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McDonald’s Ketchup Divorce: Heinz Ditched Because Of Former Burger King CEO

Published on: October 27, 2013 at 8:02 AM ET
James Johnson
Written By James Johnson
News Writer

McDonald’s ketchup will soon be replaced. The fast foot giant has recently announced plants to switch from a Heinz provided ketchup to an alternative.

According to reports the company is moving away from its long-standing account because Heniz is now run by Bernardo Hees, the former chief of rival Burger King.

Customers may not the difference in taste but not in packaging. McDonald’s has long-billed its packaging as “fancy ketchup” with no sign of the Heinz name.

In a statement regarding the switch away from Heinz the team at McDonald’s writes:

“As a result of recent management changes at Heinz, we have decided to transition our business to other suppliers over time. We have spoken to Heinz and plan to work together to ensure a smooth and orderly transition.”

According to Heinz spokesman Michael Mullen, “As a matter of policy, Heinz does not comment on relationships with customers.”

Alleged to be in the running are Heinz competitors ConAgra Foods (Hunt’s ketchup) and Del Monte.

McDonald’s operates more than 34,000 locations around the world. The bottom line at Heinz is not likely to be affected very much by the closure. McDonald’s transitioned away from the company’s ketchup at most of its locations a long time ago. Heinz currently provides McDonald’s ketchup only in Pittsburgh (the home of Heinz) and Minneapolis.

Heinz in the meantime continues to perform well and was recently acquired by 3G Capital and Berkshire Hathaway. 3G Capital owns Burger King. That ownership stake likely played a large role in the decision by McDonald’s to drop Heinz ketchup from the remainder of its stores.

McDonald’s ketchup is currently being served to customers from a yet to be disclosed manufacturer.

Do you think McDonald’s discarding Heinz ketchup because of a CEO change is a bit immature for a billion dollar company?

TAGGED:mcdonalds
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