McDonald’s to take on KFC and rivals as Gen Z flock to fried chicken

McDonald’s is betting on fried chicken as health concerns and the rising price of beef shift dining habits.

The company said that it aimed to take an extra 1.5 percentage point share of the global chicken market by 2030, with an aim to increase its share of drinks by the same proportion. McDonald’s said the growth in chicken, a lower-priced protein, would not come at the expense of beef burger sales, saying it aimed maintain its “leadership position in beef”.

Chris Kempczinski, McDonald’s chairperson and chief executive, told investors in May that the chain’s share of the chicken market was currently “high teens”, compared with about 45% in beef, but the chicken market was bigger and growing at twice the pace of its red meat counterpart.

McDonald’s has warned that the rising cost of beef, as well as energy, was hitting profits for its franchisees. The chain also faces heavy competition from the rapid rise of chicken shop chains including Popeyes and Wingstop as well as expansion by the more established player KFC, driven particularly by the popularity of fried chicken among younger Gen Z consumers.

“McDonald’s has the unmatched scale, customer insights, brand loyalty and operational capabilities to not only adapt to the next wave of change in our industry, but to turn it into an advantage,” said Kempczinski.

The chain also said it would spend about $8.5bn to help franchisees with rent and improve their restaurants.

The change comes amid the rise of chicken shops and sales of chicken as the price of beef has surged by more than 20% in the past two years in the US and the UK, according to figures collated by the UK’s Agriculture and Horticulture Development Board (AHDB).

Peter Backman, an independent food service industry analyst, said “chicken is cheaper and perceived as healthier”.

He said the rising price of beef was likely to be a “drag on the market” for burgers and offering more chicken would enable McDonald’s to sell more to its fans and “steal a bit of market share from other quick service operators”. He said higher drinks sales were probably attractive as beverages tended to be more profitable.

In the UK 39% of consumers used chicken shops in 2025 compared with 37% usage in 2023, according to market research firm Mintel, with Gen Z usage hitting 52%, almost matching pizza outlets at 56%. A plethora of other options, including Asian-inspired chains such as Wagamama, are also eating into the market share of burgers and pizza.

Late last year Domino’s Pizza Group announced that its chief executive of two years had stepped down with immediate effect, less than two weeks after he appeared to suggest the UK may be approaching “peak pizza” and that the chain should try to broaden its menu to sell more chicken.