McDonald's plans to open 10 locations of its new spinoff brand, CosMc's, to test its viability across the U.S. and other markets

The first CosMc’s location will open this week in Bolingbrook, Illinois, with nine more planned in Texas by the end of 2024.

McDonald’s will analyze data for a year to determine if it will expand the small-format chain globally.

CosMc’s aims to provide fast and convenient snacks and coffee, with a menu featuring both classic and new items.

The brand is focused on the $100 billion customizable drinks and coffee market, which is growing rapidly with high margins.

CosMc’s restaurants will have smaller footprints and test various layouts, including multiple drive-thru lanes and credit card payments at the speaker.

McDonald’s CEO emphasizes that the success of CosMc’s reflects the company’s potential, but it is still in the early stages.

If successful, CosMc’s could expand globally, but McDonald’s past attempts to diversify have not been successful.