McDonald's Tests Drive-Thru Ad Network in Push Toward $1 Billion Commerce Media Business

McDonald's announced plans on Wednesday to build its own media network, piloting third-party brand advertising across digital drive-thru order boards as it seeks new high-margin revenue streams, as reported by CNBC Business (https://www.cnbc.com/2026/09/23/why-mcdonalds-is-building-an-advertising-business.html).

The initiative began in August as a pilot across 450 company-owned U.S. restaurants. The system has not yet expanded to franchisees, who operate the remainder of the chain's roughly 14,000 U.S. locations, but executives stated that the platform could eventually scale into a $1 billion business unit.

The move represents an expansion of commerce media—in which physical and digital retailers monetize their direct consumer reach—into the quick-service restaurant industry. Speaking at an investor presentation at the company's Chicago headquarters, Morgan Flatley, McDonald's global chief marketing officer and executive vice president of new business ventures, said commerce media spending in the U.S. alone is projected to surpass $100 billion by 2028. Flatley described the network as an avenue to generate revenue with minimal additional cost, no added operational complexity, and no disruption to customer experience.

The pursuit of high-margin advertising comes as McDonald's manages rising costs for core ingredients such as beef and prepares to invest billions of dollars in restaurant renovations over the next decade. McDonald's Chief Financial Officer Ian Borden told CNBC that the company reaches approximately 85% of the U.S. population at least once a year through its 14,000 domestic locations, providing unique physical density for advertisers.

The strategy mirrors high-margin advertising units built by major retailers. Amazon reported $68.6 billion in advertising service sales in 2025, representing just under 10% of its total revenue across its marketplace, Prime Video, lockers, Twitch, and offsite partners. Walmart Connect, the retail giant's U.S. ad business spanning digital channels, outside apps, and more than 4,600 physical stores, posted 43% sales growth in its fiscal second quarter following its acquisition of TV maker Vizio in late 2024.