Arcos Dorados

Type: RP Impacts

Arcos Dorados is the master franchise of the fast food restaurant chain McDonald’s in 20 countries and territories across Latin America and the Caribbean. As of October 2024, it operates nearly 2,400 restaurants, making it the largest independent McDonald’s franchisee in the world and the largest quick-service restaurant (QSR) chain in Latin America and the Caribbean,[2] serving over 4.3 million customers daily

Overview

Arcos Dorados (NYSE: ARCO) is the world’s largest McDonald’s franchisee and the exclusive owner, operator and grantor of McDonald’s in Latin America and the Caribbean. Reputation Partners was hired by Arcos Dorados to lead communications efforts around its initial public offering (IPO) on the New York Stock Exchange in April 2011. Despite its high profile in Latin America, Arcos Dorados was a relatively unknown among US and European investors. The IPO presented an ideal opportunity to launch the company onto the global stage.

Strategy

Our team developed a comprehensive strategy to leverage the IPO and drive recognition for Arcos Dorados’ business strategy and leadership. Our approach focused on the following :

Developed core messaging platforms that reinforced the company’s strategy, results and investment merits in a compelling way for both internal and external audiences
Trained all company spokespersons (including the CEO) on message delivery and communications
Conceptualized and produced multiple brand awareness activities, including signage, giveaways, promotions and events
Managed all activities and communications with NYSE staff to ensure the bell ringing and other activities (e.g., CEO breakfast) were properly executed
Engaged in extensive IPO-day media relations to drive interest in the stock and begin building awareness of the company as an investment option separate and apart from McDonald’s

Results

Shares of Arcos Dorados rose from its opening price on both IPO day and the weeks following. Media coverage of the event was extensive, including media interviews with top-tier outlets such as CNBC, CNN Espanol, Bloomberg, The Financial Times and Dow Jones/Wall Street Journal, among others. The IPO was ranked by the Wall Street Journal as being among the largest IPOs of the year it listed.