McDonald’s Closes CosMc’s, Plans New Drink Pilot

McDonald's will close all standalone CosMc's locations and discontinue the CosMc's app beginning in June, ending the beverage-focused concept launched in late 2023. Although CosMc's initially drew attention and long lines, it ultimately failed to gain sustainable traction in its competition with specialty drink rivals like Starbucks. The concept served as a 'learning lab' for testing new beverages, flavors, and technologies outside the core brand. Insights from CosMc's will be used to introduce new specialty beverages at McDonald's restaurants in an in-store pilot later this year, with a focus on boosting afternoon sales. The closures led to a modest negative impact on McDonald's stock, reflecting some investor disappointment. A dedicated beverage team will oversee the rollout of new drinks as McDonald's shifts its strategy to compete in the specialty beverage market from within its existing restaurants.