What is CosMc's and how does it differ from McDonald's?

CosMc's is a spin-off concept from McDonald's that focuses on beverages rather than traditional fast food. It targets a niche in the fast-casual market by offering customizable drinks and a more personalized service model, distinct from the standardized McDonald's experience.

How is CosMc's using personalization to compete in the fast-casual market?

CosMc's is leveraging tailored service experiences — likely supported by digital ordering and customer data — to make each interaction feel individualized. This approach is designed to build stronger customer loyalty in a market where differentiation is increasingly difficult to achieve on product alone.

Why is personalized customer service important for beverage-focused QSR concepts?

Beverage customization is a key driver of repeat visits and brand loyalty, as seen with competitors like Starbucks and Dutch Bros. Personalized service deepens the emotional connection customers have with a brand, making them less price-sensitive and more likely to return regularly.

‹ Back to Industries Food & Beverage

What’s McDonald’s Spin-off CosMc’s Key Ingredient for Success? Personalized Customer Service.

McDonald's spin-off CosMc's is pursuing a beverage-focused fast-casual concept built around personalized customer service as its core differentiator. In a crowded market, the chain is betting that tailored service experiences — enabled by technology and data — will drive loyalty and set it apart from competitors. The strategy reflects a broader industry shift toward experiential and customized offerings in quick-service dining.

This story was produced through MarketScale. See how Food & Beverage teams put it to work with Customer Stories & Case Studies.

By Darren Spicer · December 20, 2023, 6:00 AM UTCClutch Coffee BarCosmc’sDarren SpicerMcdonalds

Key takeaways

CosMc's is McDonald's beverage-centric spin-off targeting the fast-casual market with a personalization-first approach.

Tailored customer service experiences are positioned as the chain's primary competitive differentiator.

The concept reflects a broader industry trend of QSR brands investing in experiential and customized offerings to drive loyalty.

McDonald's latest venture, CosMc's, is poised to make a significant impact in the fast-food industry with its recent launch in Bolingbrook, Illinois. This new chain, characterized as a 'beverage concept', moves away from traditional offerings like Big Macs and fries, and instead, highlights a variety of lemonades, coffees, sandwiches, and desserts. With plans to establish ten more locations in Texas within the coming year, CosMc's aims to carve out a niche in the competitive beverage-focused quick-service restaurant (QSR) sector.

Darren Spicer, Co-Founder & CEO of popular coffee chain Clutch Coffee Bar, lends his insights into this market, underscoring the crucial role of personalized customer service in the success of such innovative food service models. Spicer's experience in the field reveals that personalized customer service isn't just a nice-to-have; it's a critical component that can significantly impact customer loyalty and brand perception.

"That one-on-one personalized interaction… it's very, very hard to master that or to roll that out. And so I think that's gonna be one of the biggest things that determines whether or not this has staying power for McDonald's."
— Darren Spicer, Co-Founder & CEO at Clutch Coffee Bar

About the author

Darren Spicer

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About the Expert

Darren Spicer

Principal, Customer Experience & Digital Transformation at EY

Darren Spicer is a principal at EY focused on customer experience and digital transformation strategies across the retail and consumer sectors. He advises organizations on how to leverage data, technology, and service design to build competitive differentiation. His work spans food and beverage, retail, and hospitality industries.

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