The recent spike in inflation and food prices has affected several aspects of the economy, including the fast food industry. Many fast food chains had to increase the prices of their food, making them less affordable to consumers.
However, McDonald’s has announced a new $5 meal that the company hopes will bring in many of the customers they lost during their price hike.
The Official Announcement
On Thursday, June 20th, McDonald’s made an official announcement of a brand new, limited $5 meal starting on June 25th! This value meal is part of the company’s plan to bring in more customers, as the increase in its menu prices has caused consumers to reduce their patronage.
This is not the only new offer, as the official announcement also mentioned several other new promotions that customers would be glad to hear.
Hearing Customers’ Requests
Joe Erlinger, the USA McDonald’s chain president, announced the new deals in an official statement on Thursday. There, he announced that these new deals were in response to the complaints that their customers had brought up recently.
Therefore, he said that the company heard its fans “loud and clear,” and these new summer deals would give them great value.
Growing Price Fatigue
This move by the fast food giant was not surprising as the company has been working hard to bring back the customers that it lost after its price hike. Many reports have shown that customers in the U.S. are dealing with price fatigue which has also reduced the level of patronage.
The high inflation has now caused these people to not spend as they normally would, leading to low income for restaurants.
Fast Food Chains Are Restrategizing
Due to the negative impact on the revenue generated by fast food restaurants, many of them have had to restrategize. Therefore, McDonald’s and their fast food rivals have come up with many new and affordable meals, deals and promotions that hope to attract customers.
The fast food restaurants hope that the presence of available meals will increase their sales and be in more demand.
The $5 Meal
The McDonald’s official promo also revealed the content of the limited $5 meal, as there were many rumors and reports of what it would look like.
From June 25th, all McDonald’s outlets nationwide will start selling a $5 meal that will include a 4-piece chicken McNuggets, small fries, a small soft drink, and an option to choose between a McChicken sandwich or a McDouble burger.
WATCH: McDonald’s Announces Plans To Win Back Low-Income Customers Who Left Over New Prices
Limited Deals
Sadly, this new $5 affordable meal is only available for a very limited amount of time. It starts on June 25th but the company has not yet confirmed when the end date would be. However, one thing is certain: it is a limited time deal.
This caused a bit of an uproar on social media as the customers wanted the deal to be a permanent addition to the menu and not a limited one.
More Juicy Deals
The fast food chain also announced that it would be revealing many more offers throughout summer and the remaining months in 2024. The Free Fries Friday promo has also kicked off, with customers being entitled to a free medium French fry for any $1 minimum purchase for every Friday till the end of 2024.
Therefore, customers have to keep an eye out for more juicy deals.
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Exclusive McDonald’s App Deals
The Free Fries Friday is an in-app deal that encourages customers to place their orders through the fast food’s app. In addition, the official statement said that the majority of the company’s deals and promotions would be available exclusively on the app.
To celebrate National French Fry Day, customers will get free fries of any size on July 13th but this would only be with their orders from the app.
Rising Prices at McDonald’s
Over the past few years, McDonald’s prices have surged considerably and with the increasing inflation rates, it has only continued to increase. According to recent data from 2024, a Big Mac, which used to cost $4.39 in 2019, has now increased to $5.29 at a 21% rise.
Back then, the Quarter Pounder with cheese used to cost $4.49, but it is now about $5.39.
Fast Food Is Now A Luxury for Many
Furthermore, a recent survey showed that 78% of Americans no longer see fast food restaurants as an affordable option. Fast food has now become a sort of luxury that many people can no longer afford.
Therefore, they have stopped going to eat at fast food restaurants in order to save their money for other more important items that have also increased in price.
WATCH: Customers Condemn $21 Subway Sandwich Amid California Minimum Wage Hike
The Reasons for the Increase in Prices
The inflation rate that has continued to rise up since the pandemic, is the major cause for the high fat food prices in the country.
However, this is not the only reason for this trend. Many fast food chains have noted that the increasing labor costs in the country as well as high prices of food items has also caused a rise in the price of fast foods.
A Strategic Plan
This recent deal is proof that McDonald’s is trying its best to attract more customers and increase sales. The company’s first quarter of 2024 numbers were disappointing, and its executives had to devise a plan to boost revenue.
While this $5 offer is only temporary, the company hopes it will produce the expected results and keep customers returning.
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