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

Fast food giant McDonald's is targeting the rapidly growing fried chicken market to boost its share of the global chicken industry, as rising beef prices and health concerns reshape consumer dining habits. The company aims to increase its chicken market share by an additional 1.5 percentage points by 2030, alongside a similar increase in its share of drinks sales.

McDonald's CEO Chris Kempczinski stated that the growth in chicken, a more affordable protein source, would not detract from beef burger sales, as the company intends to maintain its leadership position in beef. Currently, McDonald's holds about 45% of the beef market, while its chicken market share is in the high teens, but the chicken market is larger and growing at twice the pace of beef.

Rising beef costs, along with energy expenses, are impacting McDonald's franchise profits. The fast-food chain also faces competition from emerging chicken shop chains like Popeyes and Wingstop, as well as the expansion of established player KFC, which is benefiting from the popularity of fried chicken among Gen Z consumers. McDonald's plans to invest approximately $8.5 billion to assist franchisees with rent and improve their restaurants.

This strategic shift comes amidst the surging popularity of chicken shops and the skyrocketing price of beef, which has increased by over 20% in the US and UK over the past two years. Food service industry analyst Peter Backman explained that chicken is both cheaper and perceived as healthier, making it an attractive option for consumers.

He believes that offering more chicken will help McDonald's capture a larger share of the market and potentially pull sales away from other quick-service operators. In the UK, the number of consumers utilizing chicken shops rose from 37% in 2023 to 39% in 2025, with Gen Z usage reaching 52%, almost equal to pizza outlets at 56%.

The market is also witnessing competition from other establishments, such as Asian-inspired chains like Wagamama, which are encroaching on the burger and pizza sectors. Earlier this year, Domino's Pizza Group announced the departure of its CEO, less than two weeks after comments suggesting the UK may be nearing "peak pizza" and that the chain should diversify its menu by incorporating more chicken options.