McDonald’s McPlant May Not Hit Menus Nationwide As Sales Disappoint In California, Texas

McDonald’s (MCD) McPlant burger may not see a nationwide rollout based on initial testing of the plant-based sandwich, which has had disappointing results for the chain.

According to a report from an analyst with BTIG obtained by Restaurant Business, the McPlant has not been selling as well as anticipated in its two test markets – California and Texas.

BTIG analyst Peter Saleh wrote in a note on Wednesday that only about 20 McPlant burgers are being sold a day in the Dallas and San Francisco markets and three to five sandwiches are being ordered in the rural areas of East Texas.

This is a significant decrease from early testing in January of the eight restaurants where the McPlant was being offered, where about 70 units were being sold each day, Saleh continued.

Based on the dismal sales of the McPlant, Saleh concluded in his report, as indicated by Restaurant Business, “Franchisee sentiment is that these figures don’t leave franchisees outside the test markets clamoring for the product and are not enough to warrant a national rollout.”

However, Saleh added that the chain “may continue to test and even offer McPlant in higher-income, urban markets that appear more receptive to plant-based meat offerings, but a wide-scale launch seems a ways off at this point.”

McDonald’s debuted the McPlant in 2020 in a partnership with Beyond Meat and has been testing the sandwich in about 600 restaurants since February.

The sandwich is made with peas, rice, and potatoes and includes mayo and American cheese.

McDonald’s is not the first chain restaurant to offer a plant-based product to its menu.

Burger King launched the Impossible Whopper in 2019 to great fanfare but has since seen its sales slide. Burger King’s stalled sales of the Impossible Whopper eventually forced the company to lower the price of the burger and put it on its two-for-$6 menu deals, Restaurant Dive reported.

The burger chain was also criticized for cooking the meatless burger on the same grill as its traditional burgers, prompting a lawsuit from vegan consumers. Burger King produces the Impossible Whopper in a tie-up with Impossible Foods.

Early in 2022, KFC began offering Beyond Chicken – plant-based chicken – on its menu in a venture with Beyond Meat, while Pizza Hut unveiled a meatless Italian sausage topping for its pizzas through a partnership with Beyond Meat in 2020.

Even Taco Bell has a meatless option on its menu with the Cravetarian Taco – a vegetarian version of the Crunch Taco Supreme, which it launched in 2021.

Coffee chains Tim Hortons and Dunkin’ both had plant-based meat items on their menus that flopped, causing the companies to drop them after a short period of time, according to Restaurant Business.

As of Thursday at 1:46 p.m. ET, shares of McDonald's were trading at $239.73, up $3.61, or 1.53%.