.S. for the first time in three years. In Canada, McDonald’s sells Americanos and shots of espresso, and even has a standalone McCafe in Toronto.

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