Fast-food restaurants are expanding their drink menus as they search for new revenue opportunities and ways to attract customers.
On Tuesday, McDonald’s announced plans to introduce six specialty beverages across its U.S. locations starting May 6. The chain is following the lead of competitors including KFC, Wendy’s, and Taco Bell, which have all upgraded their drink selections to compete with coffee chains such as Starbucks and Dutch Bros.
The new McDonald’s lineup will feature three refresher drinks, including a mango pineapple variety topped with strawberry boba and a blackberry passion fruit option garnished with freeze-dried dragon fruit. Additionally, three specialty sodas will debut, including a vanilla-enhanced dirty Dr Pepper crowned with cold foam.
According to McDonald’s, customers increasingly value drinks that are visually striking — featuring vibrant colors and foam toppings — and view beverages as a way to express their personality.
“Our fans have an obsession with beverages – to them, drinks are more than just drinks. And soon, our beverages won’t just be a reason you come to McDonald’s, they’ll be THE reason,” stated Alyssa Buetikofer, chief marketing officer for McDonald’s USA.
These premium beverages generate higher profits for fast-food companies compared to traditional fountain sodas or basic coffee. For example, a small Pineapple Citrus Sparkling Energy drink was priced at $3.29 on Tuesday at a Michigan Wendy’s location, while a small beverage from the restaurant’s Coca-Cola Freestyle machine cost $1 less.
McDonald’s also plans to create a “beverage specialist” position at its 14,000 U.S. locations. These workers will have designated areas behind the counter specifically for drink preparation. Initially, top-performing staff members will fill these roles, but eventually all employees will be trained to rotate through beverage duties.
The beverage enhancement initiative has been in development at McDonald’s for several years. In late 2023, the company unveiled plans for smaller outlets called CosMc’s, designed to serve customizable drinks and snacks targeting afternoon customers. McDonald’s identified afternoon hours between meals as a period when sales typically decline and sought to address this gap.
“This is a $100 billion category that’s growing faster than the rest of (casual dining) and with superior margins. And it’s a space that we believe we have the right to win,” explained McDonald’s Chairman and CEO Chris Kempczinski at that time.
The CosMc’s concept featured innovative menu items like turmeric spiced lattes and prickly pear slushies topped with popping candy. However, McDonald’s shuttered all eight CosMc’s locations last spring. Kempczinski noted that many beverages proved too complicated for standard McDonald’s operations, though he confirmed the company would test selected drinks at regular U.S. stores going forward.
Rival chains have also embraced the beverage trend. KFC’s Kwench drink collection performed so successfully during testing in Manchester, England, last year that it’s expanding to 3,000 locations across the U.K., Australia, and Canada in 2024. The selection includes milkshakes such as Strawberry Shortcake Krunch, plus boba refreshers and iced coffee varieties.
Taco Bell, which shares the same parent company Yum Brands with KFC, operates a distinct beverage concept called Live Mas Café. At kiosks inside U.S. Taco Bell restaurants, workers known as Bellristas prepare beverages including Churro Chillers milkshakes, iced coffees, and carbonated energy drinks. Taco Bell launched its inaugural Live Mas Café at the end of 2024 and expanded to 30 additional locations last year.
During a November investor conference call, Yum Brands CEO Chris Turner indicated that strong sales performance at those 30 sites could make Live Mas Café a cornerstone of Taco Bell’s future expansion strategy.
“Through Live Mas Café, (we) add a new consumer use case, which is the destination beverage visit,” he stated.
Wendy’s introduced customizable cold foam iced coffees and two sparkling energy beverages to its U.S. menu last fall. Burger King has similarly enhanced its drink offerings, beginning with a Frozen Cotton Candy beverage featuring optional foam topping that launched in 2024 and returned last summer.
