Bitcoin at the Laundromat and McDonald’s Profitability
My dryer was being repaired, so I ran by a local laundromat for the first time in years. A bitcoin machine was located next to the candy machine (see picture above).
According to Bitcoin Depot, the business operates the largest bitcoin ATM network globally. Users can deposit cash and purchase cryptocurrency in minutes.
Are laundromat customers the best target market for Bitcoin ATMs? Doesn’t seem to make sense…
Keeping the main thing and main thing
Trade policy uncertainty makes it difficult to manage a business in 2025. I think the best-managed companies know what they do well and constantly innovate to boost profitability.
Laundromats make money with washers and dryers, and McDonald’s drives sales by selling hamburgers. By focusing on the core business, McDonald’s can generate more consistent sales and profits.
But it's never easy.
1st Quarter Profit Decline
According to CNBC:
McDonald’s U.S. same-store sales shrank 3.6% during the first quarter as the chain faced bad weather and a more cautious consumer.
That drop is the worst in McDonald’s home market since the 8.7% plunge during the second quarter of 2020.
McDonald’s narrowly beat on earnings per share, but fell short on revenue.
So, what happened?
“Compared with its industry peers, McDonald’s has more low- and middle-income diners, executives said. And even though high-income consumers are still dining out, their spending is not enough to offset the shrinking traffic from other income cohorts.”
The good news? Two factors can increase McDonald’s profitability moving forward.
Ask customers what they want- and deliver
Think about it: how many times has McDonald’s changed the menu since you first visited? To find out, take a look at the company’s Menu Spotter, which shows menu changes from 2023 to 2025. This article lists the biggest menu changes since 2000.
The 2004 Annual Report discusses Ready on Arrival, the company’s plan on speed up mobile order fulfillment. CXDive points out that: “U.S. customer satisfaction scores are at an all-time high and drive-thru service times are down compared to last year, according to Ian Borden, CFO at McDonald’s.”
Survey customers, ask them what they want, and give it to them.
Controlling real estate costs
McDonald’s has thousands of locations, and many stores are placed on valuable real estate. Consider that McDonald’s sign you see at a highway exit, or the golden arches sitting right outside a busy shopping mall.
Real estate is expensive to buy or lease. In 2024, McDonald’s opened 2,116 new locations- how did they finance the real estate?
McDonald’s purchases the property and sets up minimum lease payments for franchisees that operate a particular location. Owning the real estate allows McDonald’s to control the cost, and that cost certainty generates higher store profitability.
McDonald’s closed over 400 locations in 2024, and the company can also profit by selling valuable real estate to other retailers.
These two factors have a positive impact on the business, and offset declines in customer demand.