McDonald’s will sell Krispy Kreme doughnuts at nine locations starting Oct. 26 as part of an operational test.
Krispy Kreme will deliver fresh doughnuts daily to the McDonald's restaurants, according to McDonald's. The doughnut chain uses a"hub and spoke" model that lets it make and distribute its treats efficiently. Production hubs, which are either stores or doughnut factories, send off freshly made doughnuts every day to retail locations such as grocery stores and gas stations.
The test comes as consumers have been cutting back on restaurant visits as soaring inflation pressures budgets. To get customers back into restaurants, chains have been experimenting with new menu items and promotions. In the first half of the year, McDonald's said that lower-income consumers in the U.S. were spending less at its restaurants. Krispy Kreme CEO Mike Tattersfield, on the other hand, has said his chain has strong pricing power because customers are willing to splurge on affordable treats like fresh doughnuts.
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