Now that the holidays are just days away, fast-food chains have begun introducing themed promotions, limited-time menu items and branded merchandise to help get customers into the festive spirit. However, the inspiration behind these seasonal releases isn’t just about spreading holiday cheer; This is about coping with changing consumer behavior and softening demand across the industry.
Economic uncertainty and rising food prices have led consumers to be more cautious about their spending, leading many to cook at home more often to save money.
According to Circana, this change contributed to a 1% decline in overall traffic in the food service industry for the quarter ending June 2025. As a result, fast-food chains are now looking for new ways to engage customers and keep them loyal.
While seasonal menus have long been a preferred strategy, many brands are now expanding beyond food by launching merchandise collections to diversify their revenue sources, retain customers, and increase sales.
Even McDonald’s, one of the world’s leading fast-food companies and America’s favorite chain since its founding in 1854, has not been immune to slow sales and traffic, particularly in response to increased competition in the US, price increases due to inflation, and changes to its DEI policies have contributed to recent challenges. Now, the company is taking advantage of the holidays by using seasonal spending.
McDonald’s (MCD) released the classic “How the Grinch Stole Christmas!” has partnered with Dr. Seuss’s The Grinch to debut “The Grinch Meal,” a new limited-time bundle inspired by Dr. Seuss’s The Grinch. Movies.
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New Dill Pickle McShaker Fries
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an alternative to a big Mac Or 10-Piece Chicken McNuggets
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A moderate drink
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a pair of Holiday Themed Grinch Socks In one of four designs
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Grinch-Themed Happy Meal Packaging
Although this is the first time America will get a taste of The Grinch Meal, it was first introduced in select international markets last year, including Canada, Ireland, Australia, and the UK. Following high demand from American fans, the limited-time meal will be available at participating McDonald’s locations nationwide starting December 2.
However, this is not all. McDonald’s has also released a special winter collection just in time for the gift-giving season, including apparel, accessories, beanies, socks, slippers, mugs, Christmas decorations and even branded gift wrap, now available through its SmileMakers and Golden Arches Unlimited online stores.
McDonald’s launches Grinch meals and Christmas merchandise ahead of the holiday season. Shutterstock” loading=”eager” height=”540″ width=”960″ class=”yf-1gfnohs loader”/>McDonald’s isn’t the only fast-food chain to get into merchandise. As Christmas approaches and consumers begin their holiday shopping, many rival chains have launched their own festive collections to take advantage of the busy retail season.
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Chick-fil-A: A new Holiday 2025 collection launches online and at participating restaurants. (Source: Chick-fil-A)
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Starbucks: released its annual holiday merchandise lineup with a new Hello Kitty collaboration, available in stores nationwide. (Source: Starbucks)
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Burger King: Unveiled Its 2025 BK Advent Calendar, Which Sold Out in Less Than an Hour (Source: Burger King)
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KFC: Unveiled the Holiday Bucket Collection on its online shop (Source: KFC)
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Picking up a cane: Made available limited-time holiday ornaments, apparel, and plush toys through their online gear shop (Source: Raising Cane’s)
According to Finance Buzz, fast-food menu prices are expected to increase between 39% and 100% from 2014 to 2024, far exceeding the national inflation rate of 33% during the same period.
McDonald’s prices alone have increased by 100% since 2014, with the price of some menu items more than doubling in the past 10 years.
“This is a significant challenge for restaurants, as home-cooked meals directly reduce demand for eatery establishments, leading to lower revenues and a decline in customer traffic,” said Sujit Naik, analyst at Coresight Research.
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As menu prices rise and competition intensifies, fast-food chains have accelerated menu innovation and expanded into branded merchandise to diversify revenue streams, not only boosting sales but turning loyal fans into advertisements on the go.
“In response to the declining food dollar and the empowered consumer, restaurants are turning to innovative business and operating models to capture more market share,” KPMG restaurant segment leader Paul Fultz and consumer markets strategy leader Joel Rampoldt said in a study.
In March, McDonald’s launched a new Restaurant Experience team and created three new global category management teams to drive product innovation.
The efforts are beginning to bear fruit. In the third quarter of fiscal 2025, the company’s total comparable sales increased 3.6% year-over-year, with US sales increasing 2.4%.
Despite the improvement, McDonald’s remains cautious.
McDonald’s CEO Christopher J. “We remain cautious about the health of consumers in the U.S. and our top international markets and we believe pressures will continue into 2026,” Kempczinski said in an earnings call. “Getting consumers to our doors and keeping them coming back is a fundamental expectation of our brand. And especially in today’s tough macro environment, it’s more important than ever.”
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This story was originally published by TheStreet on November 25, 2025, where it first appeared in the Restaurants section. Add TheStreet as a preferred source by clicking here.
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